Finmin highlights Pakistan’s IT, mineral and agriculture potential for collaboration with US

Federal Minister for Finance and Revenue, Senator Muhammad Aurangzeb, meets US Chargé d’Affaires in Pakistan, Elizabeth Horst (left), at the Finance Division, in Islamabad, Pakistan, on July 28, 2025. (PID)
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Updated 29 July 2025
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Finmin highlights Pakistan’s IT, mineral and agriculture potential for collaboration with US

  • Muhammad Aurangzeb briefs the US chargé d’affaires on Pakistan’s macroeconomic indicators and rating upgrades
  • Both countries have been engaged in talks since the US announced in April 29 percent ‘reciprocal tariff’ on Pakistani exports

KARACHI: Finance Minister Muhammad Aurangzeb on Monday met with US Chargé d’Affaires Elizabeth Horst and discussed with her the potential of Pakistan’s information technology (IT), minerals and agriculture sectors for collaboration with the United States, the Pakistani finance ministry said.

The meeting served as an opportunity to exchange views on matters of mutual interest and to reaffirm the positive trajectory of bilateral relations between Pakistan and the United States.

Aurangzeb appreciated the continued US support for Pakistan’s development and macroeconomic stability achieved over the past year and a half, according to the Pakistani finance ministry.

“Aurangzeb underscored the importance of the US as Pakistan’s largest trading partner and highlighted Pakistan’s keen interest in broadening bilateral cooperation beyond traditional sectors,” his ministry said.

“He specifically pointed to the promising potential in information technology, minerals and agriculture as avenues for mutually beneficial collaboration.”

The US is Pakistan’s top export destination, with shipments totaling $5.44 billion in fiscal year 2023-2024, according to official data. From July 2024 to February 2025, exports rose 10 percent from a year earlier.

Both countries have been engaged in talks after Washington announced a 29 percent “reciprocal tariff” on Pakistani exports in April. Islamabad said the move, may undercut its fragile, export-led recovery.

Recalling his visit to the US this month, Aurangzeb shared insights from his productive meetings with US Secretary of Commerce Howard Lutnick and Trade Representative Ambassador Jamieson Greer in Washington, noting “encouraging progress” in deepening trade and economic ties between the two countries.

He also briefed Horst on Pakistan’s recent macroeconomic indicators, including sovereign rating upgrades and renewed investor confidence, according to the Pakistani finance ministry.

The US chargé d’affaires appreciated the economic progress and the government’s reform-driven approach, emphasizing the US commitment to strengthening economic and trade ties with Pakistan.

“She reiterated US support for continued economic and political stability in Pakistan, and expressed optimism for an enduring and robust business partnership between the two nations,” the Pakistani ministry said.

“The meeting concluded with a mutual commitment to building on the momentum of current engagements to further deepen bilateral cooperation.”


Pakistan accuses India of manipulating Indus waters, warns of risks to regional peace

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Pakistan accuses India of manipulating Indus waters, warns of risks to regional peace

  • India announced in April it was putting the Indus Waters Treaty in abeyance over a gun attack in disputed Kashmir it blamed on Pakistan
  • Islamabad says it has witnessed ‘unusual, abrupt variations’ in the flow of Chenab river, accusing New Delhi of ‘material breaches’ of treaty

ISLAMABAD: Pakistan on Friday accused India of manipulating flows of Indus waters in violation of a 1960 water-sharing treaty, warning that unilateral actions over the transboundary waters could heighten tensions and pose risks to regional peace.

The Indus Waters Treaty (IWT), mediated by the World Bank, divides control of the Indus basin rivers between the two nuclear-armed neighbors. India said in April it was holding the treaty “in abeyance” after a gun attack in Indian-administered Kashmir killed more than 26 tourists. New Delhi blamed the assault on Pakistan, Islamabad denied it.

The treaty grants Pakistan rights to the Indus basin’s western rivers — Indus, Jhelum, and Chenab — for irrigation, drinking, and non-consumptive uses like hydropower, while India controls the eastern rivers — Ravi, Beas, and Sutlej — for unrestricted use but must not significantly alter their flow. India can use the western rivers for limited purposes such as power generation and irrigation, without storing or diverting large volumes, according to the agreement.

Speaking at a televised press briefing, Pakistani Deputy Prime Minister Ishaq Dar accused New Delhi of “material breaches” of the IWT that may have consequences for regional stability, citing “unusual, abrupt variations” in the flow of Chenab river from April 30 to May 21 and from Dec. 7 to Dec. 15.

“These variations in water flows are of extreme concern for Pakistan as they point to unilateral release of water by India into River Chenab. India has released this water without any prior notification or any data- or information-sharing with Pakistan as required under the treaty,” he said.

“India’s most recent action clearly exemplifies the weaponization of water to which Pakistan has been consistently drawing attention of the international community.”

There was no immediate response from New Delhi to the statement.

Dar said this water “manipulation” occurs at a critical time in Pakistan’s agricultural cycle and directly threatens the lives and livelihoods as well as food and economic security of its citizens.

He shared that Indian actions prompted Indus Water Commissioner Mehar Ali Shah to write a letter to his Indian counterpart, seeking clarification on the matter as provided under the Indus Waters Treaty.

“We expect India to respond to the queries raised by Pakistan’s Indus water commissioner, refrain from any unilateral manipulation of river flows, and fulfill all its obligations in letter and spirit under the Indus Waters Treaty provisions,” the Pakistani deputy premier said.

Dar also accused India of consistently trying to undermine the IWT by building various dams, including Kishenganga and Ratle hydropower projects, which he said sets “a very dangerous precedent.”

“Alarmingly, India is now subverting the treaty’s own dispute resolution mechanism by refusing to participate in the Court of Arbitration and neutral expert proceedings. India is pursuing a deliberate strategy to sabotage the well-established arbitration process under the treaty provisions,” he said.

The South Asian neighbors have been arguing over hydroelectric projects on the shared Indus river system for decades, with Pakistan complaining that India’s planned hydropower dams will cut its flows.

In August, the International Court of Arbitration rendered an award on issues of general interpretation of the IWT, explaining the designed criteria for the new run-of-river hydropower projects to be constructed by India on the western rivers of Chenab, Jhelum and Indus, which Islamabad said vindicated its stance.

In its findings, the Court of Arbitration declared that India shall “let flow” the waters of the western rivers for Pakistan’s unrestricted use. In that connection, the specified exceptions for generation of hydro-electric plants must conform strictly to the requirements laid down in the Treaty, rather than to what India might consider an “ideal” or “best practices approach,” according to the Pakistani foreign office.

“Pakistan would like to reiterate that Indus Waters Treaty is a binding legal instrument that has made an invaluable contribution to peace and stability of South Asia,” Dar said.

“Its violation, on the one hand, threatens the inviolability of international treaties and on the other, it poses serious risks to regional peace and security, principles of good neighborhood, and norms that govern inter-state relations.”