China, Pakistan pledge to boost cooperation on infrastructure, mining projects
China, Pakistan pledge to boost cooperation on infrastructure, mining projects/node/2589265/pakistan
China, Pakistan pledge to boost cooperation on infrastructure, mining projects
Chinese President Xi Jinping, left, and Pakistani President Asif Ali Zardari walk past honor guards during the welcome ceremony at the Great Hall of the People in Beijing on February 5, 2025. (AP)
China, Pakistan pledge to boost cooperation on infrastructure, mining projects
President Asif Ali Zardari is visiting China from Feb. 4-8, where he will also attend the opening ceremony of Asian Winter Games
Chinese investment and financial support for Pakistan since 2013 have been a boon for South Asian nation’s struggling economy
Updated 06 February 2025
Reuters
HONG KONG: China and Pakistan will upgrade and reconstruct Pakistan’s railway network and further develop its Gwadar port, while Chinese companies can invest in the South Asian nation’s offshore oil and gas developments, the official Xinhua news agency reported on Thursday.
The comments came as Pakistan’s President Asif Ali Zardari visits China from February 4-8, where he will also attend the opening ceremony of the Asian Winter Games.
Chinese investment and financial support for Pakistan since 2013 have been a boon for the South Asian nation’s struggling economy.
The two countries have had close ties underpinned by long-standing wariness of their common neighbor, India, and a desire to hedge against US influence across the region.
Pakistan and China recognized the importance of Pakistan’s “Gwadar Port and agreed to fully unleash its potential as a key node for connectivity and trade,” Xinhua said quoting a joint statement from the two countries.
Chinese-funded enterprises would be encouraged to “carry out mining investment cooperation in Pakistan” and cooperate in terrestrial and marine geological resources.
“Pakistan welcomes Chinese companies to participate in the development of offshore oil and gas resources in Pakistan.”
Longtime Pakistan ally China has thousands of nationals working on projects grouped under the China-Pakistan Economic Corridor (CPEC).
The $65-billion investment is part of President Xi Jinping’s Belt and Road Initiative, designed to Beijing’s global reach by road, rail and sea.
ISLAMABAD: Pakistani Prime Minister Shehbaz Sharif on Tuesday used the pulpit at the World Governments Summit in Dubai to call for the creation of an independent state of Palestine, saying it was the only path toward a “durable and just peace.”
The latest Gaza war, which began after an Oct. 7, 2023, Hamas attack on Israel, has been paused since Jan. 19 under the ceasefire agreement between Israel and Hamas that was brokered by Qatar and Egypt with support from the United States.
More than 48,000 Palestinians have been killed in the war, the Gaza health ministry says, and nearly all of Gaza’s 2.3 million population has been internally displaced by the conflict, which has caused a hunger crisis.
Some 1,200 people were killed in the October 7, 2023 Hamas-led attack on southern Israeli communities and about 250 were taken to Gaza as hostages, Israeli tallies show.
“This gathering could not have come at a more opportune time as the region begins to recover from the tumultuous aftershocks of the tragic conflict in Gaza, which has claimed [lives of] over 50,000 innocent Palestinians,” Sharif said as he addressed the WSG.
Pakistan's Prime Minister Shehbaz Sharif addresses the audience at the plenary hall during the World Governments Summit in Dubai on February 11, 2025. (AFP)
“It is now our hope that the genocidal operation will be followed by a lasting peace. However, Pakistan believes that durable and just peace is only possible through a two-state solution in accordance with the relevant UN resolutions, that is the creation of an independent state of Palestine, with pre-1967 boundaries and Al-Quds as its capital.”
Palestinian territory – encompassing the Gaza Strip and West Bank, including East Jerusalem – has been occupied by Israel since 1967.
Pakistan does not recognize Israel and has consistently called for an independent Palestinian state based on “internationally agreed parameters.”
In unprecedented development, Pakistan chief justice meets visiting IMF team
Discusses judicial reforms, accountability, recent restructuring of commission that recommends judges to superior courts
Finance ministry said on Sunday IMF mission would visit Pakistan to conduct Governance and Corruption Diagnostic Assessment
Updated 28 min 30 sec ago
Ismail Dilawar
KARACHI: In a rare development on Tuesday, an International Monetary Fund (IMF) delegation visiting Pakistan met the country’s chief justice for discussions on judicial reforms, accountability and the recent controversial restructuring of a commission that recommends judges for Pakistan’s superior courts.
