Photo : Dawn
Photo : Dawn
In Brief
POLITICS
Pakistan’s democracy remained under strain and continues to face systemic issues”: PILDAT report
On 1 January, The News International reported on Pakistan Institute of Legislative Development (PILDAT)’s “Quality of Democracy in Pakistan 2024” report. The report highlighted how another set of politicians have come to power with the support from the establishment. These politicians have come to power by manipulating the election results, reducing the authority of judiciary, throwing the opposition leaders in jail and taking away rights of the citizens. The report stated that the elections conducted in 2024 were not free and fair. The new amendment in the constitution has divided the judiciary and altered the process of appointing chief justice. The report also stated how parliament in haste has given its assent to increase the tenure of the army chief to five years. This measure came despite the political system not being under martial law. The report also highlighted how politicians gain the support of the establishment to demean their opponents. This however, only provides them with short term benefits. The report also highlighted the increase in detentions and kidnapping of media professionals. Often, the government would ban the media from showing the “messages and interviews” of Imran Khan. The government also suppressed voices on the internet. It banned X in February. However only in September, it accepted being responsible for putting the ban, citing “national security issues ”as the rationale. .(Asim Yasin, “Pildat report shines light on ‘quality’ of democracy in Pakistan in 2024,” The News International, 1 January 2025)
Government to withdraw from making Haj arrangements
On 31 December, the Senate Standing Committee on Religious Affairs announced that the government was seeking to withdraw from its connection with the Haj arrangements. Instead, this onus will be transferred to private companies from 2025. This decision has not been well received by private Haj operators and the Religious Affairs Ministry. The former claimed that the government intended to harm their businesses. In response, the Religious Affairs Secretary Dr Zulfiqar Haider explained that since the ministry has registered 904 companies in Haj operation, Saudi officials have expressed concern over the large number of participating companies. Hence, they had asked to reduce this figure where each Haj operator will be permitted to manage a minimum of 2,000 pilgrims. The secretary further added that the Saudi government has allowed a Haj quota of 179,000 to Pakistan in 2025. In this regard, the Pakistan government divided this quota into two with one half receiving coverage by the official scheme and the other half being taken care of by 40-45 selected private operators. (Kalbe Ali, “Govt plans to pull out of Haj operation, Senate panel told,” Dawn, 1 January 2025)
“The nation failed to achieve much-needed stability in the year just concluded, largely due to a controversial election and the associated political dissonance”: Dawn editorial
On 1 January, an editorial in Dawn titled “Looking ahead” discussed the challenges undergone by Pakistanis in 2024. The editorial mentioned the political tussle between the PTI and PML-N and its coalition partners which was anticipated to be resolved with the 2024 elections. However, the tussle continues to go on. There has been a glimmer of hope as the PTI and the incumbent government have agreed to come to table for discussing contentious issues. The editorial highlighted the challenges of reviving the economy. The editorial noted that in spite of reduction in inflation, the common man in Pakistan is still struggling to make ends meet. The editorial called for a new tax regime which would bring all the tax-evaders under its ambit. The editorial shed light on the challenge of ensuring security of the people. Terrorist attacks have surged substantially in 2024. The editorial pointed out the problem of climate change which led to heat-waves and floods in 2024 and called for politicians to bring in concrete reforms. Another major challenge which haunts Pakistan is the rise in the number of polio cases. The editorial suggested that political parties must put an end to infighting on unimportant issues and shift their focus towards real ones. (“Looking ahead,” Dawn, 1 January 2025)
ECONOMY
Government increases fuel tariffs while reduction is seen in LPG prices
On 31 January, the government increased the fuel prices of high speed diesel (HSD) and petrol by PKR 2.96 per and 56 paise per litre, respectively. This decision was taken after considering the consumer prices of petroleum in the international market. These prices will come into effect after 15 January. On the contrary, , the Oil and Gas Regulatory Authority (OGRA) has announced a fall in the liquefied petroleum gas (LPG) rates by 1.58 per cent, to PKR 4.01 per kg for January 2025. This reduction is seen via a new price of the 11.8 kg cylinder, from PKR 3000.79 in December to PKR 2953.36 in January. (Khaleeq Kiani, “Petrol, diesel jump; LPG becomes cheaper,” Dawn, 1 January 2025)
Electricity tariffs are likely to increase in 2025; circular debt soars to PKR 2.393 trillion
On 31 December, the government announced that the electricity tariffs are likely to increase in January 2025, from the previous month’s rates. This comes after considering the rebasing of the official tax policy and revision of the peak and off peak timings. At a National Electric Power Regulatory Authority (Nepra) hearing, the Central Power Purchasing Agency petitioned for a PKR 1.14 per unit negative fuel cost adjustment to be reduced to 63 paise negative. In this regard, the net increase in bills for consumers will be 51 paise per unit in the month of January. At the hearing, the Nepra members asked why consumers had to pay for the price of the public sector’s inefficiencies as an eight month delay has been recorded in the completion of the Lahore-North grid facilities and the underutilization of the Maitari-Lahore Transmission Line. It was learnt that the lowered demand of electricity consumption due to solarisation and exorbitant tariffs led to the partial load adjustment charges to be transferred onto the consumers. Partial load adjustment charges are those costs incurred when a ready plant is not being used to its full capacity due to fall in demand, to maintain its operationality.
