|
In Brief
EXTERNAL
Iranian President Pezeshkian to visit Pakistan on 23 June
On 22 June, Dawn reported that Iranian President Masoud Pezeshkian will undertake an official visit to Pakistan on 23 June at the invitation of PM Shehbaz Sharif, accompanied by a high-level delegation including ministers and senior officials. Pezeshkian will meet President Zardari, hold talks with PM Shehbaz, and receive calls from Senate Chairman Yousuf Raza Gilani, NA Speaker Ayaz Sadiq, and FM Ishaq Dar. The Foreign Office (FO) described the visit as an important opportunity to review bilateral relations across trade, energy, border security, and regional connectivity, as well as to discuss ongoing diplomatic engagements following the signing of the Islamabad MoU on 18 June. The visit follows the "Lake Lucerne Summit" in Switzerland's Burgenstock resort, mediated by Pakistan and Qatar, where the US and Iran made "encouraging progress," establishing a de-confliction mechanism for the Strait of Hormuz, a contact channel to prevent incidents and miscommunication, and a de-confliction cell with Lebanese authorities to prevent renewed fighting in Lebanon. Technical talks under the 14-point accord, which gives both sides 60 days to negotiate a final settlement, are continuing. ("Iran President Masoud Pezeshkian to visit Pakistan on Tuesday: FO," Dawn, 22 June 2026)
PM Shehbaz hails progress in US-Iran talks, pledges Pakistan's continued mediation role
On 22 June, Dawn reported that PM Shehbaz Sharif welcomed the "successful conclusion" of quadrilateral US-Iran talks at Burgenstock, Switzerland, citing a roadmap toward a final deal within 60 days, a high-level political oversight committee, and the start of technical talks. He paid special tribute to Field Marshal Asim Munir, saying his efforts were indispensable to the talks' success, and thanked Qatar for its "critical support" and Switzerland for hosting. Foreign Minister Dar confirmed that a Pakistani Foreign Ministry team would remain at Burgenstock for technical-level talks through the week. Iran's foreign ministry noted only a brief preliminary exchange on nuclear matters, with detailed nuclear talks yet to begin. ("Pakistan will continue to play 'honest, sincere role' in advancing dialogue, says PM after US-Iran talks in Switzerland," Dawn, 22 June 2026)
ECONOMY
Finance Bill 2026 approved by Standing Committee with 30 major amendments
On 23 June, Dawn reported that the National Assembly Standing Committee on Finance approved the Finance Bill 2026 after making around 30 major amendments. The amended bill will now be presented before the National Assembly for final approval, where a clause-by-clause vote will determine its passage. The committee proposed an instalment-based tax on imported mobile phones via the Pakistan Telecommunication Authority’s device system, alongside easing penalty structures, expanding exemptions, reducing tax rates for wholesalers, and revising the import regime for electric vehicles. The committee approved exempting Pakistani-registered airlines from aircraft and spare parts import duties from 01 July. In the income tax regime, relief was introduced for smaller businesses by allowing entities with a turnover of up to PKR 200 million to opt out of the final tax regime from tax year 2027. (“BUDGET 2026-27: NA Panel proposes 30 major changes to Finance bill,” Dawn, 23 June 2026)
Government discontinues fuel subsidies following drop in fuel prices
On 22 June, The Express Tribune reported that the government decided to discontinue fuel subsidies provided to motorcyclists, small farmers, and public transport. The decision was taken during the seventh meeting of the National Steering Committee on Fuel Subsidy. The development comes after recent reductions in petroleum prices, under which petrol was cut by PKR 74 per litre and diesel by PKR 67 per litre, bringing them down to PKR 299 per litre and PKR 311 per litre, respectively, following a decline in the international market. (“Govt decides to end fuel subsidies after sharp decline in global oil prices,” The Express Tribune, 22 June 2026)
Debt servicing costs consume over half of the FY27 budget
