KARACHI: Over 60 percent of Pakistan’s construction activities have come to a standstill following an unprecedented increase in the rates of basic building material amid rising global commodity prices, industrial stakeholders said on Thursday.
According to an estimate by Pakistani builders, the prices of steel, cement and other construction material increased by more than 70 percent due to the rising freight costs, weaker rupee and surge in local demand.
“The prices of all raw materials have increased by more than 70 percent during the last one year,” Mohsin Shaikhani, chairman of the Association of Builders and Developers of Pakistan, told Arab News. “About 50 to 60 percent of construction activities in the country have come to a standstill.”
Shaikhani added the overall construction cost had gone up from about Rs2,500 to Rs4,000 square feet across the country.
Pakistan’s construction sector contributed about Rs794 billion to the gross domestic product in FY20.
The building activities during the same period increased by 8.1 percent due to the government support and uptick in investment by the private sector, according to a report by the Pakistan Credit Rating Agency.
The construction sector absorbs about 7.6 percent of the country’s total labor force and provides stimulus to over 40 allied industries.
The country’s public sector development program primarily drives the construction demand since it allows the government to spend on mega projects like highways, bridges and other infrastructure development programs.
The companies working on the public sector projects said they were the main victims of price escalation since they had to stop construction work on multiple schemes.
“About 90 percent work on the projects across Pakistan has come to a standstill due to frequent price escalation of building material,” Saeed Ahmed Mughal, secretary information of Karachi Contractors Association, a representative body of companies mainly working on government projects, said. “Only those who have material in their stock are currently active.”
“It is very difficult for constructors to match the current expenses with what they had quoted during the bidding process,” he continued. “We want the federal and provincial authorities to factor in price escalations before we resume our work.”
The price escalation has also impacted the estimates of Prime Minister Imran Khan’s flagship Naya Pakistan Housing Scheme which aims to build five million units for low- and middle-income segments.
Pakistan is currently facing a housing backlog of 11 to 12 million units.
“The low-cost housing projects are in a difficult situation,” said Shaikhani. “The valuation of a house which was worked out at Rs3 million initially has increased to Rs4.5 million.”
Chairman of Naya Pakistan Housing Task Force Zaigham Mahmood Rizvi agreed the construction sector was facing challenges due to the rising rates of building material.
“The developers and builders have been telling us it is difficult to construct a house according to their earlier estimates,” Rizvi said.
He added, however, the Naya Pakistan Housing and Development Authority was trying to come up with a solution.
“The negotiations for the revaluation [of projects] are going on,” he informed.
The price of steel, a key building material used for construction, has increased by 85 percent since March 2020, and it is currently trading around Rs192,000 per ton due to the short supply.
Rizvi maintained the operationalization of the country’s two steel mills – the Pakistan Steel and Tuwairqi Steel Mills that was set up by a Saudi group – was likely to provide some relief to the construction sector.
Some Pakistani traders expect reduction in steel price in the coming months, hoping it would also spur construction activities.
“The international market is showing some corrections and if the impact is passed on to consumers in Pakistan it will reduce the price to about Rs30,000 per ton within the next three months,” Shammon Baqir Ali, chairman of Karachi Iron and Steel Merchants Association, said while talking to Arab News.
The Naya Pakistan Housing and Development Authority did not respond to queries regarding the progress on low-cost housing units and possible policy measures to rescue the troubled construction sector.
Pakistani builders say 60 percent construction projects on standstill amid rising material costs
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Pakistani builders say 60 percent construction projects on standstill amid rising material costs
- Industrial stakeholders blame an overall surge in global commodity prices, higher freight charges and weaker rupee for escalating building material rates
- The increase in prices has also impacted Prime Minister Imran Khan’s low-cost housing projects under the Naya Pakistan scheme
Pakistan calls for immediate ceasefire in Gaza ahead of OIC summit in Gambia
- Ishaq Dar demands joint action by Muslim states at an OIC preparatory meeting to confront rising Islamophobia
- The Pakistani deputy PM will meet leaders from other Muslim countries at the two-day summit starting Saturday
ISLAMABAD: Pakistan on Friday demanded an immediate and unconditional ceasefire in Gaza along with a humanitarian corridor for international aid agencies to provide relief to the people of Palestine ahead of the Organization of Islamic Cooperation’s summit in Gambia this weekend.
