In Focus
Pakistan promises "complete support” for Saudi investment
On 6 May, Prime Minister Shehbaz Sharif assured Saudi investors that they would be “given complete support for joint investment” and ease of doing business under the Special Investment and Facilitation Council (SIFC). He made this statement during a reception for the visiting Saudi delegation led by the Saudi Assistant Minister for Investment, Ibrahim Al Mubarak. Sharif described the SIFC as a “model acceptable to the Saudi delegation,” confirming that “they are satisfied over existing opportunities.” Affirming that “time is not far off” when both countries “will ink agreements worth billions of dollars,” he stressed that both sides should “start the spadework for executing joint projects as the Saudi leadership and major investors are really keen to help Pakistan.” Sharif highlighted that while it is not the government’s job to do business, it has to offer a policy framework and remove all hurdles, which is why the Pakistani government remains committed to removing red tape. During the same reception, Al Mubarak appreciated Pakistan’s private sector’s response to proposals for investment, expressing confidence that the strong relationship between both countries would allow them to “achieve ambitious targets” for investment. He also appreciated Pakistanis working in Saudi Arabia, describing them as a “key plank in attaining the Saudi Vision 2030 which envisages a transformed Saudi Arabia.” (Syed Irfan Raza, “PM Shehbaz assures Saudi investors of ‘complete support’,” Dawn, 7 May 2024)
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Saudi delegation arrives in Pakistan for three-day visit aimed at boosting trade ties
On 5 May, a Saudi delegation led by Saudi Deputy Investment Minister Ibrahim Almubarak, comprising dozens of investors, arrived in Islamabad as part of a three-day visit to explore investment opportunities. As per Pakistan’s Commerce Minister Jam Kamal, the visit is aimed at enhancing trade ties between investors from both countries and identifying trade and investment opportunities in multiple sectors. Kamal also detailed that the Ministry of Commerce picked Pakistani companies for business-to-business (B2B) meetings with the Saudi investors, and that “leading” Pakistani companies would collaborate with at least 30 Saudi companies. During the meetings, local companies will present their business proposals to the Saudi delegation, targeting investment in sectors such as agriculture, mining, chemicals, energy, religious tourism, telecom, and aviation. Kamal remained optimistic that companies would finalize business deals during the B2B meetings, enabling greater economic cooperation between both countries. (Syed Irfan Raza, “Pakistan aims high as Saudi investors arrive,” Dawn¸ 6 May 2024)
Saudi leaders assure PM Sharif of continued support through investments
On 28 April, Prime Minister Shehbaz Sharif received assurances on investment from Saudi Arabia and was described as a “man of action” by the hosts of a special meeting of the World Economic Forum (WEF). He had taken a high-powered delegation of key ministers in charge of investment to hold discussions. The Saudi Minister for Investment, Khalid Al-Falih, assured Sharif by saying “Your mission is our mission.” Saudi Arabian Finance Minister Mohammad Al Jadaan stated that Pakistan is a priority for investment in the fields of agriculture, information technology, and energy, and a delegation of Saudi investors would soon visit Pakistan. Sharif met the Saudi minister for energy, who expressed interest in collaborating with Pakistan in various fields, and said he was in contact with private Saudi companies regarding investing in Pakistan. On the sidelines of the WEF meeting, Sharif met the IMF’s Managing Director Kristalina Georgieva and affirmed his government’s commitment to putting the country’s economy back on track. Georgieva said that the two “discussed policy reforms and strong decisions to address [Pakistan’s] challenges and create stronger sustained and more inclusive growth for the benefit all Pakistanis.” (“PM Shehbaz secures more investment assurances from Riyadh,” Dawn¸ 29 April 2024)
Saudi Arabia’s FM expresses hope for “significant benefits” from expanded investments
On 16 April, Saudi Arabia’s Foreign Minister, Faisal bin Farhan Al Saud, praised Pakistan’s proactive and business-oriented approach to seeking investments and said both countries would receive “significant benefits” from the expanded investments. While speaking at the Foreign Office (FO) with Pakistan’s Foreign Minister Ishaq Dar, Farhan noted that the countries would “continue to work for the economic prosperity and security of our region.” Farhan and a high-level delegation were in Pakistan for a two-day visit, to begin negotiations on prospective investment projects. Prime Minister Shehbaz Sharif and the Saudi crown prince, Mohammed bin Salman, had earlier met in Makkah, where it was decided to fast-track an initial USD five billion investment tranche under a larger Saudi commitment to invest USD 25 billion in Pakistan over five years. Saud said he was “impressed not just by the breadth of the opportunities that exist but also by the format [for facilitating investment],” saying this gives Saudi Arabia confidence to “move forward on those projects.” They will also be “moving significantly ahead on a multitude of opportunities.” During an investment conference co-chaired by the foreign ministers of both countries, Dar highlighted legal and administrative reforms that had been undertaken, underscoring the potential for Saudi investment in agriculture, IT, and mining. The Saudi delegation also met with President Asif Ali Zardari, who expressed Pakistan’s desire to make the relationship between both countries into a long-term strategic and economic partnership. Separately, at the FO, Saud spoke on the “humanitarian catastrophe in Gaza,” saying the world does not need more conflict or “confrontation.” (Baqir Sajjad Syed, “Saudi FM commends Pakistan’s investment strategy,” Dawn, 17 April 2024)
