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In Brief
EXTERNAL
Pakistan quietly mediating between Libya's rival eastern and western administrations, Dawn reports
On 07 July, Dawn reported that Pakistan has begun mediating between Libya's rival eastern and western power centres in a previously unreported diplomatic effort that began late last year after both Libyan sides requested Islamabad's involvement. Pakistani sources said the US was "fully aware and involved" in the effort, which is also being supported by Saudi Arabia. Qatar and Turkiye, one of the western Government of National Unity's biggest backers, were among the parties that encouraged Pakistan to take on the mediation role. The effort follows Pakistan's high-profile mediation between the US and Iran this year and comes after CDF Field Marshal Asim Munir met Libyan military chief Saddam Haftar in Rawalpindi last month, days before Haftar travelled to Washington to meet Secretary of State Marco Rubio, who reaffirmed US support for Libyan unity. Pakistani officials have also pursued defence ties with the eastern Libyan National Army, including possible sales of JF-17 fighter jets and Super Mushak trainer aircraft, despite a UN arms embargo, while the rival western GNU has also separately sought direct talks with Pakistan. The extent of Pakistan's coordination with other regional stakeholders remains unclear, with no immediate responses from the Foreign Office, ISPR, or the foreign ministries of Qatar, Turkiye, Saudi Arabia, or the US. ("Pakistan taking on mantle of mediation for war-torn Libya," Dawn, 07 July 2026)
President Zardari arrives in Kyrgyzstan for first Pakistani presidential visit in 21 years
On 06 July, Dawn reported that President Asif Ali Zardari arrived in Kyrgyzstan for a four-day official visit at the invitation of President Sadyr Japarov, marking the first visit by a Pakistani president to the Kyrgyz Republic in 21 years. Zardari will hold one-on-one and delegation-level talks with Japarov covering trade and investment, energy, mining, agriculture, textiles, the halal industry, healthcare, the digital economy, education, and tourism. The visit follows Japarov's December 2025 visit to Islamabad and builds on 15 MoUs signed between the two countries at that time. Both countries are SCO members and are jointly pursuing the CASA-1000 electricity transmission project along with Tajikistan and Afghanistan, expected to become operational by January 2027. Pakistan's exports to Kyrgyzstan stood at USD 3.124 million in the first ten months of FY2025-26, with the two sides having set a bilateral trade target of USD 100 million. ("President Zardari arrives in Kyrgyzstan for 4-day official visit," Dawn, 6 July 2026)
PM Shehbaz directs embassies to expand overseas employment
On 07 July, Dawn reported that Prime Minister Shehbaz Sharif presided over a meeting on employment opportunities for Pakistani youth, directing Pakistani embassies abroad to accelerate efforts to create employment opportunities and ordering complete digitalisation of the immigration system. He instructed the Ministry of Overseas Pakistanis, NAVTTC, and the PM's Youth Programme to ensure skills training, language courses, and internationally recognised certifications for the workforce. Separately, María Fernanda Espinosa, a candidate for the post of UN secretary-general, called on PM Shehbaz at the PM House, where the premier reaffirmed Pakistan's commitment to multilateralism and expressed hope that incoming UN leadership would promote the organisation's three pillars in a balanced manner. Espinosa praised Pakistan's role in recent regional peace efforts and its active participation in the UN. ("Premier asks embassies to create employment opportunities for Pakistanis," Dawn, 07 July 2026)
ECONOMY
State Bank launches “InvestPak” to open government securities market to retail investors
On 07 July, The Express Tribune reported that the State Bank of Pakistan (SBP) launched “InvestPak”, a digital platform enabling individuals to invest directly in government securities for the first time, opening Pakistan's PKR 82 trillion sovereign debt market to retail investors. Finance Minister Muhammad Aurangzeb said the initiative would promote financial inclusion and broaden participation in the formal financial sector, while SBP Governor Jameel Ahmad described the platform as a major step towards expanding digital access to financial services under the central bank's Strategic Vision 2028. (“InvestPak opens Rs82tr market to small investors,” The Express Tribune, 07 July 2026)
Economists urge structural reforms to sustain Pakistan's economic recovery
On 07 July, The Express Tribune reported that leading Pakistani economists said the FY2026-27 federal budget has strengthened short-term macroeconomic stability and met key International Monetary Fund (IMF) commitments, but falls short of delivering the structural reforms needed for sustainable growth. Economists Sajid Amin Javed and Afia Malik argued that broadening the tax base, reforming the energy sector, improving the investment climate, strengthening exports and restructuring state-owned enterprises would be essential to attract private investment, warning that Pakistan's economic recovery will depend on consistent implementation of reforms rather than fiscal stabilisation alone. (“Budget fails on structural issues,” The Express Tribune, 07 July 2026)
Pakistan Business Council proposes plan to boost exports by up to USD 1.9 billion
On 07 July, The Express Tribune reported that the Pakistan Business Council (PBC) presented an export acceleration plan to Finance Minister Muhammad Aurangzeb aimed at generating an additional USD 1.1-1.9 billion in exports over the next year through private-sector-led reforms. The proposal calls for a shift towards higher-value, brand-led exports across sectors including textiles, processed food, pharmaceuticals, information technology and manufacturing, with PBC Chairperson Zeelaf Munir emphasising that policy stability and stronger public-private collaboration are essential to achieving the export targets. (“PBC pitches $1.9b export plan to Finmin,” The Express Tribune, 07 July 2026)
