KARACHI: Pakistan witnessed a substantial increase in foreign investment through the stock market in the last three weeks after international corporations and overseas Pakistanis brought $19.9 million into the country, reflecting improved investor confidence in the wake of the Feb. 8 polls, as confirmed by financial experts on Friday.
After months of uncertainty surrounding the general elections, Pakistan held the polls last month, though their conduct and outcome led to widespread speculations of vote fraud. The split mandate in the electoral contest was followed by political negotiations that led to a power-sharing agreement between Bilawal Bhutto Zardari’s Pakistan Peoples Party and the Pakistan Muslim League (PML-N) of three-time prime minister Nawaz Sharif.
Despite the allegations of rigging and ensuing political protests, the elections brought clarity to Pakistan’s capital market, which was reflected in the bullish sentiments including the rise in foreign equity investment.
Foreign corporations invested around $18.5 million in the equity market, while overseas Pakistanis bought shares worth $1.4 million after Feb. 8. In the last three weeks, the net investment amounted to $19.9 million, according to the National Clearing Company of Pakistan Limited (NCCPL), an institution that provides clearing and settlement services to the Pakistan Stock Exchange (PSX).
“The surge in the foreign portfolio investment reflects the clarity in the market after holding of general elections,” Khurram Schehzad, CEO of Alpha Beta Core, a financial advisory firm, told Arab News.
In February 2024 alone, the foreign investment amounted to $25.7 million as compared to the $8.5 million recorded in the corresponding month last year.
During July to February 2024, net foreign investment stood at about $59.6 million in equity market as compared to $16.3 million recorded during the same period in 2023.
Schehzad said the market would further consolidate after the formation of the next government.
Discussing the development, Ali Nawaz, CEO of Chase Securities, described the rise in foreign investment in the country’s equity market as “promising.”
“This can be attributed to factors like improved economic stability, successful International Monetary Fund loan agreement, and potentially positive policy changes anticipated under the new government,” he told Arab News.
“Once a stable government is formed, clearer economic direction and potential reforms will further incentivize foreign investors, making Pakistan’s stock market even more attractive,” he added.
The country’s equity market has witnessed a strong rebound during the latter half of the previous month, after the vote fraud allegations.
The stock market closed weekend trading session at 65,325 points after easing of political uncertainty. The formation of a coalition government at the center is expected to keep the investor sentiment positive.
“Stocks closed higher amid reports of inflation falling to 23 percent for February 2024 and the National Assembly session held to form the new government,” Ahsan Mehanti, CEO of Arif Habib Corporation, commented.
Mehanti said the American assurance to support Pakistan in its effort to break free from the vicious cycle of debt and international financing also played a key role in keeping the bullish sentiments alive at PSX.
Matthew Miller, spokesperson of the US State Department, noted on Thursday Pakistan’s economic stability was crucial to the long-term strength of its government.
“Pakistan’s new government must immediately prioritize the economic situation because the policies over the next several months will be crucial to maintaining economic stability for Pakistanis,” he said while responding to a question about the political situation of the country.
Foreign investment in Pakistan’s stock market surges to $19.9 million since Feb. 8 polls
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Foreign investment in Pakistan’s stock market surges to $19.9 million since Feb. 8 polls
- Financial experts describe the development as a result of growing investor confidence in the country
- The stock market benchmark closes at 65,325 points after National Assembly held its first two sessions
Pakistan forms joint investigation team to probe ‘malicious social media campaigns’ against state
- The JIT has been constituted under the controversial PECA law, criticized for its potential to suppress dissent
- While the official notification does not name ex-PM Khan’s party, PTI has been blamed for ‘anti-state propaganda’
ISLAMABAD: The government has formed a joint investigation team (JIT) under the Prevention of Electronic Crimes Act (PECA), 2016, to probe individuals accused of spreading chaos in the country through a “malicious social media campaign,” according to an official notification that emerged on Saturday.
The development comes just days after the Pakistan Army’s spokesman, Lt. Gen. Ahmed Sharif Chaudhry, accused “digital terrorists” of making the military’s anti-terrorism efforts controversial on social media platforms in a veiled reference to former prime minister Imran Khan’s Pakistan Tehreek-e-Insaf (PTI) party.
While the official notification does not mention the PTI, the government has also blamed Khan’s party for running “anti-state propaganda.”
“The Federal Government has been pleased to constitute a Joint Investigation Team (JIT) in terms of Section 30 of Prevention of Electronic Crimes Act (PECA), 2016,” the interior ministry notification dated July 26 announced.
PECA law aims to address cybercrimes and regulate electronic communications, covering offenses like unauthorized access to data, cyber terrorism, and the dissemination of false information.
