Photo : AFP
Photo : AFP
In Focus
63 people dead due to heavy rains and floods in Punjab, government declares state of emergency
On 17 July, the National Disaster Management Authority (NDMA) informed that 63 people in Punjab lost their lives due to rain and floods, which led the provincial government to enforce a “state of emergency.” The death toll in Punjab due to monsoon rain and floods since 26 July has climbed to 103. Moreover, the heavy downpour has resulted in the wounding of 393 others in the province. The NDMA further informed that the Pakistani army has deployed helicopters to rescue individuals stuck due to floods in Rawalpindi, Chakwal, and various other areas. People residing in flood-affected areas have been moved to other safer places. The deputy commissioner of Rawalpindi, after viewing the current situation, had announced a “one-day holiday” in the district and had asked the people not to venture outdoors. Punjab CM Maryam Nawaz had advised the people of Punjab to “cooperate” with the concerned authorities, adhere to the safety measures, and not to travel to flood-affected areas. (“Punjab declares emergency as torrential rains kill over 60 in a day,” The Express Tribune, 17 July 2025)
Pakistan, Afghanistan, and Uzbekistan sign trilateral agreement on Railway Project
On 17 July, Pakistan, along with Uzbekistan and Afghanistan, inked a “trilateral agreement” for working on a “railway project” which will link all three countries in Kabul. The agreement is known by the name of “Uzbekistan-Afghanistan-Pakistan (UAP) Railway Project.” The signing formalities saw the presence of Deputy PM and FM Ishaq Dar, Acting Foreign Minister of Afghanistan Amir Khan Muttaqi, and Foreign Minister of Uzbekistan Baxtiyor Saidov. The project entails the construction of a railway line linking Uzbekistan with Pakistan through Afghanistan and would give Central Asian countries “access” to Pakistan’s warm waters. The railway line is anticipated to be 640 km long, which would connect Termez in Uzbekistan, Hairatan in Afghanistan, and Kurram in Pakistan.
Separately, FM Dar convened discussions with the interim PM of Afghanistan, Mullah Hassan Akhund, acting Foreign Minister Amir Khan Muttaqi, and Interior Minister Sirajuddin Haqqani. FM Dar emphasized “security and border management” so that the two countries can increase “economic cooperation” and work towards enhancing “regional connectivity.” (“Pakistan, Afghanistan, Uzbekistan ink rail project deal,” The Express Tribune, 18 July 2025)
Pakistan to repay over USD 23 billion in external debt this year
On 18 July, The News International reported that Pakistan has to repay over USD 23 billion in debt in the current fiscal year. The USD 23 billion debt consists of over USD 12 billion, which needs to be paid under two categories, with the expectation of rollover from friendly countries. USD 11 billion needs to be paid to multilateral and bilateral creditors, international bondholders, and commercial lenders in the current fiscal year. There is a risk of its repayment if bilateral creditors do not grant a rollover out of the total foreign deposits. Further, foreign debt servicing requirements will require USD 500 million repayment in September 2025 on account of the maturity of the Eurobond. Additionally, according to the Economic Affairs Division, Ministry of Finance, for FY 2025-26. The total public sector external debt requirements amount to USD 15 billion, including USD 4 billion in SAFE Deposits from China. It is speculated that Finance Minister Muhammad Aurangzeb will be launching a Panda bond in the current fiscal year in accordance with the Medium Term Debt Strategy (MTDS). (Mehtab Haider, “Pakistan has to repay over $23bn external debt this year,” The News International, 18 July 2025)
In Brief
POLITICS
PTI calls out “inhumane and unlawful treatment” of Imran Khan and other jailed PTI members
On 17 July, PTI conveyed their distress over party supremo Imran Khan and his wife Bushra Bibi’s “alleged inhumane and unlawful treatment” in jail. The Central Information Secretary of the party, Sheikh Waqas Akram, alleged that Imran Khan was left devoid of “fundamental and basic rights.” He called out the alleged unfair “treatment” of the other party members who remain imprisoned, questioned the fairness of the judiciary, and criticized the “economic mismanagement” of the ruling coalition. He asserted that the party supremo did not have “access” to “newspapers, television, and books,” and that he was not permitted to meet friends and other members of the party in the jail. He pointed out how, in spite of an order from the court which allowed imprisoned members of the PTI to meet “six designated individuals,” the concerned prison authorities are not adhering to the same. He asserted that if Imran Khan is a threat to the “status quo,” the government should accept that he is the most popular leader in Pakistan. Further, he also pointed out the deteriorating health conditions of the other members of PTI, such as Shah Mehmood Qureshi, who have been imprisoned. He pleaded to the Chief Justice of Pakistan, informing him how his orders are not being followed by the concerned prison authorities. (PTI raises alarm over ‘inhumane’ treatment of Khan, Bushra in unlawful detention, The Nation, 18 July 2025)
JUI-F becomes the largest opposition party in Khyber Pakhtunkhwa provincial assembly
On 17 July, JUI-F increased its number in the KP provincial assembly to 18 after PML-N forfeited its claim for a “non-Muslim” seat, for JUI-F’s Gorpal Singh to occupy. Currently, there are 52 members who belong to the opposition party in the KP provincial assembly. 18 of them belong to JUI-F, whereas 17 belong to PML-N. 10 members in the provincial assembly belong to PPP, four belong to ANP, and three belong to PTI-Parliamentarians. PML-N's Dr. Ibadullah holds the position of leader of the opposition in the provincial assembly. PTI continues to hold the majority in the assembly with 92 members. Waseem Ahmad Shah, “JUI-F emerges as largest opposition party in KP,” Dawn, 18 July 2025)
