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Pakistan has to abide by tough IMF conditions out of ‘compulsion’ — defense minister

A woman walks past the International Monetary Fund headquarters in Washington, DC, on January 26, 2022. (AFP/File)
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Updated 29 January 2023

Pakistan has to abide by tough IMF conditions out of ‘compulsion’ — defense minister

  • IMF wants Pakistan to reestablish market-based mechanism to determine Pakistani rupee's value
  • Defense Minister Khawaja Asif says government would try not to burden citizens under IMF’s conditions
Updated 29 January 2023
Sarah B. Haider

ISLAMABAD: As Pakistan increased petrol prices by Rs35 per liter, Defense Minister Khawaja Muhammad Asif said on Sunday that the country had to agree to “very tough” conditions imposed by the International Monetary Fund (IMF) out of “compulsion” to address its economic woes.

The IMF’s mission is scheduled to visit Pakistan on January 31 to discuss the resumption of its $7 billion loan program, as Islamabad desperately seeks another loan tranche to shore up its foreign exchange reserves. Pakistan's forex reserves have declined to a staggering $3.6 billion, not even enough to cover a month of imports.

Earlier today, Finance Minister Ishaq Dar announced jacking up prices of petroleum products in the country by as much as Rs35 per liter. The minister said the decision was taken due to the Pakistani rupee's recent devaluation and up to an 11 percent increase in global fuel prices.

The hike in prices of petroleum products is part of the IMF's conditionalities to revive the stalled loan program, which requires Pakistan to do away with expensive energy subsidies. The price hike is expected to further increase decades-high inflation in the South Asian country. 

The global lender also wants Pakistan to reestablish a market-based mechanism to determine the value of the Pakistani rupee, which fell to a record low of 269.60 against the dollar in the open market this week. Such a mechanism is a key prior action for the country to receive IMF support.

“The IMF program, which we had to re-enter because of the [current] circumstances and out of compulsion, has set very strict and tough conditions for Pakistan,” Asif said on Sunday, speaking to reporters.

He added the government would undertake efforts to ensure the common man would not have to bear the economic burden of IMF’s conditions.

“We will try that only those belonging to the [upper] socioeconomic class will have to bear the economic burden of this crisis,” he said.

Answering a question related to the acute dearth of forex reserves in the country and the ensuing depreciation of the rupee against the dollar, the defense minister said people who have a foreign currency account in the country would still be able to withdraw “some” of their money in dollars.

“If someone here has a dollar account and wants to withdraw money from their banks, they can do so but in small amounts. For instance, if someone wants to take out money to pay for their children’s school fees, they can do so,” he clarified.

Asif also said the country’s imports, which had to be halted due to the dwindling reserves, were “gradually being relaxed.”

“Our exports are gradually being relaxed, so we will hopefully recover from the economic [turmoil] soon,” he said. “Slowly and gradually, things are being streamlined.”

Pakistan secured a $6 billion IMF bailout in 2019, which was topped up with another $1 billion last year. However, the lender then stalled disbursements in November due to Pakistan’s failure to make more progress on fiscal consolidation and economic reforms.

Topics: Pakistan economy International Monetary Fund (IMF)

Pakistan origin diplomat becomes first Muslim woman appointed to head UK diplomatic mission

Updated 8 sec ago

Pakistan origin diplomat becomes first Muslim woman appointed to head UK diplomatic mission

  • Fouzia Younis, currently director communications at British High Commission in Islamabad, appointed consul general in Toronto
  • Younis has significant experience in the Middle East and South Asia, and in managing multicultural and diverse teams
Updated 8 sec ago
Arab News Pakistan

ISLAMABAD: Pakistan origin British diplomat Fouzia Younis, the head of communications and public diplomacy at the British High Commission in Islamabad, has been announced as her country's consul general in Toronto, the first British Muslim woman appointed to head a UK diplomatic mission.

Younis, whose parents are from Pakistan, has significant experience of building international relationships in the Middle East and South Asia, and managing, coaching and developing multicultural and diverse teams. Until March 2020, she was also the co-chair of the Foreign and Commonwealth Office (FCO) Black, Asian and Minority Ethnic Network (BAME) leading a global network of over 250 staff.