In Focus
SC suspends PHC’s reserved seats order, rules in PTI's favour
On 6 May, after admitting an appeal filed by the Sunni Ittehad Council (SIC), a three-member bench of the Supreme Court led by Mansoor Ali Shah, suspended a Peshawar High Court (PHC) order for the allocation of additional reserved seats to different political parties in national and provincial legislatures. The bench, comprising Justice Muhammad Ali Mazhar and Justice Athar Minallah, issued notices to all respondents and referred the matter to a three-member SC committee for the formation of a larger bench. Earlier on 22 December 2023, the Election Commission of Pakistan (ECP) stripped the PTI of its election symbol due to irregularities in intra-party elections; later, the SC upheld the ECP order and the PTI had to field its candidates as independents in the 8 February elections. These independents then joined the SIC and applied to the ECP for allocation of reserved seats, but on 4 March, the ECP dismissed the request as the SIC had not submitted its priority list of candidates for reserved seats before the polls. The SIC challenged the order in the PHC, which upheld the ECP’s decision on 14 March; subsequently, the SIC approached the SIC against the order.
In a three-page written order, the SC pointed out that the issue of allocation of reserved seats is linked to the foundational constitutional concept of a parliamentary democracy which says that the voice of the electorate is reflected in the composition of the assemblies. Authored by Shah, the order detailed: “Democratic mandate necessitates that the allocation of reserved seats enhances the representativeness of the electorate in the assemblies and upholds the principles of fairness and transparency in the electoral process. It is paramount to prioritize the integrity of the elections so that the parliament remains a true reflection of the will of the people.” Shah clarified that the “real issue is public mandate,” which is why the bench will “have to examine whether the PHC order protects public mandate or not.” He also questioned how it is “possible to give one party’s mandate to another party” without violating the “constitutional principles of proportional representation.” Minallah expressed similar sentiments, saying that “giving one party’s mandate to another directly deprives the people of their mandate,” adding that lawmakers elected on reserved seats are also representative of the people’s mandate. Further, he questioned where in the law it is written that a “registered political party cannot participate in elections without an electoral symbol.” Minallah observed that the ECP’s December order marked the first time that the largest political party in the country was deprived of its election symbol, and that reserved seats were given to other parties without a valid justification.
The ECP’s lawyer, Sikandar Bashir Mohmand, contended that the matter pertains to the SIC, which is not a parliamentary party, meaning the “court's discussion with regard to depriving the PTI of its election symbol [prior to the polls] is irrelevant.” He explained that the primary question facing the ECP is whether the SIC can be given reserved seats, while the secondary question is on the allocation of reserved seats to other parties. However, he claimed that the SC “put full emphasis on the secondary question while ignoring the primary question.” Mohmand also asserted that as per the Constitution, “independent candidates do not join any political party, the seats will be distributed among other parties.” Ultimately, Shah stated: “We are granting a stay in the appeal of the SIC and sending it to the SC committee for forming a larger bench. We will hear the case on a daily basis from 3 June.” (Jehanzeb Abbasi, “SC suspends PHC's seats allocation order,” The Express Tribune, 6 May 2024)
In Brief
EXTERNAL
PTI leaders hold talks with US Ambassador to Pakistan