The ceasefire call was issued by the country’s newly appointed deputy prime minister, Ishaq Dar, while addressing the summit’s preparatory meeting in the Gambian capital of Banjul, where he arrived on Wednesday.
Dar is scheduled to participate in the OIC summit, convened to discuss and address major issues affecting the Muslim world, ranging from political and economic challenges to social and cultural matters.
These summits aim to promote Muslim solidarity in social and political affairs, coordinate efforts to safeguard the interests and well-being of Muslims and work toward resolving conflicts and issues in the Muslim world.
“Dar expressed Pakistan’s deep concern about the ongoing genocide and starvation of Gaza people and called for the reactivation of OIC’s Ministerial Committee on Israeli aggression against the Palestinians, offering Pakistan’s assistance to the body,” said the state-owned Associated Press of Pakistan (APP) news agency.
The report said he called for an end the Israeli siege leading to a humanitarian crisis for the people of Palestine and to hold Prime Minister Benjamin Netanyahu’s administration accountable for its “war crimes.”
“Ishaq Dar stressed the imperative of joint action by the OIC to confront rising Islamophobia, which was manifested by an increasing number of incidents of discrimination, violence, and incitement against Muslims around the world,” the APP report continued.
“He stated that while global social media platforms had set for themselves a clear understanding and the responsibility of content relating to ‘Antisemitism’ and ‘Holocaust denial’, same was not the case for blasphemous and anti-Islamic content that was responsible for widespread distress among Muslims and the global wave of Islamophobia,” it added.
The Pakistani deputy prime minister is scheduled to interact with leaders of other Muslim states at the two-day OIC summit beginning on Saturday.
Pakistan expands Makkah Route Initiative to Karachi, plans flights for Hajj pilgrims from May 9
- Saudi staff will have access to eight counters and required equipment at Karachi airport’s international departure area
- Pakistan first joined the Makkah Route Initiative in 2019 as part of a pilot program that was introduced in Islamabad
ISLAMABAD: In a major development for Hajj pilgrims in Pakistan, the government plans to launch flight operation to Saudi Arabia under the expanded Makkah Route Initiative to the southern port city of Karachi from May 9, according to an official statement released on Friday.
The initiative, launched by Saudi authorities in collaboration with several Muslim-majority states, facilitates the annual Islamic pilgrimage for numerous people traveling to Makkah.
Under the initiative, tasks like immigration processing are completed in the pilgrim’s home country, allowing them to bypass these procedures upon arrival in Saudi Arabia. This not only reduces waiting times and congestion at Saudi airports but also enhances the overall experience for pilgrims by making their journey more comfortable and focused on spirituality.
Pakistan joined the initiative in 2019 as part of a pilot program that began in Islamabad. Its success led to plans for the program’s expansion to other cities, with pilgrims from Karachi preparing to benefit from it for the first time this year.
“The Hajj flights under the Road to Makkah Project will commence on 09 May and conclude on 08 June,” the statement circulated by Pakistan Civil Aviation Authority said, adding that all the relevant agencies at Karachi’s Jinnah International Airport have assured of unwavering commitment for the successful implementation of the program.
The official statement was released after a meeting at the Karachi airport that focused on the initiative.
All stakeholders, including airline representatives, ground handling agencies, border health services, airport security, Federal Investigation Agency, customs and Anti-Narcotics Force were present during the deliberations.
The meeting focused on the procedures involved at different stages of Hajj pilgrims’ stay at the airport, beginning with their arrival at the facility until their departure, following Saudi immigration formalities.