“Privileged to be appointed as His Majesty's British Consul General to Toronto,” Younis wrote on Twitter.

“Special moment as we think it's the 1st time (but don't have data) that  a British Muslim woman has been appointed as Head of a UK Diplomatic Post. I won’t be the last.”

 

 

 

Younis thanked her father “who used to drop me at Digbeth Coach Station at 4am so I could get to my work interviews.”

She also paid tribute to her late mother who “stood up for 18 year old me to go to uni & waited at bus stops to walk me home through dark streets.”

 

 

 

In a previous Twitter post in May last year, Younis announced that her mother had passed away from COVID-19, paying tribute to a woman who never went to school herself but raised four successful children, including an award-winning lawyer, a businessman and a career diplomat. 

“To the girls who look like me,  who are battling prejudice, racism & sexism from within communities & outside, who are told they can't do it, or that they don't sound or look the part. Don't let anyone dim your power.  You can change the world.”

 

 

 

Topics: Pakistan Fouzia Younis British United Kingdom

Pakistan’s foreign exchange reserves reach $10 billion — central bank

Updated 12 min 53 sec ago

Pakistan’s foreign exchange reserves reach $10 billion — central bank

  • Last week, Pakistan’s depleting forex reserves shored up slightly after receiving $500 loan from China
  • Central Bank says Pakistan’s official reserves stood at $4.6 billion on March 17 after external support
Updated 12 min 53 sec ago
Arab News Pakistan

ISLAMABAD: Pakistan’s central bank said on Friday the country’s total foreign exchange reserves stood at $10 billion on March 17 after it received $500 million from a Chinese commercial bank.
Cash-strapped Pakistan has been making desperate attempts to secure external financing to stave off a balance-of-payments crisis, with its forex reserves depleting to critically low levels, currency hitting new lows against the dollar, and inflation at a multi-decade high.
The country is trying to secure a $1.2 billion loan tranche from the International Monetary Fund (IMF), as part of its $7 billion bailout program, to keep the economy afloat.
Last week, Pakistan’s depleting forex reserves shored up slightly after the Industrial and Commercial Bank of China (ICBC) released the second instalment of $500 million as part of a $1.3 billion facility to the country.
"The total liquid foreign reserves held by the country stood at US$10,139.2 million as of March 17, 2023," the State Bank of Pakistan (SBP) said in a statement on Friday.
It added the foreign reserves held by the State Bank of Pakistan (SBP) stood at US$4,598.7 million, while the net foreign reserves held by commercial banks in the country amounted to US$5,540.5 million.
"During the week ended on March 17, 2023, SBP received US$500 million as [Government of Pakistan] commercial loan disbursement. After accounting for external debt repayments, SBP reserves increased by US$280 million to US$ 4,598.7 million," the bank said.
It may be recalled that Pakistan’s official forex reserves held by the central bank fell rapidly, from $16.3 billion in February 2022 to a nine-year low of $2.92 billion on February 3, 2023. The dwindling reserves, barely enough to cover three weeks of imports, pushed the country to the brink of default.
To prevent the outflow of dollars, Pakistan imposed restrictions on imports, with the move prompting the partial closure of many industrial units and affecting exports, which provide a major source of revenue for the country.

Topics: Pakistan economy

President Alvi writes to PM Sharif, expresses concern over ‘glaring violation’ of fundamental rights

Updated 30 min 24 sec ago

President Alvi writes to PM Sharif, expresses concern over ‘glaring violation’ of fundamental rights

  • The president says ‘frivolous cases’ against politicians and journalists are tarnishing Pakistan’s image internationally
  • He also describes the election commission’s decision to postpone Punjab polls as ‘flagrant violation’ of constitution
Updated 30 min 24 sec ago
Arab News Pakistan

