Photo : Dawn
NIAS Area Studies
PAKISTAN READER
Photo : Dawn
In Focus
Iranian President’s visit: Pakistan and Iran agree on USD10 billion trade plan and joint counter-terrorism efforts
On 4 August, The Express Tribune reported that Iranian President Dr. Masoud Pezeshkian’s first official visit to Pakistan focused on expanding bilateral ties in trade, connectivity, and security. Prime Minister Shehbaz Sharif welcomed him with high-level talks aimed at reinforcing cooperation. Both countries signed 12 agreements and MoUs spanning agriculture, ICT, maritime safety, judicial collaboration, tourism, and scientific exchange. The two sides committed to increasing annual trade to USD 10 billion by addressing tariff barriers, promoting barter trade, and operationalizing border markets. Security cooperation was a key agenda, with both leaders agreeing to strengthen joint efforts against terrorism along their 900-kilometre shared border. Infrastructure development was also emphasized, including the modernization of the Quetta-Zahedan rail and road networks, as well as proposals for collaboration via the Gwadar-Chabahar maritime route. President Pezeshkian met with Pakistan’s military and parliamentary leadership, where both sides stressed mutual trust, economic integration, and political coordination. PM Shehbaz Sharif also stated that “I understand that Pakistan fully supports Iran’s principled stand on peaceful use of nuclear power as per the UN Charter.” Discussions also took place on forming joint working groups and advancing projects under the Joint Economic Commission. Dr. Pezeshkian described Pakistan as a close and historic partner, rooted in cultural and religious ties, and expressed hope that the visit would usher in deeper, long-term cooperation across multiple sectors. (Baqir Sajjad Syed, “Pakistan, Iran term terror main hurdle to prosperity, ” Dawn, 4 August 2025; “PM says Tehran has right to peaceful nuclear energy,” The News International, 4 August 2025; Kamran Yousaf “ Pakistan, Iran set $10b trade target,” The Express Tribune, 4 August 2025)
Ceasefire in Bajaur: Jirga-led talks expose gaps in Pakistan’s counter-terrorism approach
On 4 August, Dawn reported that a third round of talks between the Bajaur Amn Jirga and banned group Tehreek-i-Taliban Pakistan (TTP) concluded with both sides agreeing to a ceasefire until the conflict is peacefully resolved. Talks held on 2 August in Lowi Mamund tehsil focused on convincing TTP fighters to either return to Afghanistan or move to the mountains if they intended to resist security forces. The discussions followed the TTP’s conditional agreement to vacate civilian areas. Meanwhile, locals in Salarzai opposed the removal of a key security post, and Jamiat Ulema-i-Islam-Fazl JUI-F leaders, marking the 2023 Khar bombing anniversary, reiterated their peaceful push for Islamic law and urged dialogue over military action.
