Pakistan acknowledges rising power tariff woes as mosques urge people not to pay bills

Protestors shout slogans against the surge in petrol and electricity prices during a rally along a street in Karachi on August 18, 2023, as Pakistan endures soaring inflation. (AFP/File)
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Updated 27 August 2023
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Pakistan acknowledges rising power tariff woes as mosques urge people not to pay bills

  • Caretaker PM has called an emergency meeting today to address the issue of rising electricity cost
  • Pakistan raised the power tariffs in July to meet an IMF requirement after $3 billion bailout approval

ISLAMABAD: Pakistan’s caretaker information minister Murtaza Solangi said on Saturday the government was aware of the challenges faced by citizens due to escalating electricity costs, as the prime minister called an emergency meeting on Sunday to address the issue amid announcements urging non-payment of utility bills from mosques in the country.

Solangi issued the statement during a joint media briefing in Islamabad with the federal secretary of the power division to articulate the government’s stance over the current state of electricity tariffs.

The media interaction followed protests by Pakistani trade associations and citizens in various urban centers following the National Electric Power Regulatory Authority’s (NEPRA) implementation of a tariff hike of Rs4.96 per unit in July.

The government has also increased the prices of petroleum products substantially twice in the ongoing month, raising the overall cost of living in the country further amid mounting inflationary pressure.

“Caretaker information minister Murtaza Solangi has acknowledged the challenges faced by the people due to rising prices of electricity,” reported the state-owned Pakistan Television news channel. “All stakeholders have been invited to attend the meeting chaired by the prime minister [to discuss the issue].”

 

 

Earlier, Pakistan’s interim PM Anwaar-ul-Haq Kakar said he had summoned an urgent meeting focusing on mounting cost of electricity on Sunday.

“In the meeting, a briefing will be sought from the ministry of power and distribution companies and consultations will be held to give maximum relief to consumers regarding their electricity bills,” he added.

Meanwhile, video clips from Pakistani cities of Mansehra and Wazirabad went viral on the social media, showing announcements from mosques in which people were urged not to pay their electricity bills to register protest.

 

 

All these developments have come after trade associations in Karachi, Islamabad and Peshawar issued warnings of potential “consequences” if the government did not bring down the power tariffs.

NEPRA’s decision to increase the electricity rate followed a requirement imposed by the International Monetary Fund (IMF) for the approval to a $3 billion bailout package amid major financial challenges facing Pakistan.


Pakistan stocks recover as oil supply fears ease after Islamabad seeks Red Sea route— analyst

Updated 05 March 2026
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Pakistan stocks recover as oil supply fears ease after Islamabad seeks Red Sea route— analyst

  • Pakistan has sought Saudi help to secure oil supplies via Red Sea port after Iran’s closure of Strait if Hormuz
  • Analyst says higher crude oil prices, expectations of IMF releasing next loan tranche also triggered bullish activity

ISLAMABAD: Pakistani stocks marked a sharp recovery when trading closed on Thursday, as institutional activity increased following Islamabad’s move to seek crude oil supplies through the Red Sea port eased oil supply fears, a financial analyst said. 

Pakistani stocks have recorded a sharp decline this week, with the benchmark KSE-100 index recording its largest-ever single-day decline on Monday when it plunged 16,089 points. Escalating conflict in the Middle East triggered panic selling at the Pakistani bourse, forcing a temporary trading halt on Monday. 

The KSE-100 index, however, gained 3.49 percent or 5,433.46 points to close at 161,210.67 when trading ended on Thursday, up from the previous close of 155,777.21 points, according to Pakistan Stock Exchange’s (PSX) data.

Pakistan’s Petroleum Minister Ali Pervaiz Malik met Saudi Ambassador Nawaf bin Said Al-Malki on Wednesday to discuss Iran’s closure of the key Strait of Hormuz, which has threatened Pakistan’s energy supply. Roughly 20 percent of the global oil and gas supply passes through the route. Saudi Arabia indicated it could facilitate shipments through the Red Sea port of Yanbu, offering an alternative route if Gulf shipping lanes remain disrupted, the petroleum ministry said on Wednesday. 

“Stocks staged a sharp recovery at PSX amid institutional activity on easing fuel supply fears after KSA [Kingdom of Saudi Arabia] commits oil supplies through the Red Sea port,” Ahsan Mehanti, chief executive officer at Arif Habib Commodities, told Arab News.

He said higher global crude oil prices and expectations of the International Monetary Fund releasing its next tranche of the $7 billion loan for Pakistan also helped bullish activity at the PSX.

An IMF mission was in Pakistan to hold talks on the third review of a $7 billion Extended Fund Facility multi-year program, and for the second review of the $1.4 billion Resilience and Sustainability Facility this week.

However, the delegation left for Türkiye amid tensions in the Gulf. Pakistani officials have said talks are likely to continue virtually in the coming days. 

Pakistani brokerage Topline Securities said in its daily market review report that strong institutional buying “turned the tide” on Thursday after the market’s recent overreaction to regional issues.

The report added that Hub Power Company (HUBC), Oil & Gas Development Company (OGDC), Fauji Fertilizer Company (FFC), Engro Corporation (ENGROH), and Meezan Bank Limited (MEBL) collectively contributed 2,197 points to the KSE benchmark’s gain.

Topline Securities said 723 million shares were traded on Thursday, with K-Electric Limited (KEL) stealing the spotlight as more than 1.17 billion shares changed hands.

Pakistani investors are closely monitoring developments in the Gulf, particularly around energy routes and further retaliatory actions, as the conflict’s trajectory remains uncertain.