Pakistan car sales surge by 61 percent YoY due to lower interest rates, newer variants— report 

This photograph taken on November 11, 2024 shows a security guard (R) standing beside a Toyota Hilux pick-up truck at a car showroom yard in Karachi. (AFP/File)
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Updated 12 February 2025
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Pakistan car sales surge by 61 percent YoY due to lower interest rates, newer variants— report 

  • Pakistan’s central bank has slashed interest rates from all-time high of 22 percent in June 2024 to 12 percent 
  • Two and three-wheelers’ sales increased by 33 percent year-on-year and 18 percent month-on-month, says brokerage house

ISLAMABAD: Pakistan’s car sales surged by 61 percent year-on-year (YoY) in January due to lower interest rates, increased customer confidence and newer variants entering the market, a top brokerage house said in its report this week. 

Pakistan car sales were clocked in at 17,010 units in January 2025, reflecting a 61 percent YoY surge and a 73 percent month-on-month (MoM) increase, Topline Securities said in its report on Tuesday. 

Pakistan’s central bank last month announced cutting its key interest rate by 100 basis points to 12 percent. The State Bank of Pakistan (SBP) has slashed rates from an all-time high of 22 percent in June 2024 in one of the most aggressive moves among central banks of emerging markets. Lower interest rates charged by the SBP means commercial banks also lower the interest rates they charge on loans, including auto loans. 

“The YoY rise in car sales is driven by lowered interest rates, improved consumer confidence, and the introduction of newer variants and models,” Topline Securities said in its report. 

“MoM increase is primarily due to the low base effect, as December sales are typically low with buyers delaying purchases for new-year registrations, and SAZEW data not being released leading to an uptick in January,” it added. 

For the seven months of the current financial year, 7MFY25, auto sales have surged to 77,686 units, a 55 percent YoY rise from 49,989 units in 7MFY24.

It said all auto companies have seen a rise in YoY and MoM car sales. 

“Two and three-wheelers’ sales increased by 33 percent YoY and 18 percent MoM totaling to 139,161 units (2.5-year high) in January 2025,” the report said. 

It said the tractor industry recorded sales of 2,761 units, marking a 28 percent YoY and 61 percent MoM decrease, while truck and bus sales in Jan 2025 were up 2.57x YoY and 3.22x MoM, reaching 621 units after 3 years (last recorded in January 2022).

 “Auto sales have seen a boost and this is expected to continue as auto financing recovers amidst interest rates fall and new variants enter the market,” the report concluded. 


‘No evidence’ of Pakistan supplying weapons to Ukraine — Russian envoy

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‘No evidence’ of Pakistan supplying weapons to Ukraine — Russian envoy

  • Russian Ambassador Albert P. Khorev praises Islamabad for maintaining a ‘neutral position’ in the Russia-Ukraine conflict
  • Russia will ‘consider’ mediating between Pakistan, India under its ‘Eurasian security concept’ if both nations agree, he adds

ISLAMABAD: Russia’s Ambassador to Pakistan Albert P. Khorev on Tuesday dismissed reports about Islamabad supplying weapons to Ukraine in the war against Russia, saying that “no evidence” had been found in this regard so far.
Pakistan’s former prime minister Imran Khan’s was visiting Russian in Feb. 2022, when Moscow launched a full-scale invasion of Ukraine following its annexation of Crimea in 2014.
During the war, reports emerged in the British, United States and Indian media that suggested that Pakistan had sold arms worth millions of dollars to Ukraine in the war against Russia.
“We heard of such reports, such information, but we still haven’t got any evidence so far,” Ambassador Khorev told Arab News in an exclusive interview. “No evidence as of now. So, at this stage, I would prefer to not comment until we have any.”
The ambassador praised Islamabad for maintaining neutrality in the Russia-Ukraine conflict despite “pressure from the Western camp.”
“We are grateful for the Pakistani government for its neutral position in this conflict around Ukraine despite the pressure from the Western camp, previous US administration and European leaders,” he added.
The ongoing Russia-Ukraine war has killed more than 250,000 people, and the US, Russia and Ukraine are currently holding talks in Saudi Arabia to implement a ceasefire that will eventually lead to an end to the conflict.
MEDIATION BETWEEN PAKISTAN AND INDIA
Asked if Russia could mediate between Pakistan and India on outstanding issues, Khorev said Moscow would “consider” the idea if the nuclear-armed South Asian neighbors deemed it appropriate.
Relations between India and Pakistan have been fraught for years with the Muslim-majority Himalayan region of Kashmir being a flashpoint between Pakistan and India since their independence from the British rule in 1947. Both Pakistan and India rule parts of the Himalayan territory, but claim it in full and have fought three wars over the disputed region. Both countries also often accuse each other of fanning militancy.
The idea could be supported by Russian President Vladimir Putin’s new Eurasian security concept, according to the Russian envoy. Eurasia refers to the combined landmass of Europe and Asia including countries like Russia, China, Pakistan India and those in Central Asia, which are of significant geopolitical and strategic importance.
“The Eurasian security concept’s main principle was that Eurasian conflicts should be solved through Eurasian actors which means without influence from abroad, different continents and parts of the world,” Ambassador Khorev said.


