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elections 2024
elections 2024

Pakistan faces 39.45% annual inflation surge as general elections approach in under a week

Pakistan faces 39.45% annual inflation surge as general elections approach in under a week
Pakistan People's Party (PPP) flags are hung across a street in Karachi on February 2, 2024, ahead of the general elections. (AFP)
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Updated 02 February 2024
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Pakistan faces 39.45% annual inflation surge as general elections approach in under a week

Pakistan faces 39.45% annual inflation surge as general elections approach in under a week
  • Analysts say high inflation is likely to be a major concern for voters, influencing their choice in national polls
  • The Red Sea situation and recent fuel price hikes are expected to exert pressure on inflation numbers in February
Updated 02 February 2024
KHURSHID AHMED   
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KARACHI: Pakistan’s short-term inflation has spiked by 39.45 percent on an annual basis, largely propelled by surging energy and food prices, with analysts anticipating that inflation will remain a pivotal concern for voters as the general elections loom just days away.
The weekly inflation, measured by the Sensitive Price Indicator (SPI), shows the increase of 39.45 percent year-on-year (YoY), mainly due to the rise in gas charges by 1,108.59 percent, cigarettes by 92.30 percent, tomatoes by 90.40 percent, chili powder by 81.74 percent and wheat flour by 61.97 percent, according to data released by the Pakistan Bureau of Statistics (PBS) on Friday.
However, the trend eased on a week-on-week basis by 0.28 percent, mainly supported by a decline in the prices of tomatoes by 18.28 percent, eggs by 7.77 percent, onions by 6.99 percent and liquid petroleum gas (LPG) by 1.53 percent.
The South Asian nation is gearing up for the national polls on Feb. 8 to elect a new government amid economic and political instability, including historically high inflation that has been hitting the poorest segments of society particularly hard.
The country witnessed an all-time high inflation rate of 38 percent in May last year, which gradually declined to 28.3 percent in January 2024.
“This high inflation is likely to be a major concern for voters, influencing their choices in the upcoming election,” Ali Nawaz, CEO of Chase Securities, told Arab News.
Historically, inflation has led to electoral losses, making it imperative for political parties and contenders to take the issue seriously, he added.
“It’s safe to say that inflation will be a significant factor in the election outcome,” he continued.
Nearly all of Pakistan’s major political parties have addressed inflation to some extent in their manifestos, including the Pakistan Muslim League-Nawaz (PML-N), which is said to be in a strong position to form the next government and has promised to bring it below 10 percent.
Economic pundits and global institutions, including the International Monetary Fund (IMF), have predicted that Pakistan’s inflation will gradually ease in the coming months, potentially offering relief to the public.
Pakistan jacked up fuel prices on Wednesday by Rs13.55 for petrol and Rs2.75 for diesel, while the government is expected to increase gas prices in the coming days.
“The inflation in February may remain high mainly due to petroleum price hike,” Tahir Abbas, head of research at Arif Habib Limited, told Arab News.
He noted that the situation in the Red Sea and a hike in freight charges due to transportation disruptions may also exert pressure on inflation in Pakistan.
However, he said, the impact of the upcoming gas tariff hike would be minimal.

Topics: elections 2024

Pakistan allows Hajj fee payments in installments in new policy

Pakistan allows Hajj fee payments in installments in new policy
Updated 32 min 5 sec ago
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Pakistan allows Hajj fee payments in installments in new policy

Pakistan allows Hajj fee payments in installments in new policy
  • Pakistan will send 179,210 pilgrims under government scheme and through private operators
  • The government will prioritize first-time pilgrims in the official balloting process, minister says
Updated 32 min 5 sec ago
Hasaan Ali Khan

ISLAMABAD: Pakistan’s Religious Affairs Minister Chaudhry Salik Hussain on Monday unveiled the Hajj Policy 2025, announcing an instalment plan for pilgrims to pay Hajj fees.
Hajj is one of five pillars of Islam, annually undertaken by millions of Muslims. Pakistan has one of the largest Hajj quotas provided by Saudi Arabia to any Muslim country amid immense demand for the pilgrimage, with many citizens waiting for years for an opportunity to participate.
Next year’s Hajj under the government scheme is expected to range between Rs1,075,000 to Rs1,175,000, while an additional cost for the sacrifice will be Rs55,000, according to the religious affairs minister.
The first installment of Hajj dues, amounting to Rs200,000, must be deposited along with the Hajj application under the government scheme, while the second installment of Rs400,000 must be deposited within ten days of the balloting. The remaining amount must be deposited by February 10 next year.
“If you submit Rs200,000 at the time of the application and your name comes (in the lucky draw) then you will submit Rs400,000 before the rest of the amount between Feb. 1-10,” Hussain said at a press conference.
The Pakistani government approved the new Hajj policy earlier this month, having a quota of 179,210 pilgrims who would be facilitated under the government scheme and through private tour operators.
Hussain said the move would facilitate people who could not make large payments at once, clarifying that Rs50,000 would be deducted if the first instalment is withdrawn whereas Rs200,000 would be deducted if the third instalment was not submitted.
Preference would be given to those going for the pilgrimage for the first time, according to the minister. As per the new policy, children under the age of 12 will not be allowed to travel for Hajj.
“The traditional long package for the official Hajj scheme will cover 38 to 42 days and the short package will cover 20 to 25 days,” Hussain added.

