In Focus
56 per cent increase in FDI, says State Bank of Pakistan
On 18 February, data from the State Bank of Pakistan revealed a 56 per cent increase in foreign direct investments. In monetary terms the investments amounted to USD 1.524 billion within the July 2024-January 2025 period. Besides, the SBP data indicated that in January alone the net Foreign Direct Investment inflows were recorded at USD 194 million, compared to USD 170 million which was recorded at the same time last year. This rise has been attributed to the investments that have come in from China. The FDI from Chinese companies rose by 437 per cent at USD 634 million in the first seven months of the current fiscal. Investments from Hong Kong and the UK also reached USD 155 million and USD 148 million during the same period, respectively. In this regard, analysts suggest that such an increase is due to increased investor confidence which is a function of economic stability and economic reforms under the International Monetary Fund programmed. On the contrary, a current account deficit was recorded from a surplus of USD 474 million in the previous month to USD 420 million in January as exports surged higher than imports. Interestingly, it was a contrast to what the analysts believed as they had forecasted a surplus from an increase in imports and fall in remittances. AKD Securities Limited, Awais Ashraf highlighted the cause behind the deficit which was a “slowdown in other personal transfers during January” besides the trade deficit. (“Increasing investor confidence: FDI surges 56% to $1.52bn in July-January,” The News International, 19 February 2025)
PM Sharif wants to continue engaging with the US
On 18 February, PM Sharif in a discussion with Natalie Baker, who is US’s Charge d’ Affaires, reiterated Pakistan’s wish to cooperate with the new government in the US for enhancing bilateral relations. He emphasized the significance of cooperation between the two countries for combating the threat of terrorism especially propagated by groups like the Islamic State and the Tehreek-i-Taliban Pakistan. In addition to that, he enumerated the necessity to increase bilateral trade and collaboration in various other fields such as “IT, agriculture, health, education and energy.” Interior Minister Mohsin Naqvi who had recently visited the US for the new President’s swearing in ceremony stated that “positive results of the visit would be witnessed very soon.” Natalie Baker ascertained PM Sharif about US’s willingness to engage with Pakistan for achieving common goals and enhancing bilateral ties. Up until now, there has been no contact between the top dignitaries of US and Pakistan after Donald Trump assumed US Presidency. (“Keen to work with Trump admin, PM Shehbaz tells US envoy,” Dawn, 19 February 2025; “PM Shehbaz reaffirms ‘strong desire’ to work closely with Trump administration for improved ties,” Dawn, 18 February 2025)
Seven passengers from Punjab shot dead in Balochistan
On 18 February, 10 to 12 unknown gunmen opened fire on passengers traveling in a bus on National Highway in Rarkan, Balochistan. The assault resulted in seven people losing their lives. As per Barkhan’s Assistant Commissioner, the gunmen halted the bus and fired in the air. The gunmen, thereafter, entered the bus and checked the “identity cards” of the passengers. They abducted seven passengers from the bus and took them to a close by mountain. Security forces reached the spot only to see that all the seven kidnapped passengers were shot. The seven passengers belonged to Punjab. The concerned authorities have initiated a “search operation” to detain the culprits. After the assault, Balochistan CM Sarfraz Bugti issued strong criticism against the actions of the gunmen, terming it “heinous and reprehensible act.” He warned that terrorists “will face a strong response.” No terrorist group has “claimed responsibility” for the attack so far. (Salman Ashraf, “Gunmen kill seven bus passengers in Balochistan’s Barkhan,” The News International, 19 February 2025)
Nine killed in recent series of assault on aid convoy in Kurram
On 18 February, it was confirmed that nine people have lost their lives in the recent attack on the aid convoy traveling towards Parachinar in Kurram. As per the sources of The News, among the nine killed, five were security personnel. Two people who were involved in the attack also lost their lives. The police confirmed that post ransacking the aid trucks, the assaulters set the vehicles ablaze. Hamid Hussain who belongs to PML-N and is a member of national assembly voiced his distress regarding the government’s inaction. The K.P government has expressed its resolve to initiate a “clearance operation” in four regions of Lower Kurram which are Ochat, Mandori, Dad Kumar and Bagan. The local people residing in the four regions will be moved out before security forces engage in the operation. It is also decided that the process of razing down the bunkers would be accelerated.
