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In Brief
EXTERNAL
Pakistan & Uzbekistan aim for USD two billion trade in two years
On 03 February, Dawn reported that at the tenth meeting of the Intergovernmental Commission (IGC), Pakistan and Uzbekistan aimed to expand the scope of their Preferential Trade Agreement with a target of USD two billion in bilateral trade. They agreed to more than double the list of items for bilateral trade and welcomed the progress on Phase II concessions of the Preferential Trade Agreement. Also agreed to establish a joint working group on labour relations and agreed to advance transport corridors to improve regional trade and connectivity. Also, progress on Phytosanitary protocols facilitating the exports of fruits from Uzbekistan to Pakistan was praised. In the education sector, both sides agreed to promote and research partnerships through various means and ways of collaboration. (“Pakistan, Uzbekistan eye $2bn trade in two years,” Dawn, 03 February 2026)
Libyan military leadership visits Pakistan amid major defence deal
On 03 February, Dawn reported that the Chief of Army Staff and Chief of Defence Forces Field Marshall Asim Munir met with Field Marshal Khalifa Abu al-Qasim Haftar, commander in chief of the armed forces of the eastern part of Libya. A statement from ISPR said that the meeting addressed the importance of continued engagement and collaboration between the two, with Field Marshal Munir reaffirming Pakistan’s support for peace, stability and institutional development in Libya. This visit is a signal of follow-through on the December defence pact between them. In December 2025, Islamabad and the Libyan National Army (LNA) finalised a major defence agreement during Field Marshal Asim Munir's visit to Benghazi. The deal was valued at USD 4 billion, in which Pakistan is to supply 16 JF-17 Thunder multirole fighter jets, codeveloped with China, along with 12 Super Mushshak basic trainer aircraft, among other unspecified equipment. (“Pakistan, Libya to deepen defence ties,” Dawn, 03 February 2026)
POLITICS & GOVERNANCE
Govt rules out talks with terrorists; Senate condemns Balochistan attacks
On 02 February, Dawn reported that the government, on Monday, ruled out talks with terrorists as a resolution, condemning the series of terrorist attacks in Balochistan, was adopted in the upper house of Parliament. The Prime Minister’s Adviser on Political Affairs, Rana Sanaullah, urged all political forces to stand in unity against terrorism and fully support law enforcement agencies and the armed forces. “No one is angry in Balochistan; there is no issue of rights. They are taking action against Pakistan on the instructions of the enemy,” he said in response to points raised by the opposition. He also said that terrorists in Balochistan were repeatedly stopping passenger buses and executing innocent citizens in front of their families, and rejected any connection between terrorism and political demands, such as elections. Meanwhile, the resolution in the Senate, moved by Law Minister Azam Nazeer Tarar, urged the government to ensure a transparent, swift and conclusive investigation into the incidents and to bring the perpetrators to justice in accordance with the law. (“Govt rules out talks with terrorists as Senate condemns spate of attacks in Balochistan,” Dawn, 02 February 2026)
PM Shehbaz emphasises need for cooperation in meeting with KP CM Afridi
On 02 February, Dawn reported that Prime Minister Shehbaz Sharif emphasised the need for cooperation between the Federal and KP governments during his first meeting with KP CM Sohail Afridi on Monday. During the meeting, the two leaders discussed issues related to KP’s finances and counterterrorism. “Close and effective communication between the Centre and the provinces is indispensable for national progress and public service,” the PM said. Sharif also assured Afridi of cooperation in development projects, infrastructure improvement, education, health and job opportunities. Speaking to the media, Afridi said that the issues relating to the NFC, the Chashma Right Bank Canal (CRBC) and the Net Hydel Profit payments (NHP) were discussed, in addition to a “joint course of action” to combat terrorism. Notably, there were no discussions regarding Afridi being denied meetings with PTI founder Imran Khan. (“In meeting with CM Afridi, PM emphasises need for cooperation between Centre, KP govt,” Dawn, 02 February 2026)
ECONOMY
Exports show January rebound after five-month slide, but trade gap widens
On 03 February, Dawn reported that Pakistan’s merchandise exports rose to USD 3.061 billion in January, up 3.73 per cent year on year and nearly 35 per cent month on month, ending five consecutive monthly declines in the current fiscal year, according to the Pakistan Bureau of Statistics (PBS). The report said that despite this uptick, exports in July to January still fell 7.09 per cent to USD 18.195 billion, while the trade deficit for the same period widened 28.22 per cent to USD 22.038 billion as imports increased 9.42 per cent to USD 40.233 billion. The government operates present-day cost relief programs, which offer industrial enterprises lower electricity rates and export refinance interest rates that are more favourable to boost their market position because worldwide market requirements have decreased while domestic operational costs have risen. (“Uptick in exports after five months,” Dawn, 03 February 2026)
