Pakistan president announces elections in Punjab, KP provinces on April 9

Pakistan President Dr Arif Alvi is pictured at the National Assembly in Islamabad on September 4, 2018. (AFP/File)
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Updated 20 February 2023
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Pakistan president announces elections in Punjab, KP provinces on April 9

  • Seeking to force Pakistan to hold an early national election, ex-PM Khan dissolved two provincial governments in January
  • PTI senior leaders say coalition government of PM Sharif wants to delay elections, not hold them within 90-day deadline

ISLAMABAD: Pakistani President Dr. Arif Alvi has announced general elections on April 9 for the provincial assemblies of the Punjab and Khyber Pakhtunkhwa provinces, a statement from his office said on Monday.

Seeking to force Pakistan to hold an early national election, the opposition party led by former prime minister Imran Khan dissolved the provincial government in Khyber Pakhtunkhwa in January, just days after doing the same in Punjab province.

Pakistan has four provinces and Khyber Pakhtunkhwa in the northwest and Punjab in the east account for more than half of the country’s 220 million population.

Under Pakistani law, fresh polls for the two provincial assemblies should be held within 90 days, and Khan’s Pakistan Tehreek-e-Insaf (PTI) party is gambling on the national government being unable to afford to hold the provincial elections separately from a national election, which is otherwise due by October.

In recent weeks, PTI senior leaders have variously said the current coalition government of Prime Minister Shehbaz Sharif would delay elections in the two provinces and not hold them within the 90-day deadline.

On Monday, while announcing that elections in both provinces be held on April 9, Alvi, a close Khan ally, directed the Election Commission of Pakistan (ECP) to issue an election program in accordance with Section 57 (2) of the Elections Act, 2017.

“In his letter to the Chief Election Commissioner of Pakistan (CEC), the President said that he was under oath to preserve, protect and defend the Constitution of the Islamic Republic of Pakistan under Article 42 read with third Schedule of the Constitution,” the presidency said in a statement.

“There being no restraining order from any of the judicial fora, there was no impediment in [the president] invoking the power and authority vested in him under Section 57 (1) of Elections Act, 2017, empowering him to ‘announce the date or dates of the general elections after consultation with the Commission’.”

“Therefore, he added, he had felt it necessary to perform his constitutional and statutory duty to announce the date of elections to avoid the infringement and breach of the Constitution and law i.e., holding of elections not later than ninety days.”

Alvi said the acting governors of Punjab and Khyber Pakhtunkhwa “were not performing their constitutional duties for appointing a date, not later than ninety days from the date of dissolution.” He also accused the Election Commission of “not fulfilling its constitutional obligation” to hold the polls on time.

Earlier this month, the acting governors of Punjab and Khyber Pakhtun­khwa declined to give dates for general elections for the two provincial assemblies, advising the electoral watchdog to hold consultations with relevant authorities and consider the country’s security and economic crisis before deciding on an election date.

Militant attacks have been on a steady rise in Pakistan in recent weeks while in less than a month, the cash strapped nation’s currency has lost more than a quarter of its value against the US dollar after the removal of artificial caps. Fuel prices have risen by more than a fifth as the government implemented fiscal measures required to unlocking funds from an International Monetary Fund (IMF) bailout.

Inflation in January spiked to 27 percent year-on-year, the highest in more than a decade, and the government only has enough foreign reserves to pay for just over three weeks of imports.

Pakistan is due to hold general elections later this year, but Khan has been calling for elections since he was ousted in April after losing a parliamentary vote of confidence.

Local elections in Punjab and KP provinces, in addition to general elections later this year, would be an expensive and logistically complicated exercise for a government heavily dependent on foreign aid after devastating floods last year.

Political analysts say this pressure plays into Khan’s demands for snap general elections, although any local assembly elections do not constitutionally trigger a national election.


