IMF rejects proposal to reduce property transaction tax and electricity tariff I Security forces neutralize 16 militants
In Focus
Zulfikar Ali Bhutto gets the highest civilian award, posthumously
On 23 March, at Aiwan-i-Sadr, President Asif Ali Zardari presented 69 recipients with civil awards to acknowledge their contributions in their respective fields. The recipients included foreign and national personalities who have achieved feats in the fields of education, literature, journalism, public service, diplomacy, research, and economy. Among the recipients, the late Prime Minister and founder of Pakistan People’s Party Zulfikar Ali Bhutto was conferred the highest civilian award, the Nishan-i-Pakistan, in recognition of his services to the people, Pakistan and democracy. According to a notification from the Inter-Services Public Relations, more than 750 awards were bestowed upon officers and soldiers of the Air Force, Navy, and Army. (Syed Irfan Raza, “Z.A. Bhutto posthumously awarded top civilian honour,” Dawn, 24 March 2025; “President Zardari grants military awards on Pakistan Day,” The Express Tribune, 23 March 2025)
IMF rejects proposal to reduce property transaction tax and electricity tariff
On 24 March, The News International reported that the International Monetary Fund (IMF) has rejected the Federal Board of Revenue’s (FBR) proposal to reduce transaction taxes on the property sector. However, officials claim that the IMF had earlier agreed to withhold tax of two per cent on property purchasers. Meanwhile, the Fund has expressed willingness to expand the USD seven billion Extended Fund Facility (EFF) and the Resilience and Sustainability Fund (RSF) before the Fund’s Executive Board releases the second EFF tranche. It is unclear as to how much RSF will be expanded but USD one billion will be added to the Climate Resilience Fund. The IMF has also rejected the government’s proposal to reduce electricity tariffs. Media reports highlighted a probable tariff cut of PKR eight per unit, however, no official announcement has been made yet. Additionally, a Prime Minister’s office notification announced that the existing prices of petroleum will be unchanged despite a fall in international rates. The surplus will be utilized to “cushion” the electricity relief package. However, it has not been approved by the IMF which is reviewing Pakistan’s economic performance during the first half of the current fiscal. An official quoted by Dawn said: The purported numbers did not work out in the apolitical software of the IMF.” (Mehtab Haider, “IMF says 'no' to FBR plea for reduction in property sector transaction rates,” The News International, 24 March 2025; Khaleeq Kiani, “IMF shoots down plan to cut power tariffs for now,” Dawn, 24 March 2025)
Security forces neutralize 16 militants
On 23 March, security forces managed to neutralize 16 militants attempting to trespass Afghanistan-Pakistan border. The incident took place in Ghulam Khan Kallay which is in North Waziristan, Khyber Pakhtunkhwa. The Inter-Services Public Relations (ISPR) criticized the Taliban government in Afghanistan for not being able to manage the border effectively. The statement from ISPR read “Pakistan has consistently been asking the interim Afghan government to ensure effective border management on their side of the border.” As per ISPR, the security forces remain resolved in combating the threat of terrorism and rooting it out of the country. Previously, the Khyber Pakhtunkhwa government had formulated a jirga to discuss contentious issues with the Taliban government. However, it is yet to get a go ahead from the federal government. Muhammad Sadiq who is Pakistan’s special envoy to Afghanistan highlighted how “peace and progress in Afghanistan” is extremely crucial for “regional stability.” In his address at the Pakistan’s embassy in Afghanistan, he stressed on how the “economic interests” of Pakistan and Afghanistan are intertwined. (Umer Farooq, “Cross-border infiltration bid foiled in North Waziristan,” Dawn, 24 March 2025)
In Brief
POLITICS & GOVERNANCE
Close collaboration between Punjab Information Commission, civil society and legislature imperative for PTRIA’s implementation: FAFEN report