ISLAMABAD: President Arif Alvi wrote a letter to Prime Minister Shehbaz Sharif on Friday, expressing concern over the recent political development in the country while mentioning “glaring violation” of fundamental rights of opposition activists and media personnel to stifle dissenting voices in Pakistan.
Alvi’s letter comes at a time when the government has registered a slew of cases against former prime minister Imran Khan and leaders of his Pakistan Tehreek-e-Insaf (PTI) party in recent months. Khan has also criticized the police and other law enforcing agencies for abducting and torturing his party supporters and charging them with terrorism and sedition.
The president, a close Khan ally, quoted various constitutional provisions related to freedom of speech, dignity of citizens and right to fair trial in his letter, adding their spirit and mandate had been “clearly transgressed.”
“Events have taken place in the recent past highlighted by the print, electronic and social media about glaring violations of Fundamental and Human Rights that need to be brought to your notice to ensure remedial measures and preventive action,” he said.
“Multiple fake and frivolous cases have been registered against politicians, workers, journalists and media persons,” he added. “Houses of political workers have been raided and citizens abducted without warrants and lawful justification.”
The president said such incidents had tarnished the image of the country and had serious repercussions for the future of democracy and state of human rights in Pakistan.
He also mentioned the Election Commission of Pakistan’s decision to postpone the elections in Punjab from April 30 to October 8 in a recent proclamation while describing it as “flagrant violation of the Constitution … by the executive authorities and government departments.”
The president said Article 220 of the constitution required state institutions to help the election commission hold free and fair polls, though the relevant departments were ostensibly failing to extend such cooperation.
He also blamed the prime minister for not holding any meaningful consultation with him over policy issues.
“The Prime Minister, being head of Government, is responsible for the safeguard of Human Rights as well as Fundamental Rights of every citizen of Pakistan as enshrined in the Constitution,” he said.
The president added: “It is further emphasized that all concerned executive authorities of Federal and Provincial Governments should be directed to refrain from abuse of Human Rights and also to assist the [Election Commission of Pakistan] to hold general elections in provinces of Punjab and Khyber Pakhtunkhwa, within the timeframe in compliance of Supreme Court’s Order dated 1st March, 2023, to avoid further complications including Contempt of Court.”

Topics: Pakistan

Pakistan presents prestigious gallantry award to Saudi defense attaché

Updated 55 min 14 sec ago

Pakistan presents prestigious gallantry award to Saudi defense attaché

  • Major General Awad Bin Abdullah Al-Zahrani was given Hilal-e-Imtiaz for strengthening security ties between the two countries
  • Commander of Bahrain National Guards Shaikh Mohammed Bin Salman Al-Khalifa also received Nishan-i-Imtiaz from the president
Updated 55 min 14 sec ago
Arab News Pakistan

ISLAMABAD: The Pakistan government has given the second highest civilian award to Major General Awad Bin Abdullah Al-Zahrani, the Saudi defense attaché in the country, to acknowledge his services in promoting and strengthening security ties between the two countries.

The Hilal-e-Imtiaz or Crescent of Excellence is bestowed upon both civilian and military officials, and is open to Pakistani nationals and foreign citizens who have made significant contributions to the country’s security or national interests, world peace, cultural or other public endeavors.

The award is given to prominent individuals on Pakistan Day, celebrated annually on March 23 to commemorate the adoption of the Lahore Resolution in 1940, which called for the creation of an independent sovereign state for the Muslims of the Subcontinent.

“Heartiest felicitations to Maj Gen (Pilot) Staff Awad Bin Abdullah Al-Zahrani, the Defense Attache of the Kingdom of Saudi Arabia on being awarded Hilal-e-Imtiaz (Military) by the President of Pakistan,” Senator Sehar Kamran, a former Pakistani parliamentarian, wrote in a Twitter post.

Al-Zahrani also received the award for his personal efforts in facilitating the early supply of relief goods during the unprecedented floods in Pakistan last year, which claimed 1,700 lives and affected over 33 million people.

In addition to the Saudi official, Shaikh Mohammed Bin Salman Al-Khalifa, the commander of Bahrain National Guards, was also awarded the Nishan-i-Imtiaz or Order of Excellence award.

During Thursday’s ceremony, President Dr. Arif Alvi presented awards to 135 citizens and foreign nationals in recognition of their contributions to their respective fields.

Among the recipients were 49 officers and soldiers of Pakistan’s army, navy, and air force, including the families of four martyred troops.
 