Pakistan PM urges automakers to start local manufacturing, exporting products

Updated 5 sec ago
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Pakistan PM urges automakers to start local manufacturing, exporting products

  • Shehbaz Sharif made the remarks during his meeting with a delegation of Pakistani automakers
  • Pakistan has been facing low foreign exchange reserves, currency devaluation and high inflation

ISLAMABAD: Prime Minister Shehbaz Sharif on Friday urged automakers to start local manufacturing of vehicles and exporting them to contribute to the country’s development, Sharif’s office said, amid Pakistan’s efforts to reduce import bills.
Sharif made the remarks during his meeting with a delegation of Pakistani automakers, comprising Toyota Pakistan Chief Executive Officer Ali Jamali, representative of the auto parts industry Amir Allahwala and others.
Pakistan, which has been facing low foreign exchange reserves, currency devaluation and high inflation, averted a sovereign default last year, thanks to a $3 billion International Monetary Fund (IMF) program.
The South Asian country is currently making desperate efforts to cut its import bills, increase exports and to boost foreign direct investment to address its macroeconomic crisis.
“Auto sector should manufacture vehicles locally in Pakistan,” Sharif said. “Auto sector should export a substantial part of its products and play its role in the country’s development.”
He urged the Pakistani automakers to become a part of the global value chain by exporting their products.
Pakistan last year averted a default after it secured a $3 billion International Monetary Fund (IMF) loan program. Islamabad says it is seeking a new loan over at least three years to help achieve macroeconomic stability and execute long-overdue reforms.
The $350 billion South Asian economy faces a chronic balance of payments crisis, with nearly $24 billion to repay in debt and interest over the next fiscal year — three-time more than its central bank’s foreign currency reserves.
Pakistan’s finance ministry expects the economy to grow by 2.6 percent in the fiscal year ending in June, while average inflation for the year is projected to stand at 24 percent, down from 29.2 percent the previous fiscal year.


Saudi Aramco completes acquisition of 40% stake in Gas & Oil Pakistan

Updated 10 min ago
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Saudi Aramco completes acquisition of 40% stake in Gas & Oil Pakistan

  • The Saudi oil giant signed the agreement to acquire stake in GO in Dec. 2023, which was approved by the Competition Commission of Pakistan (CCP) last month
  • Pakistan, Saudi Arabia have lately been working to increase bilateral trade and investment, and the Kingdom recently reaffirmed expediting $5 billion investment

KARACHI: Saudi oil giant, Aramco, has completed the acquisition of a 40 percent stake in Gas & Oil Pakistan Ltd. (GO), Aramco said on Friday, officially marking the Saudi company’s entry into Pakistan’s fuel retail market.
Aramco is a global integrated energy and chemicals company that produces approximately one in every eight barrels of the world’s oil supply and develops cutting-edge energy technologies, while GO is involved in the procurement, storage, sale, and marketing of petroleum products and lubricants. GO is also one of Pakistan’s largest retail and storage companies.
The Saudi oil giant signed the agreement to acquire stake in GO in Dec. 2023, which was approved by the Competition Commission of Pakistan (CCP) last month. The acquisition represents Aramco’s first downstream retail investment in Pakistan and signals the company’s growing retail presence in high-value markets.
“Our global retail expansion is gaining pace and this acquisition is an important next step on our journey. Through our strategic partnership with GO, we look forward to supplying Aramco’s high-quality products and services to valued customers in Pakistan,” Yasser Mufti, Aramco’s executive vice president of products and customers, was quoted as saying in an Aramco statement.
“We are also delighted to welcome another high-caliber addition to Aramco’s growing network of global partners, and look forward to combining our resources and expertise to unlock new opportunities and further grow the Aramco brand overseas.”
Pakistan and Saudi Arabia enjoy strong trade, defense and cultural ties. The Kingdom is home to over 2.7 million Pakistani expatriates and serves as the top source of remittances to the cash-strapped South Asian country.
In February 2019, Pakistan and Saudi Arabia inked investment deals totaling $21 billion during the visit of Saudi Crown Prince Mohammed bin Salman to Islamabad. The agreements included about $10 billion for an Aramco oil refinery and $1 billion for a petrochemical complex at the strategic Gwadar Port in Balochistan.
Both countries have lately been working to increase bilateral trade and investment, and the Kingdom recently reaffirmed its commitment to expedite an investment package worth $5 billion.