On 24 March, Dawn reported on the Free and Fair Election Network’s (FAFEN) policy brief titled “Strengthening the RTI Framework in Punjab,” published as a part of its “Countering Disinformation through Information” initiative. In the report, FAFEN has called for close collaboration between the Punjab Information Commission, the Punjab legislative assembly and civil society to implement the Punjab Transparency Right to Information Act (PTRIA) 2013. Assessments by the FAFEN reveal that 80 per cent of the government departments were uncertain about their compliance with the PTRIA. Many public bodies failed to respond to FAFEN’s information requests within the stipulated time. The brief also delineated challenges linked to the appointment and removal of Information Commissioners and budgetary allocation to the commission. It also highlighted arbitrary interpretation of key terms due to ambiguity among other legal and operational issues. To address them, FAFEN has proposed amends to the PTRIA such as inclusion of clearer definitions regarding private recipients of public funds, government contracts, and provision of security to whistleblowers. (Ikram Junaidi, “Fafen calls for stronger RTI frameworks,” Dawn, 24 March 2025)
ENVIRONMENT
On carbon taxation: “It is essential to integrate the carbon tax into a broader carbon pricing strategy that aligns with Pakistan’s climate commitments,” says an opinion in The News International
On 24 March, in an opinion titled “Our carbon bill is coming due,” in The News International, Dr Abid Qaiyum Suleri discussed the EU’s introduction of the Carbon Border Adjustment Mechanism (CBAM) and what it means for Pakistan. The new mechanism is significant in global trade and climate policy as importers will be liable to purchase carbon certificates for goods that exceed the EU’s emission limits under its Emissions Trading System. Effectively, it will result in equalizing carbon costs. By 2030, the mechanism is expected to expand to all industries, including textiles which is Pakistan’s primary export sector.
Presently, Pakistan’s trade to the EU comprises 1.23 per cent of Pakistan’s exports to the EU under the CBAM. Textiles and clothing are not affected, yet. In this regard, Suleri argued that Pakistan ought to adopt environmentally compliant practices to maintain its competitiveness in the international market as several of its industries struggle with high energy costs. Besides, the EU is not the only one introducing such tariffs as Canada, UK, and China have also hinted at similar measures linked to “carbon pricing and greener supply chains.” For Pakistan, a domestic carbon tax could be a panacea that assigns a monetary value to emissions, mobilizing businesses and private entities to reduce carbon footprint and adopt environment-friendly technologies. This was also recommended by the International Monetary Fund (IMF) under its Resilience and Sustainability Facility. However, Pakistan “remains uncertain, particularly regarding its alignment with broader climate goals versus purely revenue-driven motivations.” It also requires a staff-level agreement approval with the IMF. Another issue is Pakistan’s administrative incapacity. With the existing tax machinery struggling to impose taxes, enforcing a carbon tax will be a challenge. Furthermore, the effective usage of revenue generated from the carbon tax is significant. Nevertheless, “a well-structured carbon tax could significantly benefit Pakistan.” Citing studies, the author highlighted how USD 20 per ton could reduce emissions by up to 36 per cent by 2050 in Pakistan. To become CBAM compliant and implement an effective carbon tax Pakistan ought to adopt the following strategies like integration of carbon tax into the country’s carbon pricing strategy, ensuring transparency of revenue use among others. (Abid Qaiyum Suleri, “Our carbon bill is coming due,” The News International, 24 March 2025)
On climate action:
Policymakers must “use whatever money we have in such a way that it helps create climate-resilient infrastructure and climate-adaptation measures,” argues an editorial in Dawn
On 24 March, an editorial titled “Climate action” in Dawn discussed Paksitan’s climate woes as it ranks among the ten most climate-vulnerable countries on the Global Climate Risk Index while contributing only marginally-less than one per cent to Global Green House Gases. The most recent disaster, the 2022 floods had cast light on the “kind of existential threat the cash-starved Pakistani economy must fight off to survive.” The shrinking glaciers in the north and the heightened levels of drought pose threats that are not a distant future. Domestically, the policymakers’ concerns over climate change have not immediately translated into policy reforms. On the international level, organizations and countries are too busy dealing with their own problems “to focus on and fund” Pakistan’s climate challenge. The country awaits finance pledged by the World Bank and the International Monetary Fund to launch climate-targeted initiatives. However, there is little evidence to prove the government’s assertions regarding the integration of “climate-resilient policies across” various sectors. Amid slow climate financing, policymakers ought to make do with available funds to create climate-resilient infrastructure and adopt related measures. Waiting for assistance and relief from outsiders will only worsen the country’s climate challenges. (“Climate action,” Dawn, 24 March 2025)
