NIAS Area Studies


PAKISTAN READER

PR DAILY BRIEFS

Photo : Reuters

Merger of 82 departments I Pakistan plans to borrow USD 4 billion from Middle East

SECURITY
Security situation in Balochistan deteriorates after militant attacks
On 27 August, new developments were reported by Dawn stating the deteriorating security situation in Balochistan. In earlier attacks launched by militants, which led to the death of 23 bus passengers, the explosion of a railway bridge in Bolan, and an attack on a hotel. Speaking about the train incident, Senior railway official, Muhammad Kashif said: “Explosives were used to attack our main bridge routes yesterday, which has stopped trains from travelling to other parts of the country.” In a separate development, three unidentified dead bodies sustaining bullet injuries were discovered in the Nasirabad district and investigations have been launched. On the same day, six militants were shifted to the Civil Hospital Quetta for “autopsy and identification” and in Panjgur town, unidentified motorcyclists opened fire at two civilians, killing them on the spot. (Ali Jan Mangi, “Forces hunt militants after rampage in Balochistan,” Dawn, 28 August 2024)

PM Sharif on counter-terrorism measures says the “time for wiping out terrorism has come”
On 28 August, at a cabinet meeting the Prime Minister, Shehbaz Sharif, discussed counter-violence measures to curb further attacks on civilians across the country. The PM said that all resources would be directed to support the armed forces, even if it meant that funds would be cut from other expenditures. The cabinet backed the Economic Coordination Committee’s decision to allocate PKR 60 billion for “Operation Azm-i-Istehkam.” He also mentioned that doors for dialogue were open to those who respected the Pakistani constitution and national flag. The PM referred to cross-border terrorism by Tehreek-i-Taliban Pakistan (TTP) and the recent violence in Balochistan. He criticised perpetrator’s goal of creating an anarchic environment and hampering progress. He said: “They want to disrupt the development of Balochistan and other parts of the country through the China-Pakistan Economic Corridor.” On the other hand, Deputy Prime Minister, Muhammad Ishaq Dar stated that Baloch separatists will be provided a platform to express their concerns to the government and that “violence in the name of anger” would not be tolerated. He called upon political actors to “sit together and find a practical way forward to eliminate terrorism and bring about economic stability.” (Khaled Kiani and Ifthikhar A. Khan, “PM shows mailed fist to militants, offers talks too,” Dawn, 28 August 2024)

POLITICS
Federal Cabinet approves merger of 82 departments
On 27 August, at a federal cabinet meeting, the abolition and merger of 82 departments and agencies and the division of 40 was approved. A committee was formed to provide recommendations on the government’s rightsizing of the departments and agencies, and how employee rights could be protected. Finance Minister, Muhammad Aurangzeb disclosed some of the committee’s recommendations. In the first phase, the committee recommended rightsizing in six ministries as it would enhance human capital utilisation, reduce inertia in policymaking, and even end delays in the implementation of decisions. The cabinet was informed about the reduction in government expenditure and the prime minister’s austerity policy. The austerity policy consists of a ban on the purchase of new vehicles, foreign visits, and new hires on public expenses. The committee also called upon the abolishment of regulatory bodies, especially in the health and education sector. As a result, state universities and hospitals will be run under the Public Private Partnership model, with the help of corporate boards. Additionally, the Prime Minister was quoted for giving governance high priority by introducing smart management systems and digitisation in the government sector. (“Cabinet okays abolition, merger of 82 depts,” Dawn, 28 August 2024)

JUI-F extends support to Jamat-e-Islami’s (JI) nationwide strike
On 27 August, Jamiat Ulema-e-Islam (F) leader, Maulana Fazlur Rehman announced his party’s support for Jamat-e-Islami’s (JI) nationwide strike on 28 August. Speaking at Khatm-i-Nabuwat conference, Maulana Fazl criticised the government for making living difficult for the common man. He linked hikes in prices and taxation to the International Monetary Fund’s demands. He said: “JUI-F fully supports the strike call and workers and business forums of the party should not only participate in it but also make this peaceful strike a success.” In a separate statement, JI chief, Hafiz Naeemur Rehman said that this strike is crucial, to pressure the government to extend relief to the general public and traders. (Ahmad Fraz Khan, “JUI-F throws weight behind JI’s nationwide strike today,” Dawn, 28 August 2024)

