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In Brief
EXTERNAL
Pakistan and China sign MoUs worth USD 4.5 billion in agriculture sector
On 21 January, Dawn reported that Pakistani and Chinese private sector entities signed 78 memoranda of understanding worth USD 4.5 billion at the Pak-China Agriculture Investment Conference in Islamabad, formally elevating agriculture as a priority sector under the second phase of the China-Pakistan Economic Corridor (CPEC 2.0). Briefing the media, Federal Minister for National Food Security and Research Rana Tanveer Hussain said the agreements aim to expand bilateral agricultural trade, modernise production and processing systems, and strengthen commercial partnerships between the two countries. The MoUs cover cooperation across 10 priority sub-sectors, including agri-machinery, food processing and value addition, meat and dairy, fruits and vegetables, fisheries, animal feed, cold chain systems, agri-chemicals and food-grade packaging. Of the agreements signed, 37 were business-to-business investment deals, 24 were joint ventures, and 14 were partnership arrangements. The government stated that dedicated monitoring units would be established within the ministry and at Pakistan’s embassy in Beijing to ensure implementation, with the broader goal of doubling Pakistan’s USD eight billion in agricultural exports over the next three years through investment-led growth and enhanced market access to China. (“MoUs for $4.5bn agri investment with China,” Dawn, 21 January 2026)
PAK-AFG
Pak-Afghan trade blockade forced by Kabul’s failure to act against terrorists, says PM Sharif
On 21 January, Dawn reported that Prime Minister Shehbaz Sharif said Pakistan was “forced” to impose a complete blockade on trade with Afghanistan due to the interim Afghan government’s failure to act against terrorist groups operating from its territory. Speaking at a national workshop in Islamabad, the prime minister said the closure, in place since mid-October 2025 following border clashes, came after repeated talks on counter-terrorism, which were mediated by Turkiye and Qatar, failed to yield results. He cited Kabul’s lack of commitment to rein in groups such as the TTP and BLA, referencing obligations under the 2020 Doha Accords, and warned that continued inaction had contributed to a resurgence of terrorism in Pakistan after 2018, particularly in Khyber Pakhtunkhwa and Balochistan. While acknowledging concerns raised by Pakistani exporters, PM Shehbaz said the blockade should not have occurred and stressed that peace and stability were in the shared interest of both countries. (“‘They forced us’: PM Shehbaz says Pak-Afghan trade blockade result of Kabul’s inaction against terrorists,” Dawn, 21 January,2026)
POLITICS & GOVERNANCE
Adiala jail sit-in abandoned by Imran Khan's sister
On 21 January, as reported by Dawn, on Tuesday night, as reported by the PTI media coordinator, Imran Khan's sisters abruptly ended their demonstration outside Adiala Jail to be part of another protest rally on Murree Road as the PTI workers moved towards Islamabad despite meeting with police resistance. A statement from one of the Khan sisters stated that the protesters were going to head towards Islamabad due to the authorities not granting them permission to meet Imran Khan. (“Imran’s sisters abandon sit-in near Pindi’s Adiala jail, head to Islamabad for protest rally,” Dawn, 21 January 2026)
MWM chief Raja Nasir Abbas appointed as Senate opposition after months-long delay
On 21 January, as reported by Dawn, Senator Raja Nasir Abbas has been chosen as the Leader of the Opposition in the Senate, a seat that remained vacant since August 2025 due to the disqualification of Shibli Faraz. The Chairman of the Senate, Yousuf Raza Gilani, revealed that the position remained vacant due to the case in court and that Raja Abbas had the backing of 22 opposition senators in the Senate. In his first speech, Abbas thanked Imran Khan, pledged allegiance to the constitution, and talked about the rising distrust in institutions, especially in the wake of the 2024 general elections. He also demanded the release of Imran Khan and other political prisoners and a halt to the political instability through dialogue. (“PTI-nominated MWM chief Raja Nasir Abbas appointed Senate opposition leader after months-long delay,” Dawn, 21 January 2026)
PM Sharif seeks to quell talk of Center-KP confrontation
On 21 January, as reported by The Express Tribune, PM Shehbaz Sharif delivered a wide-ranging speech concerning terrorism, federal-provincial relations and national development, stating the importance of unity amongst all four provinces to help the country progress, highlighting the negative impact of social media corrupting the youth mindset against the government. Additionally, he addressed the issue of internal terrorism within the country whilst assuring Pakistan’s efforts to combat these attacks, describing KP as an extremely important and strategic province and vowing to end terrorism in the province and the country as a whole. (“PM seeks to quell talk of Centre-K-P confrontation,” The Express Tribune, 21 January 2026)