SECURITY
FIR lodged against Mahrang Baloch and several other BYC members for forcefully taking dead bodies of militants killed during Jaffar Express hijack incident
On 24 March, Dawn reported on a FIR lodged against Mahrang Baloch who heads the Baloch Yakjehti Committee(BYC). There are 150 more people against whom the FIR has been lodged, accusing them of forcefully shifting dead bodies from the moratorium and under “incitement to violence and various other offences.” Police alleged that members of BYC the barged into the moratorium and forcefully carried away the dead bodies of five terrorists who were killed by the security forces in the Jaffar Express hijack incident. Following the FIR, the accused will have to defend charges “under sections of Anti-Terrorism Act and Pakistan Penal Code.” The charges include “terrorism, murder, attempted murder, incitement to violence, rebellion, creating disorder, promoting racial hatred and property damage.” On 22 March, police had detained Mahrang Baloch along with 17 other people. The accused are currently placed in the Quetta district jail. The FIR lodged against members of BYC claimed that they were involved in provoking the miscreants to fire at the police. This had led to three civilians losing their lives and wounded 15 police officers. As a result of the clampdown, a number of cities in Balochistan witnessed “shutter down strikes.” (Saleem Shahid, “Mahrang, other BYC leaders face terror charges,” Dawn, 24 March 2025)
Balochistan National Party- Mengal to convene Balochistan Conference on security situation in the province
On 24 March, Dawn reported on the announcement from the Balochistan National Party-Mengal (BNP-M) regarding convening a “Balochistan conference” post Eid. Further, the party announced that it would “observe three black days” to mark their “protest” against the recent clampdown where BYC leader Mahrang Baloch and several others were detained by the police. The announcement for the conference came on 23 March from the BNP-M leaders Naseer Ahmed Shahwani, Agha Hassan Baloch, erstwhile governor Abdul Wali Kakar, Shafqat Langove and Sana Baloch. The BNP-M leadership highlighted the dire state of security in Balochistan. BNP-M is also calling for the freeing of imprisoned individuals, who they claim were not guilty of any crime. Further, the party alleged that there were some unknown dead bodies in the burial grounds of Quetta which has caused panic among people who have filed “missing persons” cases. The BNP-M leaders also called out the breach of human rights comprising of “house searches, violation of privacy,” shutting down of “educational institutions, etc. (Saleem Shahid, “BNP-M plans moot on Balochistan conundrum,” Dawn, 24 March 2025)
On the surge in violence in Balochistan: “military operations alone cannot bring lasting peace,” argues an editorial in The News International
On 24 March, an editorial in The News International titled “The Balochistan conundrum” discussed the need to look beyond military operations for resolving the dire state of security in Balochistan. The editorial took a note of President Zardari’s statements on national day where he expressed the state’s resolve to root out terrorism from the country. The editorial argued that the state must not only depend upon “heavy-handed approaches” for dealing with challenges such as the protests launched by the Baloch Yakjehti Committee (BYC). The editorial claimedthat “heavy-handed responses” from the state could aggravate the grievances of the Baloch population. The editorial cited the recent terrorist incidents- four laborers from Punjab lost their lives in Kalat and the killing of four police officials in Noshki, which underscores the challenges of the state. The editorial suggestd a military approach to neutralize the terrorists affiliated with the Balochistan Liberation Army (BLA). In addition to that, it also called for looking into the “socio-political and economic grievances” of the ordinary people of Balochistan. The editorial suggested that the government must infuse more funds into Balochistan’s “education, infrastructure” and for creating more job opportunities. Further, the editorial suggested that it must refrain from taking hard measures against common citizens such as detention of BYC leaders. (“The Balochistan conundrum,” The News International, 24 March 2025)
