Militant attacks continue in KP and Balochistan I On Torkham, a joint Jirga agrees to a ceasefire
In Focus
Decline in Largescale Manufacturing, Downturn in FDI and a Mixed performance in Textiles
Downturn in Largescale Manufacturing production
On 17 March, data released by the Pakistan Bureau of Statistics (PBS) highlighted a sluggish 1.22 per cent production at the beginning of the current fiscal in the Large Scale Manufacturing (LSM) sector despite a 1000 basis points cut in the monetary policy. The LSM has projected negative growth since August 2024, with October being an exception marked by a growth of 0.02 per cent. The following months returned to a contracting trend of 3.81 per cent in November and 3.73 per cent in December. Furthermore, the first seven months of the current fiscal witnessed a declining growth of 1.78 per cent compared to the same period in the previous year. Product groups like the food group fell by 2.67 per cent, and the iron and steel production fell by 11.96 per cent in the first seven months of fiscal 2025. However, during the same period, coke and petroleum, automobile, and pharmaceutical production saw a growth of 2.47 per cent, 45.74 per cent, and 1.96 per cent, respectively.
Mixed performance in the textile sector
In the first seven months of fiscal 2024, the textile sector grew by 2.08 per cent yearly due to a slight increase in export unit value amidst a higher external demand for textiles. This trend has continued as growth recorded between July 2024 and February 2025 rose by 9.31 per cent at USD 12.18 billion compared to USD 11.14 billion recorded in the previous year. However, textile and clothing exports have been “static” in the last two years, despite the installation of USD 25 billion worth capacity. This has been caused by structural issues where exporters have demanded the release of overdue refunds or rebates.
Decline in foreign direct investment
Pakistan’s foreign direct investment recorded a downturn of 45 per cent compared to USD 95 million in February 2025 compared to the same month in the previous year. However, the FDI volume increased by 41 per cent in the July-February 2025 period to USD 1.618 billion compared to USD 1.147 billion in the same period last year. The on-ground realities of Pakistan are such that the government is seeking to attract foreign investment into the country. But the growing threat of terrorism is preventing potential investors from advancing funds. Furthermore, economic experts believe there is no immediate room for higher inflows as the current situation is uncertain. Pakistan’s inability to privatize its state-owned enterprises is evidence enough of its perpetual economic and political unpredictability.
References
Mubarak Zeb Khan, “Big industry production shrinks 1.22pc in January,” 18 March 2025, Dawn
Mubarak Zeb Khan, “Textile exports post paltry growth,” Dawn, 18 March 2025
“Foreign direct investment plunges 45pc,” Dawn, 18 March 2025
In Brief
ECONOMY
On Pakistan’s Sugar Crisis:
Pakistan’s powerful sugar cartel is “using its political clout to extort concessions,” says a Dawn editorial
On 18 March, an editorial titled “Sugar crisis,” in Dawn highlighted the urgent need for market reforms and regulations amid inflating sugar prices. The retail prices have reached PKR 180 per kilogram from PKR 130 per kilogram since January despite the ongoing crushing season, and the sugar sector’s promises to prevent retail prices from exceeding PKR 140-145 to export excess stocks. This being the case the government has not responded desirably, the editorial claims. Instead of holding “powerful” sugar cartels with significant political influence accountable, the government has sought to import raw sugar. The current sugar shortage is not marked by the product’s scarcity and importing and selling it at a subsidized value during Ramzaan will only prove to be expensive and bring short-term relief. Hence, such a situation demands a need for the government to deregulate the sugar trade, stop determining the prices of cane crops and sugar, and control the import and export of the same. By contrast, the market forces should be allowed to determine the retail prices of sugar and the profits of manufacturers and traders. (“Sugar crisis,” Dawn, 18 March 2025)
ENVIRONMENT
30 to 35 million acre-feet of rainwater lost every year, claim experts
On 18 March, a report in The News International highlighted Pakistan’s loss of 30-35 million acre-feet of rainwater every year due to improper storage and flooding. Water management experts suggest it is equivalent to the storage capacity of dams like the Tarbela and Mangla and can be potentially preserved by constructing reservoirs or recharge wells. Besides, Pakistan receives an annual rainfall of 300-1000 millimeters, which has been exacerbated by the effects of climate change in recent years as in August 2024 alone rainfall was 142 per cent higher than normal levels. Amidst a booming population, the demand has grown in the last five years from four million acre-feet to more than 10 million acre-feet. This is compounded by the extraction of groundwater without recharging, causing the water level and quality to decline at a rapid pace. On the administrative and government side, neither the federation nor the provinces have made efforts to store and utilize rainwater in major cities. This in turn has led to the mixing of more than 30 million acre-feet of rainwater in urban areas with sewage water, claimed experts. (Shehbaz Ahmed, “Pakistan wastes 30 to 35maf rainwater annually,” The News International, 18 March 2025)
GENDER
On Aurat march: “Patriarchy thrives on invisibility and silence and when women and gender minorities step into public spheres, they disrupt the status quo,” argues an opinion in The News International
