ISLAMABAD: Pakistan’s Federal Investigation Agency (FIA) on Monday arrested the main suspect behind a 2023 boat capsize off Greece, which claimed lives of over 250 Pakistanis, the agency said.
Hundreds of migrants, including 262 Pakistanis, drowned, when an overcrowded vessel traveling from Libya capsized and sank in international waters off the southwestern Greek coastal town of Pylos in June 2023. This disaster became one of the deadliest boat tragedies ever recorded in the Mediterranean Sea.
It highlighted the perilous journeys many migrants undertake, often driven by economic hardship, as young individuals seek better financial opportunities by attempting dangerous crossings to Europe, prompting the Pakistani government to order “intensified” measures against human traffickers.
The FIA said the suspect, Mohammad Iqbal, who had been living in Libya since 2013, was arrested by FIA immigration officials upon arrival at the Lahore airport.
“The suspect was running a human trafficking network from Libya,” the FIA said in a statement. “The suspect illegally sent several Pakistani citizens to Europe from Libya via boats.”
The FIA said it had traced illegal transactions amounting to Rs80 million ($287,356) from Iqbal’s bank account, adding that he was booked in multiple cases registered with the FIA Lahore zone.
FIA Lahore Director Sarfraz Virk said a crackdown on human trafficking networks was ongoing, vowing to bring human traffickers to justice.
“Strict punishment will be meted out to human traffickers responsible for boat incidents,” he was quoted as saying by the FIA. “FIA teams are in constant contact with the affected families.”
Last month, the FIA issued red notices for 20 foreign-based human traffickers involved in the 2023 Greek boat tragedy. A red notice is a request from a member country of the International Criminal Police Organization (INTERPOL) to other member states to locate and arrest a person to extradite them to face criminal charges.
Several Pakistanis, in a bid to escape economic hardships at home, often undertake these illegal and dangerous journeys to enter Europe.
Last year, five Pakistani nationals died in a shipwreck off the southern Greek island of Gavdos on Dec. 14. More recently, a boat capsized near Morocco’s coast on Jan. 15 while carrying 86 migrants, including 66 Pakistanis, according to migrant rights group Walking Borders. Pakistan’s Foreign Office has confirmed 22 survivors of the incident.
Pakistan arrests main suspect behind 2023 Greek boat tragedy that killed over 250 nationals
https://arab.news/mv9k2
Pakistan arrests main suspect behind 2023 Greek boat tragedy that killed over 250 nationals
- Around 262 Pakistanis drowned when overcrowded vessel sank off Greece coastal town of Pylos
- Illegal transactions amounting to $287,356 have been traced in Mohammad Iqbal’s bank account
IMF warns against policy slippage amid weak recovery as it clears $1.2 billion for Pakistan
- Pakistan rebuilt reserves, cut its deficit and slowed inflation sharply over the past one year
- Fund says climate shocks, energy debt, stalled reforms threaten stability despite recent gains
ISLAMABAD: Pakistan’s economic recovery remains fragile despite a year of painful stabilization measures that helped pull the country back from the brink of default, the International Monetary Fund (IMF) warned on Thursday, after it approved a fresh $1.2 billion disbursement under its ongoing loan program.
The approval covers the second review of Pakistan’s Extended Fund Facility (EFF) and the first review of its climate-focused Resilience and Sustainability Facility (RSF), bringing total disbursements since last year to about $3.3 billion.
Pakistan entered the IMF program in September 2024 after years of weak revenues, soaring fiscal deficits, import controls, currency depletion and repeated climate shocks left the economy close to external default. A smaller stopgap arrangement earlier that year helped avert immediate default, but the current 37-month program was designed to restore macroeconomic stability through strict monetary tightening, currency adjustments, subsidy rationalization and aggressive revenue measures.
The IMF’s new review shows that Pakistan has delivered significant gains since then. Growth recovered to 3 percent last year after shrinking the year before. Inflation fell from over 23 percent to low single digits before rising again after this year’s floods. The current account posted its first surplus in 14 years, helped by stronger remittances and a sharp reduction in imports. And the government delivered a primary budget surplus of 1.3 percent of GDP, a key program requirement. Foreign exchange reserves, which had dropped dangerously low in 2023, rose from US$9.4 billion to US$14.5 billion by June.
“Pakistan’s reform implementation under the EFF arrangement has helped preserve macroeconomic stability in the face of several recent shocks,” IMF Deputy Managing Director Nigel Clarke said in a statement after the Board meeting.
But he warned that Islamabad must “maintain prudent policies” and accelerate reforms needed for private-sector-led and sustainable growth.
The Fund noted that the 2025 monsoon floods, affecting nearly seven million people, damaging housing, livestock and key crops, and displacing more than four million, have set back the recovery. The IMF now expects GDP growth in FY26 to be slightly lower and forecasts inflation to rise to 8–10 percent in the coming months as food prices adjust.
The review warns Pakistan against relaxing monetary or fiscal discipline prematurely. It urges the State Bank to keep policy “appropriately tight,” allow exchange-rate flexibility and improve communication. Islamabad must also continue raising revenues, broadening the tax base and protecting social spending, the Fund said.
Despite the progress, Pakistan’s structural weaknesses remain severe.
Power-sector circular debt stands at about $5.7 billion, and gas-sector arrears have climbed to $11.3 billion despite tariff adjustments. Reform of state-owned enterprises has slowed, including delays in privatizing loss-making electricity distributors and Pakistan International Airlines. Key governance and anti-corruption reforms have also been pushed back.
The IMF welcomed Pakistan’s expansion of its flagship Benazir Income Support Program, which raises cash transfers for low-income families and expands coverage, saying social protection is essential as climate shocks intensify. But it warned that high public debt, about 72 percent of GDP, thin external buffers and climate exposure leave the country vulnerable if reform momentum weakens.
The Fund said Pakistan’s challenge now is to convert short-term stabilization into sustained recovery after years of economic volatility, with its ability to maintain discipline, rather than the size of external financing alone, determining the durability of its gains.