On 19 February, an editorial in The Nation titled “Fragile Peace” discussed the recent series of attacks on the aid trucks traveling towards Parachinar in Kurram. The editorial highlighted how despite the signing of peace accord between the rival parties, violence in the region has not come down. The editorial alleged that militants who have got sanctuary in Afghanistan are involved in the ongoing violence in Kurram. Further, it claimed that the miscreants do not want to see peace in the Kurram and are working towards diminishing “Pakistan’s territorial control.” The editorial backed the recent decision taken by the K.P government to initiate a “military operation” to root out militancy in the region. The editorial appreciated the efforts of the Frontier Corps, Pakistan Army, Pakistan Airforce and intelligence agencies who have worked with the K.P government to ensure peace in the region. The editorial called for a larger “deployment of security forces” to eliminate the terrorists who use Afghan soil to launch attacks against Pakistan.
On the same day, an editorial in Dawn titled “Out of control” discussed the recent attack on an aid convoy traveling towards Parachinar in Kurram. The editorial mentioned how the first round of attacks resulted in the killing of an “army soldier.” Thereafter, the locals tried ransacking the trucks in the aid convoy. This resulted in the wounding of “five Frontier Corps (FC) personnel.” This was followed by the arrival of “FC Quick Response Force” at the spot. The response force suffered an attack from the militants which resulted in killing of “four FC personnel.” The editorial noted how Kurram is infamous for witnessing sectarian clashes. The editorial claimed that the militants present in the region do not care even for the old people or ill children in the region, given that Parachinar suffered from scarcity of food and medicinal supplies due to ongoing violence. The editorial expressed distress over how people were incited by the mosques in the region to engage in violence. The editorial suggested that the government must initiate steps to take full “control of the situation” in the region. Further, it suggested that the government must not tolerate any breach of the peace accord. ((Ali Afzal Afzaal, “Kurram convoy attack death toll rises to 9,” The News International, 19 February 2025; “Fragile Peace,” The Nation, 19 February 2025; “Out of control,” Dawn, 19 February 2025)
Read Also: (Abhiruchi Chowdhury, "The unending mayhem in Kurram," Global Politics, 31 January 2025)
In Brief
POLITICS
Three PTI senators suspended from the Senate
On 18 February, three Pakistan Tehreek-e-Insaaf (PTI) senators were suspended by the Senate Chairman Syedaal Khan Nasar for the ongoing session. This development comes a day after a bill aimed at amending the State Bank of Pakistan bill was tabled by PTI Senator Mohin Aziz. Subsequently, the bill was blocked when Chairman Nasar tried to top the disclosure of the vote count. This was met with an uproar from the opposition in the house. In this regard, he adjourned the house till 21 February and instructed the sergeant-at-arms to remove senators Aon Abbas Buppi, Humayun Mohmand and Falak Naz from the House. Chairman Nasar accused them of violating the sanctity of the house and challenging the chair’s authority by using “inappropriate” expressions. Earlier, during a question hour session, the PTI had chanted slogans such as “bring back Gilani” and demanded the resignation of the current chair. (Ifthikar A Khan, “Three PTI senators suspended for protesting Senate chairman Nasar’s move,” Dawn, 19 February 2025)
JUDICIARY
PTI lawyer urges the Constitutional bench to give weight to Article 10 A
On 18 February, the constitutional bench was urged to slash Sections 2 (1) (d) (i) and (ii) of the Pakistan Army Act as it took up a set of intra-court appeals filed against the October 2023 verdict that nullified the trial of civilians involved in the 9 May reference. While representing Arzam Junaid, who has been sentenced for six years for his involvement in the 9 May violence, Pakistan Tehreek-e-Insaaf secretary general and lawyer Salman Akram Raja argued that nowhere in the world are civilians trialed in courts that are not independent. Raja cited the reasons provided by Justice Ayesha Malik, in the 2023 decision. Justice Malik was of the opinion that since Article 10A provides citizens the right to fair trial and process, it is a fundamental right that cannot be compromised in the name of expediency. In this regard, Raja upheld the importance of the provision and said that such a trial requires an independent court instead of a military court because a court led by a colonel, executive officer or senior military officer cannot be independent irrespective of how severe the crime is. In this regard, counsel urged the constitutional bench to interpret the constitution in a correct manner as it was not bound by the 2023 verdict. He argued that making decisions on the basis of history or morality instead of the constitution would be detrimental while matching his views with that of former Chief Justice of Pakistan Faez Isa. The latter ruled that any interpretation that harbored personal views instead of constitutional interpretation is regrettable while hearing a review petition filed against Article 63 A. Linking this with the court martial, Raja opined that a court martial could be held while depriving civilians of their fundamental rights. He further claimed that the trial of civilians in court martial was against international “norms of fair trial.”. (Nasir Iqbal, “SC constitutional bench urged to strike down Army Act provisions under Article 10A,” Dawn, 19 February 2025)