An editorial titled “Terror realities,” in The News International, noted that the government’s reliance on jirgas to convince militants to relocate underscores how “thinly stretched and politically compromised the security apparatus is.” The editorial further pointed out that this approach reflects appeasement, not a strong counterterrorism strategy, and Pakistan’s internal security response lacks coherence, with weak messaging and no clear shift in strategy. Without political will, regional diplomacy, and development in conflict-hit areas, “no amount of kinetic counters will secure peace.” The editorial argued that TTP’s resurgence is not isolated, but a systemic failure tied to fragile governance and unclear state policy. (Anwarullah Khan, “ Tribal elders, TTP leaders agree to ceasefire in Bajaur,” Dawn, 4 August 2025; “ Terror realities,” The News International, 4 August 2025)
In Brief
POLITICS
PTI to mark black day with nationwide protests demanding Imran Khan’s release
On 4 August, The Express Tribune reported that the Pakistan Tehreek-e-Insaf (PTI), under the umbrella of the Tehreek Tahaffuz Ain-e-Pakistan (TTAP), will launch a nationwide protest campaign on 5 August, which would be observed as a “Black Day” to mark two years since Imran Khan’s arrest. TTAP Secretary General Asad Qaiser stated that the demonstrations would be peaceful, lawful, and aimed at upholding the Constitution. He criticised the judiciary for lacking independence and stated that “if there is any evidence against Imran Khan then it should be presented in an open court on merit so the nation can learn the truth.” PTI leaders stressed that this is not a one-off event but part of a sustained democratic movement demanding judicial reform, the protection of civil liberties, and the restoration of constitutional rights. Rallies will be held in each district rather than converging in a central location. Major protests are scheduled in Peshawar, Swabi, and Nowshera. PTI members have been asked to document and submit videos of their local gatherings. Chairman Gohar Ali Khan asserted that Imran Khan’s release is the collective demand of the Pakistani people. At an emergency press conference, TTAP’s Asad Qaiser said the party may exit parliament. He also opposed military operations in merged districts and urged a focus on education, trade, and ties with Afghanistan. (“ PTI alliance mobilises for August 5 'power show',” The Express Tribune, 4 August 2025; “ Lahore rally to prove milestone in securing Imran’s release, vows PTI,” Dawn, 4 August 2025 )
ECONOMY
Pakistan’s electricity tariffs set to rise by 25 per cent by 2034
On 4 August, Dawn reported that electricity prices in Pakistan are expected to increase by 25 per cent by 2034, reaching PKR 29.70 per unit, following a 50 per cent surge between FY2022 and FY2025, mainly due to significant rupee depreciation. According to the Power Division, currency losses drove capacity charges up from PKR 11 to PKR 18.4 per unit, while overall power purchase costs rose sharply from PKR 7.17 per unit in FY2016 to PKR 24.88 in FY2025. This rise can be largely attributed to a 660 per cent rise in capacity payments, which jumped from PKR 275 billion to PKR 2.1 trillion. Although energy prices stayed relatively flat, the growing cost burden is expected to push capacity charges to PKR 3.14 trillion by FY2034. High electricity costs have contributed to de-industrialisation, making industries uncompetitive and reducing industrial power consumption from 34 billion units in FY22 to 28 billion in FY24. Technical and commercial losses have shown little improvement, staying around 18 per cent. Despite these challenges, the division anticipates a slower pace of tariff growth, supported by a shift toward cleaner energy, which is expected to make up 66 per cent of power generation by 2034. ( Khaleeq Kiani “ Power division projects 25pc rise in tariff by 2034,” Dawn, 4 August 2025)
Pakistan to rework LNG terms with Qatar amid pipeline pressure fears
On 4 August, The News International reported that Pakistan is initiating discussions with Qatar regarding future LNG supplies, ahead of a price review scheduled for March 2026 under two long-term contracts. A delegation, led by Federal Minister Ali Pervaiz Malik, will visit Qatar by the end of August to address LNG delivery adjustments and a growing domestic oversupply. The surplus has been triggered by the power sector’s failure to use imported gas as agreed, leading to underutilization. Pakistan currently receives nine LNG cargoes monthly from Qatar, but some are now being redirected due to low demand. Unlike the ENI deal, where profits and losses from diverted cargoes are shared, in this case, Pakistan bears the full financial risk under the Qatar contracts. The Annual Delivery Plan for 2026 will be finalized by mid-September. If unresolved, the LNG oversupply may push pipeline pressure beyond safe levels; it has already reached a dangerous 5.170 bcf. Authorities have shut several gas wells to manage the situation, emphasizing the urgency of renegotiating terms with Qatar. ( Khalid Mustafa, “Pakistan set to initiate dialogue with Qatar on LNG supplies,” The News International, 4 August 2025)
ENERGY & ENVIRONMENT
July 2025 brings 23 per cent excess rainfall, 299 deaths
On 4 August, The News International reported that a July 2025 report by the Pakistan Meteorological Department (MET) stated that the country received 23 per cent above-normal rainfall, with a national mean temperature of 32.45°C, which is slightly warmer than the average. Night time temperatures were notably higher, making it the 6th warmest year in 65 years, while daytime temperatures were slightly cooler than average. Chilas recorded the hottest day at 48.5°C, and Islamabad (Zero Point) was the wettest station with 611.7mm rainfall. Murree was the coldest location in terms of monthly minimum average, which was 15 °C, while Parachinar recorded the coldest night at 8.0°C. The MET report emphasized sharp regional contrasts, Punjab and Gilgit-Baltistan saw significant rainfall surpluses, whereas Sindh received 47 per cent below-average rainfall. Some stations, such as Dalbandin, Gwadar, and Nokkundi, remained completely dry.