Separately, a report published by Nepra, titled “State of the Industry Report 2023-24,” highlighted the need for reforms within the sector to overcome the existing inefficiencies and promote sustainability as circular debt of the distribution companies (DISCOS) has increased to PKR 591 billion for the 2023-2024 fiscal year. . By 30 June 2024, the circular debt had soared to PRK 2.393 trillion. It also highlighted that the practice of overbilling has further worsened the transmission and distribution losses as they falsely increased receivables. Additionally, despite investing PKR 163.1 billion in DISCOS, the T&D losses rose to 18.31 per cent when the target for the year was initially set at 11.77 per cent. Furthermore, the report also noted a how a PKR3.23 cost was imposed on consumers as Circular Debt Surcharge, making them pay for the mistakes of some other entity. (Khaleeq Kiani, “Power tariff to edge higher despite lower fuel costs,” Dawn, 1 January 2025; Israr Khan, “Power sector on brink: Circular debt soars to Rs2.4 trillion,” The News International, 1 January 2025)
FBR misses tax revenue collection target by PKR 386 billion
On 31 December, Dawn reported that according to the provisional figures released by the Federal Board of Revenue (FBR) , it has missed its revenue collection target by almost PKR 386 billion in the first six months of the current fiscal. This is due to a fall in imports and lower than expected tax receipts. The fall in collection is attributed to the reduced collection from imports as trade has slowed down, a fall in manufacturing growth and unprecedented low inflation. Nevertheless, the tax collection is higher than the previous year’s collection, a 26 per cent increase in the July-December period. Additionally, an increase of 35 per cent was recorded in the December collection of PKR 1.326 trillion even though the intended target was at 1.373 trillion. This is also an increase as compared to the same period last year. The government had set an ambitious revenue target of PKR12.914 trillion for the fiscal 2025, highlighting a 40 per cent increase from the fiscal 2024 target. This target now seems to be “backfiring.”Nevertheless , the government hopes to gather additional revenue in fiscal 2025 through a GDP growth of 3 per cent, expansion of large-scale manufacturing firms by 3.5 per cent at a 12.9 per cent inflation and imports rising at 16.9 per cent. (Mubarak Zeb Khan, “FBR falls Rs386bn short of revenue target,” Dawn, 1 January 2025)
ADB advances USD 200 million loan to DISCOS
On 31 December, the Asian Development Bank and the Ministry of Economic Affairs inked a USD 200 million loan agreement towards a power distribution project. This project is set to advance monetary support to three distribution companies (DISCOS), including Multan Electric Power Company, Lahore Electric Supply Company and, Sukkur Electric Power Company via data management systems, assets performance management systems and modernized metering infrastructure. Speaking at the event, the Ministry of Economic Affairs Secretary, Dr Kazim Niaz urged DISCOS to complete the projects within the stipulated time. He remarked that the project is going to help the power distribution firms reduce their energy losses, as well as modernize and upgrade themselves. (“Pakistan secures $200m ADB funding to upgrade power distribution,” The News International, 1 January 2025)
HEALTH
The “old problem of polio” continues to linger on: The News International editorial
On 1 January, an editorial in The News International titled “Polio continues” discussed the problem of polio and the issues that are roadblocks in its eradication. The editorial mentioned that the country recorded 68 cases of polio in 2024. This is the second highest number of cases detected in a year in the last five years. The editorial highlighted the issue of vaccine reluctancy: Many parents are reluctant to get their children inoculated with the polio vaccine. In order to tackle this, the government has come up with innovative measures such as the Peshawar district administration which has made it compulsory to produce polio vaccination certificates if people want their birth, marriage and other certificates to be issued. However, the problem of reducing the reluctancy remains unresolved. The editorial pointed out how there were more than 40,000 incidents in Sindh where parents refused to inoculate their children. Balochistan and Khyber Pakhtunkhwa have topped the list for most number of polio cases. The editorial sees a plausible connection between the vulnerable security situation in both the provinces and the high number of polio cases. The editorial lamented the fact that the government has failed to ensure the security of polio workers. The editorial also called for timely remuneration of polio workers. (“Polio continues,” The News International, 1 January 2025)
SECURITY
Peace agreement between warring parties in Kurram likely to be signed on 1 January
