Pakistan’s Khyber Pakhtunkhwa signs agreements worth $8 billion at Expo Dubai

Pakistani officals and foreign investors sign a memorandum of understanding (MoU) at Expo 2020 Dubai in Dubai, United Arab Emirates, on January 16, 2022. (Photo courtesy: @kptourism/Twitter
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Updated 17 January 2022
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Pakistan’s Khyber Pakhtunkhwa signs agreements worth $8 billion at Expo Dubai

  • Foreign firms, investors express keen interest in industrial, infrastructure, food processing and energy sectors
  • Feasibility reports of projects presented at the mega exhibition have already been completed, officials say

KARACHI: The provincial government of Pakistan’s northwestern Khyber Pakhtunkhwa (KP) province on Sunday signed over 40 memorandums of understanding (MoUs) at Expo 2020 Dubai that would bring foreign investment worth $8 billion, the KP investment board and officials said. 
Described as “the event of the century,” the expo kicked off in October, bringing together representatives from more than 190 countries. The exhibition is the largest global gathering since the emergence of the coronavirus pandemic and will run until April 2022. 
Pakistan’s pavilion at the expo has been highlighting investment opportunities, tourism potential and cultural magnificence of the country. In January, its highlight is the northwestern Khyber Pakhtunkhwa province. 
Foreign firms and investors expressed their keen interest in various projects in tourism, industrial, infrastructure, food processing, livestock, energy and power sectors, and a water sports theme park in KP’s Swabi district at an investment conference at Expo Dubai on Sunday. 
“International firms have signed 44 memorandums of understanding (MoUs) worth $8 billion during the Expo 2020 Dubai,” KP finance minister Taimur Saleem Jhagra said, while addressing attendees at the conference. 
Jhagra said the KP government had presented these projects in a better way. “For the promotion of tourism in Khyber Pakhtunkhwa, the government is presenting ready projects at the expo for investment,” he said. 




KP finance minister Taimur Saleem Jhagra is addressing the attendees at the conference in Dubai, UAE, on January 16, 2022. (Photo courtesy: @kptourism/Twitter)

KP had vast investment opportunities in tourism, energy and power, infrastructure and other sectors, according to the minister. The Swat Expressway was built under a public-private partnership and now it was being extended to other cities to boost trade and economy, he said. 
Among the attendees at the conference were chief executive officers (CEOs) of the Samara Group, Mazaya Group (EGI), Jannat & AJ Group, Almasa Group and a number of Dubai-based and international investors, who expressed their willingness to invest in various tourism projects in the northwestern Pakistani province. 
“Investment groups that have signed MoUs include Enertech-Kuwait Investment Authority (KIA), Korea Hydro & Nuclear Power (KHNP), Private Office of Sheikh Ahmed Dalmook-Al-Maktoum, Samara Group, VR Group, Sigma Group, Malik Foams, Nobel Future Land & many others,” KP chief minister Mahmood Khan said on Twitter. 
“Investments in the development of food processing zones, integrated tourism zones (ITZ), Solarization of Economic Zones, Construction of Transmission Lines across Khyber Pakhtunkhwa will help in transforming KP by creating economic opportunities and increase in employment.” 

 Jhagra said his government had planned to establish an Overseas Pakistan Council to facilitate investors, saying the process was currently in the legislation stage. The KP government had established a special economic zone (SEZ) in Rashakai and that people were now coming to invest in the province, he added. 
KP culture minister Shaukat Yousafzai said the province had a huge potential for investment and these agreements would help increase the flow of foreign investment into the province. 




Pakistan's ambassador to UAE Afzaal Mehmood (first left) and Khyber Pakhtunkhwa (KP) provincal ministers attend the ceremony at Expo 2020 Dubai in Dubai, UAE, on January 16, 2022. (Photo courtesy: @kptourism/Twitter)

Shahab Ali Shah, the KP additional chief secretary, said only those projects were presented at the expo, whose feasibility reports were complete and only investors were needed. 
“The government is ready to provide a one-window facility to investors,” he added. 