The law is controversial due to concerns over its impact on freedom of speech, the potential for abuse of power by law enforcement and its broad definitions, which critics argue can be used to suppress dissent and target journalists and opposition parties.
The notification said the JIT would “investigate and determine the organized objectives of the accused and their accomplices who have created chaos and disorder in Pakistan through malicious social media campaign.”
It added it would “identify and prosecute the culprits” according to applicable laws.
PTI has frequently complained of a state crackdown since its top leaders and supporters were blamed for carrying out violent protests in different parts of the country in which government buildings were vandalized following Khan’s brief arrest on corruption charges last year in May.
Earlier this month, the party’s senior media manager Ahmed Waqas Janjua and its information secretary Raoof Hassan were arrested by the authorities who accused them of pushing “anti-state narrative” to undermine Pakistan.
The interior ministry notification said the JIT would be headed by Islamabad police chief and include senior officials of Federal Investigation Agency (FIA) that, among other responsibilies, looks into cybercrimes.
Pakistan PM condemns Israel’s siege of Khan Yunis leading to large-scale Palestinian displacement
- Israel ordered the evacuation of the city on Monday, causing international displacement affecting over 150,000 people
- Shehbaz Sharif asks the international community to hold Israel accountable for its ‘war crimes’ and bring it to justice
ISLAMABAD: Prime Minister Shehbaz Sharif on Saturday condemned Israel for besieging the southern Gaza city of Khan Yunis, saying it had uprooted more than 150,000 Palestinians and disrupted food supplies to the area.
The Israeli military ordered the evacuation of parts of the city after announcing on Monday that its military would “forcefully operate” in the area.
The United Nations said a day earlier that the intensified hostilities in Khan Yunis had fueled another wave of internal displacement in Gaza that had affected about 182,000 people.
Israel announced during the week it had recovered the bodies of five captives who had been captured by Hamas on October 7, saying its forces had also killed nearly “100 terrorists.”
“The brutality in Khan Younis has displaced over 150,000 Palestinians,” the prime minister said in a statement released by his office in Islamabad. “The siege of Khan Younis has disrupted the supply of food and other essential items in the area. A humanitarian crisis is unfolding in Palestine.”
The statement said Sharif condemned Israel’s action in Khan Yunis and expressed concern over the situation.
He asked the international community, including the United Nations, to fulfill its responsibilities to end Israel’s military campaign.
“Israeli forces are committing the grave crime of genocide against Palestinians,” he continued. “We reiterate the demand for the implementation of the recent decisions of the International Court of Justice regarding Palestine and the UN resolutions.”
Sharif said his government had sent 1,200 tons of relief goods through six Pakistan Air Force planes and 1,500 tons via three ships to Palestine.
He also highlighted special arrangements made by his country for Palestinian medical students to continue their education in Pakistan.
“The international community should hold Israel accountable for its war crimes and bring it to justice,” he added.
Israel launched its air and ground offensive targeting Gaza last October following a surprise attack by Hamas in which around 1,200 people were killed and more than 250 were taken hostages.
The Palestinian group said its attack was in response to the deteriorating condition of Palestinian people living under occupation.
Israel’s response was widely viewed as disproportionate by the international community in which over 39,000 people, mostly women and children, have died.
Israel was taken to the International Court of Justice (ICJ) by South Africa on the allegation of committing genocide where other nations joined the proceedings as well.
With input from AP
Baloch rights group accuses authorities of arrests, suspending Internet ahead of protest in Gwadar
- Baloch Yakjehti Committee has organized a gathering in Gwadar on Sunday to protest alleged rights abuses in Balochistan
- The Pakistani state denies any wrongdoing in the southwestern province, which has been the site of a low-level insurgency
QUETTA: Baloch Yakjehti Committee (BYC), which advocates for rights of ethnic Baloch people, on Saturday accused Pakistani authorities of suspending Internet and arresting dozens of its members in Pakistan’s southwestern Balochistan province, a day before a protest in the port city of Gwadar.
Led by 31-year-old human rights activist Dr. Mahrang Baloch, the BYC summoned the ‘Baloch Raji Muchi,’ or Baloch National Gathering, in Gwadar this month to rally the masses against alleged human rights abuses and heavy deployment of security forces in the southwestern Pakistani province.
Pakistan’s Balochistan province, which borders Iran and Afghanistan, is the site of a low-level insurgency for the last two decades by separatists, who say they are fighting what they see as unfair exploitation of the province’s wealth by the federation. The Pakistani state denies the allegation.
Through social media platforms, the BYC has been mobilizing and inviting people from across Balochistan for the gathering, which is scheduled to take place on Sunday at the Gwadar Marine Drive, an important thoroughfare in the coastal city.
