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National Assembly approves finance bill, PKR 17.6 trillion allocated for FY 2025-26

In Focus
National Assembly approves finance bill, PKR 17.6 trillion allocated for FY 2025-26
On 26 June, the National Assembly approved the Finance Bill and allocated PKR 17.57 trillion for the fiscal year 2025-26.  It is anticipated that Pakistan’s economy will grow by 4.2 per cent in the next fiscal year. The budget has earmarked PKR 2.5 trillion for defence, PKR 1.06 trillion for pensions, and PKR 1.19 trillion for government subsidies. Furthermore, salaried individuals would see a 10 percent increase in their salaries. Opposition parties have continued to raise concerns regarding the budget proposition not being in public. The amendments suggested by the opposition parties have also been dismissed.

Response from the PPP
PPP, a coalition partner of the government, has backed the budget. PPP Bilawal Bhutto Chairman expressed contentment over the three budget propositions. First, a surge in available funds for Benazir Income Support Programme. Second, no tax to be imposed on people with an annual income of PKR 1.2 million. Third, the tax rate on solar panels being brought down to 10 per cent from a previous of 18 per cent. Further, PPP expressed support for the proposition  not allowing the Federal Board of Revenue (FBR) to detain people during the “inquiry stage.”

Response from Opposition
Current PTI Chairman Barrister Gohar Ali Khan denounced the budget propositions, terming them “disastrous.” He claimed that Pakistan in the future could witness the same situation as that of Sri Lanka. He pointed out how the “agricultural sector and large-scale industry” were not performing up to the mark, which increases the likelihood of “bankruptcy.” Further, he alleged that the allocation of funds has been unfair. He expressed discontent over earmarking PKR 700 billion for Benazir Income Support Programme, which previously stood at PKR 313 billion. PTI’s Malik Aamir Dogar claimed that the government discussed budget propositions with the International Monetary Fund (IMF) but not with the common population. JUI-F’s Aliya Kamran questioned the ambiguities in the FBR.

Response from Print Media
On 27 June, an editorial in The Express Tribune titled “Compromised budget,” highlighted how the federal government has conceded to the majority of the demands put forward by the PPP. As per the editorial, the government's move to reduce the powers of FBR and not allowing it to detain people during the “inquiry stage” has made it “toothless” and subordinate to the executive. The editorial highlighted how the government has empowered the finance committee to detain traders who are involved in fraudulent tax practices if the amounts surpass PKR 50 million. Earlier, this power belonged to the tax commissioner. The editorial highlighted the weakness of the budget propositions, claiming that targeting an economic growth of 4.2 per cent is “utopian.” 

Iftikhar A. Khan, “
Budget 2025-26: National Assembly passes Rs17.6tr budget amid opposition outcry,” Dawn, 27 June 2025
Compromised budget,” The Express Tribune, 27 June 2025)

PM Sharif instructs authorities to ensure security during Muharram
On 26 June, The Express Tribune reported that Prime Minister Shehbaz Sharif has instructed authorities to ensure strict law and order across the country during Muharram-ul-Haram processions and majalis. PM Sharif directed the Interior Minister, Mohsin Naqvi, to coordinate with the provincial governments of “Gilgit-Baltistan” and “Azad Jammu and Kashmir” to ensure peace and security throughout the month. Additionally, Interior Minister Naqvi chaired a high-level meeting on 26 June to review the nationwide security preparations for Muharram. Further, the government has decided to prosecute individuals for propagating religious hatred on social media during Muharram. The Pakistan Electronic Media Regulatory Authority (PEMRA) will receive recommendations to monitor and prevent the spread of hate speech. Use of modern technology to monitor Muharram processions was agreed upon. The possibility of suspending internet or mobile phone services in certain areas if the security situation deteriorates was also discussed. Naqvi stated that such decisions would be made in consultation with the relevant provincial authorities and based on the ground situation and security concerns. The Interior Minister stressed upon strict enforcement of the Muharram code of conduct.