On 1 January, Dawn reported on the peace agreement in Kurram. The peace agreement could not be finalized due to the unavailability of “two representatives from Lower Kurram.” One of the representatives was unable to reach because of witnessin a death in his family. The peace agreement would have finally brought an end to the closure of roads. KP government spokesperson Barrister Muhammad Ali Saif informed that the peace agreement has got the assent from Upper Kurram party. He further stated that the formal agreement was a “formality” which would be done on 1 January. Muhammad Ali Saif had earlier confirmed that the warring sides would be giving up their weapons, once the agreement has got assent from both the parties, after which roads will be re-opened. Due to the closure of roads, the government has made use of helicopter for transport of necessary supplies. The “sit-in” protest in front of Parachinar Press Clubwhich calls for reopening of roads has not ceased. (Manzoor Ali and Javid Hussain, “Peace deal ‘delayed’ as Lower Kurram reps skip jirga sitting,” Dawn, 1 January 2025)
In Pakistan “The human cost of terrorism in 2024 was staggering”: Dawn editorial
On 1 January, an editorial in Dawn titled “On the front lines” discussed the surge in terrorism in the country and delved upon what needs to be done. The editorial highlighted a surge in casualties due to terror attacks with “383 officers and soldiers” losing their lives. 925 terrorists were killed in 2024 and close to “60,000 Intelligence-based operations” were initiated. The editorial arguedthat the main problem lies in Khyber Pakhtunkhwa and Balochistan as 94 per cent of the deaths due to terror attacks took place in the two provinces. The editorial further argued that a major change is needed in the “counter-terrorism strategy” and does not see Operation Azm-i-Istekham living up to its expectation. The editorial called for establishing Counter-Terrorism units which undergo special training for destroying the backbone of the militant groups. The editorial viewed the repatriation of illegal Afghan refugees as a positive step, however, noted that discussion with neighbors must continue. The editorial opined that “economic development, education and infrastructure improvements” can counter the hatred spread by militant groups. It also highlighted the importance of including “local communities” in discussions which would in turn create a bridge of trust between authorities and them. (“On the front lines,” Dawn, 1 January 2025)
EXTERNAL
Pakistan to start its two-year tenure as UNSC non-permanent member from 1 January
On 1 January, Pakistan is set to start its two yeartenure as a non-permanent member of United Nations Security Council (UNSC). This has provided the country with a unique chance to bring in critical international matters for deliberation. Pakistan was elected to a non-permanent seat in the UNSC in June 2024. Earlier, the seat was held by Japan. Pakistan has also got the opportunity to be a member of the Islamic State and Al Qaida Sanctions Committee. This committee deliberates on which groups and individuals should be designated as “terrorists.” Pakistan will now get a chance to shed light on the attacks carried out by Afghanistan-based terror groups on the international stage. Non-permanent members have some degree of authority as they can impact the decision making of “terrorism-related sanctions committees.” Pakistan’s tenure in UNSC will be looking at conflicts in Gaza and Syria. Pakistan has also attempted multiple times to bring back the dispute in Jammu and Kashmir at the international forum. Ambassador Munir Akram on the issue of Jammu and Kashmir said “We will continue to highlight the plight of Kashmiris and push for concrete steps from the international community.” (Anwar Iqbal, “Pakistan enters UN Security Council at key juncture in global politics,” Dawn, 1 January 2025)
ECP against e-voting rights for expatriates
On 31 December, during a Senate Standing Committee on Parliamentary Affairs meeting, the Election Commission of Pakistan officials voiced opposition towards providing e-voting rights to Pakistani nationals living abroad as there is a risk of hacking from foreign and private entities. The Election Commission was completely against the use of e-voting in the general elections. In this regard, the committee was briefed on how the parliament was divided on this matter, where several political parties did not agree with having an e-voting facility for the general elections. The committee took the example of India where expatriates are allowed to vote for their representatives, however, it is carried via a postal ballot or a close relative is elected to cast a vote on their behalf. While on the subject, the leader of the opposition in the Senate, Shibli Faraz suggested that letters be drafted to embassies of all states, seeking advice on the matter. He also commented: “We should admit that we talk about preventing rigging in elections but do not take steps to stop it; e-voting or whatever method should be discussed for a solution. If we cannot make our own elections non-controversial, how will we progress?” (“ECP opposes giving expatriates e-voting rights,” The News International, 1 January 2025)
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- An opinion in Dawn, 'Judicial integrity.' |
