Photo : The Express Tribune
NIAS Area Studies
PAKISTAN READER
Photo : The Express Tribune
In Focus
Remittances for the Financial Year 2025 increase by 27 per cent
On 10 July, The Express Tribune reported that for the financial year 2025, remittances increased by 27 per cent. Remittances for the financial year 2025 stood at USD 38.3 billion. However, there was a decrease of eight per cent in remittances for the month of June which stood at USD 3.41 billion in comparison to May. The remittance inflow in May stood at USD 3.7 billion. On the year-on-year increase in remittance flow, the Deputy head of Trading in Arif Habib Limited attributed the surge to the betterment in the financial circumstances of the gulf countries. Another factor which he pointed out was that government initiated the “formalization of remittance channels” which resulted in people moving away from using of “informal” channels to send remittances. According to him, the surge in remittances signify the growing trust of investors in country’s “banking systems.” The remittance from Saudi Arabia for the financial year 2025 grew by 26 per cent. This number was 41 per cent for UAE, 31 per cent for UK, and 29 per cent for EU countries. Remittances from US dropped by 13 per cent. Pakistan now features in the list of “top five countries” which obtains the maximum remittances.
On 10 July, an editorial in The Nation titled “Rising Remittances” highlighted how the financial planning of a country must not rely on the inflow of remittances. The editorial points out how the Middle East region, from where Pakistan draws a huge chunk of remittances, suffers from “political stability and economic uncertainty.” In addition to that, the editorial points out how in the future UK and US are likely to enforce stringent immigration rules which could take a toll on the inflow of remittances. The editorial appreciates the increase in remittances, however, calls for establishing a “self-sustaining domestic economy.” As per the editorial, the government must emphasize upon “industrialization, local productivity and export-oriented development.” (Usman Hanif, “Remittances hit record $38.3b,” The Express Tribune, 10 July 2025; “Rising Remittances,” The Nation, 10 July 2025)
Pakistan and Turkiye look to enhance bilateral trade and defence cooperation
On 9 July, PM Sharif held a meeting with Foreign Minister of Turkiye Hakan Fidan and Defence Minister Yasar Guler in Islamabad. The discussions also saw the presence of Chief of Amry Staff Asim Munir, and National Security Adviser and Director General of Inter-Services Intelligence Lt General Asim Malik. The two sides have pledged to surge bilateral trade volume to USD five billion. The foreign minister of Turkiye underscored the attempts to increase “bilateral trade” between the two countries and stated that both Pakistan and Turkiye are exploring areas of cooperation in areas like “mining, natural gas, oil and rare earth elements.” During the meeting, PM Sharif highlighted the historical friendly relations between the two countries. He expressed his content on the growing ties between the two countries and reiterated his country’s resolve towards enhancing cooperation with Turkiye in areas such as “trade, investment, technology, and defence. He also urged the firms from Turkiye to consider increasing their “investments” into Pakistan. The defence minister and foreign minister landed in Islamabad on 8 July and convened a number of meetings with the civil and military leaders.
According to the Inter-Services Public Relations, Pakistan and Turkiye have decided to formulate “joint working groups” to enhance cooperation in “aerospace technologies, advanced training and new domains of warfare.” The Turkish defence Minister appreciated the measures taken by the Pakistan Air Force during its confrontation with India and conveyed Turkiye’s interest to enhance “industry to industry partnerships.” The defence minister stressed on the need to come up with “joint ventures” in areas such as “unmanned aerial system, advanced avionics and pilot exchange programs.” Also, Turkiye and Pakistan have agreed to increase the number of “joint air exercises.”