On 27 June, an editorial in The Nation titled ‘
Peaceful Muharram’ expressed caution and suggested adequate preparedness by the government ahead of the critical period of Muharram. The editorial highlighted that the Ministry of Interior requires vigilance and that it must be prepared with a comprehensive plan of action. The editorial emphasised that achieving “the safety and sanctity” of Muharram processions across the country is essential. The editorial appreciated the Ministry’s decision to deploy law enforcement agencies and municipal services, along with taking strict action against individuals or entities using social media to provoke communal unrest or spread sectarian hate, for maintaining public order. Additionally, the editorial raised the issues of regional instability caused by the Iran-Israel conflict and sectarian tensions, arguing that if the latter is left unchecked, it can be exploited by “external actors and extremist elements to destabilise the country.” The editorial concluded by stating that a peaceful Muharram shall demonstrate Pakistan’s resolve against polarisation, hate, and violence, reaffirming the country’s commitment to religious freedom and inclusion.

On 27 June, an editorial in Dawn titled ‘
Vigilance needed’ expressed concern over security preparedness ahead of Muharram, placing responsibility on the government, ulema, clerics, community leaders, and preachers from the two major sects “to ensure that the mourning period passes off peacefully.” The editorial pointed out that security measures comprise provincial administrations deploying police and paramilitary forces around mosques, imambargahs, and the routes of mourning processions to ensure peace. The editorial also stated that the deployment of military forces has been done in the past, drawing focus to Khyber Pakhtunkhwa’s Kurram tribal district, which was embroiled in tribal-cum-sectarian violence. The editorial cautions that while a peace agreement was reached in January, However, the situation remains sensitive, especially with reports of penetration of Islamic State-Khorasan in the area. Further, the editorial raised the issue of hate speech, calling upon Law Enforcement Agencies (LEAs) to keep a “vigilant eye on social media” so that criminal elements cannot use social media for spreading communally divisive content to spark real-world violence. The editorial concluded by stating that observance of religious rites must take place “in an environment of freedom and safety.” (“PM directs authorities to ensure security during Muharram,” The Express Tribune, 26 June 2025; “Peaceful Muharram,” The Nation, 27 June 2025; “Vigilance needed,” Dawn, 27 June 2025)

Defence Minister Khwaja Asif accuses India of supporting terrorism in Balochistan and KP at SCO meeting
On 27 June, The News International reported that Defence Minister Khawaja Asif claimed that the Indian Defence Minister Rajnath Singh declined to sign the joint communique at a high-level Shanghai Cooperation Organisation (SCO) meeting in China, after being denied a second chance to speak. Asif made this statement on Geo News’ show Aaj Shahzeb Khanzada Kay Sath, claiming that the Indian defence minister was “upset” after not being permitted a chance to speak for the second time as he had addressed the gathering earlier, in line with alphabetical order.
 
On 26 June, The Express Tribune reported that the defence ministers of the Shanghai Cooperation Organisation (SCO) were unable to adopt a joint statement at their meeting in Qingdao, China, after India refused to sign the document, claiming it was pro-Pakistan since it did not reference the Pahalgam terror attack. At the SCO meeting, Defence Minister Khwaja Asif condemned the recent terrorist attack in Pahalgam, urging the international community to hold the perpetrators and their financiers accountable. He also referred to the Jaffar Express bombing in Balochistan as an example of cross-border terrorism, along with stating that “unresolved conflicts as serious threats to global stability,” advocating for a peaceful resolution of disputes like Jammu and Kashmir and Palestine through dialogue and diplomacy. He also accused India of sponsoring and supporting terrorism in Balochistan and Khyber Pakhtunkhwa, “where groups like the BLA and TTP are operating from Afghan soil.”
 
On 27 June, an editorial in The Nation titled “
Indian Isolation” claimed that India is isolated in the global order. The editorial argued that India sought to isolate Pakistan but has, in turn, isolated itself, which was demonstrated by India’s stance not to sign the joint declaration at the SCO summit, resulting in the bloc’s failure to adopt it. The editorial stated that this objection was premised on India’s demand to “include specific language linking the Pahalgam attack to Pakistan.” The editorial argued that India’s solitary position to single out a member of the SCO grouping was not accepted and that previous attempts indicated a similar pattern. The editorial claimed that New Delhi’s divergence with most Eurasian and Global South nations on the Iran-Israel conflict or its emergence as a “key obstacle” in the establishment of an alternative trading currency aimed at reducing dependency on the US dollar reflects a deeper shift. The editorial concluded by stating that India has abandoned “its once-promising role as a stabilising voice in a multipolar world.”
 