On 6 May, US Ambassador Donald Blome met with the National Assembly opposition leader Omar Ayub along with other senior opposition issues and discussed multiple issues important to the bilateral relations between both countries, including accelerating projects and addressing climate change. Highlighting the importance of long-term reforms for sustainable economic growth, he affirmed the US’ continued support for “economic reforms, human rights, and regional security.” Blome also said the US would support Pakistan in engaging with the IMF. Separately, the PTI in a statement said that Asad Qaiser, Raoof Hasan, and Barrister Gohar Ali Khan were also part of the meeting, wherein the state of democracy, human rights, and rule of law in Pakistan was discussed. The PTI said the discussion included the “state invasion against people’s right to vote; declaratory and non-declarative restrictions on fundamental political freedoms and illegal administrative measures against freedom of expression and communication; ongoing series of extra-constitutional political revenge against hundreds of political prisoners.” Ayub had noted how Pakistan is “in the grip of a very serious political, constitutional and economic crisis,” with a “serious deviation from the Constitution” becoming a “prelude to the destruction of the economy.” (Irfan Sadozai & Abdullah Momand, “US ambassador Blome affirms support for human rights to opposition leader Omar Ayub,” Dawn, 6 May 2024)
ECONOMY
PPP’s Bilawal Bhutto sets up committee for talks on privatization with the government
On 6 May, PPP Chairman Bilawal Bhutto Zardari set up a committee for talks with the Centre after publicly opposing the government’s proposal to privatize loss-making public enterprises. The committee, comprising Sherry Rehman, Syed Naveed Qamar, and Saleem Mandviwalla, will “engage with the government over privatization issues.” Earlier, Zardari had asserted that the PPP would take up the privatization issue with the federal government, and convince them to choose public-private partnerships to restore entities including the PIA and Steel Mills. His views indicated differences between the PPP and PML-N over the matter of privatization, which also happens to be one of the main provisions in the structural reform programme with the IMF. Mandviwalla explained: “We would engage with the government, seek details of their [privatisation] programme and definitely look into its pros and cons.” He also noted how the idea of selling shares of a government entity and offering management control to private buyers “hasn’t worked,” which is why the “primary objective is to engage with the government, learn the details of their plan, and exchange thoughts on the subject.” So far, as per media reports, ten companies have expressed interest in acquiring major stakes in the PIA. (Syed Irfan Raza, “PPP forms body to engage govt on privatisation,” Dawn, 7 May 2024)
SECURITY
Organized Crime Unit busts international gang of drug traffickers in Lahore
On 7 May, Dawn reported that the Organized Crime Unit (OCU) of Lahore police caught an international gang, the ‘Jordan Gang,’ after a two-month covert operation. The gang members operated out of Central Asia, Mexico, Canada, and the US, and supplied highly expensive drugs in Lahore and Multan, with additional reports saying they sold drugs to select students of universities. A special team of the OCU headed by SP Furqan Bilal discovered the gang leaders’ network after some gang members arrived in Pakistan. OCU DIG Imran Kishwar detailed that members including Muhammad Ali, Uzair, Muhammad Nadeem, Samina Iftikhar, and Fatima Zahra were arrested during the overnight raid; however, the gang’s leader Ayub Khan (alias Jordan) is still at large. After the arrest, the OCU briefed Punjab’s Chief Minister Maryam Nawaz about the fraud. Kishwar stated: “Internationally, illicit substances were smuggled through reputable courier services with the complicity of corrupt officials while on the domestic front, the syndicate utilized online platforms and covert groups to facilitate the circulation of drugs within the country.” (Asif Chaudhry, “International gang of drug traffickers busted in DHA; 14 arrested,” Dawn, 7 May 2024)
Police officials arrest two ‘RAW agents’ following joint operation in Karachi
On 6 May, Korangi’s Superintendent of Police (SSP), Hasan Sardar, said that as part of a joint operation, a major terrorist bid was foiled by police and intelligence agencies as they arrested two ‘agents’ of the Indian spy agency Research and Analysis Wing (RAW). Two hand grenades, a nine mm pistol, and ammunition were also seized from them. Sardar claimed that the two individuals who had been caught were involved in the recce of a target pointed out by foreign elements, and would send images and information gathered during the recce abroad in exchange for millions of rupees from foreign banks. (“Raheel Salman, “'Terrorist bid foiled' as two 'RAW agents' arrested in Karachi,” The News International, 7 May 2024)
ENERGY/ENVIRONMENT
Danish ambassador to Pakistan suggests strategies to combat effects of climate change
On 7 May, The Express Tribune reported that while speaking at a workshop on Climate-Smart Reporting: Carbon Market and Equitable Development organized by the Sustainable Development Policy Institute (SDPI), the Ambassador of Denmark to Pakistan, Jakob Linulf expressed concern about the impact of climate change. He underscored the importance for both Denmark and Pakistan to devise strategies for averting risks to humanity and biodiversity, stating: “Denmark has faced a lot of challenges along the way and that’s why it wants to share its lessons learned with Pakistan so that it does not repeat the same mistakes.” Denmark has finished its green transition and has been able to transform its energy sector to a greener one based on solar, wind, and biomass. Linulf advised Pakistan to use carbon markets to improve the country’s economic situation and reduce carbon emissions for green development. With regard to this, he said: “Pakistan is facing double crises; economic crisis coupled with climate change as the 2022 floods inundated 1/3 of the country leaving millions of millions displaced and billions of dollars’ worth livestock, infrastructure and ready to harvest crops washed away.” Suggesting that Danish companies with sufficient technologies to address climate change could collaborate with their Pakistani counterparts, he called on business leaders to take the lead in influencing green transition. (“Call for strategies to avert risks of climate change,” The Express Tribune, 7 May 2024)