Topics: Pakistan Saudi Ties hajj Hajj 2025

Woman among three arrested in connection with Karachi blast targeting Chinese nationals

Woman among three arrested in connection with Karachi blast targeting Chinese nationals
Updated 11 November 2024
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Woman among three arrested in connection with Karachi blast targeting Chinese nationals

Woman among three arrested in connection with Karachi blast targeting Chinese nationals
  • Two Chinese nationals were killed and 21 others injured in attack near the Karachi airport on October 6
  • The attack once again raised concerns about the safety of Chinese nationals and investments in Pakistan
Updated 11 November 2024
NAIMAT KHAN

KARACHI: Authorities have arrested a woman among three suspects involved in a deadly suicide bombing in the southern Pakistani city of Karachi that killed two Chinese nationals last month, an official said on Monday.
The bombing, which also injured 21 others, in the provincial capital of Sindh was claimed by the Baloch Liberation Army (BLA), the most prominent of separatist groups mainly operating in the neighboring Balochistan province.
Balochistan, which borders Iran and Afghanistan, is home to major China-led projects such as a strategic port and a gold and copper mine. The separatists accuse the Pakistani government of exploiting the province’s mineral resources, an allegation denied by the Pakistani state.
Speaking to media in Karachi, Sindh Home Minister Zia-ul-Hasan Lanjar said officials had found body parts of the suicide bomber, later identified through fingerprint analysis as Shah Fahad, at the scene. The BLA has also identified Fahad as the attacker.
“A high-level investigation involving law enforcement agencies (LEAs) and intelligence services was launched immediately after the attack, he said, adding forensic teams conducted a thorough examination of the scene, collecting critical evidence,” Lanjar told reporters.
“Last night, during an intelligence-based operation, the mastermind of the suicide bombing, Javed alias Sami or Sameer, and his accomplice Gul Nisa were arrested at RCD Highway near Umar Goth Chowk in Karachi while riding a motorcycle,” he said, adding that
The investigation revealed Javed’s direct involvement in the suicide bombing, while the woman, Nisa, had facilitated the attack, according to the home minister. Another suspect, Bilal, who worked at a bank, had also been apprehended.
China is a major ally and investor in Pakistan that has pledged over $65 billion in investment in road, infrastructure and development projects under the China-Pakistan Economic Corridor (CPEC) project, at the heart of which lies the Gwadar port in Balochistan.
Pakistan has previously said the attack in Karachi was aimed at disrupting its relations with China and destabilizing CPEC.
Authorities discovered that the vehicle used in the bombing was purchased in September 2024 for 7.1 million rupees in cash from a showroom in Karachi, according to Lanjar.
“Since the transaction was made through legal channels, it did not initially raise suspicion,” Lanjar said, adding that the payment was made through a bank account in the name of a man, Saeed Ali, who was facilitated by Bilal.
The vehicle was later registered under Fahad’s name, while Nisa helped bring the car to Karachi and surveillance at the airport was carried out by Javed, who also informed the suicide attacker about the Chinese nationals’ exit from the airport, according to investigators.
Fahad arrived in Karachi along with Nisa on October 4 and stayed at a hotel in Saddar before executing the attack on the night of Oct 6.
“Investigators found that the bomber and his accomplices made preparations at various locations, including the Marriott Hotel, where they recorded a video,” Lanjar said.
“The video was sent to their BLA commander before the bombing took place. At around 9:30 p.m. on October 6, the group circled the airport before positioning the explosives-laden vehicle near the Chinese convoy.”
Lanjar said the attackers used up to 40 kilograms of a chemical substance to detonate the vehicle used in the attack, which has raised concerns about the safety of Chinese nationals and investments in Pakistan as well as the growing threat posed by separatist groups.
Chinese workers have increasingly come under attack in Pakistan in recent years, with notable incidents including a suicide bombing in the northwestern Khyber Pakhtunkhwa province that killed five Chinese engineers in March 2024.
The latest shooting occurred earlier this month, when a Pakistani security guard opened fire at a factory in Karachi, wounding two Chinese employees.