PTI and the opposition reach an informal understanding on KP Senate seats
On 18 July, The News International reported that PTI and the opposition parties in KP have reached an understanding about allotment of senate seats. The province has 11 Senate seats in total. PTI has given tickets to six of its members, whereas the opposition has given tickets to five members, thereby ceasing the need for conducting elections. The rest of the candidates have withdrawn from the contest. As per the understanding, the government would have four general seats, one technocrat seat, and one women's seat in the senate. Opposition parties, on the other hand, would have three general seats, one technocrat and one women's seat in the senate. The reaching of an understanding between PTI and opposition parties was confirmed by the leader of the opposition in the KP assembly, Dr. Ibadullah. KP’s 11 seats in the Senate have been left unoccupied for close to 17 months. (Arshad Aziz Malik, “Breakthrough deal in KP: Ruling party to get 6 Senate seats, opposition 5,” The News International, 18 July 2025)
ECONOMY
Reko Diq Mining Corporation paid USD 28 million to the federal government
On 18 July, Dawn reported that Reko-Diq Mining Corporation (RMDC) has paid more than USD 28 million to the federal government in taxes, royalties, and community investments. Communications Manager of RMDC, Samia Ali Shah, stated that payments as of June 2025 include USD 17.5 million in royalties, approximately USD 3.8 million in taxes collected on behalf of employees and other entities, and USD 7.2 million in community investment. Additionally, she stated that Balochistan’s provincial government holds a 25 per cent partnership in the Reko-Diq project without investing directly. The venture is a 50-50 partnership between the Government of Pakistan and RDMC. (“Reko Diq paid $28m in taxes to Balochistan,” Dawn, 18 July 2025)
ENERGY, ENVIRONMENT & WATER
IMF obstructs government plans to construct Chenab dam amid IWT's abeyance
On 18 July, The Express Tribune reported that the International Monetary Fund (IMF) has rejected Pakistan’s proposal for the imposition of a 1 per cent water storage cess on goods to build dams. Instead, the IMF has suggested increasing the 18 per cent standard sales tax rate for financing any large-scale federal development programme. It is speculated that the IMF believed that any special levy reduces the flexibility in the budget, and the sales tax provides scope for such flexibility. Furthermore, the IMF did not wish to give control of the new cess to the Water and Power Development Authority (WAPDA). This development comes amid an expected revision in the cost of the Diamer-Basha dam and the requirement of funds for building a new Chenab dam over the Chenab river, which will require an additional PKR 800 billion. The water storage cess, which the government wanted to impose on every taxable product produced in the country, except electrical energy and medicines, was proposed to finance two mega water storage dams and build a new one in light of India’s decision to keep the Indus Water Treaty (IWT) in abeyance. Previously, the majority of the provincial governments refused to fund the early completion of the Diamer-Bhasha dam and the Mohmand Dam. (Shahbaz Rana, “Govt plans to build Chenab dam amid IWT row,” The Express Tribune, 18 July 2025)
EXTERNAL
Islamabad High Court refuses to issue stay order against repatriation of Afghans
On 18 July, Dawn reported that the Islamabad High Court has declined to grant a stay order against the repatriation of Afghans, ruling that the Court will not interfere with government policy. Justice Raja Inaam Ameen Minhas issued the judgment during the hearing of a petition filed by former senator Farhatullah Babar against the government’s decision to repatriate Afghan citizens possessing refugee registration cards. The advocate representing the petitioner, Umar Ijaz Gilani, requested the court to declare the government’s actions invalid until the case is decided. However, Justice Minhas asserted that the judiciary will not interfere in government policy matters such as these. The Judge observed that ‘no formal contract exists’, so no long-term protection can be granted to refugees, and no further protection can be granted beyond June 30, according to the government’s decision. (Malik Asad, “IHC declines stay on repatriation of Afghans,” Dawn, 18 July 2025)
White House refutes reports of US President Trump’s visit to Pakistan
On 17 July, The Express Tribune reported that the White House has formally dismissed reports claiming that US President Donald Trump is scheduled to visit Pakistan. A White House official stated that “a trip to Pakistan has not been scheduled at this time.” Similarly, a US embassy spokesperson in Islamabad stated, “we have nothing to announce.” Previously, Reuters reported, citing two local news channels, that Donald Trump is expected to visit Pakistan in September. The two news channels also claimed that Trump would visit India after arriving in Islamabad. One of the local news channels later withdrew the report and issued an apology for running “unconfirmed reports.” According to an earlier schedule, the US president is scheduled to make a state visit to the United Kingdom from 17 to 19 September. (“White House denies reports of Trump's visit to Pakistan,” The Express Tribune, 17 July 2025)
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