References:
Asif says Indian counterpart refused to sign SCO statement over speaking turn,” The News International, 27 June 2025
SCO refuses to toe India’s line,” The Express Tribune, 26 June 2025 
Indian Isolation,” The Nation, 27 June 2025
 
In Brief

POLITICS
Rawalpindi jail authorities deny CM Gandapur permission to meet Imran Khan
On 27 June, The Express Tribune reported that the concerned authorities at the Rawalpindi Central Jail, yet again, did not permit Khyber Pakhtunkhwa (KP) CM Ali Amin Gandapur to meet PTI supremo Imran Khan. CM Gandapur called out the federal government for enforcing “unjustified restrictions” on an elected CM and pledged and warned that PML-N would have to pay its price. CM Gandapur pointed out how he could have stopped PM Sharif from visiting KP. Further, he claimed that his not being allowed to meet Imran Khan goes against the constitution and questioned the independence of the judiciary. In addition to that, he questioned the Chief Justice of Pakistan regarding his response to the letters written to him by the PTI supremo.

On 27 June, an editorial in The News International titled “
Minus Imran?” stated that the passing of the KP provincial budget at midnight has brought internal cracks within PTI to light. The editorial mentioned the arguments put forward by KP CM Gandapur, PTI General Secretary Salman Akram Raja, and Aleema Khan, who is the sister of Imran Khan. CM Gandapur has defended his move to pass the budget at midnight, claiming it was to ward off a potential “crisis.” Meanwhile, Salman Akram Raja and Aleema Khan asserted that the hasty passage of the bill signifies the “minus Imran campaign” coming into force. The editorial defended CM Gandapur, claiming that he has to adhere to “deadlines” and cannot wait indefinitely for a meeting Imran Khan to get the latter’s approval. The editorial urged the PTI to accept the reality and suggested that it must look beyond the norm of one person having supreme authority over the party. The editorial also criticized the PTI for not wanting to negotiate with the government, in the hope that things would eventually fall in their favor. 
 (Qaiser Sherazi, “
K-P CM warns Centre of tit-for-tat response,” The Express Tribune, 27 June 2025; “Minus Imran?,” The News International, 27 June 2025)

ECONOMY
Punjab Assembly approves PKR 3.67 trillion in grants for key sectors like police, education, health, agriculture, and public health
On 27 June, The Express Tribune reported that the Punjab Assembly approved 36 out of 41 demands for grants worth PKR 3,667.71 billion for fiscal year 2025-26. The allocations for key departments are as follows: PKR 462 billion for pensions, more than PKR 910 billion for development expenditure, PKR 200.10 billion for police funding, PKR 15.16 billion for public health, PKR 258.97 billion for health services, PKR 137.53 billion for education, and PKR 26.53 billion for agriculture. Departments related to justice, jails, museums, and infrastructure also received significant allocations through approved demands. PKR 1,036.96 billion, PKR 125.23 billion, and PKR 9.54 billion were approved for miscellaneous expenditures, general administration, and housing planning, respectively. Cut motions were introduced by the opposition to express disapproval of the respective allocations and potentially reduce the proposed amount on grounds of “alleged mismanagement and poor performance.” All cut motions were rejected by a majority vote. (Rana Yasif, “Tensions flare as PA clears Rs3.67tr in grants,” The Express Tribune, 27 June 2025)
 

SECURITY
Khyber Pakhtunkhwa Governor discuss enhancing of religious harmony, inter-sectarian solidarity, and social tolerance with prominent Shia scholar
On 27 June, The Nation reported that the Governor of Khyber Pakhtunkhwa, Faisal Karim Kundi, met renowned Shia scholar, Allama Shahenshah Hussain Naqvi. Issues such as promoting religious harmony, inter-sectarian solidarity, and social tolerance in the province were discussed, considering the upcoming period of Muharram. Governor Kundi stated that the month of Muharram carries a “message of patience, unity, and sacrifice.” The governor cautioned that anti-state and anti-Islamic elements are attempting to damage sectarian unity and called for a collective effort by “all religious schools of thought to eliminate such conspiracies.” The governor highlighted that the Governor's House in Peshawar is playing a significant role in ensuring religious peace and interfaith unity, and that the consultation process includes scholars from all sects. The Governor’s initiatives were applauded by Allama Shahenshah Naqvi, who called them “timely and essential for peace and brotherhood in society.” Naqvi reiterated that it is Muharram that teaches the principles of “unity, sacrifice, and steadfastness” in upholding Islamic values even in the most tough conditions. (“Governor KP meets Naqvi, stresses sectarian harmony ahead of Muharram,” The Nation, 27 June 2025)