Topics: Pakistan China Ties Karachi blast Chinese nationals

Pakistan PM meets Saudi investment minister, discusses progress on recently signed agreements 

Pakistan PM meets Saudi investment minister, discusses progress on recently signed agreements 
Updated 58 min 51 sec ago
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Pakistan PM meets Saudi investment minister, discusses progress on recently signed agreements 

Pakistan PM meets Saudi investment minister, discusses progress on recently signed agreements 
  • Pakistani, Saudi businesses last month signed 34 economic agreements worth $2.8 billion 
  • Shehbaz Sharif is in Riyadh to represent Pakistan at Arab-Islamic Summit on Middle East crisis
Updated 58 min 51 sec ago
Shahjahan Khurram

ISLAMABAD: Prime Minister Shehbaz Sharif met Saudi Arabia’s Investment Minister Khalid bin Abdulaziz Al-Falih in Riyadh on Monday to discuss progress on the recently signed bilateral business deals between the two countries, the Prime Minister’s Office (PMO) said. 

Pakistani and Saudi businesses signed 27 memorandums of agreement (MoUs) worth $2.2 billion on Oct. 10 during Al-Falih’s visit to Islamabad. Al-Falih announced on Oct. 30 on the occasion of Sharif’s visit to the Kingdom that both sides had agreed to enhance the number of business agreements from 27 to 34 and increase their value from $2.2 billion to $2.8 billion. 

Sharif is currently in Riyadh where he will address the Arab-Islamic Summit today, Monday, and present Pakistan’s perspective on Israel’s war in Gaza and Lebanon, and surging investments in the Middle East. The Pakistani premier met Al-Falih and Mohammed Al-Tuwaijri, the adviser to the Royal Court on the sidelines of the summit, the PMO said. 

“The meeting was held to follow up on the recent engagements for economic cooperation between the two countries,” Sharif’s office said. 

The PMO said Sharif appreciated the progress on major projects under discussion between the two countries, acknowledging the efforts of the Pakistani and Saudi technical teams.

The meeting between the two takes place as Islamabad seeks to strengthen trade and investment ties with friendly nations, particularly the Kingdom, which has promised a $5 billion investment package that cash-strapped Pakistan desperately needs to shore up its dwindling foreign reserves and fight a chronic balance of payment crisis.

As Pakistan reeled from a macroeconomic crisis last year that threatened to cause the country to default on its external obligations, Islamabad formed the Special Investment Facilitation Council (SIFC) in 2023. The SIFC is a hybrid civil and military body that fast-tracks decisions related to foreign investment in key economic sectors such as agriculture, mining, minerals, tourism and others.

Sharif has actively pursued economic diplomacy in the region in recent months, seeking more investments and enhancing trade and regional connectivity for Pakistan. The South Asian country has sought to leverage its position as a transit and trade hub connecting landlocked Central Asian countries with the rest of the world and also pushed for mutually beneficial economic partnerships with Gulf countries. 

Topics: Pakistan Saudi Ties Pakistan

Islamabad invites South Korea to join UAE, Saudi Arabia in investing in Pakistani ports

Islamabad invites South Korea to join UAE, Saudi Arabia in investing in Pakistani ports
Updated 11 November 2024
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Islamabad invites South Korea to join UAE, Saudi Arabia in investing in Pakistani ports

Islamabad invites South Korea to join UAE, Saudi Arabia in investing in Pakistani ports
  • Pakistan’s maritime affairs minister meets South Korean envoy to discuss modernizing ports, boosting economic ties
  • With access to Arabian Sea, Pakistani ports are vital for international trade and provide jobs to thousands of people
Updated 11 November 2024
Hasaan Ali Khan