Pakistan approves fast-track plan to privatize loss-making national airline

Updated 25 March 2025
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Pakistan approves fast-track plan to privatize loss-making national airline

  • Cash-strapped Pakistan wants to privatize debt-ridden PIA to reform state-owned enterprises
  • Pakistan hopes the restoration of PIA routes to Europe will boost the airline’s appeal to buyers

ISLAMABAD: The government has decided to endorse a plan to fast-track Pakistan International Airlines Corporation’s privatization, state media reported on Tuesday, while reiterating its resolve to offload loss-making public entities from the national exchequer.
Cash-strapped Pakistan is looking to privatize the debt-ridden PIA to raise funds and reform state-owned enterprises as envisaged under a $7 billion International Monetary Fund program secured last year.
The decision to endorse the new privatization plan follows Pakistan’s failed attempt last year to offload a 60 percent stake in the airline, which drew just a single offer that was well below the asking price.
The issue PIA privatization came under discussed at a meeting in Islamabad chaired by Deputy Prime Minister Senator Ishaq Dar.
“Cabinet Committee on Privatization (CCOP) on Tuesday approved a fast-tracked plan for the privatization of Pakistan International Airlines Corporation (PIACL), including the divestment of 51-100 percent share capital together with management control,” the Associated Press of Pakistan (APP) news agency reported.
“The deputy PM emphasized the government’s commitment to PIACL’s privatization to unlock its full potential and reduce financial burden on the national exchequer,” it added.
APP did not provide further details of the revised plan or explain how it would differ from the previous unsuccessful effort.
Earlier this month, the government appointed Muhammad Ali, formerly the special assistant to the prime minister on the power sector, as adviser for privatization.
Last year, PIA got permission to resume operations in Europe after a 2020 ban by the European Union Aviation Safety Agency (EASA), which had raised concerns about the ability of Pakistani authorities and the Civil Aviation Authority to ensure compliance with international aviation standards.
EASA and UK authorities had suspended PIA’s operations in the region after Pakistan launched a probe into pilot licensing irregularities following a 2020 crash that killed 97 people.
Pakistan hopes that the restoration of routes to Europe and anticipated approval for UK operations will boost the airline’s appeal to potential buyers.
 


WWF, global biopharma giant join hands to protect freshwater resources in Pakistan, India

Updated 25 March 2025
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WWF, global biopharma giant join hands to protect freshwater resources in Pakistan, India

  • Freshwater ecosystems have seen an alarming 85 percent decline in wildlife since 1970, WWF says
  • Pakistan’s Indus Basin, in particular, faces threats from pollution, dams and climate change

ISLAMABAD: The World Wide Fund for Nature (WWF) and the GSK global biopharma giant have launched a five-year initiative to conserve and restore freshwater resources in water-stressed regions of Pakistan and India, Pakistani state media reported on Tuesday.
The collaboration, running until 2030, will focus on the Indus River Basin in Pakistan and the Sutlej River Basin in India, key areas for medicine production. The initiative aims to replenish over 300,000 cubic meters of water and benefit more than 100,000 people by implementing nature-based solutions.
Key efforts include restoring freshwater habitats, protecting endangered species like river dolphins and otters, and promoting sustainable water management in local communities and farms, the Associated Press of Pakistan (APP) news agency reported.
“Ensuring sustainable water supply is critical to delivering life-saving medicines,” Regis Simard, president of global supply chain of GSK that operates three manufacturing sites in these regions, was quoted as saying by the APP.
“Partnering with WWF allows us to drive meaningful change in these vulnerable ecosystems.”
Freshwater ecosystems have seen an alarming 85 percent decline in wildlife populations since 1970, according to WWF’s Living Planet Report. The Indus Basin, in particular, faces threats from pollution, dams and climate change.
The partnership aligns with global biodiversity goals, including the Freshwater Challenge that seeks to restore 300,000 kilometers of rivers and 350 million hectares of wetlands by 2030.
“Pakistan faces severe water scarcity and pollution,” said Hammad Naqi Khan, director-general of WWF-Pakistan, highlighting the urgency of water conservation.
“Companies like GSK are leading by example not just reducing water use but actively replenishing resources.”