The finance ministry said on Sunday a three-member IMF mission would visit Pakistan in the coming week to conduct a Governance and Corruption Diagnostic Assessment under the country’s 2024 Extended Fund Facility program for a $7 billion loan. The ministry said the mission’s report would recommend actions for addressing corruption vulnerabilities and strengthening integrity and governance, with the findings helping to shape structural reforms.
On Tuesday, the Supreme Court said in a press release the IMF team led by Joel Turkewitz had met with Chief Justice Yahya Afridi.
The statement quoted the CJ as saying he would be “quite guarded” in his comments to the IMF team and the judiciary was “not used to direct interaction with such missions,” but it was taking place on the request of the finance division.
“He then highlighted key Constitutional developments with respect to the Judicial Commission of Pakistan and reforms, including senior-level judicial appointments, judicial accountability, and the restructuring of the Judicial Commission of Pakistan (JCP). He elaborated on the merits of integrating the judiciary and the parliamentary committee to ensure a more transparent and efficient judicial selection process,” the SC statement said.
Discussions during the meeting also centered on judicial accountability and mechanisms for addressing complaints against judges.
“The Chief Justice emphasized the importance of a robust and fair accountability process to uphold the integrity and independence of the judiciary,” the statement said.
The finance ministry statement on Sunday had said the focus of the visiting mission would be to “examine the severity of corruption vulnerabilities across six core state functions.”
“These include fiscal governance, central bank governance and operations, financial sector oversight, market regulation, rule of law, and Anti-Money Laundering and Combating the Financing of Terrorism,” it read.
The finance ministry said the IMF had long provided advice and technical assistance to foster good governance such as promoting public sector transparency and accountability.
“Traditionally the IMF’s main focus has been on encouraging countries to correct macroeconomic imbalances, reduce inflation, and undertake key trade, exchange, and other market reforms needed to improve efficiency and support sustained economic growth,” the finance ministry said on Feb. 9.
“While these remain its main focus in all its member countries, however the IMF has found that a much broader range of institutional reforms is needed if countries are to establish and maintain private sector confidence and thereby lay the basis for sustained growth.”
The IMF identified that promoting good governance in all its aspects, including ensuring the rule of law, improving the efficiency and accountability of the public sector, and tackling corruption, “are essential elements of a framework within which economies can prosper,” the ministry said, welcoming the IMF’s technical support and saying the assessment would aid efforts to promote transparency and institutional capacity.
The South Asian country, currently bolstered by a $7 billion IMF facility granted in September, is navigating an economic recovery.
The IMF is set to review Pakistan’s progress by March, with the government and central bank expressing confidence about meeting its targets.
ISLAMABAD: Prime Minister Shehbaz Sharif on Tuesday called for global support to meet Pakistan’s $100 billion energy transition needs as he addressed participants at the World Governments Summit (WGS) in the United Arab Emirates (UAE).
The summit, being held in Dubai on Feb. 11-13 under the theme ‘Shaping Future Governments’, brings together a large number of heads of state/government, global policymakers, and leading private sector figures to discuss the future of governance, innovation and international cooperation.
Addressing the summit on Tuesday, the Pakistani prime minister urging stronger climate financing, technology sharing from governments, private investment, and multilateral cooperation for sustainable growth of developing nations.
“The global shift to a green economy requires a shared responsibility,” he said. “Pakistan’s energy transition alone demands $100 billion in investment and I call upon governments to strengthen climate financing and technology sharing, private investors to explore Pakistan’s green energy and infrastructure opportunities, multilateral institutions to support emerging economies like Pakistan in achieving sustainable growth.”
Sharif emphasized that while Pakistan was fully committed to mobilizing domestic resources and policy reforms, international partnerships and financial support remained critical to achieving this goal.
The South Asian country offers one of the most dynamic investment landscapes in Asia, with 70 percent of its dynamic, young and tech-savvy population under the age of 30, according to the prime minister. Pakistan is simplifying business regulations, enhancing legal protections and streamlining investment approvals to make it a leading destination for global capital.