“The authorities have started blocking highways in Balochistan in a bid to intercept convoys of Baloch people coming to attend Baloch Raji Muchi in Gwadar and police have arrested more than 100 BYC members from various districts of Balochistan,” Baloch told Arab News.
“There has been a complete blackout of Internet in Gwadar and Kech districts since Friday evening and mobile service is likely to be suspended today. We are concerned that the government will intensify crackdown against BYC members as they have already registered four FIRs (first information reports) against our members in the Kalat and Hub districts.”
Shahid Rind, a spokesman for the Balochistan government, denied allegations of a crackdown on the BYC and Internet suspension in Gwadar.
“The Balochistan chief minister has clearly said on the floor of the provincial assembly, the constitution of Pakistan gives people the right to a peaceful gathering, but the government has the right to decide the venue for it,” he told Arab News. “No one will be allowed to hold such gatherings based on their own will.”
Arab News spoke to a number of people in Gwadar and Turbat districts, who said mobile Internet had been suspended in both districts since Friday evening.
Gwadar, situated along the Arabian Sea, lies at the heart of China-Pakistan Economic Corridor (CEPC), under which Beijing has funnelled tens of billions of dollars into massive transport, energy and infrastructure projects in Pakistan.
But the undertaking has been hit by Islamabad struggling to keep up its financial obligations as well as attacks on Chinese targets by militants in Balochistan, Pakistan’s most impoverished province, and elsewhere in the country.
In the provincial capital of Quetta, authorities have blocked all entry and exit points and imposed Section 144 of the Code of Criminal Procedure, a provision that allows the administration to prohibit assembly of four or more people.
Saad bin Asad, the Quetta deputy commissioner, said they had blocked the Luk-Pass tunnel, a key point on the Quetta-Karachi highway, to prevent people from violating Section 144 ahead of Sunday’s gathering. “At least 140 people have been arrested from different sites of Quetta and we would share the details of the detained people,” he told Arab News.
The administration’s move came after the Balochistan government described the Baloch National Gathering in Gwadar as a “conspiracy” against the second phase of CPEC in Pakistan that has witnessed a “hiatus” following the killing of five Chinese engineers in a suicide attack in Pakistan’s northwestern Khyber Pakhtunkhwa province in March.
On Friday, Balochistan Chief Minister Sarfaraz Bugti questioned the protesters’ choice of Gwadar as the venue of the rally amid Pakistan’s security assurances to the Chinese.
“Why Gwadar and why not Quetta,” Bugti questioned, during a provincial assembly session. “They planned to hold this gathering in Gwadar where we have frequent international movements and we have invited Chinese officials for the inauguration of Gwadar International Airport next month.”
Bugti informed the lawmakers that there were intelligence reports about “serious threats” of attacks on the gathering in Gwadar by a Baloch separatist group, the Balochistan Liberation Army (BLA), to malign the government and the state institutions.
“Despite talks with BYC members to shift the venue for this gathering, but if they are adamant, the government will take action against people challenging the writ of the state,” he added.
Sammi Deen Baloch, one of the organizers of Sunday’s gathering, said Gwadar is part of Balochistan and the port city has international significance.
“We have had held many gatherings in Quetta, Turbat and other cities of Balochistan, so why not Gwadar, where local Baloch people are deprived of basic facilities,” she said.
Responding to the government reports of threats to the gathering, Sammi said the state had power and resources, hence the state should protect the people coming to attend a peaceful gathering.
“If the state doesn’t stop Baloch people from coming to Gwadar, we have high expectations that thousands of people would attend this Baloch National Gathering,” she told Arab News.
Police register kidnapping case of Pakistani businessman, owner of local cola company
- Sindh Police refused to lodge case in disappearance of Zulfiqar Ahmed, case filed after court intervention
- Ahmed owns Next Cola which gained traction amid push to boycott beverages purportedly fueling Israel’s war
KARACHI: Police in Pakistan’s southeastern province of Sindh have registered a kidnapping case following judicial intervention after a prominent businessman was taken by armed men from Karachi four days ago, his lawyer said on Saturday.
Zulfiqar Ahmed, the owner of Next Cola, which has positioned itself as a substitute for Coca-Cola since October amid a push to boycott products allegedly fueling Israel’s war on Gaza, was kidnapped on July 23 after he left his office in the city.
Ahmed, who is also the managing director of Paracha Textile Mills and Mezan Group, went missing after his white Toyota Surf vehicle was intercepted by eight armed men who abducted him and one of his friends before allowing the latter to go.