Pakistan’s economic conditions improving, reforms and privatization on track — PM

Updated 46 min 43 sec ago
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Pakistan’s economic conditions improving, reforms and privatization on track — PM

  • Sharif says exports and remittances had shown a rise within one-and-a-half month of his government
  • Pakistan’s finance ministry expects the economy to grow by 2.6 percent in the current fiscal year ending June

ISLAMABAD: Pakistan’s economic indicators are showing positive signs, with an agenda of painful reforms and privatization on track, Prime Minister Shehbaz Sharif said on Friday, ahead of an IMF board meeting to decide on a $1.1 billion funding for the country.
The prime minister said, in an address to his cabinet that was telecast live, that exports and remittances had shown a rise within one-and-a-half month of his government.
The IMF board is meeting on Monday to decide on the disbursement of the second and last tranche of a $3 billion standby arrangement Islamabad secured last summer to avert a sovereign default.
With a chronic balance of payment crisis, Pakistan needs $24 billion in payments for debt and interest servicing in the next fiscal year starting July 1 — three-time more than its central bank’s foreign currency reserves.
The South Asian nation is seeking yet another long-term, larger IMF loan. Pakistan’s Finance Minister, Muhammad Aurangzeb, has said Islamabad could secure a staff-level agreement on the new program by early July.
If successful, it would be the 24th IMF bailout for Pakistan.
The IMF-led structural reforms require Pakistan to raise its tax to GDP ratio from around 9 percent to at least 13 percent-14 percent, stop losses in state-owned enterprise and manage its energy sector losses which run into trillions of rupees.
“It is not just for an antibiotic to work anymore. It needs a surgery,” Sharif said.
Pakistan’s finance ministry expects the economy to grow by 2.6 percent in the current fiscal year ending June, while average inflation is projected to stand at 24 percent, down from 29.2 percent in fiscal year 2023/2024.
Inflation soared to a record high of 38 percent last May.


Pakistan joins calls by UN for ‘credible investigation’ into mass graves discovery in Gaza

Updated 49 min 10 sec ago
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Pakistan joins calls by UN for ‘credible investigation’ into mass graves discovery in Gaza

  • Palestinian authorities say mass graves at Nasser and Al Shifa hospitals contain hundreds of bodies
  • Pakistan says “independent and impartial investigation” must fix responsibility and punish perpetrators 

ISLAMABAD: Pakistan said on Friday it joined the United Nations in calling for a “transparent and credible” investigation into the discovery of mass graves at two major hospitals in Gaza where over 34,000 Palestinians have been killed by Israeli attacks since October. 
The discovery of the mass graves, said by Palestinian authorities to contain hundreds of bodies, have triggered calls by the UN rights chief and others for an international investigation. While not defined under international law, a mass grave is a burial site containing multiple bodies, the existence of which could be important in detecting possible war crimes.
Palestinian authorities said a grave site discovered at the Nasser hospital, the main medical facility in central Gaza, contained nearly 400 bodies. It was uncovered after Israeli troops pulled out of the city of Khan Younis.
Another grave site was also found by Palestinian authorities at the Al Shifa hospital in northern Gaza, which had been targeted by an Israeli special forces operation. 
“Pakistan joins the calls by the United Nations for a clear, transparent and credible investigation of mass graves and the massacre of men, women and children by the Israeli occupation forces,” the foreign office spokesperson said at a weekly briefing in Islamabad.
“An independent and impartial investigation must be held to ascertain the facts, fix responsibility and punish the perpetrators of war crimes and crimes against humanity in Gaza.
“We urge the international community, especially the backers of Israel to take urgent measures to bring an end to the war on the people of Gaza. Lift the siege, protect civilians, facilitate humanitarian assistance and to hold to account the perpetrator of Gaza genocide.”
Currently, the International Criminal Court in The Hague has an active investigation into the attacks on Israel on Oct. 7 by Hamas and the response by the Israeli military.
The office of the prosecutor has jurisdiction in the Palestinian territories, but has not made any public comments about the discovery of mass graves.
Under the 1949 Geneva Conventions, to which Israel is a signatory, parties to a conflict must take all possible measures to prevent the dead from “being despoiled.” Customary international humanitarian law (IHL) calls for the dead to be respected, including a duty to prevent despoiling of graves and ensuring the identification and proper burial of human remains.
IHL also prohibits mutilation, desecration and other forms of disrespect toward the dead, while parties should take measures to protect grave sites, including those containing multiple human remains.
In 2002, in a case related to killings of Palestinians in the Jenin refugee camp in the West Bank, Israel’s Supreme Court ruled that the Israeli Defense Ministry was responsible under international law “for the location, identification, evacuation, and burial of the bodies” of Palestinians killed in fighting. The judges said bodies should not be buried in mass graves but handed over to the Palestinian authorities.
The International Criminal Court’s founding Rome Statute defines the desecration or mutilation of dead bodies as a war crime and this is banned as an outrage upon personal dignity.
Allegations by Palestinian authorities that the Israeli Defense Forces (IDF) had buried the bodies were “baseless and unfounded,” the IDF said in a statement. The graves were dug by Palestinians, it said, releasing footage showing the graves pre-dated IDF operations.
IDF forces searching for Israeli hostages had examined bodies buried near Nasser hospital and then returned them, the IDF said. 
“The examination was carried out respectfully while maintaining the dignity of the deceased,” it said.
With inputs from Reuters