Since 26 June, 299 deaths, including over 140 children and 715 injuries, have also taken place due to torrential downpours. According to the National Disaster Management Authority (NDMA), over 1,600 homes have been damaged. The monsoon has severely impacted Punjab, Khyber Pakhtunkhwa, and northern regions like Gilgit-Baltistan and Pakistan-Occupied Kashmir (POK). It has been predicted that a new monsoon wave from 4 August may worsen flooding in low-lying areas, with experts warning that, due to climate change, monsoon activity could extend into late September, further straining vulnerable communities. (Ali Raza, “ Pakistan records 23% above average rainfall in July 2025,” The News International, 4 August 2025;“ Monsoon death toll nears 300 as more rains likely from today,” The News International, 4 August 2025 )
Editorials/Opinions from Pakistan
On AI and Pakistan
Amir Jahangir, "Pakistan’s AI moment," The News International, 4 August 2025
In a rare moment of national alignment around a long-term vision, Pakistan’s federal cabinet has approved its first National Artificial Intelligence Policy. This comprehensive and forward-looking blueprint aspires to position the country as a digitally sovereign state in the global AI ecosystem.
https://www.thenews.com.pk/print/1333027-pakistan-s-ai-moment
Dr Aneel Salman, "How AI Policy 2025 can shape a digital future for all," The Express Tribune, 4 August 2025
Pakistan now joins a select group of South Asian countries with AI policies like India, Sri Lanka, Bangladesh and Nepal. What distinguishes Pakistan's policy is not chronology, but character. It is the policy's scope, structure and soul that truly set it apart. Rather than offering piecemeal ideas or generic aspirations, the National AI Policy 2025 presents a full-spectrum blueprint for how Pakistan can responsibly harness AI across sectors and generations.
https://tribune.com.pk/story/2559280/how-ai-policy-2025-can-shape-a-digital-future-for-all
On Polio
Editorial, "The polio monster," The News International, 4 August 2025
Pakistan’s long and arduous battle against polio has once again suffered a setback. The confirmation of a new case in Khyber Pakhtunkhwa has pushed the total for 2025 to 18, each case a painful reminder of how vulnerable our children remain to a disease the rest of the world has defeated. That polio still finds space to survive and spread in Pakistan is a failure of systems, society and state.
https://www.thenews.com.pk/print/1333025-the-polio-monster
On India
Touqir Hussain, "India’s waning star?," Dawn, 4 August 2025
India's global profile seems to have fallen on hard times lately. This may be a transient phase but it would be interesting to examine the reasons behind India’s troubles.
https://www.dawn.com/news/1928637/indias-waning-star
Kamran Yousuf, "India's double game with US," The Express Tribune, 4 August 2025
The sole purpose of the US warming up to India was to make sure India's support of US endeavours to contain China. But despite the deepening ties, US policymakers and analysts are increasingly disillusioned with India on several fronts. While India continued to take advantage of its strategic partnership with the US, it also maintained close ties with Russia.
https://tribune.com.pk/story/2559432/indias-double-game-with-us
On terror threat from Afghanistan
Editorial, "Terror potpourri," Dawn, 4 August 2025
Despite persistent denials by the Afghan Taliban that terrorist groups are using their country as a safe haven, the global consensus — backed by evidence — is that Afghanistan indeed continues to be a base for militants and violent extremists.
https://www.dawn.com/news/1928640/terror-potpourri