SECURITY
Quetta: Four killed, seven abducted in militant attack; security forces kill three terrorists
On 07 July, The Express Tribune reported that four residents were killed and nine injured when armed militants attacked civilians at the Hina Urak tourist area on the outskirts of Quetta on Sunday evening. Local tribesmen resisted the attackers and forced them to flee before security forces launched an operation on the directives of the Balochistan chief minister, killing three militants and injuring two ATF personnel. Seven people were abducted during the attack, with security forces continuing their operation for the hostages' recovery. Balochistan Interior Minister Mir Ziaullah Langau confirmed a joint security checkpoint had been established in Hina Urak and accused India of backing the militants while alleging Afghanistan was allowing its soil to be used against Pakistan. A high-level committee headed by Langau was constituted to hold talks with protesters staging a sit-in on Airport Road. Both Langau and Deputy Chief Minister Shahid Rind assured that the operation would continue until the area was fully cleared and sanitised. ("Terror attack kills four near Quetta resort," The Express Tribune, 7 July 2026)
JUDICIARY
Supreme Court rules that state “bound” to protect lives, carry out fair probe
On 07 July, Dawn reported that the Supreme Court of Pakistan issued its ruling after hearing a case regarding the Baldia Town factory fire, one of the most severe disasters in the nation’s history. The verdict was the reasoning behind the overturning of the convictions of two Muttahida Qaumi Movement workers in connection with the fire. Their death sentences, awarded by an anti-terrorism court, were also set aside. The Judgement also held the acquittal of the co-accused. Justice Shahzad remarked that the right to life required the state to enforce safety regulations to protect human life and to carry out an impartial investigation to determine the true cause of the fires. It was further noted that the original FIR was registered against the factory owners due to lack of adoption of safety measures, though later the prosecution alleged the factory had been set on fire deliberately by the petitioners. The petitioners maintained that they were being scapegoated for their political party. The Supreme Court ultimately found the prosecution’s revised case had numerous weak and unreliable statements. (“State bound to protect life, enforce law, carry out fair probe, SC rules,” Dawn, 07 July 2026)
POK
PPP’s Amjad Hussain sworn in as chief minister of “Gilgit-Baltistan”
On 06 July, Dawn reported that Amjad Hussain of the PPP had been sworn in as Chief Minister of “Gilgit-Baltistan” on 06 July. After thanking officials and voters, he remarked on “GB’s” size and population during his maiden speech, stating that the region was geographically smaller than Khyber Pakhtunkhwa though housed 1.7 million people. He noted a deficiency in the budgetary right of over PKR 100 billion and that “GB” had received a development budget smaller than required and a deficiency in subsidies. He stressed his government’s commitment to ongoing power projects, and promised the near elimination of load shedding. He also emphasised “GB’s” potential in tourism and mining, speaking on the region's numerous glaciers, mountain ranges and biodiversity. He called for an end to highway blockages as well as on-arrival visas to aid in tourism. He spoke on the abundance of precious metals which had not been utilised properly in the mining sector and the agricultural potential of the region. Party Chairman Bilawal Bhutto-Zardari remarked on his commitment to “GB” and the constitutional rights of the people. He also noted the geostratigical importance of “GB.” (“PPP’s Amjad Hussain sworn in as GB chief minister,” Dawn, 06 July 2026)
PTI open to reconsidering party’s “AJK” Legislative Assembly election boycotts
On 07 July, The Express Tribune reported that PTI Chairman Gohar Ali Khan, when speaking to reporters, had remarked that although his party was compelled to boycott the elections, they would reconsider the boycott if they were provided a “free and conducive environment.” He said the party could return to the elections if members were spared arrests and crackdowns, and that the initial boycott was in “solidarity with people of the region” and “not a political strategy.” The PTI has pointed to arrests of political workers and disruption of Punjab supply lines as why the coming elections couldn’t be considered credible in the current circumstances. The PTI’s legal status in “AJK” remains unresolved. (“PTI leaves door open for AJK elections,” The Express Tribune, 07 July 2026)
ON INDIA
“AJK” info secretary accuses India of funding banned JAAC
On 06 July, Dawn reported that “Azad Jammu and Kashmir (AJK)” authorities accused the banned Joint Awami Action Committee (JAAC) of advancing an anti-Pakistan agenda with alleged Indian financial backing. Information Secretary Muhammad Rashid Hanif claimed state institutions possessed evidence that Indian funding was being used to mobilise overseas Kashmiris and support the group's activities, while alleging that JAAC had shifted from a movement focused on economic grievances to one promoting violence, civil disobedience and calls for an independent Kashmir. Authorities also accused the group of disrupting transport, damaging infrastructure and causing an estimated PKR 15 billion in economic losses following its designation as a proscribed organisation in June. (“State institutions have evidence of Indian funding behind JAAC’s agenda in AJK: official,” Dawn, 06 July 2026)