China says will continue investments in Pakistan after deadly suicide bombing

Updated 26 April 2024
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China says will continue investments in Pakistan after deadly suicide bombing

  • On Mar. 26, suicide bomber hit a convoy of Chinese engineers working on Dasu hydropower project
  • Five Chinese nationals and their Pakistani driver were killed in the attack in northwestern Pakistan

ISLAMABAD: The Chairman of the China International Development Cooperation Agency (CIDCA), Luo Zhaohui, said Beijing will continue to work with Pakistan to fulfill commitments made under the framework of the China-Pakistan Economic Corridor and the Global Development Initiative, Pakistani state news agency APP reported on Friday.
Luo’s statement comes a month after a suicide bomber rammed a vehicle into a convoy of Chinese engineers working on a hydropower project at Dasu in the northwestern Khyber Pakhtunkhwa province, killing five Chinese nationals and their Pakistani driver.
The assault on Mar. 26 was the third major attack in little over a week on China’s interests in the South Asian nation, where Beijing has invested more than $65 billion in infrastructure projects as part of its wider Belt and Road initiative.
Chinese contractors suspended work on three hydropower projects in view of security concerns after the March attack, government officials told media last month.
“China is ready to work with Pakistan to implement the consensus reached by the leaders of the two countries, further, deepen strategic mutual trust, and promote practical cooperation in various fields within the framework of the China-Pakistan Economic Corridor and the Global Development Initiative,” APP quoted Luo as saying.
“In his meetings with friends from various sectors during a recent visit to Pakistan, he hoped that friends from all walks of life would continue to exert their influence, and offer advice and suggestions for the development of bilateral relations.”
During the meetings, according to APP, Lou thanked Pakistani officials for “their long-standing contributions to China-Pakistan friendly cooperation, emphasizing the increasingly significant strategic importance of accelerating comprehensive cooperation between China and Pakistan and leading regional development trends.”
The Pakistani side expressed condolences over the Dasu attack and “highly praised the enduring traditional friendship” between Pakistan and China and their cooperation in various fields.
“They added that Pakistan will continue to support the development of Pakistan-China relations, advance exchanges on state governance, and expand friendly exchanges between the two countries in various sectors, including between governments, parliaments, business communities, think tanks, youth, and civil society,” APP said.
The Mar. 26 bombing followed a Mar. 20 attack on a strategic port used by China in the southwestern province of Balochistan, where Beijing has poured billions of dollars into infrastructure projects, and a Mar. 25 assault on a naval air base, also in the southwest. Both attacks were claimed by the Baloch Liberation Army (BLA), the most prominent of several separatist groups in Balochistan.
Dasu, the site of a major dam, has been attacked in the past, with a bus blast in 2021 killing 13 people, nine Chinese among them, although no group claimed responsibility, like the Mar. 26 bombing.
Pakistan is home to twin insurgencies, one mounted by religiously-motivated militants and the other by ethnic separatists who seek secession, blaming the government’s inequitable division of natural resources in southwestern Balochistan province.
Chinese interests are under attack primarily by ethnic militants seeking to push Beijing out of mineral-rich Balochistan, but that area is far from the site of the Mar. 26 bombing.