ISLAMABAD: Pakistan’s Minister for Maritime Affairs Qaiser Ahmed Shaikh invited South Korea to join Saudi Arabia, the United Arab Emirates, Denmark and Malaysia in investing in the country’s key port infrastructure, state-run media reported recently. 
Pakistan aims to bolster its maritime sector and enhance regional trade connectivity by modernizing its key port facilities, including the deep water Gwadar Port, and improving its infrastructure to increase cargo handling capacity and streamline trade routes.
Shaikh met South Korea’s Ambassador to Pakistan Park Ki Jun on Sunday to discuss Pakistan’s growing efforts to attract foreign investment in strategic sectors, with a focus on modernizing the country’s ports and boosting economic ties with leading Asian economies.
“Minister for Maritime Affairs Qaiser Ahmed Shaikh has invited the Korean government and investors to explore opportunities in Pakistan’s port and shipping industry,” the state broadcaster said. 
The minister highlighted that Saudi Arabia, UAE, Denmark and Malaysia had already made “significant investments” in Pakistani ports and hoped Korean investors would do the same. 
Shaikh said bilateral cooperation with South Korea could be strengthened in renewable energy, solar, wind, hydropower, urban planning and transportation sectors.
Lauding the educational exchange program between both countries, Shaikh reiterated Pakistan’s commitment to enhance its partnership with South Korea in key economic sectors, saying that Islamabad is aiming for a mutually beneficial relationship.
With access to the Arabian Sea, Pakistan’s seaports in the coastal city of Karachi are vital for international trade and provide jobs for thousands of people in the country. 
Pakistan has been working on restructuring and upgrading its ports. In August, Danish shipping firm Maersk expressed intent to invest $2 billion in Pakistan’s port and transport infrastructure over the next two years. 
This initiative is seen as a pivotal step toward boosting the country’s economic growth, strengthening trade links across Asia, and enhancing its geopolitical influence in the region.
Pakistani ministries of maritime, aviation and railways last week signed four agreements with the Abu Dhabi (AD) Ports Group to enhance collaboration in customs, rail, airport infrastructure and maritime shipping and logistics sectors. 
AD Ports Group, a leading maritime and logistics provider in the Middle East, signed an agreement in July this year to invest $250 million in Pakistan in 10 years as it plans to build an advanced port facility in the country’s seaside metropolis of Karachi.

Topics: Karachi port

Pakistan to press developed nations for unconditional climate funding as COP29 opens today

Pakistan to press developed nations for unconditional climate funding as COP29 opens today
Updated 11 November 2024
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Pakistan to press developed nations for unconditional climate funding as COP29 opens today

Pakistan to press developed nations for unconditional climate funding as COP29 opens today
  • Annual summit will see tough talks following year of disasters that have emboldened developing countries in demands for climate cash
  • Pakistan goes to COP29 as record air pollution has triggered hundreds of hospitalizations, school closures, stay-at-home orders
Updated 11 November 2024
SAIMA SHABBIR

ISLAMABAD: Pakistan will urge developed countries to fulfill past pledges and provide easy access to climate funding without attaching conditions as it attends the Conference of the Parties (COP29), which formally started in Baku today, Monday.
The annual UN climate summit will see tough talks on finance and trade, following a year of weather disasters that have emboldened developing countries in their demands for climate cash. Nearly 200 countries are gathering for the summit, where reaching a consensus for a deal among so many will be difficult.
“Pakistan is very clear on our stance on what we need from all the developed countries when it comes to the pledges, one, they need to complete their pledges, they need to fulfill their pledges, and two, easy access to the fundings,” Romina Khurshid Alam, PM Shehbaz Sharif’s coordinator on climate change, told Arab News in an interview this month.
Pakistan is ranked the 5th most vulnerable country to climate change, according to the Global Climate Risk Index. In 2022, devastating floods killed over 1,700 people and affected over 33 million, with economic losses exceeding $30 billion. 
International donors last January committed over $9 billion to help Pakistan recover from the ruinous floods but little of that cash has yet to trickle in, according to officials. 
Pakistan also regularly faces other climate change-induced affects such as droughts, cyclones, torrential rainstorms and heatwaves.
Currently, record-high air pollution levels have triggered hundreds of hospitalizations, school closures and stay-at-home orders in the eastern city of Lahore and other cities in the populous Punjab province, which has been enveloped in a thick, toxic smog since last month. 
A mix of low-grade fuel emissions from factories and vehicles, exacerbated by agricultural stubble burning, blanket Lahore and its surroundings each winter, trapped by cooler temperatures and slow-moving winds. The city of 14 million people stuffed with factories on the border with India regularly ranks among the world’s most polluted cities, but it has hit record levels this month, as has New Delhi. 
Pakistani authorities have said archrivals Pakistan and India need to coordinate actions to temper toxic smog, which winds carry across the border.
“We are open to dialogues and open to come up with the solution, we want to get the things done by dialogue,” Alam said, noting that the chief minister of Pakistan’s Punjab had also urged India to pursue diplomacy to resolve this issue. 
“This is not a game, the main thing is to think about the children and to think about the future.”
Last year, the Punjab government tested artificial rain to try to overcome the smog, and this year, trucks with water cannons have sprayed the streets, with no results.
The WHO says air pollution can trigger strokes, heart disease, lung cancer and other respiratory diseases. It is particularly punishing for children and babies, and the elderly.

Topics: Pakistan in cop29 UN COP29

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