Pakistan warns India against using Iran’s Chabahar Port to promote militancy in Balochistan

Warships sail in the Sea of Oman during the third day of joint Iran, Russia and China naval war games in Chabahar port, at the Sea of Oman, Iran, December 29, 2019. (Reuters/File)
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Updated 31 October 2025
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Pakistan warns India against using Iran’s Chabahar Port to promote militancy in Balochistan

  • United States this week granted India a six-month waiver to operate port facilities in southern Iran
  • Pakistan says it welcomes steps that support Iran’s economy, warns India against any ‘misadventure’

ISLAMABAD: Pakistan warned India on Friday against using a six-month sanctions waiver granted by the United States to operate Iran’s Chabahar Port — a key trade route to Afghanistan that bypasses Pakistan — to promote cross-border militancy in the restive, southwestern Balochistan province.

India signed a 10-year contract with Iran last year to develop and operate the port and this month stepped up its engagement with Taliban-ruled Afghanistan by reopening its embassy in Kabul, which was closed after the Afghan group seized power in 2021. The port on Iran’s southeastern Gulf of Oman coast was initially planned with a rail link to Afghanistan to help build the landlocked country’s economy through trade and reduce Kabul’s dependence on Pakistani ports.

The waiver was announced by Indian authorities after Washington said it was seeking to reach a broader trade deal with New Delhi following earlier tariff disputes under the administration of President Donald Trump.

Addressing his weekly news conference, foreign office spokesman Tahir Andrabi said Pakistan had taken note of the development.

“First of all, let me make one point clear. We welcome any decision that leads to the economic development and improvement of trade and business prospects in our brotherly country of Iran,” he said, adding that it was Washington’s sovereign decision to grant the waiver as the country that had originally imposed sanctions.

“We would warn India to not use or abuse this opening to promote terrorism, subversion, particularly the terrorism and subversion of Fitnah Al-Hindustan, into Pakistan through the adjacent borders,” he continued, referring to separatist groups such as the Baloch Liberation Army (BLA). “India has promoted cross-border terrorism from this area into Pakistan in the past. It must desist in doing so in the future.”

Balochistan, Pakistan’s largest but poorest province, has long been plagued by an insurgency that has intensified in recent months, with separatist militants increasingly targeting security personnel, government officials, infrastructure, and non-local residents.

The province is strategically significant for its vast mineral wealth and as a transit hub for the multibillion-dollar China-Pakistan Economic Corridor (CPEC).

Islamabad accuses India of backing anti-Pakistan militant factions operating from the region, a charge New Delhi denies.
Andrabi said Pakistan had taken notice of an ongoing military exercise by Indian forces near the border, adding that Pakistan’s military was keeping a close watch.

“Any misadventure by India will be tackled with a quid pro quo-plus response,” he warned. “We have assured it before and we can assure it again.”

The two South Asian nuclear-armed neighbors fought a brief but intense war earlier this year in May, involving missile, drone, and artillery exchanges, before a ceasefire was announced by US President Donald Trump on May 10.

With input from Reuters


Pakistan, global crypto exchange discuss modernizing digital payments, creating job prospects 

Updated 05 December 2025
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Pakistan, global crypto exchange discuss modernizing digital payments, creating job prospects 

  • Pakistani officials, Binance team discuss coordination between Islamabad, local banks and global exchanges
  • Pakistan has attempted to tap into growing crypto market to curb illicit transactions, improve oversight

ISLAMABAD: Pakistan’s finance officials and the team of a global cryptocurrency exchange on Friday held discussions aimed at modernizing the country’s digital payments system and building local talent pipelines to meet rising demand for blockchain and Web3 skills, the finance ministry said.

The development took place during a high-level meeting between Finance Minister Muhammad Aurangzeb, Pakistan Virtual Assets Regulatory Authority (PVARA) Chairman Bilal bin Saqib, domestic bank presidents and a Binance team led by Global CEO Richard Teng. The meeting was held to advance work on Pakistan’s National Digital Asset Framework, a regulatory setup to govern Pakistan’s digital assets.

Pakistan has been moving to regulate its fast-growing crypto and digital assets market by bringing virtual asset service providers (VASPs) under a formal licensing regime. Officials say the push is aimed at curbing illicit transactions, improving oversight, and encouraging innovation in blockchain-based financial services.

“Participants reviewed opportunities to modernize Pakistan’s digital payments landscape, noting that blockchain-based systems could significantly reduce costs from the country’s $38 billion annual remittance flows,” the finance ministry said in a statement. 

“Discussions also emphasized building local talent pipelines to meet rising global demand for blockchain and Web3 skills, creating high-value employment prospects for Pakistani youth.”

Blockchain is a type of digital database that is shared, transparent and tamper-resistant. Instead of being stored on one computer, the data is kept on a distributed network of computers, making it very hard to alter or hack.

Web3 refers to the next generation of the Internet built using blockchain, focusing on giving users more control over their data, identity and digital assets rather than big tech companies controlling it.

Participants of the meeting also discussed sovereign debt tokenization, which is the process of converting a country’s debt such as government bonds, into digital tokens on a blockchain, the ministry said. 

Aurangzeb called for close coordination between the government, domestic banks and global exchanges to modernize Pakistan’s payment landscape.

Participants of the meeting also discussed considering a “time-bound amnesty” to encourage users to move assets onto regulated platforms, stressing the need for stronger verifications and a risk-mitigation system.

Pakistan has attempted in recent months to tap into the country’s growing crypto market, crack down on money laundering and terror financing, and promote responsible innovation — a move analysts say could bring an estimated $25 billion in virtual assets into the tax net.

In September, Islamabad invited international crypto exchanges and other VASPs to apply for licenses to operate in the country, a step aimed at formalizing and regulating its fast-growing digital market.