ECONOMY
FBR offers to amend statutory regulatory orders but will not amend Tajir Dost Scheme
On 27 August, the trader’s representatives visited the Federal Bureau of Revenue (FBR) to express their discontent to FBR Chairman Rashid Mahmood. The concerned group relegated that they are unhappy with the Tajir Dost Scheme which was implemented against the tax retailers, including big retail stores down to kiosk owners. Additionally, they expressed their grievances against the widening taxation base. Mahmood stated that the FBR would be inclined to resolve all legitimate issues but they will not pull back the Tajir Dost Scheme. He explained that the retail sector contributes to 20 per cent of the GDP and said: “We have no choice but to bring the retail sector under the tax net.” However, they were ready to amend the Statutory Regulatory Order (SRO) to ensure that shopkeepers don’t become victims of unfair taxation. On the political side of the issue, the scheme is set to pose a challenge to the Pakistan Muslim League (N) and Pakistan People’s Party as the protestors have received heavy support from JUI-F, Jamaat-i-Islami, and the Awami National Party. (Mubarak Zen Khan, “Traders take to streets against tax reforms today,” Dawn, 28 August 2024)

Government yet to secure USD 9 billion loan rollover for IMF approval
On 27 August, an official report revealed that the government was unable to collect USD 9 billion in debt rollovers from overseas commercial banks or bilateral lenders. The rollovers are a prerequisite for receiving the International Monetary Fund’s (IMF) approval for the USD 7 billion Extended Fund Facility (EFF). The government is required to secure USD 5 billion from Saudi Arabia, USD 4 billion from China, and USD 3 billion from UAE as a part of its rollover plan. Earlier, the IMF had scheduled the programme approval for 30 August, however, it was extended because Pakistan was unable to fulfill its debt repayments, on an external and domestic level. A further delay till October would prove difficult for the government as the IMF has directed it to issue a contingent budget to cover shortfalls in tax collection. (Shahbaz Rana, “Govt fails to secure $9b loan rollovers ,” The Express Tribune, 28 August 2024)

EXTERNAL
Pakistan plans to borrow USD 4 billion from Middle East, says Governor State Bank of Pakistan
On 27 August, Governor State Bank of Pakistan, Jameel Ahmad informed that they decided to raise USD 4 billion from commercial banks in the Middle East. This is an effort to overcome the USD 12 billion loan rollover from bilateral lenders, China, Saudi Arabia, and the UAE. On the side, the government has asked for an additional USD 1.2 billion from Saudi Arabia to overcome the USD 1.2 billion financing gap. Speaking about the reduction in interest rates, Jameel noted that it has helped lower inflation rates. The central bank had lowered the interest rates from 22 per cent to 19.5 per cent. He said: “Now we have to focus on growth and other related areas because those are also equally important for job creation and other socioeconomic issues.” (Shahbaz Rana, “Pakistan plans to raise USD4 billion from ME banks,” The Express Tribune, 28 August 2024)

US and China express solidarity with Pakistan after series of militant attacks in Balochistan 
On 28 August, The Express Tribune revealed that the Chinese Ministry spokesperson, Lin Jian, and the US embassy addressed the waves of terrorism in Pakistan, referring to the recent violence in Balochistan. The Chinese spokesperson said: “China stands firm against all forms of terrorism. We will continue giving staunch support to Pakistan in its effort to advance counter-terrorism operations, uphold social solidarity and stability, and protect the safety of the people.” Separately the US also expressed its solidarity with Islamabad through a tweet on social media platform X. It said: “Our hearts go out to the families and loved ones of those killed in yesterday's attacks. The United States will continue to stand shoulder-to-shoulder with Pakistan in its fight against terrorism.”  (“US, China plege support to Pakistan,” The Express Tribune, 28 August 2024)

 

Pakistan on Twitter

Good to see criminals The judicial system must change.
Federal Minister Rana Sanaullah Khan
- PMLN Digital 

"I have no hope of justice from the present government, I know I will not get justice. Will Maryam Nawaz give me justice? It is not possible. If it was Imran Khan, I would have accepted it." Conversation of the father of Hamza, a resident of Toba Tek Singh Chak 294, who was martyred in Balochistan
- PTI Khyber Pakhtunkhwa

It is the responsibility of the state to protect the life and property of every citizen. Every citizen has the right to travel from one province to another province. If the state implements the constitution, all problems can be solved
- Hamid Mir

 

 
 



 

"The state has gained ground with increasing alienation of the population that has been deprived of its democratic and economic rights."
-An opinion in Dawn, ‘Balochistan conundrum’ 

 

 

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