|
In Brief
POLITICS
Chaudhry Pervaiz Elahi arrested again
On 1 September, after Lahore High Court (LHC) ordered the National Accountability Bureau (NAB) to release the former chief minister of Punjab from their custody, the Islamabad police detained Chaudhry Pervaiz Elahi again. The Lahore High Court explicitly forbade the Punjab Police, anti-corruption organizations, the National Accountability Bureau, and other law enforcement agencies from detaining Pervaiz Elahi in connection with any FIR, inquiry, or preventive detention-related laws. Later, Islamabad police posted on X "Parvez Elahi has been arrested under 3 MPO following a district magistrate's order." (Wajih Ahmad Sheikh, “In violation of LHC orders, Elahi captured again,” Dawn, 2 September 2023; “Elahi rearrested under public order law after being released,” The News International, 2 September 2023)
"It is not a very serious issue," PM Anwaarul Haq Kakar on inflated electricity bills
On 1 September, the caretaker Prime Minister Anwaarul Haq Kakar addressed prominent journalists and news anchors stating that “It is not a very serious issue, but political parties are in election mode and using it as a social cause,” when asked about the country wide protest against hike electricity bills. According to Kakar, the government recently launched Special Investment Facilitation Council (SIFC) plan is expected to attract an estimated USD 60–70 billion in foreign investment over the course of the following three to five years. He said that other investments of a comparable size had been promised and pledged to the temporary administration. (Syed Irfan Raza, “PM Kakar orders crackdown on smugglers as sugar prices go up,” Dawn, 2 September 2023)
ECONOMY
Ten main economic threats, identified by the Finance Ministry
On 1 September, according to the finance ministry report, the economy is in a precarious state. Total public debt has increased from PKR 23.02 trillion in 2017–18 to PKR 54.39 trillion by the end of March 2023, while external debt and liabilities have increased from USD 95 billion in 2017–18 to USD 126.1 billion. As per to the ministry, Pakistan's external debt accounts for 40.8 per cent of the country's total public debt, which may put the government's fiscal position at risk in the face of significant current account deficits, a lack of foreign exchange reserves, and a declining exchange rate. The entire public debt of the government has increased over the last five years and now exceeds the FRDL Act's 60 per cent of GDP ceiling. This is primarily owing to persistent fiscal deficits that, since 2010, have averaged 6 per cent of GDP and contributed to a sharp increase in debt. The Fiscal Risk Statement (FRS) for 2023–24 identified ten major sources of fiscal risk, including macroeconomic instability, mounting debt, state-owned companies (SOEs) that are losing money, and other potential threats and unclear factors. (Mehtab Haider, “Ministry identifies 10 key risks to economy,” The News International, 2 September 2023)
Increase in train fare
On 2 September, following a dramatic spike in the cost of petroleum products, Pakistan Railways (PR) has increased train tariffs by 5 per cent, thus aggravating the plight of the average person for whom it was a reasonably affordable form of transportation. All passenger, intercity, and mail express trains now cost more thanks to its administration. 5 per cent more has been added to the fees for luggage and packages. For the second time in the previous 16 days, railway fares have gone up. As of today, Saturday, the new rates will be in effect. ( “Train fares jacked up by 5%,” The Express Tribune, 2 September 2023)
|