ECONOMY
IMF review mission likely to arrive in Islamabad in the first week of March
On 19 February, a report in The News International highlighted the underlying importance of the first review set to be carried out by the International Monetary Fund, to Islamabad. As a part of the Extended Fund Facility of USD 7 billion, Pakistan is preparing for the arrival of the IMF review mission as it seeks waivers for its inability to fulfill certain conditions under the programme. Sources quoted by The News International suggested that the government may seek waivers for missing out on the deadline of the Agriculture Income Tax approval, the Tajir Dost Scheme, and the Wealth Fund and Asset Declaration Scheme. A source from the Finance Ministry also revealed that the review may take place in the first week of March. Besides, the government will also have to gain consensus from the staff mission on the major outlines in its 2025-2026 budget. However, if there is no consensus from both sides, the first review may conclude only after the budget is cleared in the parliament. This will take place ahead of the IMF Executive Board’s approval of USD 1 billion tranche by April 2025. (Mehtab Haider, “IMF review mission visit likely in first week of March,” The News International, 19 February 2025)
Government to deregulate petroleum prices, auction offshore blocks and focus on renewable and alternative energy resources
On 19 February, The News International revealed the government’s decision to deregulate prices of petroleum. With the objective of overcoming existing inefficiencies within the energy sector and drawing in investment by reducing fuel costs, oil marketing companies will be allowed to sell their products at competitive prices. While speaking at the annual Oil and Gas Conference in Islamabad, Petroleum Minister Musadik Malik shared that the country has suffered from inefficiencies in offshore oil and gas exploration. Unlike neighboring states, Pakistan has drilled only 18 wells in the last 60 years. Hence, an auction of 40 offshore exploration blocks and 31 onshore blocks has been announced. This too shall strengthen local energy production, Malik added. Besides, efforts are also being made to derive resources from tight and shale gas resources from the recent discovery of shale gas reserves by the Oil and Gas Development Company Limited (OGDCL). Moreover, the government plans to take advantage of renewable and alternative energy resources through green-hydrogen (oxygen-based) and blue hydrogen (ammonia-based) projects. (Israr Khan, “Govt to deregulate fuel prices, auction offshore blocks,” 19 February 2025)
On use of foreign funds: : “Unless it shifts its focus from brick-and-mortar projects to human development, no number of grants and loans can help the economy make impactful and sustainable headway,” argues an editorial in Dawn
On 19 February, an editorial titled “Hollow words,” in Dawn highlighted the frequent use of hyperbole by Pakistan’s ruling elites and the lack of social sector reforms. The editorial highlighted how the Country Partnership Framework under the World Bank Group will bring an inflow of USD 40 billion into Pakistan. In his speech on 17 February, Prime Minister Shehbaz Sharif expressed that the fund would open a “new chapter” for various sectors. However the figure is suggestive. In fact it depends “on the funds available with the lender over the plan’s 10-year life” and the “the implementation of reforms that our elites continue to resist.” Similar claims have been made in the past when the government assured the citizens of an investment of USD 100 billion from Gulf States to alter the economic landscape, however, in reality this number was reduced to a few billion dollars. In this regard, the editorial suggested that PM Sharif’s recent statement lacked lustre and came across as “hollow” to the people who are “struggling to survive.” In this regard, it called for the government to invest in human development and capital as a country with unskilled and uneducated people cannot contribute to its economic productivity. (“Hollow words,” Dawn, 19 February 2025)
SECURITY
Security forces neutralize 30 terrorists in Khyber Pakhtunkhwa