EXTERNAL
Second phone call between PM Sharif and Secretary Rubio: PM praises  US for the ceasefire between Iran and Israel
On 26 June, PM Sharif spoke to US Secretary of State Marco Rubio over the telephone. As per a communique released by the PM's Office, PM Sharif praised President Trump for his efforts in bringing hostilities between Israel and Iran to an end. Further, he also thanked President Trump for pushing India and Pakistan to agree to a ceasefire. As per the communique, PM Sharif and Secretary Rubio delved into the emerging circumstances in the Middle East region. PM Sharif reiterated Pakistan’s resolve to engage in a “constructive role” for ensuring regional peace. Marco Rubio assured PM Sharif of the US’s readiness to enhance engagements with Pakistan. As per Tammy Bruce, who is the spokesperson of the US State Department, Marco Rubio stressed on how Iran cannot be allowed to have “nuclear weapons” in his call with PM Sharif.

Separately, US consulates in Pakistan have asked Pakistani citizens who wish to travel to the US on F, M, and J visas to make their “social media” profiles “public” for inspection. The decision followed after the Trump administration instructed the reopening of “student visa appointment” facility. Earlier, the US had halted the granting of student visas as it intended to come up with changes in the process.
(“
Shehbaz, Rubio agree to deepen Pak-US ties in phone call,” The Express Tribune, 27 June 2025; “PM Shehbaz thanks US for brokering Iran-Israel truce, calls for deeper ties,” The News International, 27 June 2025; “US tightens visa rules for Pakistani applicants,” The Express Tribune, 27 June 2025)

Pakistan-UAE sign MoU on entry visa requirements
On 25 June, The Express Tribune reported that on 25 June during the 12th session of the Pakistan-UAE Joint Ministerial Commission (JMC) held in Abu Dhabi, Pakistan and the United Arab Emirates signed a Memorandum of Understanding (MoU) on mutual exemption of visa entry requirements. Pakistan’s Deputy Prime Minister and Foreign Minister, Ishaq Dar, and the UAE’s Foreign Minister, Sheikh Abdullah bin Zayed Al Nahyan, co-chaired the session. Multiple agreements were signed to give effect to the resolve of both countries to improve cooperation in areas such as investment, artificial intelligence, and the digital economy. The signing of a protocol also took place, establishing procedural mechanisms for follow-up actions, sectoral working groups, and reciprocal visits. Officials reviewed the full range of bilateral relations and agreed to pursue measures to increase cooperation in trade, banking, investment, information technology, defence, etc. The two countries stressed the need to strengthen institutional frameworks and promote inter-ministerial coordination to ensure progress on joint initiatives. Previously this month, Prime Minister Shehbaz Sharif made an official visit to the UAE, where he met with UAE President Sheikh Mohamed bin Zayed Al Nahyan. (“Pakistan-UAE sign MoU on mutual exemption of entry visa requirements,” The Express Tribune, 26 June 2025)

ON INDIA
 Lt Gen Asim Malik terms NSA Doval’s remarks on Operation Sindoor as “bundle of lies” at SCO meeting
On 26 June, The News International reported that Pakistan’s National Security Adviser (NSA) Lt Gen Asim Malik made his statement at the Shanghai Cooperation Organisation’s (SCO) meeting of National Security Advisors (NSAs) in Beijing, China. National Security Advisor of India, Ajit Doval, referred to Operation Sindoor as an action against terrorists. Conversely, Lt Gen Malik called Doval’s narrative a “bundle of lies.” Lt Gen Malik said India has become habituated to blaming others for its internal problems and failures. Further, he stated that there is evidence of the Indian state’s links with terrorists in Khyber Pakhtunkhwa and Balochistan. Lt Gen Malik emphasised that Pakistan’s “unparalleled sacrifices in the war against terrorism are evident to all” while accusing India of being hypocritical. (Hamid Mir, “Lt Gen Asim Malik debunks Ajit Doval’s allegations in NSAs’ meeting,” The News International, 26 June 2025)
 

On Pakistan delegation’s tour:
“Over an 11-day tour through key Western capitals, the Pakistani delegation delivered a powerful and consistent message,” argues an editorial in The News International

On 26 June, an editorial in The News International titled ‘Diplomatic win’ commended the government’s decision to constitute a high-level delegation, led by former foreign minister Bilawal Bhutto-Zardari, to visit various parts of the world. The editorial stated that the bipartisanship displayed by PM Shehbaz Sharif marked a “decisive moment” where Pakistan’s diplomacy “outmaneuvered India’s traditional advantage” on the international stage and increased Pakistan’s diplomatic heft. The editorial stated that the Pakistani delegation was successful in sending a strong message that India’s aggression poses a threat to regional and global stability. The editorial claimed that the response from the diplomatic community and international media was “striking” and that Pakistan successfully defeated India’s traditionally dominant narrative machinery.
 