On 23 June, Dawn reported that the government had borrowed over PKR 4.9 trillion from banks by 12 June, compared with PKR 3.7 trillion in the corresponding period last year. During the last three years from FY24 to FY26 (up to June 12), the government has borrowed a cumulative PKR 18.86 trillion from banks, which is more than the total federal budget outlay for FY27. Rising borrowing has increased debt-servicing costs, which now consume over half of the FY27 budget outlay. FBR revenues surged from about PKR 7.16 trillion in FY22 to a target of PKR 15.26 trillion for FY27. Despite this massive increase, the government has been borrowing heavily. The massive allocation of PKR 8 trillion for debt servicing in FY 27 leaves a meagre PKR 1 trillion for PSDP, reflecting the poor growth trajectory of the economy. (“Govt borrows Rs49tr from banks,” Dawn, 23 June 2026)
National assembly approves 135 demands for grants amid 587 cut motions
On 23 June, Dawn reported that Pakistan's national assembly wrapped up the approval process for the budgetary allocations of federal ministries and allied departments. It has approved 135 demands for grants for the next fiscal year, 2026-27. This approval procedure was spread over two days, during which the opposition moved 587 cut motions. A total of 123 cut motions were submitted regarding the interior ministry. The Interior Ministry was slammed by the opposition lawmakers largely for the performance of its attached departments, including the Federal Investigation Agency, the Anti-Narcotics Force, the National Cybercrime Investigation Agency, and other law enforcement agencies. Besides the interior ministry, the opposition lawmakers submitted 112 cut motions regarding the food ministry and called for measures to reduce fertiliser rates and introduce crop insurance schemes and other input costs in the agriculture sector. (“BUDGET 2026-27: Budget approval in final stages as grants finalised,” Dawn, 23 June 2026)
POLITICS & GOVERNANCE
Telecom Bill will not pass Senate without changes, says PPP’s Sherry Rehman
On 22 June, Dawn reported that criticism of the Pakistan Telecommunication (Amendment) Bill 2026 intensified as Pakistan Peoples’ Party Vice President Sherry Rehman said her party would not support the legislation in the Senate unless it underwent detailed scrutiny in the relevant standing committee and the party’s proposed deletions were incorporated. Rehman said the party had blocked the bill in the Senate because it still contained “draconian clauses”, particularly Clause 27-A relating to telecom operators and land acquisition, despite assurances that problematic provisions had been removed in the National Assembly. Stressing that the PPP supports fibreisation but not encroachments on the right of way or executive-controlled redress mechanisms, she called for public consultation and reiterated that private property remains a protected fundamental right. The bill, which seeks to accelerate fibre infrastructure expansion, has also faced scrutiny over provisions involving telecom towers and the use of public land, while Prime Minister Shehbaz Sharif has formed a committee to review it before further parliamentary consideration. (“Sherry says PPP will not support any PTA bill in Senate sans 'thorough' standing committee debate,” Dawn, 22 June 2026)
PROVINCES
Punjab: Tube well closures trigger water crisis in 14 Rawalpindi localities
On 23 June, The Express Tribune reported that a severe water crisis affected 14 localities along the Rawalpindi-Islamabad border after the Capital Development Authority (CDA) revoked No Objection Certificates (NOCs) for 20 tube wells and borings in areas from Faizabad to Koral Chowk. Residents have been without water for three days, with private tanker prices rising to PKR 3,500 for large tankers. Affected areas include Rahmatabad, Gulrez, Jabbar Colony and Chaklala, among others. The Water and Sanitation Agency (WASA) said supply could resume within 24 hours if electricity connections were provided to its completed tube wells, but implementation has stalled. ("Water crisis hits 14 Pindi localities," The Express Tribune, 23 June 2026)
PoK
PPP's Amjad Hussain elected as "Gilgit-Baltistan" chief minister
On 22 June, Dawn reported that Pakistan Peoples Party's (PPP) Advocate Amjad Hussain was elected unopposed as Chief Minister of "Gilgit-Baltistan", hours after 30 newly elected assembly members took oath. PPP's Imran Nadeem Shigri was elected speaker and Pakistan Muslim League-Nawaz's (PML-N) Malik Kifayatur Rehman as deputy speaker, both unopposed. The PML-N's Hafeezur Rehman was declared opposition leader. The PPP won 13 seats in the 07 June elections, with PML-N winning nine and Istehkam-i-Pakistan Party (IPP) six. Results for three constituencies remain pending due to ongoing legal proceedings. ("PPP's Amjad Hussain elected as GB chief minister after members take oath," Dawn, 22 June 2026)