On 18 March, in an opinion titled “Patriarchal anxiety and Aurat March” in The News International, Dr Farzana Bari highlighted the importance of the Aurat March within the context of Pakistan. The author began by outlining the evolution of the observation of International Women’s Day in the country. She notes that it is rooted in the state’s history since independence. Low-profile gatherings, seminars, or conferences funded by government departments or non-governmental organizations would be held in observance of women’s rights in the past. However, a dramatic shift has been witnessed since the emergence of the Aurat March in 2018. It has become an ardent force that has sparked controversy and inspiration among many as it has provided a platform for women, trans-genders, religious minorities, and allied males. It has the element of inclusivity and mass participation that speaks against gender inequality and injustice, often challenging the private patriarchy that prevails in society. This has not been well received by conservative and religious groups. The opinion highlighted how slogans like ‘Mera jism, meri marzi’ (My body, my choice) and ‘Apna khana khud garam kar lo’ (Heat your own food) have become the bone of contention. From one perspective, these statements suggest female bodily autonomy. On the other hand, they depart from the traditional belief of women being the male’s property. These beliefs are radical and digress from the societal norms of the women’s service provider role and unpaid domestic labor. In response, conservative forces have viewed it as a “threat to their social and religious privileges,” and “launched propaganda campaigns to discredit its legitimacy.” They have argued that it is an attack on culture and religion and even resorted to physical forms of violence like stone pelting, baton charges, and even tried filing blasphemy cases against the movement’s participants. However, despite such threats and bureaucratic hurdles, the event organizers have remained committed to “reclaiming and protecting public spaces.” In this regard, the author argued that its significance was not just it being a symbolic representation of marginalized groups in public but also “a powerful act of resistance against patriarchal norms.” (Farzana Bari, “Patriarchal anxiety and Aurat March,” The News International, 18 March 2025)
SECURITY
Special Counter Terrorism Wing to be formed to fight terrorism in Balochistan
On 17 March, Director General of Balochistan Levies Force Abdul Ghaffar Magsi informed that a “Special Counter-Terrorism Wing” will be constituted to further strengthen the security forces for combating security threats. The special wing will function with the Balochistan Levies Force. The Director General further informed that the special wing will emphasize on increasing cooperation with other units of “security forces and agencies” at the time of “operations” which are aimed to eliminate militants. This will help in confronting the dire state of the “security situation” in the province. It is anticipated that the special unit will play an important part in destroying militant networks. Magsi reiterated the resolve of security forces to exploit all “resources” in hand to combat the threat of terrorism in the province. The officers of the unit would also receive “special training” for confronting the militants. They would also have the “latest weapons and equipment.” The decision to formulate a special unit comes after the personnel of the Levies Force were unable to thwart terrorist attacks on multiple occasions. (Saleem Shahid, “Balochistan govt to set up counter-terror wing in Levies Force,” Dawn, 18 March 2018)
Multiple militant attacks in Khyber Pakhtunkhwa and Balochistan
On 18 March, Dawn reported on the occurrence of multiple terrorist attacks in Khyber Pakhtunkhwa and Balochistan in the last 24 hours. As per the security officials, gunmen on motorbikes killed a “lower head constable” in Bannu. The gunmen fled after killing the constable. Separately, on 17 March, unknown militants attacked a police station in Lakki Marwat, Khyber Pakhtunkhwa. The militants possessed “light and heavy weapons.” The police officers successfully thwarted the attack. None of the police officers were hurt during the exchange of fire which went on for 15 minutes. On another note, police officers informed that they have successfully dismantled known “hideouts” of militants located in Kurrum Par, Khyber Pakhtunkhwa. Separately, two terrorists were neutralized in Bannu. In another incident, on 17 March, the family of a police officer came under a “grenade attack” in Khuzdar, Balochistan. Militants on motorbikes hurled a grenade into the residence of the Station House Officer (SHO). The blast resulted in the wounding of five family members of the SHO. (“Six terrorists killed in KP attacks, gun battles,” Dawn, 18 March 2018)
On the deteriorating security situation:
“There is no time for partisan politics” argues an editorial in Dawn
On 18 March, an editorial in Dawn titled “A new direction” discussed the dire need for a new approach to combat the surge in terrorism across the country. The editorial mentioned that PM Sharif, Chief of Army Staff General Asim Munir and the Chief Ministers of four provinces will be meeting to delve into issues of “national security.” The editorial highlighted how Tehreek-e-Taliban Pakistan has been continually carrying out assaults in KP and the group has resurged after the Taliban took control over Afghanistan. The editorial also cited the recent hijack of the Jaffar Express and the killing of security officers in Noshki, Balochistan. The editorial urged the government to address the grievances of people such as “poverty, underdevelopment, lack of justice” etc in addition to engaging in military operations to root out the threat of militancy. The editorial opposed the finger-pointing among political parties and called it “counterproductive.” The editorial demanded that all the points mentioned in the National Action Plan must be implemented. (“A new direction,” Dawn, 18 March 2025)