Topics: Pakistan Saudi Ties

For Tasha Jessen, the long journey from Pakistan to ‘The Voice’

Updated 24 March 2023

For Tasha Jessen, the long journey from Pakistan to ‘The Voice’

  • Jessen this month became the first Pakistani to be chosen to compete on the super hit American singing show
  • Hailing from Faisalabad, Jessen moved from Pakistan with her family at the age of 12, currently lives in the US
Updated 24 March 2023
BURAQ SHABBIR

KARACHI: Tasha Jessen this month became the first singer from Pakistan to be chosen to compete in the American singing competition ‘The Voice’ after her successful debut at the ‘Blind Auditions’ stage of the contest. 

Jessen, originally named Sitaaish Ayub, grew up in Pakistan’s Faisalabad city where she described herself as the only Christian girl in her all-Muslim class. According to widely published media reports, Jessen left Pakistan with her family when she was 12 to escape religious persecution and immigrated to Thailand and onwards to Ontario, Canada. The 21-year-old finally moved to the US a few years ago where she currently lives with her husband, also a singer and guitarist, in Colorado Springs. Her family is still based in Canada. 

Jessen’s performance of Leon Bridges’ ‘River’ at the Blind Auditions of Season 23 of The Voice moved the judges, including Chance the Rapper, country superstar Blake Shelton and former One Direction member Niall Horan, who all turned their chairs during her soulful rendition. 

Jessen will next appear during battle rounds, which begin March 27. The show airs at 7pm Mondays and 8pm Tuesdays on NBC. 

“I was the first Pakistani to ever go on that stage and that was a big thing on its own, and that was a really proud moment for me, for my country,” Jessen told Arab News in a Zoom interview from Colorado Springs on Thursday. 

“I really hope that everybody watching at home and everybody in Pakistan is really proud as well because it’s a big deal for all of us.” 

 

Recalling her journey to The Voice, Jessen said she searched online on how to audition for the show and then did a virtual audition after which she heard back "pretty quickly." 

“All of a sudden, I was in LA” she said. “I was standing on stage and I was shaky because I couldn’t believe I was standing there with all these big celebrities talking to me. It was a really fast journey. Like, I blinked and it happened. It took me months and months to prepare and get ready and now it is all done.” 

“Your voice is hard to define,” Blake Shelton, who Jessen chose as her coach on The Voice, said after her audition. “Which is the best thing you could have going for you … Tasha looks like a star. Nobody else sounds like Tasha, and she’s on Team Blake.” 

Growing up, music was always “the most important part of life” for Jessen. Most of the members of her immediate family are recording artists and musicians and she recalled nights throughout her childhood spent singing with her mother and siblings while her father played the harmonium. She also participated in almost every competition at the Beaconhouse International School System in Faisalabad where she used to study when she lived in Pakistan. 

Jessen dropped out after high school and never went to college, which she said really disappointed her mother who wanted her to pursue medicine. 

“I did a lot of gigs and did a lot of worship [groups] in church and stuff like that,” Jessen said, speaking about her journey after dropping out of school. “And so, it’s always just been music and sports, to be honest.” 

Jessen put music on hold when she moved to the US in September 2021 to spend time with her husband and try to find a job, which she did, as a showings agent for a property management company. 

But seeing The Voice was a “wake-up call,” she said, and propelled her back into the world of music. 

Today, Jessen says she has overcome all her fears: “Being a woman and then a Pakistani woman and then having a completely different faith [Christian] as well.” 

“I just had to be where the music was, it’s all that carried me through,” she said. 

And indeed, music did get her through it all: 

“When I actually made it onto the stage [of The Voice], it was just this picture of, okay, if I can do it, if a little brown Pakistani girl can do it, then anybody can do it.” 

Looking forward, Jessen said she was writing songs with her husband and hoped to release an album and go on tour one day. 

“The goal is to someday … spread the same love that we have for music with everybody else, share a bit of our story with everybody else,” Jessen said. “That’s the ultimate goal.” 

Topics: tasha jessen The Voice

Latest updates

Pakistan origin diplomat becomes first Muslim woman appointed to head UK diplomatic mission
Pakistan’s foreign exchange reserves reach $10 billion — central bank
President Alvi writes to PM Sharif, expresses concern over ‘glaring violation’ of fundamental rights
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