CDF Munir vows to safeguard Pakistan’s water share under Indus Waters Treaty
On 06 July, Dawn reported that Pakistan’s military reaffirmed its commitment to safeguard the country’s water rights under the Indus Waters Treaty (IWT) during the 276th Corps Commanders’ Conference chaired by Chief of Defence Forces Field Marshal Asim Munir. The forum condemned India’s decision to place the treaty in abeyance, pledging to take all necessary measures to ensure Pakistan’s rightful share of water in line with government directives. The commanders also accused India of escalating hybrid warfare and supporting militant proxies operating from Afghanistan, reaffirmed continued intelligence-based operations under Operation Ghazab-lil-Haq against cross-border terrorism emanating from Afghanistan, and reiterated Pakistan’s support for the Kashmir cause while calling for the implementation of UN resolutions on self-determination. (“Army top brass affirms commitment to take 'all measures necessary' to ensure availability of Pakistan’s water share,” Dawn, 06 July 2026)
Islamabad: Indus Water Treaty seminar opposes unilateral suspension of obligations
On 06 July, The Express Tribune reported that Pakistan described an international seminar on the Indus Waters Treaty (IWT), held in Islamabad on 30 June, as a major diplomatic initiative that brought renewed global attention to its position against India's unilateral suspension of the treaty. According to the report, Pakistani officials argued that the event reframed the IWT as an issue of international law, treaty obligations, lower riparian rights and regional water security rather than a purely bilateral matter. The report claimed the seminar generated extensive international media coverage, highlighting Pakistan’s legal arguments while prompting an official response from India’s Ministry of External Affairs within 72 hours. Pakistani officials said the event helped place the country's position more prominently in international policy discussions, although many of the report's assessments regarding the seminar's diplomatic impact and media influence were presented as the government's interpretation rather than independently verified outcomes. (“IWT seminar scores Pakistan’s major diplomatic victory, thrusts legal stance into global limelight,” The Express Tribune, 06 July 2026)
Editorials/Opinions
Politics & governance
Arifa Noor, “Political matters,” Dawn, 07 July 2026
“A recent World Bank report has looked into the NFC Award post-18th Amendment and provided some interesting details. For instance, it has shown how the bulk of the money seems to have gone into expanding local bureaucracies in health and education. It notes that 80 per cent of provincial spending is recurrent spending (a fancy way of saying it goes towards salaries and similar expenditures). It also argues that higher spending hasn’t improved health and education indicators all that much. Among other issues, the report has pointed out the provinces’ failure to shape rules for the fair and institutionalised distribution of funds to the local level. Even where the rules are clear or formalised, fund distribution remains patchy and is dependent on the provincial government’s largesse."
https://www.dawn.com/news/2013528/political-matters
Economy
Niaz Murtaza, “Federation finance,” Dawn, 07 July 2026
“Federations devolve power constitutionally across state tiers. They ensure equity via fiscal transfers from rich to poor sub-units. Devolution makes power responsive. Equity cements national bonds despite diversity. Both together ensure peace and progress. Budgets help review both."
https://www.dawn.com/news/2013526/federation-finance
Zafar Hasan, “Pakistan's public investment needs a new compass,” The Express Tribune, 07 July 2026
“Pakistan's public investment architecture has long conflated two distinct ideas: economic growth and human development. Growth measures how fast output expands - more roads, more megawatts, more cement poured. Development, as Mahbub ul Haq and Amartya Sen insisted when they formed the Human Development Index, asks a different question: are people living longer, healthier, more educated, and more capable lives? Growth is an input into development. It is not its synonym. A country can grow briskly while its people's capabilities stagnate, posting respectable GDP numbers even as schooling, health and nutrition outcomes barely shift. Pakistan's Public Sector Development investments offer a textbook illustration."
https://tribune.com.pk/story/2616833/pakistans-public-investment-needs-a-new-compass
External
Editorial, “America at 250,” Dawn, 07 July 2026
“Though America’s 250th independence anniversary observed on Saturday is a significant milestone, the celebrations were overshadowed by events in Iran, as high officials from around the world, as well as millions of ordinary Iranians, gathered for Ayatollah Ali Khamenei’s funeral. It was an ironic reminder that America’s merits are often eclipsed by its disastrous foreign policy choices."
https://www.dawn.com/news/2013522/america-at-250
PoK
Editorial, “PPP's G-B challenge,” The Express Tribune, 07 July 2026
“After Sindh and AJK, the PPP has formed a government in Gilgit-Baltistan – its third in the country. With Amjad Hussain swearing in as the Chief Minister of the picturesque-cum-strategic northern region, the party has a challenge to dispense in the form of good governance. The party must take serious steps to implement its manifesto, most notably the promise to integrate Gilgit-Baltistan as Pakistan's fifth province while securing its financial and legal rights under the 18th Constitutional Amendment. That is, however, a daunting task for the PPP whose performance in other fiefdoms has been lackluster."
https://tribune.com.pk/story/2616828/ppps-g-b-challenge
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