Rescued dog helps police find owner’s body, wife and brother-in-law held

Updated 25 March 2025
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Rescued dog helps police find owner’s body, wife and brother-in-law held

  • Omar Hayat, an agricultural worker, had rescued a stray dog with broken legs and nursed it back to health
  • Hayat’s body was buried under a heap of cow dung, which was then set on fire to destroy any evidence

KARACHI: A stray dog rescued and nursed back to health by a Pakistani agricultural laborer led police to its owner’s buried body, exposing a murder plot allegedly orchestrated by the victim’s wife and her brother, officials said on Tuesday.
Omar Hayat was killed last month in a village in Tehsil Chichawatni, located in Punjab province. His wife, Shamim, and her brother, Fida Hussain, were arrested and sent into judicial custody on Monday, according to Station House Officer (SHO) Shahzad Ahmed.
“Omar Hayat had found the dog on the roadside months earlier, with both of his legs broken,” Ahmed told Arab News over the phone. “He took it in and treated its legs. After approximately two months, the dog was able to walk again. Since then, the dog stayed with Hayat all the time.”
The SHO said that when Hayat went missing, the dog began searching for him.
“It sensed its owner’s scent and started digging a pile of burnt cow dung with its legs. It continued this for two days until the legs of the body appeared,” he continued, adding that a local resident, Bilal Shah, saw the remains and informed the police.
“We called the crime scene unit and began collecting evidence,” the police official said.
According to him, the victim’s face had been completely burned, making identification difficult. His wife also refused to identify the body and “continuously misled the police,” he added. However, Hayat’s mother recognized the legs, saying they resembled her son’s, and subsequent DNA testing confirmed the body’s identity.
“We arrested Shamim’s brother, Mudasir, a week ago, and Shamim was arrested two days ago,” the police official said. “Yesterday, both were sent to jail on judicial remand.”
During interrogation, both suspects confessed to murdering Hayat and burying his body under a pile of cow dung, which they set on fire in an attempt to destroy evidence and hinder identification.
“Hayat’s wife said that her husband used drugs and had affairs with other women,” Ahmed said. “After catching him with a woman, his wife went to her brother, and they both murdered him.”
Originally from Multan, Hayat worked at a farmhouse in a Chichawatni village, where he lived with Shamim and their four children.
Shamim belongs to Khanewal, and the couple had been married for 15 years.
 


Amid economic push, Pakistan reviews proposals for investment projects with Azerbaijan

Updated 25 March 2025
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Amid economic push, Pakistan reviews proposals for investment projects with Azerbaijan

  • Cash-strapped Pakistan is currently navigating a tricky path to recovery under a $7 billion International Monetary Fund bailout program
  • The South Asian country has been making efforts to generate revenue through increased trade and investment deals with friendly nations

ISLAMABAD: Pakistan’s deputy prime minister, Ishaq Dar, on Tuesday reviewed various proposals for investment projects with Azerbaijan, the Pakistan foreign office said, amid Islamabad’s push for increase trade and investment in the South Asian country.

The development came days after Azerbaijan President Ilham Aliyev wrote a letter to Prime Minister Shehbaz Sharif and called for joint ventures with Pakistan in defense, energy, economy, logistics and transport sectors to expand Baku’s strategic partnership with Islamabad.

It followed a visit by Sharif to Baku, where he announced the two nations would sign deals in April to boost bilateral investments to $2 billion. Multiple agreements for cooperation in the trade, energy, tourism, education and other sectors were signed during Sharif’s visit in Feb.

On Tuesday, DPM Dar presided over an inter-ministerial meeting on possible investment projects with Azerbaijan and reviewed various proposals in this regard, according to the Pakistani foreign office.

“DPM/FM directed to accelerate the implementation of decisions to boost economic growth and development through viable investment projects,” it said in a statement. “He reaffirmed that strengthening Pakistan-Azerbaijan ties remains a priority as both countries collaborate across various sectors.”

Cash-strapped Pakistan is currently navigating a tricky path to recovery under a $7 billion International Monetary Fund (IMF) program. The South Asian country has been making efforts to generate revenue through increased trade and investment deals with friendly nations and regional and international allies, focusing on export-led growth.

In September last year, Azerbaijan bought JF-17 Block III fighter jets from Pakistan, reportedly in a $1.6bn deal.

During President Aliyev’s visit to Pakistan last year, a joint committee was set up to materialize projects in trade, commerce, information technology, tourism, telecommunication, mineral resources and other sectors. Sharif said at the time the current trade volume of $100 million did not reflect the “true” trade potential between the two countries.