ISLAMABAD: Prime Minister Shehbaz Sharif on Tuesday told United Nations (UN) Secretary-General Antonio Guterres that Pakistan shall defend its sovereignty and territorial integrity with full force as Indian PM Modi gave the country’s military “operational freedom” to respond to last week’s attack in Kashmir, amid soaring tensions between the two nuclear-armed neighbors.
Modi on Tuesday held a closed-door meeting with army and security chiefs a week after the deadliest attack in years that killed 26 civilians, and told the armed forces that they had the “complete operational freedom to decide on the mode, targets and timing of our response to the terror attack,” AFP reported, citing a government source.
Relations between the nuclear-armed neighbors have plummeted after India accused Pakistan of backing the attack on April 22. Islamabad has rejected the charge and both countries have since exchanged gunfire in Kashmir, taken diplomatic measures against each other, expelled citizens and ordered the border shut. Modi last week vowed to pursue those who carried out the attack in Pahalgam and those who had supported it.
Amid heightened tensions, UN chief Guterres called PM Sharif and Indian Foreign Minister Subrahmanyam Jaishankar on Tuesday and underscored “the need to avoid a confrontation that could result in tragic consequences,” his spokesman Stephane Dujarric said in a statement. Gutterres offered his good offices to support the de-escalation efforts.
“While underscoring that Pakistan shall defend its sovereignty and territorial integrity with full force in case of any misadventure by India, the prime minister encouraged the UN Secretary-General to counsel India to act responsibly and exercise restraint,” Sharif’s office said.
“The prime minister categorically rejected any attempt to link Pakistan with the Pahalgam incident and reiterated his call for a transparent and neutral investigation into the incident.”
India on April 23 suspended the World Bank-mediated Indus Waters Treaty of 1960 that ensures water for 80 percent of Pakistani farms, saying it would last until “Pakistan credibly and irrevocably abjures its support for cross-border terrorism.” Islamabad described India’s move as an “act of war” and closed the Pakistani airspace for Indian airlines.
Guterres’ call came amid fears that India may conduct limited airstrikes or special forces raids near its border with Pakistan.
In his conversation with the UN chief, Sharif reaffirmed Pakistan’s commitment toward fostering international peace and security as a responsible member of the international community and a non-permanent member of the UN Security Council.
“He particularly highlighted India’s weaponization of the waters of the Indus Basin as unacceptable, while noting that water was the lifeline of 240 million people,” Sharif’s office said.
Also on Tuesday, Pakistani Deputy PM Ishaq Dar claimed India had been attempting to alter the 1960 Indus Water Treaty, which determines the river water-sharing mechanism between both countries, for the past two years.
“I have my doubt, much like other people, that this drama was staged to suspend this treaty,” he said, referring to the Pahalgam attack.
“We obviously don’t have evidence that they have staged this drama,” he continued. “What we do say with full confidence is that Pakistan has nothing to do with this [attack].”
Tensions have been boiling between the two nations since the attack in Kashmir, which has been divided between India and Pakistan since their independence from British rule in 1947. Both countries have fought two wars over the disputed region they rule in part but claim in full.
The worst attack in recent years in Indian-administered Kashmir took place in Pulwama in 2019, when an insurgent rammed a car packed with explosives into a security forces convoy, killing 40 and wounding 35.
Indian fighter jets carried out air strikes on Pakistani territory 12 days later. The strikes were followed by the downing of an Indian fighter jet by Pakistan and the capturing of an Indian Air Force (IAF), who was released as a result of diplomatic efforts later.
The UN has urged the arch-rivals to talk, while China, which shares its border with both India and Pakistan, on Tuesday repeated its call on both sides to “exercise restraint.” Saudi Arabia has said Riyadh was trying to “prevent an escalation,” while Iran has offered to mediate the crisis.
Pakistan says will defend itself as Modi gives Indian army ‘operational freedom’ over Kashmir
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Pakistan says will defend itself as Modi gives Indian army ‘operational freedom’ over Kashmir
- Relations between the nuclear-armed neighbors have plummeted after India accused Pakistan of backing an attack in Kashmir that killed 26 tourists
- PM Shehbaz Sharif rejects Indian allegations and calls for a neutral investigation in conversation with UN Secretary-General Antonio Guterres
Pakistan says open to dialogue with India, with Saudi Arabia, UAE among neutral venue options
- Pakistan’s deputy prime minister says dialogue with India has to take place and will cover all outstanding issues
- Ishaq Dar says ceasefire is holding between the two states, with troops moving back to pre-standoff positions
ISLAMABAD: Pakistan’s Deputy Prime Minister Ishaq Dar said on Thursday composite talks with India would be held at a neutral venue, such as Saudi Arabia, the United Arab Emirates (UAE) or any other mutually acceptable country, once New Delhi was ready for dialogue.