Pakistan’s federal budget to be presented on June 10

Updated 31 May 2024
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Pakistan’s federal budget to be presented on June 10

  • The budget was originally due to be presented on June 7 but was delayed because of Prime Minister Shehbaz Sharif’s visit to Beijing on June 4-8
  • Finance Minister Muhammad Auragzeb will present the budget, which official says will be one of the most crucial ahead of a new loan from the IMF

ISLAMABAD: Pakistan will present the financial year 2024/25 annual budget on June 10, two government sources said on Friday, ahead of seeking a new International Monetary Fund (IMF) loan.
The budget was originally due to be presented on June 7 but was delayed because of Prime Minister Shehbaz Sharif’s visit to Beijing from June 4 to June 8, said the two sources, a top official at the finance ministry and an official close to the prime minister.
They spoke on condition of anonymity as they are not authorized to disclose the information.
The information ministry did not respond to a request for comment.
Finance Minister Muhammad Auragzeb, who will be accompanying Sharif to Beijing, will present the budget, which the finance ministry official said would be one of the most crucial ahead of a new loan from the IMF.
An IMF mission held two weeks of technical and policy level talks with Pakistani officials before it left last week to discuss fiscal consolidation measures to lay the groundwork for the new loan.
The talks made significant progress toward reaching a staff-level agreement for an extended fund facility, the IMF said after concluding the talks.
The IMF had opened discussions on the new loan program after Islamabad completed a short-term $3 billion program, which had helped stave off a sovereign debt default last summer.
Pakistan is likely to seek at least $6 billion under the new program and request additional financing from the IMF under the Resilience and Sustainability Trust.


Pakistan seeks to woo investors during PM’s upcoming China visit on June 4-8

Updated 31 May 2024
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Pakistan seeks to woo investors during PM’s upcoming China visit on June 4-8

  • Pakistan is currently looking to boost foreign investment to support its fragile $350 billion economy
  • PM Sharif will meet President Xi and hold delegation level talks with Premier Li Qiang during the visit

ISLAMABAD: Prime Minister Shehbaz Sharif has asked Pakistani officials to carve out a “comprehensive plan” for business-to-business (B2B) engagements during his visit to China on June 4-8, Sharif's office and the Pakistani foreign ministry said on Friday, as the South Asian country seeks to woo Chinese investors.
Sharif gave the directives during a meeting he presided over early Friday with regard to preparations for his visit to China, according to the Pakistan PM’s office.
It comes at a time when Pakistan is looking to boost foreign investment to support its fragile economy after averting a default last year, thanks to a $3 billion International Monetary Fund (IMF) bailout.
During the meeting, officials briefed the prime minister that a delegation of Pakistani industrialists and traders would accompany him to China to promote B2B relations with Beijing.
“The prime minister gave instructions to devise a comprehensive plan regarding productive business-to-business meetings between the two countries during the visit,” Sharif’s office said in a statement.
“A plan should be made to encourage Chinese industries to set up plants in Pakistan,” he was quoted as saying.
Sharif said his government would provide all-possible assistance to Chinese industrialists and investors, and instructed Pakistan’s ambassador to China to facilitate the Pakistani business delegation during his visit.
Chinese investment and financial support since 2013 have been key for the South Asian nation’s struggling economy, including the rolling over of loans so that Islamabad is able to meet external financing needs at a time its foreign reserves are critically low.
Sharif’s visit will seek to upgrade cooperation under the China-Pakistan Economic Corridor (CPEC), a major segment of the Belt and Road Initiative designed to give China a shorter, more secure trading route to the Middle East and beyond, while also boosting Pakistan’s economy. Beijing is investing over $65 billion in energy and infrastructure projects in Pakistan as part of CPEC.
“An important aspect of the prime minister’s visit will be meetings with corporate executives of leading Chinese companies dealing with oil and gas, energy, ICT [information and communications technology] and emerging technologies,” foreign ministry spokesman Mumtaz Zahra Baloch said at a weekly press briefing in Islamabad on Friday.
Sharif will meet President Xi and hold delegation level talks with Premier Li Qiang, Baloch added.
Since its initiation in 2013, CPEC has seen tens of billions of dollars funnelled into massive transport, energy and infrastructure projects. But the undertaking has also been hit by Pakistan struggling to keep up its financial obligations as well as attacks on Chinese targets by militants.
Officials in Beijing and Islamabad this month held a virtual meeting of the Joint Cooperation Committee (JCC) on CPEC.
The meeting, which focused on joint energy and infrastructure development initiatives, was convened after a March 26 suicide attack that killed five Chinese engineers and their local driver en route to the under-construction Dasu dam in northwest Pakistan.
Briefing the media about the decisions made during the meeting, Pakistan’s Planning Minister Ahsan Iqbal said Chinese security concerns were discussed during the talks.
“Security issues were discussed in the meeting and China was briefed on improving security,” he said, adding that Pakistani authorities had raised a special force to ensure the safety of CPEC projects.
He also informed the two countries agreed to start the mega ML-1 railway project focusing on the dualization of the existing railway network, built in the late 19th century, and the overall upgrading of tracks connecting the Pakistani port city of Karachi to Peshawar.