It was agreed that Saudi staff would have access to eight counters and all the required equipment in the international departure satellite area.
The airport manager stressed the importance of providing a seamless experience to pilgrims and urged all agencies to treat and welcome them as honored guests.
Senior journalist among three killed in bomb attack in Balochistan on World Press Freedom Day
- Khuzdar Press Club president was killed after a motorcyclist attached an explosive device to his vehicle
- Journalists say media workers were also killed in the past but their murderers were never brought to justice
QUETTA: A senior journalist was killed in a powerful blast that claimed at least two other lives in Pakistan’s volatile southwestern Balochistan province, confirmed a senior administration official on Friday, after a motorcyclist attached an explosive device to his vehicle at a bustling market area.
The incident that took place in Khuzdar, a remote city in the region, on World Press Freedom Day sent shockwaves through the media community in the province that has witnessed much violence in the last couple of decades.
Maulvi Muhammad Siddique Mengal, the targeted journalist, was currently the president of the Khuzdar Press Club and had also received threats from unknown individuals in the past.
“President of the Khuzdar Press Club Maulvi Muhammad Siddique Mengal and two bike riders near his vehicle were killed in the attack,” Deputy Commissioner Khuzdar Arif Khan Zarkoon told Arab News after the emergence of the CCTV footage of the attack. “Five people were injured who were shifted to the District Hospital Khuzdar for treatment.”
“Mengal was traveling in his private vehicle to a mosque to offer Friday prayers when an unknown man attached a magnetic explosive device to his vehicle which exploded at Chamrook Chowk and killed him on the spot,” he added.
So far, no group has claimed responsibility for the attack.
“Maulvi Siddique Mengal had been receiving threats from unknown people for the last year,” said one of the local journalists who requested anonymity. “He survived a firing attack nine months ago. Journalism has become a life-threatening profession in Khuzdar. We even closed Khuzdar Press Club for more than six months after threats by unknown people in 2012.”
Pakistan is considered one of the most dangerous places in the world for journalists, particularly for those working in the country’s western Balochistan and Khyber Pakhtunkhwa provinces. According to the Committee to Protect Journalists (CPJ), an international organization working for journalists’ safety, at least 62 media workers have been killed in targeted attacks in Pakistan since 1992.
The Balochistan Union of Journalists (BUJ) has strongly condemned Mengal’s murder, demanding the arrest of the perpetrators of the Khuzdar blast.
Khalil ur Rehman, the BUJ president, said targeting a journalist on World Press Freedom Day was an attempt to suppress the voice of media workers in Balochistan.
“Forty-two journalists have lost their lives in Balochistan over the last two decades, while 10 journalists were killed in Khuzdar district during the last decade, but not a single murderer of journalists has been arrested yet,” he told Arab News. “Journalists in Balochistan are already facing security challenges, but this attack indicates that targeted attacks against journalists have started again.”
Mir Sarfaraz Bugti, chief minister of Balochistan, has strongly condemned Mengal’s killing, ordering an investigation into it.
“The Balochistan government will utilize all resources to arrest the perpetrators involved in the killing of the senior journalist in Khuzdar,” he said in a statement. “Terrorists involved in sabotaging peace in Balochistan won’t succeed.”
Global advocacy group says over 300 journalists faced state repression in Pakistan in one year
- International Federation of Journalists says 8 media workers were charged for sedition, terrorism, incitement to violence
- It mentions the plight of Afghan journalists in exile, safety issues of Pakistani women journalists in online and offline spaces
ISLAMABAD: A leading global advocacy group for journalists’ rights on Friday highlighted alarming challenges faced by the media in Pakistan on Friday, saying that more than 300 people associated with the information industry faced repressive state tactics designed to quell dissent during the course of about a year.
The International Federation of Journalists (IFJ) released its country report on Pakistan on World Press Freedom Day that falls on May 3.
