Pakistan says ‘confident’ will meet requirements for next GSP+ scheme

A pedestrian walks under waving flags of the European Union in front of the headquarters of the European Commission in Brussels on March 11, 2021. (AFP)
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Updated 06 October 2021
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Pakistan says ‘confident’ will meet requirements for next GSP+ scheme

  • Islamabad will have to demonstrate tangible progress on meeting international conventions on rights, governance  
  • European Parliament has an immediate sought review of Pakistan’s eligibility for GSP+ status over rights record  

ISLAMABAD/ KARACHI: Pakistan has submitted its response to the European Union's list of issues and follow-up questions for the renewal of its Generalized System of Preferences Plus (GSP+) status, with the country’s commerce chief saying he is “confident” that Islamabad would be successful in the fourth biennial review of the special trade incentive.  

This April, the European Parliament moved a resolution against Pakistan, seeking an immediate review of its eligibility for GSP+ status over what it called violence and discrimination against religious minorities and other vulnerable groups.  

The development took place after the Tehreek-e-Labbaik Pakistan (TLP) religious party resorted to violent protests, demanding the expulsion of the French ambassador to Islamabad over anti-Islam cartoons published in France.  

The GSP+ is a special trade arrangement offered to developing economies by European nations in return for their commitment to implement 27 international conventions on human rights, environmental protection and governance. Institutionalized in 1971, the framework removes or reduces import duties on products exported to Europe from low-income countries.  

Pakistan, which is part of a current GSP+ scheme set to end in December 2023, submitted its responses to the EU's list of issues and follow-up questions on September 15.  

"EU is our biggest export partner and we have excellent relations with all EU member states. If you see our exports country-wise, EU member countries will be in the top ten export destinations. As the 4th Biennial Review of GSP Plus incentive is currently underway, I am confident that due to the positive initiatives by the government it will be successfully completed," Pakistani prime minister’s aide on commerce Abdul Razak Dawood said in a statement.  

"The five new international conventions in the new GSP scheme are in line with government’s priorities and we are already taking steps to ensure labour rights, child rights and rights of the persons with disabilities. I can assure that the Government of Pakistan is already committed to the cause."   

The legislative proposal for the new GSP scheme will now be presented to the European Council and Parliament for detailed deliberations before adoption. Once the European Council and Parliament adopt the new scheme, Pakistan, like any other beneficiary country of the GSP scheme, will have to file a new application for the new GSP scheme and ratify and implement 32 International Conventions.  

Speaking to Arab News earlier, Dawood said Pakistan would have to file a fresh application for the new scheme like other beneficiary countries of the GSP scheme.  

“Pakistani products … have duty free access in all 27 member states of the European Union since January 1, 2014, until December 31, 2023,” he said, adding that the EU periodically reviewed the commitment of all beneficiary nations with GSP+ status to the signed international conventions.  

Dawood said all nations, including Pakistan, would be required to ratify and implement the five new international conventions, in addition to the previous 27 international covenants, to benefit from a new program to be adopted by the EU from 2024 to 2036.  

The EU office in Islamabad said in a statement Pakistan was the largest beneficiary of the current GSP+ program but the European Commission was continuously monitoring progress made by beneficiary nations like Pakistan in implementing international conventions.  

“In the last monitoring reports, some progress has been positively highlighted, while concerns have been raised regarding child labor, torture, media freedom and access to justice, among others,” the statement maintained.  

European Union Ambassador to Pakistan Androulla Kaminara said in a statement last month that Pakistan’s exports to Europe had increased by 60 percent since it was granted GSP+ status in 2014 but “in order to maintain the trade preferences under GSP Plus beyond 2023, Pakistan will have to redouble its efforts to turn the international conventions it signed into reality on the ground.”  

“To make the case to be eligible under the new GSP Plus system, Pakistan, like any other potential beneficiary countries,” Kaminara said, “will have to demonstrate tangible progress to convince EU parliamentarians and member state governments.”  


Pakistan to invest $1 billion in AI by 2030 in push to modernize economy

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Pakistan to invest $1 billion in AI by 2030 in push to modernize economy

  • PM says government will introduce AI curriculum in schools nationwide
  • The transformation plan will help train 1 million non-IT professionals in AI

ISLAMABAD: Prime Minister Shehbaz Sharif on Monday announced that Pakistan would invest $1 billion in artificial intelligence (AI) by 2030, in a major step to modernize the South Asian nation’s digital economy.

Pakistan, a country of 240 million people, seeks to become a key participant in the global AI economy, amid growing interest from governments in the Global South to harness AI for productivity, skills development and innovation.

The South Asian nation has been actively developing its AI landscape and approved its National AI Policy in July last year, which was followed by the launch of the country’s sovereign AI cloud and a startup fund.

Speaking at the launch of the Indus AI Week 2026 in Islamabad, Sharif unveiled a multi-pronged roadmap intended to transform Pakistan from a provider of IT technicians into a global hub for AI expertise.

“I am pleased to announce that the Government of Pakistan is committed to invest $1 billion in AI by 2030, which will go a long way in building AI ecosystem in our country,” he told policymakers and international tech experts at Islamabad’s Jinnah Convention Center.

Sharif detailed several flagship initiatives to support this transformation, including a sweeping educational reform, at the event organized by the Information Technology (IT) Ministry, which will be running until Feb. 15, featuring strategic dialogues on sovereign AI and technical showcases.

“AI curriculum will be introduced not only in all federally controlled or run schools, but also in all schools of AJK, that is Azad Jammu and Kashmir, and Gilgit-Baltistan, as well as remote parts of Balochistan,” he said.

The government will provide 1,000 fully funded PhD scholarships in AI to postgraduates to bolster high-level research, according to the PM. It plans to launch a nationwide program to train 1 million “non-IT professionals in AI skills” to enhance productivity and improve livelihoods across traditional sectors of the economy.

Sharif emphasized that the focus would remain on high-impact sectors, including agriculture, mines and minerals, and the empowerment of Pakistan’s youth which makes up 60 percent of its 240 million population.

“We will, God willing, bring in programs to transform them from IT technicians to AI experts, which will lead to our agriculture production in terms of its yield, its quality, its efficiency, like never before,” he said.

Drawing parallels to previous digitization efforts in the Punjab province, such as land record digitization and the establishment of the first IT university in Lahore, Sharif framed the AI push as a “gamechanger” for national governance. He noted the Federal Board of Revenue is already undergoing a digital overhaul to curb smuggling and tax evasion.

“Pakistan is absolutely ready to accept the challenge and walk with our global partners absolutely with great commitment and dedication,” he said. “Our commitment is solid, unwavering. We will never look back.”