(Kamran Yousaf, “Pakistan, Turkiye weigh aerospace partnership,” The Express Tribune, 10 July 2025)
PM Sharif vouches for providing easy loans to farmers
On 9 July, PM Sharif informed that reforms in agriculture sector would begin by providing “easy loans” to farmers. For providing easy loans, a “public-private partnership” would be embraced. He instructed the concerned departments to develop an overarching strategy for introducing “sustainable reforms” in agriculture sector. This would be done in cooperation with the provinces and the move is aimed to surge the production and bring down the costs of produce. The Prime Minister also directed speedy reforms in Zarai Taraqiati Bank so that farmers are able to access loans easily and in a “transparent” manner. PM Sharif highlighted how the development in agriculture sector would reap “benefits” to the farmers. Further, he stressed on the need for cooperation with specialists to modernize the sector. He also instructed to use the “agricultural zoning and value chain strategies” to increase the export of agricultural products. (“Agriculture reforms to begin with easy loans to farmers: PM,” The News International, 10 July 2025)
In Brief
ECONOMY
Government formulates new regulatory body to monitor “virtual assets and cryptocurrencies”
On 9 July, President Asif Ali Zardari signed the “Virtual Assets Ordinance 2025.” This has led to formulation of an independent body to monitor “virtual assets and cryptocurrencies.” The recently formulated regulatory body- “Pakistan Virtual Asset Regulatory Authority” (PVARA) has been authorized powers for thwarting illegal activities in accordance to international norms. The board of PVARA would consist of “State Bank’s governor, secretaries of finance, law and justice, chairpersons of Securities and Exchange Commission of Pakistan, Federal Board of Revenue and Digital Pakistan Authority.” The federal government would also appoint “two independent directors” who have specialized knowledge in “virtual assets, law, and finance.” According to the ordinance, anyone wanting to engage in “virtual asset services” would have to obtain license from PVARA. As per the ordinance, a Sharia Advisory Committee would also be established so that PVARA can take actions that ensure adherence to Sharia principles. (“Authority to regulate crypto and digital assets formed,” Dawn, 10 July 2025)
ENERGY, ENVIRONMENT & WATER
Nine people fall victim to flash floods across the country
On 10 July, The Express Tribune reported that nine people have lost their lives in the flash floods, landslides, and urban flooding” in various parts of the country. The floods are a result of intense “monsoon rains.” Several areas such as Islamabad, Lahore, Sialkot, Gujranwala, regions in KP and Balochistan are under “high alert.” The monsoon rains have resulted in causing huge damage in urban regions especially in the “low-lying” areas of Lahore, Faisalabad and Gujranwala. The rains have severely affected the traffic in these regions. Many of the roads remain choked because of “flooding.” The circumstances are worse in mountain regions of KP and “Gilgit Baltistan” because of the possibility of landslides. The water levels in rivers of both the regions of Pakistan Occupied Kashmir have surged, increasing the possibility of floods. In Balochistan, thunderstorms continue to impact areas such as Zhob and Sibi. (“Nine fatalities reported as flash floods hit Pakistan, PMD issues high alert,” The Express Tribune, 10 July 2025)
EXTERNAL
FM Dar to highlight Pakistan’s resolve towards “multilateralism and peaceful conflict resolution” at ASEAN Regional Forum
On 10 July, The Express Tribune reported that the Deputy PM and Foreign Minister Ishaq Dar would be traveling to Malaysia for participating in the Ministerial Meeting of ASEAN Regional Forum (ARF) which would take place on 11 July. The meeting would be attended by the foreign ministers of ASEAN Regional Forum countries in addition to the secretary general of ASEAN. The leaders are expected to delve into “political and security challenges” incurred in the Asia-Pacific area. The meeting would stress on enhancing “peace, stability, and multilateral cooperation.” As per the foreign ministry, Deputy PM and foreign minister Ishaq Dar would highlight Pakistan’s stance on “regional and global developments” and stress upon Pakistan’s resolve towards “multilateralism and peaceful conflict resolution.” It is anticipated that he would be having separate discussions with the Malaysian foreign minister and foreign ministers of other countries. He will also speak to the Pakistanis residing in Malaysia.(“Pakistan to participate in ASEAN forum,” The Express Tribune, 10 July 2025)
SECURITY
Five wounded in grenade attack in Kech, Balochistan
On 10 July, Dawn reported that unknown miscreants hurled a “hand grenade” at one of the houses in Kech, Balochistan. The blast resulted in wounding five people and caused damage to the house. In another incident, unidentified miscreants threw a grenade at a police check post located at the Sibi-Harnai railway crossing gate in Balochistan. However, there were no reports of people being wounded due to the blast. Up until now, no militant group has accepted the responsibility for the assault. (Behram Baloch and Ali Jan Mangi, “Five injured in grenade attacks in Balochistan,” Dawn, 10 July 2025)
Security forces neutralize two TTP militants in KP
On 9 July, security forces launched an intelligence-based operation in Tank, Khyber Pakhtunkhwa which resulted in killing of two Tehreek-e-Taliban Pakistan (TTP) militants. As per Dawn, one of the killed militants was an important “TTP commander.” He was engaged in a number of militant activities in the area. The security forces retrieved “two sub-machine guns, and a motorbike from the killed militants. The security officers reaffirmed their resolve to continue carrying out “anti-terror operations” to root out “militancy” from the area. (Irfan Mughal, “Two militants killed in Tank operation,” Dawn, 10 July 2025)
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