The report highlighted the persistent threats to freedom of expression, safety concerns, gender inequality, and the impact of disinformation on the local media industry.
“Over 300 journalists and bloggers this year were affected by state coercion and targeted, including dozens of journalists arrested for durations between several hours to four weeks and nearly 60 served legal notices or summons for their journalism work or personal dissent online,” the IFJ Pakistan country report for 2023-2024 said. “At least eight were charged for alleged sedition, terrorism and incitement to violence – all serious charges carrying lengthy sentences and even the death penalty.”
It maintained that most of these cases stemmed from the perceived or actual support of these journalists for former prime minister Imran Khan and his political party.
“In this sense, the principal threat actor behind crimes against journalists and free speech practitioners was undoubtedly the state and its functionaries, though some regional sects, non-state actors and gangsters were also involved in some cases,” the report added.
The IFJ described the judicial intervention in these matters as “the silver lining,” saying it thwarted the government’s attempts to entangle journalists “in legal proceedings as a tool of deterring dissent.”
The report noted four journalists were killed during the period under review while at least 59 journalists and bloggers were charged with sedition, terrorism, incitement to violence, defamation or contempt.
“Of these, 47 journalists were served legal summons to respond to allegations of targeted defamation and incitement against judges of the superior judiciary,” it continued.
The report also maintained the safety of women journalists in Pakistan’s online and offline spaces remained a persistent challenge.
“They continued to face gender-based discrimination, journalism work-related intimidation and under-representation in the industry,” it said.
The IFJ said this environment led to self-censorship among journalists and media outlets, especially while writing on topics concerning religion and law.
It also highlighted the plight of Afghan journalists, saying nearly 200 of them had fled to Pakistan after the Taliban takeover in August 2021.
“In October 2023, Pakistan’s government unilaterally demanded that Afghan refugees return to Afghanistan, setting a deadline of one month before authorities began forced deportations,” it recalled. “Amongst the refugees were 200 journalists who had fled to Pakistan to escape stifling restrictions on free speech in Afghanistan.”
The organization said it had called for financial and legal assistance for these journalists to support their sustenance and freedom to report.
Pakistan extradites Oslo festival shooting suspect to Norway
- The man opened fire outside two bars in Oslo in 2022, killing two men and wounding nine others
- Zaniar Matapour, a 44-year-old Norwegian of Iranian origin, is currently on trial for an ‘act of terror’
OSLO: Pakistan has extradited to Norway a man suspected of masterminding an Oslo shooting on the eve of a 2022 festival, Norwegian authorities said on Friday.
On the night of June 25, 2022, just hours before the parade was to take place, a man opened fire outside two bars in central Oslo, including a well-known gay club, killing two men and wounding nine others.
The suspected shooter, Zaniar Matapour, a 44-year-old Norwegian of Iranian origin, is currently on trial accused of an “act of terror.”
Matapour has pleaded not guilty, and psychiatric experts are at odds over his mental health and thereby his legal responsibility.
Arfan Bhatti, a 46-year-old who has lived and is well known in Norway, is suspected of having planned the attack but left Norway for Pakistan before the shooting.
Even though Norway and Pakistan have no agreement on extraditions, Pakistani authorities agreed to grant Oslo’s request.
“Arfan Bhatti is now on a plane escorted by Norwegian police,” Norway’s Justice Minister Emilie Enger Mehl told reporters on Friday.
Bhatti, who denies any involvement and had opposed extradition, will be placed in custody on arrival in Oslo, Norwegian police said.
He is suspected of being an “accomplice to an aggravated act of terror,” a charge that carries a prison sentence of up to 30 years.
Bhatti is expected to be called to testify during Matapour’s trial, police said.
Bhatti’s lawyer was angry that his client was extradited before Pakistan’s supreme court had a chance to rule on his case.
“This way of doing things calls into question the respect of law and international legal principles,” John Christian Elden said.
