'Great relief' as World Bank grants Pakistan six-month stay order in Reko Diq mine case

A file photo of the site of the gold and copper mine exploration project of Tethyan Copper Company (TCC) in Reko Diq, in Balochistan, Pakistan. (Photo courtesy: TCC)
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Updated 19 September 2020
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'Great relief' as World Bank grants Pakistan six-month stay order in Reko Diq mine case

  • Last year, World Bank’s arbitration court ordered Pakistani government to pay damages of $5.8 billion to Tethyan Copper 
  • Reko Diq mine has become a test case for PM Imran Khan’s ability to attract serious foreign investment to Pakistan

ISLAMABAD: The World Bank’s arbitration court granting Pakistan a stay order of six months in the Reko Diq mine case was a “great relief,” chairman of the China-Pakistan Economic Corridor said on Friday.
Last year, the World Bank’s International Center for Settlement of Investment Disputes (ICSID) ordered Pakistan to pay damages of $5.8 billion to Tethyan Copper, a joint venture between Chile’s Antofagasta Plc and Canada’s Barrick Gold. 
Reko Diq is a small desert town in Pakistan’s southwestern Balochistan province, known for its vast mineral wealth.
“Reko Diq:Stay order by World Bank tribunal on $ 6 Bn award vs Pakistan is great relief,” Gen Asim Saleem Bajwa, who heads the CPEC authority, said on Twitter.
“Meanwhile PM directs to fully support GOB [government of Balochistan] for accelerated dev [development] of mineral sec [sector] in a transparent manner,structured system, best tech,involve local investors,develop own HR [human resources].”


“This is a success for Pakistan and its legal team,” the Pakistani Attorney General’s office said in a statement on Thursday.
The Reko Diq mine has become a test case for Prime Minister Imran Khan’s ability to attract serious foreign investment to Pakistan as it struggles to stave off an economic crisis that has forced it to seek an International Monetary Fund bailout.




The Reko Diq copper reserve is located in the Pakistani province of Balochistan, near the border with Afghanistan. (Photo courtesy of Tethyan Copper)

State-run companies from resource-hungry China have long coveted Reko Diq and more recently Saudi Arabia has shown interest, officials say.
But the Reko Diq dispute has also been a significant foreign investment deterrent, with international businesses unnerved at how Pakistan dealt with the companies that had pledged to invest $3.3 billion to develop the country’s then-biggest mining project.
Tethyan Copper discovered vast mineral wealth more than a decade ago in Reko Diq, at the foot of an extinct volcano near Pakistan’s frontier with Iran and Afghanistan. The deposit was set to rank among the world’s biggest untapped copper and gold mines.
The company said it had invested more than $220 million by the time Pakistan’s government, in 2011, unexpectedly refused to grant them the mining lease needed to keep operating.
The World Bank’s court first ruled against Pakistan in 2017 but fixed damages in 2019. 
 

 


Challenges for millions pushed back to Afghanistan from Iran, Pakistan

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Challenges for millions pushed back to Afghanistan from Iran, Pakistan

  • Over five million Afghans returned home since September 2023 as Iran, Pakistan ramp up deportations
  • Those who returned face challenges in form of unemployment, lack of housing, shortage of electricity and water

KABUL: After decades hosting Afghans fleeing crises at home, Pakistan and Iran have ramped up deportations and forced millions back across the border to a country struggling to provide for them.

Whether arriving at the frontier surrounded by family or alone, Afghan returnees must establish a new life in a nation beset by poverty and environmental woes.

AFP takes a look at the people arriving in Afghanistan and the challenges they face.

FIVE MILLION

More than five million Afghans have returned home from Iran and Pakistan since September 2023, according to the International Organization for Migration (IOM).

The figure equates to 10 percent of the country’s population, according to the agency’s deputy head in Afghanistan, Mutya Izora Maskun.

Three million returnees crossed the borders just last year, some of whom have spent decades living abroad.

Such a huge influx of people would be hard for any country to manage, Maskun said.

INADEQUATE HOUSING 

Months after arriving in Afghanistan, 80 percent of people had no permanent home, according to an IOM survey of 1,339 migrants who returned between September 2023 and December 2024.

Instead, they had to live in temporary housing made from materials such as stone or mud.

More recently, the UN refugee agency (UNHCR) spoke to Afghans who arrived back between January and August last year about their living arrangements.

Three-quarters of tenants said they could not afford their rent, while the majority of families were sharing rooms with up to four people, according to the survey of 1,658 returnees.

DESPERATE SEARCH FOR WORK 

Just 11 percent of adults pushed back from Pakistan and Iran were fully employed, the IOM survey found.

For those who returned in the first few months of last year, the average monthly income was between $22 and $147, according to the UNHCR.

WATER, ELECTRICITY SHORTAGES

More than half the returnee households lack a stable electricity supply, according to the IOM.
The agency said that households headed by women faced “significantly higher vulnerabilities,” with around half of them struggling to access safe drinking water.

SPEEDING UP LAND DISTRIBUTION

More than 3,000 plots of land have been distributed to returnees nationwide, Hamdullah Fitrat, the Afghan government’s deputy spokesman, said in mid-January.

The process “was accelerated,” he said while recounting a special meeting with supreme leader Hibatullah Akhundzada.

On their arrival in Afghanistan, returnees usually receive help with transport, a SIM card and a small amount of money.