PR EXCLUSIVE UPDATE #13
PUNJAB WHEAT CRISIS
Interior minister says inquiry committee will not find any role played by Punjab in wheat crisis
On 6 May, Interior Minister Mohsin Naqvi said that the inquiry committee established to investigate the wheat scandal would not find any role of Punjab in the issue. He asserted: “The Punjab government was and is not concerned with the wheat import. The province procures grain from the local farmers and not from abroad. The import decisions are taken by the federal authorities.” Further, he added that the federal government is the “final authority about taking a decision on how much stock of a commodity like wheat must be ensured in the country, while Punjab has a specific procurement quota.” He also backed the federal government, saying the import decision was not in bad faith and accused the media of twisting statements made by former caretaker Prime Minister Anwaarul Haq Kakar. (“Probe to exonerate Punjab from wheat import scandal: Naqvi,” Dawn, 7 May 2024)
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Benazir Shaheed ANF Model Addiction Treatment and Rehabilitation Center in Lyari by Sindh Govt is state-of-the-art facility, battling this growing disease and providing comprehensive treatment and rehabilitation services to drug addicts and helping people reintegrate into society
-Sharjeel Inam Memon
Sindh government has launched an exciting initiative: tourist train service. These services are tailored to facilitate exploration of province's rich historical sites, offering visitors a unique journey through Sindh's cultural heritage.
-Shazia Nizamani
I appreciate the quick response of our CTD personnel in #Quetta who acted quickly and neutralised the terrorists. Once again, I forewarn the handlers and terror proxies not to test our resolve.
-Sarfraz Bugti
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Arifa Noor, ‘Something’s gotta give’
Dawn, 7 May 2024
“Decision-making has become even more chaotic. Dependent on when party leaders can meet Khan and who talks to the media after meeting him, the decisions at times are the famed ‘U-turns,’ while at others it seems that the entire lot is stuck at a roundabout, unable to locate any exit. Consider the choice of KP finance minister. It seems that the chief minister-designate was able to ignore Khan’s instructions because of his personal discomfort. Or the absolute confusion about who was going to be the party’s choice to head the Public Accounts Committee. For weeks, there was no clarity on whether or not Sher Afzal Khan Marwat, a missile who lands as often on the PTI as it does on its rivals, would be the party’s choice or someone else. The issue was resolved with the party choosing Sheikh Waqas, according to Dawn, but after much drama, with little logic.”
Javaid Jehangir, ‘Crisis of public trust’
The News International, 7 May 2024
“Trust is essential for governance; it is therefore necessary for governments to build it among the public. Successful implementation of policies is directly linked to the level of trust citizens repose in their governments. Citizen compliance with government policies is “either assumed or, alternately, achieved via coercion by law and enforcement”. In Pakistan we have recently seen the failure of the FBR’s trader registration campaign, which was based more on a coercive approach without extensive consultation with the key stakeholder.”
Editorial, ‘Impending slaughter’
Dawn, 7 May 2024
“Seven months into the slaughter, there are no signs of hope. In fact, UN Secretary-General António Guterres has said the Rafah invasion would be the “final nail in the coffin” for humanitarian activities in Gaza. From the looks of it, Israel will not rest until the entire Middle East is in flames. If and when that dark omen comes to pass, the self-professed guardians of the ‘international rules-based order’ will have no one to blame but themselves and their Israeli allies.”
Editorial, ‘Need for more judges’
The Express Tribune, 7 May 2024
“The judiciary is already walking a tight-rope as it is seized with concerns of the executive’s undue interference in its working. In such a premise, it is incumbent upon both the government and the courts to uphold the independence of judiciary and act responsibly as enshrined in the division of powers among the organs of the state. Increasing the number of judges and assuring their due prerogatives must not be compromised on political exigency contexts.”
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“A bloated government workforce
is hindering progress”
-An opinion in Dawn, ‘Extra baggage’
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