WASHINGTON  Former Pakistan Interior Minister Aftab Sherpao says that al Qaeda, which has mutated over the years, has an "inspirational" appeal and it does not operate as an integrated operational network. Additionally, he told a gathering at a Washington think tank Friday that al Qaeda wants to ride on the back of the resurgent Taliban movement in the region. He said one of the recruiting grounds al Qaeda uses lies in Afghan refugee camps in Pakistan that hold two million dislocated people. Sherpao also said the United States and Pakistan should draw a plan to meet Pakistan's immediate economic and development requirements as lingering economic difficulties could affect the country's war on terror efforts. "We have two challenges " one is security the other is economic " and they are intertwined - if we melt down economically, how do you expect us to counter the menace of terrorism (more effectively) there," he stated at the U.S. Institute of Peace. Turning to FATA, he said the traditional tribal system, buttressed in place by the institution of the political agent, has been emasculated and needs to be rebuilt. He found it encouraging that the local tribes were beginning to rise against terrorist groups, the formation of tribal lashkars being evidence of that. The former interior minister called Bajaur the hub of the present insurgency, adding that the area was known for the presence of Arabs and Uzbeks. The recent fighting had displaced 250,000 of the locals. The Mohmand agency had also been affected by the insurgency, which had spread its tantacles to the Peshawar and Charsada districts, where the law and order situation had deteriorated. He said there are six regions in the Frontier province without a proper police force. He pointed out that the MMA government had taken no action against the rising tide of extremism because it was afraid of losing its popularity and denting its image. He faulted the government of having negotiated with militants from a position of weakness. Sherpao said there is a lack of national consensus in Pakistan on how to fight terrorism. The tribal agencies are mired in poverty and underdevelopment and the US-promised ROZs remain a dream. He also hinted that some "external" forces are involved in FATA, but did not specify who or what they were. US attacks in FATA, he observed, are like a shot in the arm for the insurgency and there is a growing sense of victimhood among the locals. Force alone, he warned, will not produce the desired results. He also called for due respect to be shown to the local culture and the people's sensitivities. He stressed that there is "no silver bullet" against extremism. It is going to be a long fight and it has to be fought with patience and determination. He said it is crucial that Pakistan's national parliament produce a consensus on the issue of terrorism. He added that with the Pakistan army providing in-camera briefings to lawmakers, the process may already have begun. Sherpao said the system of tribal jirgas and the leadership of maliks must be restored. The Political Parties Act should be extended to FATA, he suggested, and the Frontier Crimes Regulations should be revised and amended. The people of FATA must have the right of appeal to higher courts in Pakistan. Pakistan and Afghanistan must be on the same wavelength, he stressed. The war on terrorism can only be won thought a collective effort.