Mr Musharraf, a close US ally, has been under pressure to quit from the ruling government coalition, led by the party of assassinated former Prime Minister Benazir Bhutto. It said last week it planned to impeach him. -- PHOTO: AGENCE FRANCE-PRESSE
ISLAMABAD - PAKISTANI President Pervez Musharraf's spokesman hit out on Friday at 'baseless' reports in western newspapers that the embattled leader will quit within days to avoid impeachment.
Musharraf to resign?
ISLAMABAD - PAKISTAN'S President Pervez Musharraf will resign rather than face impeachment by parliament, the Financial Times said on its website, citing government officials and a member of his circle.
The paper quoted an unidentified senior Pakistani government member as saying a deal had been brokered between Mr Musharraf and members of the newly elected coalition government.
'The president will neither be impeached nor prosecuted on any charges. He will try and stay in Pakistan', the paper quoted the official as saying.
Speculation has been rife Mr Musharraf would quit rather than face impeachment for misrule, though his spokesman, who was not immediately available for comment, has repeatedly denied that.
The long-running crisis surrounding Mr Musharraf's future has heightened concern in the United States and among other allies about the stability of the nuclear-armed Muslim state, which is in the front line of the campaign against militancy.
Mr Musharraf, a close US ally, has been under pressure to quit from the ruling government coalition, led by the party of assassinated former Prime Minister Benazir Bhutto. It said last week it planned to impeach him.
In Washington, White House spokesman Dana Perino referred to the report as a 'rumour mill'.
'We've heard the reports and we continue to monitor it', she said, adding that the United States considered the leadership of Pakistan an issue for Pakistanis.
Former army chief Musharraf seized power in a 1999 coup but has been isolated since his allies lost a February election.
A Pakistani newspaper this week said Mr Musharraf was expected to announce a decision to step down on Independence Day on Thursday.
Instead, Mr Musharraf issued a call for reconciliation, which he said was essential to tackle mounting economic problems and Islamist militancy.
That appeal apparently failed to check government attempts to force him from power, with one senior coalition official saying preparations to impeach the president were on track.
Army's role The political uncertainty is unnerving investors, with the rupee setting a new low of around 75.05/15 to the dollar on Wednesday and stocks hovering near two-year lows.
Financial markets were closed on Thursday.
The Financial Times said Mr Musharraf had demanded he be allowed to retire to his farm in Islamabad and that there be no moves to prosecute him once out of office, it quoted a senior government official as saying Pakistan's powerful army had insisted Mr Musharraf's demands be met.
Coalition leaders said this week the army, which has ruled for more than half the country's history since its founding in 1947, would not intervene to back its old boss.
Analysts say the army is loathe to step back into the political fray and is unlikely to take any action against the government on Mr Musharraf's behalf.
Reports have cited army commander General Ashfaq Kayani, who Mr Musharraf chose to succeed him when he gave up command last year, as saying he wanted to avoid the controversy over Mr Musharraf.
Asked about the possibility of a military coup in Pakistan, Ms Perino said: 'I haven't heard of a military coup ... But I think if they are be moving forward on impeachment proceedings it seems to be within their constitution'. -- REUTERS
Several newspapers quoted aides, politicians and diplomats as saying that Mr Musharraf was about to step down following the coalition government's announcement last week that it would try to unseat him.
'I don't know where they get such baseless information', retired Major General Rashid Qureshi, Mr Musharraf's chief spokesman, said.
'It becomes very unimportant for me to comment on these reports. I have been hearing all this for the past many months'.
The Wall Street Journal and The New York Times, both based in the United States, and the London-based Financial Times all said Mr Musharraf would resign nearly nine years after he grabbed power in a military coup.
Mr Musharraf issued a plea on Thursday, Pakistan's Independence Day, for reconciliation but it was snubbed by the coalition, led by the parties of slain former premier Benazir Bhutto and ex-prime minister Nawaz Sharif.
Talks underway to avoid Musharraf impeachment: ally
A key ally of President Pervez Musharraf said on Friday that talks were underway to avoid his impeachment and refused to rule out the possibility that the US-backed leader could quit.
Mr Tariq Azim, deputy information minister in the previous pro-Musharraf government, said one option was for Musharraf to become a 'figurehead' president without the power to dissolve parliament.
'Talks are underway and many people are interested that the issue is settled amicably without going into the impeachment of President Pervez Musharraf,' Mr Azim said
The ruling coalition announced plans to impeach Mr Musharraf last week.
'This impeachment process, which can last months, will be very damaging especially for the country's economy. The purpose of these talks is to settle the issue and there are many options under consideration,' Mr Azim said.
Asked if the talks could lead to Mr Musharraf's resignation as reported in several Western newspapers, Mr Azim said only: 'My belief is that the president does not intend to leave the country. There is no question of him leaving Pakistan.'
'Another option which I believe is under consideration is to reduce the status of the president to a figurehead, where he is not empowered to dissolve the parliament and appoint armed forces chiefs and provincial governors,' he said.
A two-thirds majority is required in the upper and lower houses of parliament to impeach him. The coalition itself is short of that number but has won pledges of support from independents and at least one former Musharraf ally.
But presidential sources have repeatedly said in recent days that Mr Musharraf 'will not play the numbers game' - a reference to fighting out a potentially humiliating impeachment move in parliament.
Pakistan's powerful army, the helm of which Mr Musharraf relinquished in November and the only institution which could back a move by him to dissolve parliament or declare an emergency, has kept silent on the issue. -- AFP