Amid protests, ‘army-backed’ tourism firm that leased Gilgit-Baltistan properties promises jobs for locals

Updated 31 May 2024
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Amid protests, ‘army-backed’ tourism firm that leased Gilgit-Baltistan properties promises jobs for locals

  • Green Tourism Company to which 37 GB properties leased says it works under civil-military investment council
  • Awami Action Committee leading protests described firm’s presence in GB as “conspiracy” to occupy area’s resources

KHAPLU: A Pakistani tourism company to which dozens of properties in the picturesque Gilgit-Baltistan region have been leased by the government recently, unleashing a wave of protests, said this week locals would not be left behind as it developed tourist areas and infrastructure.
Residents of Skardu Valley came out in protest earlier this week after 37 properties belonging to GB’s Forest and Communication and Works Departments were leased out to the Green Tourism Company, which has been widely described by demonstrators as being “army-backed.” 
Gilgit-Baltistan, an impoverished, remote and rugged mountainous part of the larger Kashmir region also claimed by India, is governed as a separate administrative territory under Pakistan-governed Azad Kashmir. Home to some of the tallest mountains in the world, GB is a major tourist destination, with foreign and local tourism forming the backbone of its economy.
Strategically, GB is important as the only land-based link between Pakistan and its closest regional ally, China. The Pakistan army maintains a large security presence in the area, which borders Afghanistan and China and is the gateway of the $65 billion China-Pakistan Economic Corridor (CPEC) infrastructure plan. But the region has so far reaped few rewards.
Locals fought pro-India forces and opted to join Pakistan in 1948. But since then Gilgit-Baltistan has not been granted full inclusion by the Pakistani constitution over fears doing so would jeopardize Islamabad’s international stance that all of Kashmir is disputed territory. The region’s local assembly has few powers. Pakistan’s National Assembly and Senate have no representation from Gilgit-Baltistan, and the region receives only a fraction of the national budget.
“We are here to develop the tourism areas and infrastructure by engaging local communities,” Ghazanfar Khan, Green Tourism’s administration director, told Arab News, saying the company’s work in GB would create 300 direct and about 3,000 to 4,000 indirect job opportunities.
“The development of tourism infrastructure is a vital component of the thriving tourism industry. Uplifting accommodation options, improving transportation system, tourist facilities, information and communication technologies, sustainable infrastructure and community engagement are the top priorities of the company.”
Asked if Green Tourism was “army-backed,” Khan said it was government-owned and worked under the Special Investment Facilitation Council (SIFC), a civil-military hybrid body established last year to oversee foreign financing, but which is widely believed to be run directly by the army. 
The SIFC has earmarked several economic sectors, including tourism, that are being prioritized for foreign investment.
“The main purpose of SIFC is to attract foreign investors to the country,” Khan said. “And you know, for foreign investors, whenever they go, they need security. That’s why the prime minister is the head of SIFC and the Pakistan army will provide them [SIFC projects] security.”
The military did not respond to requests for comment. 
The company official said global marketing strategies would be used by the company to harness and promote GB’s vast tourism potential:
“All projects will adhere to environmental sustainability principles, ensuring that no trees are cut during development. Furthermore, local cuisines, artefacts and cultural heritage will be actively promoted to enrich the tourism experience and support local communities.”
However, the chairman of the Awami Action Committee that launched the protests this week described the tourist firm’s presence in GB as a “conspiracy” to occupy the area’s resources.
“They should be leased out to locals,” he said about the 37 properties leased to Green Tourism.
“Gilgit-Baltistan is a disputed region and without taking the public into confidence, there is no need to bring investors from outside,” Agha Ali Rizvi, a local elder and religious scholar, said. “All the lands allotted to the company are public property. Ignoring the public and signing a deal with [outside] investors is not a good omen.”
Rizvi said if the government wanted to promote the tourism industry, it should provide electricity, water, education and health facilities to the people of GB. 
The region’s tourism minister Ghulam Muhammad said the administration had decided to lease out the properties to upgrade tourist destinations and attract more visitors, which would ultimately benefit locals. 
“Government rest houses were built in GB when there was no concept of the private sector here,” he said. 
“Now, you see, big hotels have come to the area. The government was facing huge losses and [these properties] were becoming a [financial] burden. So, to get benefit, we leased them out to the Green Tourism Company.”