PAKISTAN OCCUPIED KASHMIR
On Gilgit Baltistan’s full constitutional status: “state must recognize the growing frustration and address their rightful demand for accession,” argues an opinion in Dawn
On 24 March, in an opinion Dawn titled “GB: undermined by ‘governance,” Afzal Ali Shigri discussed the absence of a provincial government in Gilgit Baltistan (GB). Shigri pointed out how Pakistan has not accorded a “full constitutional status” to GB owing to the dispute over Jammu and Kashmir. The author noted how the “local elected assembly” of GB only has limited authority that can at any point be taken away on the order of the Prime Minister. The author also highlighted the influence of national parties that control the politics of the region through their “local chapters.” As per the author, the local leaders are involved in repressing the demands of the people of GB. The author states that the local elected assembly is instructed to “maintain status-quo” in GB. This often results in bad decisions and “ineffective administration.” The author highlighted some of the major grievances of the people of GB such as people living in Chilas who were impacted by the construction of Diamer Bhasha dam, “delaying energy supply,” ensuring the interests of the local population and incomplete “hydropower projects.” The author argued that GB deserves a greater “share” in the China-Pakistan Economic Corridor projects. The author suggested that the government must look into the grievances of the people of GB in Pakistan’s “broader interest.” Further, it suggested that the local leaders must put forward their demand of “constitutional representation.” (Afzal Ali Shigri, “GB: undermined by ‘governance,’” Dawn, 24 March 2025)
AF-PAK
On the Pakistan-Afghanistan diplomatic talks: “engagement must move beyond reactive crisis management,” argues an editorial in The Express Tribune
On 24 March, an editorial in The Express Tribune titled “At the dialogue table” discussed the need to address structural issues that lead to tensions between Afghanistan and Pakistan. The editorial noted how Pakistan’s envoy to Afghanistan frequently travelling to Kabul underscores Pakistan’s keenness to continue diplomatic engagements with Afghanistan despite the ongoing tensions. However, the editorial claimed that the diplomatic engagements are only focused on the “immediate tensions” and not on the structural issues that have led to tensions between the two countries for so many years. The editorial notedhow political disagreements also lead to a halt in trade. The editorial highlighted how Pakistan has continually raised the issue of terrorism emanating from Afghanistan, however, it also noted how the latter has not done much to address the issue. The editorial suggested that the talks between the two countries must go past addressing just the immediate concerns. The talks must result in “measurable commitments” especially relating to security. (“At the dialogue table,” The Express Tribune, 24 March 2025)
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It is very easy to become the favored eye of the rulers, but it is a difficult task to make yourself and your family a target of the government for the sake of journalism. Governments come and go, and along with those who leave, their courtiers also become a thing of the past, but the courage of a journalist like Farhan Malik to refuse remains.
- Hamid Mir
Imran Khan's political war is not at all to gain power, but this war is a war to change the system and this political war is not for a few days to change everything by pressing a button, rather this war is going to be very long. You Pakistanis will have to bear it patiently and continue the political struggle because this war is a war of nerves and in a war of nerves, it is very important to control your nerves.
- Senator Azam Khan Swati
We, in collaboration with sugar mills, set up 274 stalls at the tehsil level across Pakistan during Ramadan where sugar is easily available at Rs.130 per kg. The impression being given through the media is not correct.
Rana Tanveer Hussain
- PMLN
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