“To drive investment in key sectors, the Special Investment Facilitation Council (SIFC) has been established focusing on renewable energy and resilient infrastructure, technology and digital economy, minerals and industrial development and agricultural and food security,” he said.
Pakistan established the SIFC, a civil-military body, in June 2023 to attract foreign investment by eliminating bureaucratic hurdles and provide a one-window operation to foreign businesses.
Sharif said his country stands at a “defining moment of economic transformation” as inflation dropped to 2.4 percent in January, the lowest in nine years, with the interest rate capped at 12 percent, a major stimulus for private sector credit.
He said the Udaan Pakistan national economic transformation plan, which focuses on exports, e-Pakistan, environment and climate change, energy and infrastructure, equity and empowerment, has energy security and sustainability at the core of its agenda, not just as an economic necessity but as a national priority.
“Pakistan is committed to achieving a 60 percent clean energy mix by 2030 and transitioning 30 percent of all vehicles to electric mobility and we are rapidly scaling up solar, wind, hydro power and nuclear energy,” he added. PAKISTANI, UAE LEADERS SEEK TO DEEPEN ECONOMIC PARTNERSHIP
Sharif earlier met with UAE President Sheikh Mohamed bin Zayed Al Nahyan, with the Pakistan PM’s office saying both leaders discussed ways to deepen cooperation between Pakistan and the UAE and explored opportunities to enhance mutual interests.
“The talks focused on economic, trade, and development fields, alongside other areas that align with both nations’ visions for sustainable economic growth and prosperity,” Sharif’s office said said in a statement.
The two figures also exchanged views on a number of regional and international issues of mutual interest, with a focus on recent developments in the Middle East.
“They emphasized the need for intensified international efforts for a comprehensive and lasting peace in Palestine based on the two-state solution to maintain regional security, stability, and peace,” Sharif’s office said.
The Pakistani premier also met with UAE Prime Minister Sheikh Mohammed bin Rashid Al-Maktoum, who established the WGS in 2013.
“The Prime Minister lauded this transformative and timely initiative, providing a platform to world leaders, policy makers and experts, where they could gather under one roof to hold global discourse on the future of governance and better future,” Sharif’s office said in a statement.
The prime minister highlighted Pakistan’s pro-investment policies aimed at facilitating Emirati investors in key sectors such as energy, infrastructure, mining and IT.
“He invited Emirati businesses to explore investment opportunities in Pakistan,” the statement read.
Pakistan says IMF ‘on board’ over $7 billion bailout targets
The statement comes days before the arrival of an IMF team for the first review of the facility
IMF bailouts are critical for Pakistan which narrowly avoided a sovereign default in June 2023
Updated 11 February 2025
Ismail Dilawar
KARACHI: Pakistan has taken the International Monetary Fund (IMF) on board over its targets under a $7 billion loan program it secured in September, a finance ministry official said on Tuesday, days before the arrival of an IMF mission in the South Asian nation for the program’s first review.
A successful review, expected later this month or in early March, would see the Washington-based lender release around $1 billion tranche to cash-strapped Pakistan, which seeks to boost its foreign exchange reserves to achieve the IMF’s threshold of three months import cover.
IMF bailouts are critical for Pakistan which narrowly avoided a sovereign default in June 2023 by clinching a last-gasp, $3 billion IMF loan and is currently navigating a tricky path to economic recovery.
“We are on track,” Khurram Schehzad, an adviser at the Pakistani finance ministry, told Arab News. “The IMF is on board on the targets and benchmarks that we have achieved as well as only a few we are chasing. We are fully prepared to go into the review process.”
The statement is expected to allay investor concerns about Pakistan meeting the IMF’s conditions to reform its economy by cutting on energy subsidies, broadening the tax net to agriculture, real estate and retail sectors, and privatizing loss-making, state-owned enterprises like the Pakistan International Airlines (PIA).
“We are working on the taxation side by bringing in the under-taxed and non-taxed sectors into the net by broadening, deepening and widening it,” Schehzad said.
Provincial governments in Pakistan’s Sindh, Punjab, Khyber Pakhtunkhwa and Balochistan provinces have recently enacted laws to impose taxes on farm incomes, fulfilling one of the IMF’s requirements.