On 17 February, security forces conducted an intelligence-based operation in South Waziristan district of the Khyber Pakhtunkhwa province. As per Inter-Services Public Relations (ISPR), 30 terrorists were neutralized during the operation. Security forces thereafter carried out search operations to look for any remaining terrorists. President Zardari and PM Sharif appreciated the efforts put in by the security forces. President Zardari expressed his commitment towards complete neutralization of Tehreek-e-Taliban Pakistan (TTP) terrorists. He said “the entire nation is united against terrorism.” PM Sharif stated that the federal government would keep on thwarting the actions of militants. He said “the sacrifices of the sons of the soil will not go in vain.” Earlier, security forces were able to neutralize 13 militants in “five separate operations” in KP. In January, 30 militants were neutralized in “three separate operations” in KP. Pakistan is seeing a surge in militancy, particularly in its two provinces- Balochistan and KP. The surge in militant attacks comes after the TTP unilaterally withdrew from a “ceasefire agreement” with the government in 2022. (“30 terrorists killed in intelligence-based operation in KP’s South Waziristan: ISPR,” Dawn, 18 February 2025)
EXTERNAL
On Pakistan’s potential to act as a mediator between China and the US “an emphasis on balanced, multi-faceted foreign policy strategy is necessary,” argues an editorial in The News International
On 19 February, an editorial in The News International titled “Mediating peace” discussed why Pakistan must act as a mediator to diffuse the rivalry between China and the US. The editorial referenced PPP Chairman Bilawal Bhutto’s recent remarks on Pakistan possessing the capability to act “as a bridge” between China and the US. The editorial pointed out that the remarks from Bilawal Bhutto depict a call for a “pragmatic” approach. Pakistan must not tilt towards either China or the US and must be a “constructive partner” for both China and the US. The editorial highlighted how China is an important partner of Pakistan with both the countries engaging in CPEC partnership. Similarly, Pakistan also needs US’s assistance in combating terrorism and maintaining peace in the region. The editorial backed Bilawal Bhutto’s statement regarding US tilting towards India for resisting China might lead to disruption in “balance of power in the region.” The editorial claimed that Pakistan has the potential to have good relations with both China and the US, at the same time, it could also look for areas where it can cooperate with India. (“Mediating peace,” The News International, 19 February 2025)
On the decrease in the number of international migrants in Pakistan: “figures are indicative of Pakistan’s diminishing role as a destination country, despite its strategic location,” says an editorial in Dawn
On 19 February, an editorial in Dawn titled “Migration matters” discussed the necessity of implementing a “balanced migration policy.” The editorial highlighted how the number of migrants residing in Pakistan have come down. There were 6.2 million migrants who were residing in Pakistan in 1990. This number drastically came down to 3.94 million in 2010. In 1990, percentage wise, international migrants constituted 5.3 per cent of the total population. This number now stands at 1.7 per cent. The editorial highlighted how Pakistan wanting to send back “undocumented Afghans” in addition to a halt in “resettlement programs” by western countries has aggravated the worries of the refugees. The editorial suggested that the government must make improvements in its “border management and visa systems.” Further, it should create favorable conditions for luring skilled workers from other countries to work in Pakistan. In addition to that, the editorial suggested that Pakistan must emphasize upon “systematic data collection” of migrants so that better policies on migration can be formulated. (“Migration matters,” Dawn, 19 February 2025)
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The public is aware of those responsible for the cruel treatment of Imran Khan and Bushra Bibi at Adiala Jail. Your deceptive tactics and the illusions you have constructed have been exposed.
- PTI
"Allah has more great things to do from Imran Khan. Imran Khan himself has said that he will not accept slavery, he will accept death. The arrogance of Imran Khan's opponents is being crushed."
Aftab Iqbal
- PTI
You work hard and God knows the reward of hard work
You light a lamp and keep it, the wind knows, God knows.
It may or may not be complete, but it is not useless.
Keep asking for prayer, Shakir, prayer knows, God knows
#CMMaryamInNarowal
- Marriyum Aurangzeb
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"Many influential Pakistani Americans are now actively lobbying for Imran Khan’s release."
- An opinion in Dawn, ''Waiting for Trump’s call"
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