PM Shehbaz and World Bank president reaffirm cooperation on reforms and CPF priorities
On 02 February, Dawn reported that Prime Minister Shehbaz Sharif met World Bank Group (WBG) President Ajay Banga in Islamabad during Banga’s first official visit in the role, with Pakistan appreciating the bank’s support in economic development and reform efforts. The report said Shehbaz highlighted the 10-year WBG Country Partnership Framework and welcomed continued assistance across areas such as resilient infrastructure, agribusiness, digital development, energy, human capital, fiscal reforms, and private investment for jobs and growth. The parties worked to speed up project work and create tracking systems which would remove all barriers that stopped development projects from advancing. Banga backed the government's reform efforts, yet he emphasised that private sector funding must work together with development partner support. (“PM Shehbaz appreciates partnership, support from World Bank in meeting with President Banga in Islamabad,” Dawn, 02 February 2026)
SECURITY
22 more militants killed in Balochistan as operations continue, taking total to 177
On 03 February, Dawn reported that 22 more terrorists were killed by security forces in Balochistan. In total, 177 terrorists have been killed over the past two days after a series of terrorist attacks in the province. On 31 January, Baloch terrorists with a narrative of independence from Pakistan targeted government and security installations in twelve cities across multiple districts in Balochistan. Security forces were now engaged in a mopping-up operation. Meanwhile, for security reasons, the government has continued the suspension of mobile internet services in several districts. (“Security forces kill 22 more terrorists in Balochistan taking 48-hour total tally to 177,” Dawn, 03 February 2026)
Editorials/Opinions
Balochistan attacks
Arifa Noor, “The day after,” Dawn, 03 February 2026
"Balochistan witnessed a series of coordinated attacks on the weekend. Though details continue to be sketchy, a number of cities in the province were targeted, including Quetta, Gwadar and Noshki. It was reported that the attacks were repulsed and over 100 terrorists killed (the number continues to rise). Nonetheless the multiple events on Saturday morning have once again drawn attention to a conflict in our midst that everyone prefers to overlook."
https://www.dawn.com/news/1970772/the-day-after
Editorial, “Reviewing CT policy,” Dawn, 03 February 2026
"The coordinated terrorist attacks across Balochistan on Saturday should serve as a wake-up call to the state: unless the counterterrorism approach is fine-tuned and recalibrated to meet the needs of the day, we may see repeats of such violent episodes. Far too many security personnel have fallen fighting terrorists, while a large number of civilians have also been martyred. A revised and more effective CT policy is, therefore, needed to permanently quell the terrorist menace."
https://www.dawn.com/news/1970768/reviewing-ct-policy
Province
Shahid Javed Burki, “People's influx into Karachi,” The Express Tribune, 02 February 2026
"This is an article on the large-scale movements of people in and out of Pakistan and how that has affected various aspects of life in the country since its founding as an independent state in 1947. I have already written about the movement of 14 million people that resulted from the division of the British Indian colony into the independent states of India and Pakistan. India became a predominantly Hindu state while the majority of the population of Pakistan belonged to the Islamic faith. My academic work on this movement suggested that of the eight million Muslims who headed for Pakistan, about 470,000 went and settled in what was chosen to be Pakistan's first capital."
https://tribune.com.pk/story/2590286/peoples-influx-into-karachi
Imaan-Hadi case
Sulema Jahangir, “Headline-making tweet,” Dawn, 02 February 2026
"The recent judgement of Additional District and Sessions Judge Majoka sentencing lawyers Imaan Mazari-Hazir and her spouse Hadi Chattha to a total of 17 years in prison on multiple charges in a case pertaining to social media posts, has made national and international headlines. If the court’s intention was to indicate condemnation for a post it perceived as inflammatory towards government institutions, the sentence has clearly had the opposite effect."
https://www.dawn.com/news/1970546/headline-making-tweet
Economy
Editorial, “Subsidised relief,” Dawn, 02 February 2026
“The generous relief package recently announced by Prime Minister Shehbaz Sharif for an industry burdened with high energy prices, elevated financing costs and an excessive tax burden was a necessary intervention. The move should help to ease cost pressures on producers, bolster domestic productivity and shore up export competitiveness."
https://www.dawn.com/news/1969799/constant-vigilance
Pakistan & Trump
Muhammad Amir Rana, “Pakistan’s Trump test,” Dawn, 01 February 2026
"Pakistan has emerged as one of the beneficiaries of the evolving regional order reshaped by US President Donald Trump’s policies, particularly in the West and South Asian context. However, it remains to be seen how far the country can maintain its relevance, and whether it will make deliberate strategic moves or continue drifting with the Trumpian wave."
https://www.dawn.com/news/1970359/pakistans-trump-test
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