Pakistan central bank expected to hold rates on Monday ahead of IMF deal

Updated 26 April 2024
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Pakistan central bank expected to hold rates on Monday ahead of IMF deal

  • Median estimate in Reuters poll predicts State Bank will hold rates steady
  • South Asian nation is seeking new long-term, larger IMF bailout program

KARACHI: Pakistan’s central bank is widely expected to hold its key interest rate at a record 22 percent for the seventh straight policy meeting on Monday as Pakistan gears up for an International Monetary Fund board approval and talks on a longer term program.
Monday’s policy decision will be followed by the fund’s executive board meeting to discuss the approval of $1.1 billion in funding for Pakistan, which is the last tranche of a $3 billion standby arrangement with the IMF secured last summer to avert a sovereign default.
The median estimate in a Reuters poll of 14 analysts predicts the State Bank of Pakistan (SBP) will hold rates steady.
Four analysts are forecasting a 100-basis-point (bps) cut, while two expect a 50-bps cut on Monday.
Eight respondents expect a rate cut before Pakistan signs a new program with the IMF. There is another MPC meeting on 10 June 2024, which is possibly before Pakistan gets another IMF Programme.
The South Asian nation is seeking a new long-term, larger IMF loan. Pakistan’s Finance Minister, Muhammad Aurangzeb, has said Islamabad will begin talks with the fund next month, and could secure a staff-level agreement on the new program by early July.
Pakistan’s key rate was last raised in June to fight persistent inflationary pressures and to meet one of the conditions set by the IMF for securing the bailout.
Pakistan’s Consumer Price Index (CPI) for March rose 20.7 percent from the year before, slowing down partly due to the “base effect,” touching a record high of 38 percent in May 2023.
Tahir Abbas, head of research at Arif Habib Limited said that the central bank is unlikely to cut rates before getting a new IMF program. “The monetary policy will also consider the inflationary outcome of tensions in the middle east and its impact of fuel prices, along with the Fed’s delay in monetary easing,” he added.
“Expect a symbolic reduction in the current quarter (till June), with aggressive cuts to follow in the September quarter as the government has to roll over approximately 6.7 trillion rupees of maturing domestic treasury bills in the last quarter of the calendar year,” said Mustafa Pasha, CIO of Lakson Investments.
He added that by then there will be greater clarity on inflation and FX inflows. “Historically the SBP has cut rates in the 1st year of an IMF program and we expect the policy rate to settle around 17 percent by December.”


Punjab Police defends chief minister after controversy over wearing police uniform 

Updated 26 April 2024
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Punjab Police defends chief minister after controversy over wearing police uniform 

  • Sharif donned police uniform to attend passing out parade on Thursday
  • Move widely criticized by political opponents and social media users 

ISLAMABAD: Police in the Pakistani province of Punjab have said Chief Minister Maryam Nawaz Sharif’s act of wearing a police uniform to a passing out parade this week was a “commendable show of solidarity” after widespread criticism by opposition politicians and social media users.
On Thursday, Sharif, who is the first woman chief minister in Pakistan’s history, wore a police uniform while attending a passing out parade of woman constables and traffic assistants at the Police Training College in Chung.
Opposition leader in the National Assembly, Omar Ayub, and other opposition politicians like Yasmin Rashid, Moonis Elahi and Shahbaz Gill all criticized Nawaz’s decision to don the police uniform. The issue also remained a top trend on social media, with many users questioning the logic behind the move.
But the Punjab Police force came out in the chief minister’s defense in an X post.
“As per the ‘Punjab Police Dress Regulations’, the CM of Punjab, Maryam Nawaz Sharif, is entitled to wear the police uniform,” it said in a statement.
“This has been widely celebrated by the police personnel, who view it as a commendable show of solidarity.”
The statement said the Central Police Office had received hundreds of messages by police personnel who had “lauded” Sharif’s act of wearing the uniform and women police officers in particular were celebrating the gesture.
Punjab police also shared a copy of rules that govern how governors and chief ministers can dress on formal occasions.
As per the amended Punjab Police Dress Regulations, “chief minister may wear uniform on formal occasions like review of parades, while addressing police darbars, visiting police establishments or any such occasion as specified, for encouraging the police personnel and troops.”
Separately, a citizen named Waqar Ali filed a plea at a local court against Sharif, arguing that a civilian cannot wear the uniform of an institution and calling for a case to be registered against the Punjab chief minister.