Authorities compile list of officials linked to "Azad Jammu and Kashmir" protests
On 22 June, Dawn reported that authorities in "Azad Jammu and Kashmir's" ("AJK") Poonch division compiled a list of around 100 serving and retired government employees allegedly involved in or facilitating sit-ins by the proscribed Joint Awami Action Committee (JAAC). Divisional Commissioner Sardar Waheed Khan confirmed properties of activists on the Fourth Schedule of the Anti-Terrorism Act were being sealed, with 25 shops sealed in Rawalakot alone. Meanwhile, the JAAC suffered a setback when two of its core members, Raja Amjad Ali Khan and Anjum Zaman Awan, publicly distanced themselves from the alliance, saying the movement had deviated from its original goals. ("List of officials ‘facilitating’ AJK protests ready," Dawn, 22 June 2026)
Editorials/Opinions
US-Iran negotiations
Kamran Yousaf, “Bigger than Iran-US deal,” The Express Tribune, 22 June 2026
“Last week, a development many considered impossible just months ago became reality. After months of war, covert diplomacy, military escalation and intense backchannel talks, Iran and the United States signed what is now being called the Islamabad Memorandum of Understanding."
https://tribune.com.pk/story/2614414/bigger-than-iran-us-deal
Fahd Husain, “After the MoU,” The Express Tribune, 22 June 2026
“So here we are stuck in a no-war-no-peace situation that may provide comfort to a surprisingly large number of stakeholders. Everyone can pretend they are talking peace while in reality they may be biding time for the aftermath of the war and the MoU to settle down. Talks will drag on. They will move from subject to subject, and from capital to capital – adorned richly with photo-ops and calculated media leaks. As bombs and missiles fall silent, a battle of narratives will wage hot and cold. Everyone will try to live happily after."
https://tribune.com.pk/story/2614292/after-the-mou
Economy
Niaz Murtaza, “A budget to forget,” Dawn, 23 June 2026
“State budgets mustn’t mirror boring finance ledgers that merely balance revenues and outlays. They must embody strong strategy scripts that show vividly how the state will drive progress. But reading ours is painful as one goes through over 100 unrelated petty measures that don’t add up to a gripping vision for progress. Clearly, progress isn’t a goal to pursue for our elite hybrid rulers but a prospect to fear, as it harms their dubious wealth and power. So, the new status quo federal budget makes the rich richer, the poor poorer, and the IMF and big lobbies happier. It defers yet again the state reforms and societal restructuring we urgently need to thrive. Our rulers dread them and so fail on most key aims of good budgets."
https://www.dawn.com/news/2010169/a-budget-to-forget
Provinces
Haroon Rashid Siddiqi, “The fiction of price control,” The Express Tribune, 23 June 2026
“"Bureaucracy is the art of making the possible impossible." Few observations better capture the absurdity of Karachi's price-control regime, where official price lists abound, Commissioner Counters have quietly vanished, and enforcement appears to exist chiefly on paper. Karachi today offers a sobering illustration of this warning. Laws exist, notifications are issued, counters are installed, and bans are announced, yet enforcement is applied so selectively and superficially that governance has been reduced to ritual. What remains is not regulation, but the illusion of it."
https://tribune.com.pk/story/2614582/the-fiction-of-price-control
Politics & governance
Arifa Noor, “Careless people,” Dawn, 23 June 2026
“The new telecom bill has caused a storm in a teacup. These days it seems it’s being discussed more than the budget, though far less than Iran, the US and the blessed talks. But a local scandal will always trump foreign policy for hacks in the country. Many of us are just thrilled that like many other stories this has also not been declared a red line — in other words an issue better left unaddressed. TV these days has more no-go areas than the Karachi of yesteryears."
https://www.dawn.com/news/2010172/careless-people
|