His statement followed a US-brokered ceasefire announced by President Donald Trump on May 10 to halt missile, drone and artillery exchanges between the two nuclear-armed neighbors in the wake of a deadly gun attack in Indian-administered Kashmir last month that killed 26 tourists. New Delhi blamed Pakistan for the assault, though Islamabad denied involvement.
US Secretary of State Marco Rubio subsequently mentioned after the ceasefire the two South Asian rivals had agreed to address a broad range of issues in a meeting at a neutral venue. However, the Indian authorities maintained any dialogue with Pakistan would be limited to the issue of “terrorism” and have not shown any interest so far in the said diplomatic engagement.
“The venue of the talks will be the place acceptable to both,” Dar said during a media briefing in Islamabad. “There are many candidates for it. It can be Saudi Arabia, the United Arab Emirates or any other country.”
Dar maintained talks had to be held between the two countries, adding Pakistan was ready to engage whenever India was prepared.
“We are not in a hurry and will initiate dialogue when India will be ready,” he continued. “The venue will also be decided at that time.”
The deputy prime minister said the dialogue would cover all issues between the two countries.
“It will be a composite dialogue including everything,” he informed. “Terrorism will be part of it as we are ready to talk on this with all countries because we also want to eliminate the menace of terrorism as we are the biggest victim of it.”
Dar said the ceasefire was holding, though he expressed concern over “irresponsible statements” from Indian officials.
“I think the political compulsion is coming in front of them [the Indian leaders],” he said, adding the ceasefire was maintained by the armed forces of the two countries, with the director generals of military operations on both sides in regular communication with each other.
He also informed both countries were gradually restoring their forces to the pre-standoff positions.
“It won’t take months, it will be completed within the next few days,” he added.
Dar also spoke about his recent visit to China, where he attended a trilateral dialogue with China and Afghanistan, saying both countries had agreed to strengthen their diplomatic relations.
Since the Taliban takeover of Kabul, Pakistan-Afghanistan relations have remained strained, marked by border tensions, security concerns and a lack of trust.
Diplomatic engagement between Kabul and Islamabad have also remained limited, with both countries maintaining ties at the chargé d’affaires level rather than through full ambassadors.
“On the request of China, both countries agreed to enhance our diplomatic relations, though it will take time to complete procedures,” he added.
The deputy prime minister reiterated Pakistan and China had agreed to extend their joint multibillion-dollar corridor project to Afghanistan, including the construction of a road from Peshawar to Kabul to improve connectivity.
Pakistan FY26 budget to continue fiscal consolidation, focus on IMF guidelines — analysis
- Islamabad is currently holding budget talks with the IMF, likely to conclude this week
- Government has committed to fiscal consolidation in FY26 budget to ensure debt sustainability
KARACHI: Pakistan will continue fiscal consolidation, focus on IMF guidelines and bring untaxed and low tax areas into the tax net as it announces its federal budget for fiscal year 2025-26 next month, a top Pakistani brokerage house said in a budget review
Islamabad is currently holding budget talks with the IMF, which earlier this month approved a loan program review for Pakistan, unlocking a $1 billion payment which the State Bank of Pakistan said had been received. A fresh $1.4 billion loan was also approved under the IMF’s climate resilience fund.
“We expect this budget to continue fiscal consolidation, focus on IMF guidelines and bring untaxed/low tax areas in tax net,” Topline Securities said in a budget review.
The brokerage house said the government had committed with the IMF to continue with fiscal consolidation in the FY26 budget to ensure debt sustainability.
“The government targets primary surplus of 1.6% of GDP (vs. 2.0-2.1% of GDP in FY25), a surplus for the third consecutive year after two decades. The government has also committed to use any windfall dividend expected from the central bank over and above 1% of GDP to retire debt,” the review said.
The analysis predicted the Federal Board of Revenue’s FY26 tax revenue growth target could be the lowest in six years.
“FBR revenue target is expected at Rs14.1-14.3 trillion, up 16-18% YoY, which will be the lowest percent growth in the last 6 years,” it said.