On the resurgence of violence in Balochistan:
“Every provincial government has worked to consolidate power, enriching its own members” claims an opinion in The News International
On 18 March, an opinion in The News International titled “Tackling the BLA” delved into the issues that have led to the resurgence of violent attacks in Balochistan. The author points out the new realities in Balochistan which has resulted in a surge in violence across the province. There has been a significant surge in the numbers of educated middle class across the province who are below the age of 30. The educated young middle class is exposed to social media which has resulted in their “hypersensitiveness” and resentment as the provincial government has been unable to provide enough jobs in addition to the existing corruption and halt in development. The political elites of the province mainly comprised of tribal leaders have not addressed issues to improve the “underlying system.” The political elites have emphasized only the betterment of their family members. The author points out an ongoing “divide” among the common people and the government. The author claims that the tribal leaders engage in the political system only for personal benefits and when they are out of the system, they try to ignite “sub-nationalism.” The author also highlights how the provincial government has not empowered the local authorities. The author further claims that Balochistan saw “fair elections” since 1971, nevertheless, the elected people have resorted to “outdated governance styles” and have clung to “feudal-tribal interests.” Further, the author also claims that the surge in terrorist attacks in Balochistan is a result of the support the militant groups get from New Delhi. In addition to that, the Taliban government in Afghanistan has provided the anti-Pakistan militant groups with “logistical infrastructure” in their territory. The author urges the government to engage in “asymmetric warfare tactics” to eliminate the threat of terrorism. (“Tackling the BLA,” The News International, 18 March 2025)
AF-PAK
Jirga members from Afghanistan and Pakistan agree to a ceasefire
On 17 January, jirgas from Pakistan and Afghanistan met to discuss the tensions at the Torkham crossing. The meeting took place at Gumruk Custom Office in Afghanistan and went on for two hours. Movement of goods and people through Torkham border took a hit when skirmishes began between security forces of Pakistan and Afghanistan. Pakistani forces have raised objections over the building of a bunker by Afghanistan in the disputed region. They further informed their Afghani counterparts that any sort of unilateral action that leads to change in the status quo at Zero point would incur a “stern response” from Islamabad. The jirga members from Pakistan had put forward three demands – “immediate ceasefire,” putting a stop to the “construction of bunker” and “re-opening” of the crossing. As per the Mayor of Landi Kotal, the jirga members of Afghanistan have accepted the first two demands. On the third demand regarding putting an end to border closure, they would inform their counterparts about it later. The Mayor was hopeful of positive developments in the days to come. (Ashrafuddin Pirzada, “Talks continue to ease tensions, reopen Torkham border,” The News International, 18 March 2025; “Talks to reopen Torkham ‘end on positive note’,” Dawn, 18 March 2025)
INDIA VIEW
India stands in the way of regional peace, claims Foreign Office
On 17 March, the Foreign Office blamed India for obstructing the road to peace in South Asia. The Foreign Office cited India’s alleged “hegemonic ambitions and rigidity” which causes roadblocks in the path towards establishing regional peace. The accusations from the Foreign Office came after PM Modi gave an interview to Lex Fridman who is a US-based “podcaster.” The Foreign Office alleged that PM Modi intentionally did not talk about the dispute over Jammu and Kashmir. PM Modi in the podcast had alleged that Pakistan is carrying out a “proxy war” against India. The Foreign Office responded by commenting that “the remarks are misleading and one-sided.” The Foreign Office also pointed out India’s alleged involvement in terrorism in foreign countries. Further, the office also claimed that the Indian state is engaged in “oppression” of people living in Jammu and Kashmir. The Foreign Office also mentioned how it has been repeatedly calling for “dialogue” to solve disputes which also includes the dispute over Jammu and Kashmir. Further, it claimed that “anti-Pakistan” rhetoric originating from New Delhi results in bilateral tensions and hinders the likelihood of establishing “peace and cooperation.” (Baqir Sajjad Syed, “India slammed for holding regional peace hostage,” Dawn, 18 March 2018)
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PTI and its followers have crossed all limits in their enmity against Pakistan! Openly supporting terrorists and trying to defame the state. Such a party should never be allowed near power.
- PMLN
"The mother of all has come, the people have eaten without a trace!" "Those who think that inflation has reached a 10-year low will only be found in the graveyard," said the fake TikToker, referring to Chief Minister Maryam Nawaz's remarks to the people of Punjab province.
- PTI
May Allah's help and the prayers of the entire nation be with our captain. God willing, he will return soon.
- PTI Islamabad
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"Few of the Baloch "politicians" in the provincial and federal legislatures advocate dialogue."
An opinion in Dawn, 'No talks for Baloch'
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