ECONOMY
Auto loans grow for 13th consecutive month
On 21 January, Dawn reported that for the 13th consecutive month, auto loans in Pakistan grew as per data from the State Bank of Pakistan. Auto sales (cars, SUVs, Pickups and vans) in the first six months of FY26 recorded a 46 per cent rise with 88,322 units from 60,676 units in the first six months of FY25. As a result, auto loans accounted for PKR 319 billion at the end of December 2025. The growth in demand is majorly driven by new entrants, easing inflation, low interest rates and improving macroeconomic indicators. (“Auto loans rise for 13th month,” Dawn, 21 January 2026)
Weakening dollar raises risks for remittances and exports
On 21 January, Dawn reported that US dollar depreciation against Pakistan's rupee has raised concerns as the exchange rate hit PKR 280. Further decline against the Pakistan rupee will hurt remittances and the export market. In the case of remittances, which have increased by 10.6% in the first six months of FY26, further depreciation can lead the dollar to find a path into the black market. (“Dollar slide sparks economic fears,” Dawn, 21 January 2026)
JUDICIARY
SC upholds appellate jurisdiction in rent and family matters
On 21 January, Dawn reported that a three-judge Supreme Court bench headed by Chief Justice of Pakistan Yahya Afridi affirmed SC's appellate hierarchy under the 27th amendment. The bench overruled the office's objection, which contended that with the insertion of Article 175 F (1) (c) by the 27th amendment, the high court functioned as the final judicial forum in rent matters. The SC bench held that civil petitions concerning rent and family matters, previously adjudicated by the high courts under Article 199, are maintainable before it. (“Supreme Court upholds appellate jurisdiction in rent and family cases,” Dawn, 21 January 2026)
Editorials/Opinions
Politics & governance
Editorial, “Islamabad under siege,” Dawn, 21 January 2026
“The assault comes from multiple directions, each more brazen than the last. Consider what happened barely a stone’s throw from Parliament House itself: while legislators debated inside, Shakarparian contractors were busy deforesting a beautiful tract of land within sight of the nation’s seat of power. The trees fell and the earth was cleared, primed for mudslides once the monsoon arrives. Nobody in authority raised an alarm. The symbolism is almost too perfect: as we talk about governance, the very ground beneath our feet is being stolen.”
https://www.dawn.com/news/1968188/islamabad-under-siege
Judiciary
Editorial, “No private matter,” Dawn, 21 January 2026
“The Supreme Court’s recent judgement upholding the conviction of Khursheed Ahmad for the killing of his wife, Gulshan Bibi, is a searing indictment of how domestic violence is normalised and enabled in Pakistan. In language rare for judicial verdicts, the bench acknowledged “with a heavy heart” the cruel societal norms that force women back into the homes that are no less than a “living hell”. The judgement deserves to be read beyond courtrooms. Writing for the bench headed by Justice Muhammad Hashim Kakar, Justice Ishtiaq Ibrahim went beyond assessing the evidence, linking the murder to a wider chain of abuse. Gulshan Bibi had left her husband after repeated beatings, only to be persuaded by family elders to reconcile. That fatal decision, rooted in social pressure, stigma and misplaced notions of family honour, ended up costing her her life. Sadly, this pattern extends well beyond one household. Families often act as unwitting enforcers of abuse, prioritising marital continuity over women’s safety. Law enforcement, too, frequently treats domestic violence as a private matter — until it is too late. Protection mechanisms are weak in Pakistan. Shelters are hard to come by and prosecutions rare, unless death is part of the equation.”
https://www.dawn.com/news/1968190/no-private-matter
Eonomy
Editorial, “External weaknesses,” Dawn, 21 January 2026
“For now, Pakistan’s return to a current account deficit in the first half of the fiscal year is less a cause for worry than a reminder of how fragile the external balance remains once growth resumes. The current account has slipped back to a $1.17bn deficit in the first six months of the year — following a surplus of $957m in the same period last year and $2bn over the full year. But the gap remains within the FY26 target of $2.1bn, or 0pc-1pc of GDP.”
https://www.dawn.com/news/1968192/external-weaknesses
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