The FBR has achieved a five-year revenue Compound Annual Growth Rate of 25% from FY21-25.
“We believe, out of this required 16-18% growth, approximately 12% would be achieved through autonomous growth driven by real GDP growth of 3.6% and inflation of 7.7%. The remaining 4-5% growth translates into additional tax measures of Rs500-600 billion,” the analysis estimated.
Revenue measures expected include a change in the GST calculation price of sugar, the likely introduction of taxes on pension, retailers and wholesalers and a likely increase in federal excise duty on cigarettes, fertilizer products and pesticides by 500bps. A tax on the income of freelancers, vloggers and YouTubers is also expected.
“Government is expected to announce some relief measures namely (1) extension in exemption limit on salary or reduction of tax rate by 2.5% for all salary brackets, (2) rationalization of duties on trade, (3) likely housing finance subsidy, (4) inflation adjustment in minimum salary and unconditional cash transfer, and (5) some rationalization in super tax,” the analysis said.
It said the government would reportedly set a GDP growth target of 3.5-4.5% “while we expect GDP growth target for FY26 at 3.5-4.0% led by services.”
The analysis predicted the budget was likely to be neutral for the stock market in the short-term, neutral to positive for cement, steel, oil and gas, consumers, and independent power producers, and neutral for oil marketing firms, IT, banks, pharma, autos and textile.
Pakistan’s 37-month $7 billion IMF loan program, approved on Sept. 25, 2024, aims to build resilience and enable sustainable growth. Key priorities include entrenching macroeconomic sustainability through implementation of sound macro policies, including rebuilding international reserve buffers and broadening of the tax base; advancing reforms to strengthen competition and raise productivity and competitiveness; reforming state-owned enterprises and improving public service provision and energy sector viability; and building climate resilience.
Highlighting progress in Pakistani policies to stabilize the economy, the IMF said earlier this month when it approved the latest tranche that Pakistan’s fiscal performance had been strong, with a primary surplus of 2.0% of GDP achieved in the first half of FY25, keeping Pakistan on track to meet the end-FY25 target of 2.1% of GDP.
“Inflation fell to a historic low of 0.3% in April, and progress on disinflation and steadier domestic and external conditions, have allowed the State Bank of Pakistan to cut the policy rate by a total of 1100 bps since June 2025,” the IMF added.
“Gross reserves stood at $10.3 billion at end-April, up from $9.4 billion in August 2024, and are projected to reach $13.9 billion by end-June 2025 and continue to be rebuilt over the medium term.”
Pakistan’s second biggest city Lahore sizzles amid scorching heatwave
- Met Office warns of heatwave from May 20-24, temperatures to be 4-6 degrees above average in three main provinces
- In June 2024, almost 700 people died in heatwave in less than a week, 2015 heatwave claimed over 2,000 lives in Karachi alone
LAHORE: Pakistan’s second biggest city, Lahore, sizzled under scorching heat this week as residents tried to stay hydrated in temperatures of 43 degrees Celsius (109 Fahrenheit).
The Pakistani Meteorological Office on Monday issued a heatwave alert saying temperatures would be four to six degrees above average in the Sindh, Punjab and Balochistan provinces from May 20-24.
The Met Office also advised people to avoid prolonged exposure to direct sunlight and stay hydrated.
“The heat is so intense in Lahore at the moment that it is difficult to go out. People should take caution, wear caps soaked in water, and they should drink plenty of water,” resident Wasif Khan said.
“They should use sunglasses. There are juice stalls at different places, they can consume that. Anyway, they should protect themselves from heat.”
Pakistan experiences a long and hot summer season.
“The work cannot stop. We have to carry out our work in any circumstances,” resident Mohammad Shehzad said as he poured a bottle of cold water on his head.
“I am drinking juices and trying to remain under shade to protect myself from the heat. You know, the work goes on whether it is intense heat or it is very cold.”
The current heatwave comes amid increasingly erratic climate patterns across South Asia, with cities in Pakistan experiencing more frequent and intense heat waves in recent years, a trend climate experts link to global warming and climate change.
A 2015 heatwave claimed over 2,000 lives in Karachi alone while floods in 2022 left more than 1,700 dead and over 33 million displaced nationwide.
In June 2024, almost 700 people died in a heat wave in less than a week, with most deaths recorded in the port city of Karachi and other cities of the southern province of Sindh, according to the Edhi Foundation charity.