Since averting an imminent default on its external debt in 2023, Pakistan is now keeping its current account in check primarily through containing imports. The country’s exports rose 10% to $19.6 billion in the last seven months till January, while it is keeping tabs on imports that increased by 7% to $33 billion, according to Pakistan Bureau of Statistics.
“Our balance of payment position is going to be manageable this year,” said Schehzad, who believes population growth and climate change are the two biggest challenges facing Pakistan’s economy.
The country achieved a current account surplus of $1.2 billion from July 2024 till December 2024 and is expecting to receive a record $35 billion worker remittances by June 2025. It expects IT exports to increase to $4 billion this year.
As jailed former prime minister Imran Khan’s Pakistan Tehreek-e-Insaf (PTI) party carries out countrywide protests to demand the return of its “stolen” mandate in the last general election, PM Shehbaz Sharif’s government is trying to shore up the fragile economy, which Schehzad said is expected to expand in the range of 3% to 3.5% this financial year ending in June.
Pakistan’s central bank has slashed the interest rate by a cumulative 1,000 basis points to 12% since June to spur economic growth, thanks to the easing inflation that rose 2.41% last month, the lowest in more than nine years.
“We are keeping an eye on the prices of all essential items that should be reflective of the prevailing inflation numbers, so to close the gap between numbers and on-ground prices,” the finance adviser said.
The pace of price hike is expected to ease further in the months ahead, which will create more room for the central bank to decrease the rate of bank borrowing.
“We are giving priority to long-term sustainability of the economy over short term reliefs,” Schehzad said.
The Pakistani government is striving to turn the hard-earned economic stability with fiscal and external consolidation into a growth that is export-led and driven by productive and efficient investments primarily by the private sector, according to the finance adviser.
The government is working to break the so-called boom-and-bust cycle Pakistan’s economy has been “suffering from in the past many years now” and targets 6% growth and beyond by 2029, he added.
Australia look to fine tune for Pakistan-hosted Champions Trophy with Sri Lanka ODIs
The Champions Trophy begins on February 19 in Pakistan and Dubai
Australia are in a group with England, South Africa and Afghanistan
Updated 11 February 2025
AFP
COLOMBO: Captain Steve Smith admitted Tuesday the Champions Trophy would be on Australia minds when they play Sri Lanka in two one-day internationals this week, the final warm-ups for the eight-team tournament
The Champions Trophy begins on February 19 in Pakistan and Dubai, and 50-over world champions Australia are in a group with England, South Africa and Afghanistan.
Australia face Sri Lanka in Colombo on Wednesday and Friday, fresh from a dominant 2-0 Test series sweep.
“I’d be lying if I said the Champions Trophy wasn’t at the forefront of our minds — it’s a massive ICC tournament for us,” Smith told reporters in Colombo.
“While our focus is firmly on finishing this series on a strong note, there is no denying that the Champions Trophy is looming large. We want to make sure we carry good form into that competition.”
Both ODIs will be played as day games, a rarity in modern cricket.
The floodlights in Colombo’s R. Premadasa Stadium are out of action as part of renovations ahead of the 2026 T20 World Cup, which will be co-hosted with India.
“Day games are quite different,” Smith said, adding he couldn’t remember his last ODI day match.
“But whatever the conditions, it’s going to be warm out there, and we’re looking forward to the challenge.”
Before coming to Sri Lanka, Australia held a training camp in Dubai to prepare for “challenging wickets” in Sri Lanka, said Smith.
“The batters found methods to succeed in these conditions, the spinners worked on varying their pace, and the seamers fine-tuned their reverse swing,” he said.
“We hope to bring all that into this series and finish well.”
Sri Lanka did not qualify for the Champions Trophy after a dismal ninth-place finish at the World Cup in India in 2023.
“It’s disappointing, no doubt about it — but there’s nothing that we can do about it now,” Sri Lanka’s stand-in captain Charith Asalanka said.
“What’s important is that we make sure this never happens again.”
Asalanka said the team wanted to focus on their successes — including beating India in 2024 in the first ODI in 27 years.
“We need to build on that momentum,” Asalanka added.