Ahmed’s friend shared the details of the incident, prompting the businessman’s family and company management submit an application at the Kalri police station on the same day. However, the police refused to register a complaint, making them go to the Sindh High Court, which ordered the police to lodge the case on Friday.
“The news [of Ahmed’s abduction] somehow gained traction on social media,” Mian Ali Ashfaq, the counsel representing Ahmed’s family, told Arab News. “After the social media spotlight on the court order and my protest, my team of office associates went to the police station, where, after four hours, the FIR [First Information Report] was finally registered and a copy was provided to us by Friday afternoon.”
People widely shared news of Ahmed’s abduction across social media platforms, asking the authorities to take steps for his release.
Asad Raza, deputy inspector-general (DIG) of police in Karachi’s southern district where the incident occurred, dismissed the allegations of police inaction in the case.
“It is immaterial whether the FIR was registered instantly or after one day’s delay,” he told Arab News. “We started working on the case when the abduction took place.”
Ashfaq, the counsel representing Ahmed’s family, said the high court had issued notices to respondents and fixed the matter for a hearing on Tuesday.
“We hope that Zulfiqar Ahmed will be recovered and reunited with the family before the next hearing,” he added.
Karachi Police Chief Javed Alam Odho said on Friday two “high-powered” teams were investigating the case.
“A high-powered team, under the supervision of the DIG of the CIA [Crime Investigation Agency] and another under the DIG of the area, are working on it,” he told Arab News. “I am confident this case will be resolved soon.”
According to the lawyer representing Ahmed’s family, however, the case was further complicated after Friday’s court ruling since two senior staff members associated with Next Cola were also picked up from Lahore and Kasur a day earlier.
He added that a petition would be filed in the Lahore High Court for their recovery.
“Hassan Nawaz, Deputy General Manager of Finance at Meezan Beverage, was picked up from Lahore, and Danial Afzal Khan, General Manager at Meezan Beverage, was abducted from Kasur by armed men in white double-cabin vehicles,” he said.
Launched in 2016, Next Cola struggled to gain traction until Israel’s war that started last October and killed over 39,000 people, mostly women and children. Since then, it acquired greater visibility in supermarkets and wedding halls in different parts of Pakistan.
Authorities warn of floods, landslides as monsoon currents likely to penetrate parts of Pakistan
- This year, Pakistan recorded its ‘wettest April since 1961,’ with 59.3mm rainfall and 144 deaths in thunderstorms, house collapses
- A top UN official last month warned that an estimated 200,000 people in Pakistan could be affected by the upcoming monsoon season
ISLAMABAD: Pakistan’s National Disaster Management Authority (NDMA) on Saturday warned of flash floods and landslides as monsoon currents were likely to penetrate upper parts of the country over the next five days.
The monsoon currents from Arabian Sea may cause heavy rains from July 27 till July 31. Under the influence of this system, rainfall could trigger landslides, mudslides and cause boulders to fall, potentially disrupting roads, according to the NDMA.
The areas that are likely to be affected include upper parts of the Khyber Pakhtunkhwa province, Galiyat, Murree, Gilgit-Baltistan and Azad Kashmir. The rainfall can trigger hill torrents in Sulaiman and Kirthar mountain ranges as well as in DG Khan and Rajanpur regions.
“Flash floods can strike suddenly, catching people off guard,” the NDMA said in a statement. “Population at risk is advised to avoid flood waters and find a safe location away from flood-prone areas.”
The authority said it had issued instructions to all relevant departments to take necessary precautions to mitigate the possible effects of flooding and extreme weather.
“Even a mere six inches of moving water can knock you off your feet, and just one foot of moving water can sweep away a vehicle,” the NDMA noted in its advisory for the masses.
“Bridges can be hazardous during floods. Avoid crossing them if water is flowing rapidly. Avoid staying in weak structures. In case of intense rain, seek shelter in safe places such as schools, government buildings, or any concrete buildings.”
Pakistan is recognized as one of the most vulnerable countries to climate change effects in the world. This year, the South Asian country recorded its “wettest April since 1961,” with 59.3 millimeters rainfall and at least 144 deaths in thunderstorms and house collapses, mostly in Khyber Pakhtunkhwa, according to the authorities.
Last month, a UN official warned that an estimated 200,000 people in Pakistan could be affected by the upcoming monsoon season, which is expected to bring heavier rains than usual.
The United Nations, with help from local authorities, has prepared a contingency plan, with $40 million set aside to respond to any emergencies, said Mohamed Yahya, the newly appointed Resident Coordinator and Humanitarian Coordinator in Pakistan.
Unusually heavy rains in June 2022 triggered flash floods in many parts of the country, killing over 1,700 people, inflicting losses of around $30 billion, and affecting at least 30 million people.