PIA announces direct flights from Lahore to Paris from June 18
- PIA is already operating two weekly flights from Islamabad to Paris
- PIA resumed flights to Europe in January after 4.5-year-long ban
KARACHI: Pakistan International Airlines is launching direct flights from Lahore to Paris, with the first flight taking off on June 18, the national carrier said in a statement on Thursday.
PIA resumed flights to Europe in January after a four-and-a-half-year ban was lifted by EU regulators. A flight of the state-owned airline, plagued by a history of deadly crashes and a pilot license scandal, took off from Islamabad for Paris on Jan. 10, becoming the only carrier to offer a direct route to and from the European Union.
“PIA’s first flight from Lahore to Paris will take off on June 18,” the airline said. “A weekly flight from Lahore to Paris will take off directly on Wednesday.”
PIA is already operating two weekly flights from Islamabad to Paris and would “soon” launch flights to other cities in Europe, the airline said.
Debt-ridden PIA was banned in June 2020 from flying to the EU, United Kingdom and the United States, a month after one of its Airbus A-320s plunged into a neighborhood of Karachi, killing nearly 100 people.
The disaster was attributed to human error by the pilots and air traffic control, and was followed by allegations that nearly a third of the licenses for PIA pilots were fake or dubious.
On November 29, the European Union Aviation Safety Agency announced it had lifted the ban on EU flights.
PIA still remains barred from flying in the UK and the United States.
Sifting through the rubble of latest Pakistan-India conflict
- Clearance teams are combing through fields for unexploded shells so residents can safely build back from rubble of their homes
- Unexploded ordnance dating from conflicts past killed several children in 2021 and 2022 in Azad Kashmir
NEELUM VALLEY, Pakistan: Two weeks after Pakistan and India’s most intense military clashes in decades, clearance teams along the border comb through fields for unexploded shells so residents can safely build back from the rubble of their homes.
Around 70 people, mostly Pakistanis, were killed in the four-day conflict that spread beyond divided Kashmir, over which the neighbors have fought three major wars.
The military confrontation — involving intense tit-for-tat drone, missile, aerial combat and artillery exchanges — came to an abrupt end after US President Donald Trump announced a surprise ceasefire, which is still holding.
On the Pakistan side of Kashmir, called Azad Kashmir, 500 buildings were damaged or destroyed, including nearly 50 in the picturesque Neelum Valley, where two people were killed.
“There is a possibility that there are unexploded shells still embedded in the ground,” said local official Muhammad Kamran, who has been helping clear educational institutions near the border.
Unexploded ordnance dating from conflicts past killed several children in 2021 and 2022 in Azad Kashmir.
Headmaster Muhammad Zubair follows a mine detector into a classroom of his high school in the valley where a writing on a whiteboard standing in the debris reads “we are brave” in English.
“Although the fighting has stopped, people still hold so much fear and anxiety,” he told AFP.
“Despite calling them back to school, children are not showing up.”
Abdul Rasheed, a power department official, said he worked “day and night” to repair power lines damaged by Indian firing.
Over the years, investment in roads has helped to create a modest tourism sector in the Neelum Valley, attracting Pakistanis who come to marvel at the Himalayan mountains.
Hotels reopened on Monday, but they remain deserted in the middle of peak season.
Alif Jan, 76, who has lived through multiple clashes between the two sides, is yet to call her grandchildren back to her border village after sending them away during the latest hostilities.
“It was a very difficult time. It was like doomsday had arrived,” she said.
The children were sent to Azad Kashmir’s main city of Muzaffarabad, usually safe but this time targeted with an Indian air strike.
Jan wants to be certain the fighting doesn’t resume and that she has enough to feed them before they eventually return.
In a schoolyard, she collects a 20-kilogram (45-pound) bag of flour, a can of oil, and some medicine from a local NGO.
Thousands of other families are still waiting to be relocated or compensated for damage.
“We have identified 5,000 families,” said Fawad Aslam, the program manager of local aid group.
“Our first priority is families who suffered direct damage, while the second priority is those who were forced to migrate — people who had to leave their homes and are now living in camps or temporary shelters.”
For 25-year-old Numan Butt whose brother was killed by shrapnel, the aid is little consolation.
“This conflict keeps coming upon us; this oppression is ongoing,” he told AFP.
“It is a good thing that they have agreed to peace, but the brother I have lost will never come back.”
