Pakistan official vows to address trade challenges arising from Afghan border closures

Prime Minister’s Coordinator on Commerce Rana Ihsaan Afzal chairs a high-level consultative meeting with leaders, traders and community representatives from Chaman District and the Chaman Chamber of Commerce & Industry in Islamabad, Pakistan, on December 17, 2025. (PID) 
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Updated 17 December 2025
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Pakistan official vows to address trade challenges arising from Afghan border closures

  • Pakistan closed key border crossings with Afghanistan in October following fierce clashes
  • Border crossings have led to financial losses, rising unemployment for traders on both sides

KARACHI: Prime Minister’s Coordinator on Commerce Rana Ihsaan Afzal on Wednesday reassured traders in the southwestern Chaman city that Islamabad would address issues arising out of the closure of Pakistan-Afghanistan border crossings since October. 

Pakistan closed its key border crossings with Afghanistan, including the one in Chaman, for trade and movement of people in October after fierce clashes between the two countries. Pakistan and Afghanistan both claimed to have killed scores of each other’s soldiers during the conflict. 

Traders on both sides have urged their governments to reopen the borders, saying that closures have caused financial losses and led to disruptions in perishable goods exports, rising unemployment and hardships for the local community dependent on cross-border trade. 

Afzal chaired a high-level consultative meeting with leaders, traders and community representatives from Chaman District and the Chaman Chamber of Commerce & Industry in Islamabad on Wednesday, the Pakistani commerce ministry said in a statement. 

“The coordinator reaffirmed the government’s commitment to addressing border trade challenges and ensuring that local communities continue to thrive,” the ministry said. 

The statement said Afzal noted the concerns raised by the stakeholders, stressing that resolving the issues of Chaman’s communities is a priority for the government.

Delegates spokes about the socio-econmic impact such as financial losses and rising unemployment due to the suspension of border trade between both sides. 

“The matters discussed will be escalated to relevant national and bilateral forums to seek sustainable solutions, with a focus on establishing predictable, transparent, and efficient border management protocols that balance security with legitimate trade,” the statement said. 

Ties between Islamabad and Kabul have remained strained since the Afghan Taliban seized power in Afghanistan in 2021. Pakistan has since then suffered a surge in militant attacks that it blames on militants based in Afghanistan, a charge Kabul denies. 

Tensions between the two sides have resulted in frequent border closures over the years, hampering trade and commerce. 

Islamabad has repeatedly accused the administration in Kabul of failing to take action against militant outfits such as the Tehreek-e-Taliban Pakistan (TTP) and the separatist Balochistan Liberation Army (BLA), which it alleges carry out attacks targeting Pakistan from Afghan soil. Kabul denies the allegations.

According to figures shared by the Pak-Afghan Joint Chamber of Commerce and Industry (PAJCCI) in October, the annual Pakistan-Afghan trade volume declined from $2.5 billion dollars to $10 million during the last two fiscal years.


Pakistani Muslims shop for Ramadan supplies amid price hike concerns

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Pakistani Muslims shop for Ramadan supplies amid price hike concerns

  • Pakistan endured one of Asia’s highest inflation spikes in 2023, nearly 40 percent, exacerbated by a macroeconomic crisis
  • PM Shehbaz Sharif this week announced $136 million Ramadan Relief Package for deserving people across Pakistan

KARACHI: Pakistanis thronged markets on Friday and Saturday to shop for supplies ahead of the holy month of Ramadan, while keeping a watchful eye on rising food prices.

In cities such as Karachi, many people were seen buying commodities at the main wholesale market of the city. Some, like Islamabad resident Danish Ali, have noted high inflation as the cause of price hike.

“There are about six or seven days left for Ramadan, so the prices have started to increase,” Ali said. “Now, l have bought banana for 200 rupees a dozen, and it is small size.

“A few days ago it was being sold for 100 rupees a dozen. As Ramadan is starting, inflation is increasing. So is with the prices of vegetable.”

Pakistan endured one of Asia’s highest inflation spikes in 2023, nearing 40 percent, driven by a weakening rupee, rising fuel costs and price hikes linked to IMF-backed reforms.

“Look how much sales tax the government has imposed,” Najeebullah, a shopkeeper selling dates, said. 

“I used to pay 100,000 ($357) or 130,000 rupees ($465) for one container. So guess what, the tax has reached 800,000 rupees ($2863) for one container,” he added. 

Although inflation has since slowed to 5.8 percent, analysts warn the changes to power prices could add inflationary pressure.

Prime Minister Shehbaz Sharif on Saturday announced Rs38 billion [$136 million] Ramadan Relief Package which will be disbursed among deserving people across the country, his office said.