The editorial argued that the delegation reframed the conflict not merely as a bilateral confrontation, but as a test of the international community’s commitment to adhering to international laws and principles of peace. Further, it pointed out that Pakistan made deliberate efforts to internationalize the conversation, positioning India’s conduct as “disregard” for international law, indicating a rise in authoritarianism. The editorial concluded by stating that Pakistan's military response, followed by its “robust” diplomatic efforts, has established that the country stands on the side of international law and peaceful resolution of conflict through dialogue. (“
Diplomatic win,” The News International, 26 June 2025)

WORLDVIEW
On Trump’s recommendation for the Nobel Peace Prize:
“The Government of Pakistan’s choice for the Nobel Peace Prize is a person who has bombed Iran’s nuclear sites while pretending to negotiate peace with Iran,” argues an editorial in Dawn

On 25 June, an opinion in Dawn titled ‘Peace Prize for the war maker’ criticised the Pakistan government’s decision to nominate US President Donald J. Trump for the Nobel Peace Prize in light of President Trump’s decision to attack Iranian nuclear facilities. The author accused President Trump of facilitating Israel’s attacks on Iran, speculating that all of these decisions are part of a larger project to eliminate China, which is “Pakistan’s proven friend,” as a “global rival.” The author asserted that the ceasefire between Iran and Israel announced by Trump on 24 June does not “diminish his responsibility” for the death and suffering caused by him to civilians in Iran and other Muslim countries, stating that “self-respecting Pakis­tanis” were embarrassed by this particular decision. The author cites Noam Chomsky, stating that every US president since World War II has been guilty of aggression against other countries without obtaining Congressional approval.
 
The author also highlighted Trump’s isolationist policies by citing his decision to place a travel ban on four judges of the ICC and the fact that the US has not ratified the ICC statute. The author also noted the developments between the United States, Iran, and the IAEA, stating that the United States did not facilitate a nuclear weapons-free Middle East because it wanted Israel’s nuclearization, and that President Trump backtracked on the Joint Comprehensive Plan of Action (JCPOA). The author claimed that Trump’s second term coincided with declining trust in European and Nato countries evaporating, due to their negligible moral credibility, thereby clearing the way for US wars in the Middle East. The opinion concluded by claiming that Pakistan has accumulated “a significant measure of international respect” in the recent conflict with India, crediting technical training and assistance from China, questioning what assessments China will make of Pakistan, which is pandering to its “arch foe,” which is the United States of America. (Ashraf Jehangir Qazi, “
Peace Prize for the War Maker,” Dawn, 25 June 2025)
 

On the urgent need for renewed focus on Gaza:
“Now that the war between Iran and Israel has subsided, the world’s attention must urgently return to Gaza,” suggests  an editorial in Dawn

On 25 June, an editorial in The Nation titled “Humanity’s Stain called for renewed attention to the conflict in Gaza amid the ceasefire declaration between Israel and Iran. The editorial claimed that Israeli occupation and the violence in Gaza have not only continued but have escalated. The editorial raised the issue of weaponization of food, claiming that the people of Gaza are being lured towards aid distribution points “where civilians desperate for food are being massacred.”

The editorial highlighted that Israel has elevated its scale of attacks, eliminating “over a hundred people daily on average,” displaying immense cruelty. The editorial argued that the ongoing genocide in Gaza is distinct because it is “methodical, public, and deeply humiliating execution.”
 
The editorial also drew focus to Western support given to Israel, claiming that the complicity of Western nations in the ongoing persecution will “forever stain the institutions they claim to cherish.” The editorial called for boycotting Israeli products, urging citizens to pressurise their national governments to reject Israel. The editorial concluded by stating that every individual should take a step, no matter how influential, to “return the Palestinian people their land, their freedom, and their dignity.” (“
Humanity’s Stain,” The Nation, 25 June 2025)




"Pakistan is a country of strange contrasts."

- An opinion in Dawn'Autonomy within'