Army chief thanks Saudi Arabia, UAE and China for supporting Pakistan during ‘difficult times’

Pakistan army chief General Asim Munir addresses the passing out parade of cadets of the 147th PMA Long Course at the Pakistan Military Academy in Kakul, Pakistan, on April 29, 2023. (ISPR/File)
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Updated 14 August 2024
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Army chief thanks Saudi Arabia, UAE and China for supporting Pakistan during ‘difficult times’

  • China, Saudi Arabia and UAE have frequently bailed out Pakistan during its macroeconomic crisis over past couple of years
  • Army chief says Pakistan wants peaceful relations with Afghanistan, urges Kabul not to “prioritize” militants over it 

ISLAMABAD: Pakistan’s Army Chief General Syed Asim Munir thanked Saudi Arabia, China, the United Arab Emirates, Turkiye and Qatar for standing by Pakistan during its “difficult times,” the military’s media wing said on Wednesday on the occasion of the country’s 78th Independence Day. 

Pakistan has increasingly relied on regional allies China, Saudi Arabia and the United Arab Emirates as it suffers from a prolonged economic crisis over the past two years. 

International publication Bloomberg reported earlier this month that Islamabad has secured debt rollover commitments from the three countries for a year, paving the way for its $7 billion loan program from the International Monetary Fund (IMF). 

All three countries are important trade and investment allies of Pakistan and have frequently bailed Islamabad out of its macroeconomic crisis that has seen its reserves plummet, and its currency weaken over the past two years. 

“We are grateful to China, Saudi Arabia, the United Arab Emirates, Qatar and Turkiye for supporting Pakistan in its difficult time,” Munir said during his speech at a parade on Independence Day eve at the Pakistan Military Acad­emy in Kakul. 

In a wide-ranging speech, the army chief said Islamabad wanted to establish peaceful relations with neighboring Afghanistan. 

“Our message to them is: Do not give priority to the Fitnah-ul-Khawarij over your long-standing, benevolent and brotherly neighbor,” Munir said, referring to the Pakistani Taliban as the “Fitnah-ul-Khawarij.”

Pakistan’s ties with Afghanistan have remained strained ever since the Taliban seized Kabul in 2021. Islamabad accuses the outlawed Pakistani Taliban of launching attacks on it from sancutaries in Afghanistan, allegations that Kabul denies. 

It has frequently warned Kabul to desist from providing safe havens to the Pakistani Taliban fighters and urged it to take decisive action against the militant group.

Munir also spoke about freedom of speech in the country, saying that whilst the constitution guarantees it, it also defines its limits. 

The army chief’s comments come amid a ban on X in Pakistan since February when a government official held a press conference and made confessions of rigging in the general election. 

The government also has reportedly begun installing a nationwide firewall to regulate Internet usage, control access to social media sites, including Facebook, YouTube, and X, and empower the government to identify IP addresses associated with what it calls “anti-state propaganda.”

The ban has been criticized by digital rights activists and journalists, who see it as an attempt to muzzle freedom of speech and restrict Internet freedoms in the country. 


Pakistan drops 8,000 MW power procurement, claims $17 billion savings amid IMF-driven reforms

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Pakistan drops 8,000 MW power procurement, claims $17 billion savings amid IMF-driven reforms

  • Government says decision taken “on merit” as it seeks to cut losses, circular debt, ease consumer pressure 
  • Power minister says losses fell from $2.1 billion to $1.4 billion, circular debt dropped by $2.8 billion

ISLAMABAD: Pakistan has abandoned plans to procure around 8,000 megawatts of expensive electricity, the power minister said on Sunday, adding that the decision was taken “purely on merit” and would save about $17 billion.

The power sector has long been a major source of Pakistan’s fiscal stress, driven by surplus generation capacity, costly contracts and mounting circular debt. Reforming electricity pricing, reducing losses and limiting new liabilities are central conditions under an ongoing $7 billion IMF program approved in 2024.

Pakistan has historically contracted more power generation than it consumes, forcing the government to make large capacity payments even for unused electricity. These obligations have contributed to rising tariffs, budgetary pressure and repeated IMF bailouts over the past two decades.

“The government has abandoned the procurement of around 8000 megawatts of expensive electricity purely on merit, which will likely to save 17 billion dollars,” Power Minister Sardar Awais Ahmed Khan Leghari said while addressing a news conference in Islamabad, according to state broadcaster Radio Pakistan.

He said the federal government was also absorbing losses incurred by power distribution companies rather than passing them on to consumers.

The minister said the government’s reform drive was already showing results, with losses reduced from Rs586 billion ($2.1 billion) to Rs393 billion ($1.4 billion), while circular debt declined by Rs780 billion ($2.8 billion) last year. Recoveries, he added, had improved by Rs183 billion ($660 million).

Leghari said electricity tariffs had been reduced by 20 percent at the national level over the past two years and expressed confidence that prices would be aligned with international levels within the next 18 months.

Power sector reform has been one of the most politically sensitive elements of Pakistan’s IMF-backed adjustment program, with higher tariffs and tighter enforcement weighing on households and industry. The government says cutting losses, improving recoveries and avoiding costly new capacity are essential to stabilizing public finances and restoring investor confidence.