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PAKISTAN HITS TTP BASES INSIDE AFGHANISTAN AMID RISE IN TERRORIST ATTACKS
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Tuesday, 19 March, 2024 I 8 Ramazan, 1445
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OPERATION LAUNCHED AGAINST TERRORISTS BELONGING TO HAFIZ GUL BAHADUR GROUP
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ISLAMABAD MIAN ABRAR
AKISTANI forces carried out intelligence-based operations (IBOs) across the border into Afghanistan against terrorists launching attacks into Pakistan from Afghan soil, the Ministry of Foreign Affairs (MoFA) confirmed on Monday. The target of Monday’s operation was the terrorists belonging to Hafiz Gul Bahadur Group, which along with the banned Tehreek-
COMPLETELY ERADICATING MENACE OF TERRORISM REMAINS TOP PRIORITY: PM
Afghan Taliban condemn attack, urge Pakistan to stop ‘continuation’ of wrong polices
e-Taliban Pakistan (TTP), is responsible for the March 16 attack in Mir Ali, North Waziristan and multiple other terrorist attacks in the country, resulting in deaths of hundreds of civilians and law enforcement officials. On Saturday, at least seven Pakistan Army soldiers — including a lieutenant colonel and captain — embraced martyrdom after gallantly fighting with terrorists as they attacked a security forces’ post in the Mir Ali area of North Waziristan, Khyber Pakhtunkhwa (KP). The Foreign Office (FO) issued a detailed
KABUL: The Taliban government confirmed Pakistani strikes but rejected Pakistani claims that those attacks killed any militants. Condemning the strikes as a violation of sovereignty, Zabiullah Mujahid, the Taliban spokesperson, claimed attacks killed five women and three children in the eastern border provinces of Khost and Paktika. “The Islamic Emirate of Afghanistan does not allow anyone to compromise security by using Afghan territory,” Mujahid said in a statement. “Last night at around 3am, Pakistani planes bombed the houses of civilians,” said the IEA spokesperson. He added that the bombings resulted in the deaths of six civilians, including three women and three children in Paktika, with an additional two women losing their lives due to the collapse
statement on the matter, saying that Pakistan, for the past two years, has repeatedly conveyed its serious concerns to the interim Afghan Government over the presence of terror outfits including TTP inside Afghanistan. It said that these terrorists pose a grave threat to Pakistan’s security and have consistently used Afghan territory to launch terror attacks inside Pakistani territory. Pakistan accords prime importance to the sovereignty and territorial integrity of
of a house in Khost province. The Paktika province is located near Pakistan’s South Waziristan district while Khost is situated near North Waziristan. “The person named Abdullah Shah, who the Pakistani side claims was targeted in the incident, is in Pakistan, on the other hand, there is a tribe living on both sides of this region who have daily trips and close relationships,” claimed Mujahid. The Islamic Emirate of Afghanistan strongly condemns these attacks and calls this reckless action a violation of Afghanistan’s territory, said the Taliban spokesperson and warned that the interim government of Afghanistan, which has a “long experience of freedom struggle against the superpowers of the world”, does not allow anyone to “invade its territory”.
Afghanistan. It has, therefore, always prioritised dialogue and cooperation to confront the terrorist threat. “We have repeatedly urged the Afghan authorities to take concrete and effective action to ensure that the Afghan soil is not used as a staging ground for terrorism against Pakistan. We have also called on them to deny safe havens to TTP and to hand over its leadership to Pakistan,” the FO said.
No additional funds to pay dues of Chinese power plants, Pakistan assures IMF g
Punjab unveils ‘mini-budget’ worth over Rs4,480bn
FUND QUERIES PAKISTAN'S POWER SECTOR POLICIES AMID RISING DEBTS AND INEFFICACIES PROFIT
MONITORING DESK
LAHORE
STAFF REPORT
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Rs 20.00 | Vol XIV No 261 I 8 Pages I Islamabad Edition
Punjab Finance Minister Mian Mujtaba Shujaur Rehman has presented the provincial budget for the fiscal year 2023-24 worth Rs4,480.7 billion in Punjab Assembly session on Monday. Mujtaba Shuja-urRehman said that Maryam Nawaz after being elected as first woman chief minister of Punjab gave a message of reconciliation to the opposition. While presenting three months budget for the year 2023-24 in Punjab Assembly, he said that in last 21 days, Punjab CM Maryam Nawaz had started 28 big projects. He said it was happening for the first time in the history of Punjab that in short period of time budget was being presented for such big projects. He said these projects were being implemented, adding that it was continuity of public service passion of Muhammad Nawaz Sharif and Shehbaz Sharif. He said this three months budget was aimed at progress and prosperity of people of the province. This budget was for the facility of investors and strengthening of different sectors including health, education etc. He said it was a vision of Punjab Chief Minister Maryam Nawaz to make Punjab a digital province by taking revolutionary steps in various sectors. He said, “One cannot deny inflation but the Punjab government under the able leadership of Maryam Nawaz is fully focusing to mitigate the sufferings of people.” He said that ‘Ramazan Nigheban package’ was being implemented successfully with a cost of Rs 30 billion. He said the Punjab government had made price control system fully active and prices and supply of essential items were also being monitored. The Punjab Finance Minister said that zero tolerance policy had been adopted to overcome hoarding, adulteration and illegal profiteering. Demand and supply of agricultural and essential items were also being improved, Mujtaba Shuja, added.
Pakistan has committed to the International Monetary Fund (IMF) that it will not allocate extra-budgetary funds to clear the Rs493 billion owed to Chinese power plants. According to a news report, the global lender has raised concerns about the effectiveness of Pakistan’s campaign against power theft and questioned the recent steep rise in electricity prices, attributing it to the misuse of costly imported fuels by the energy ministry. The IMF doubts the government’s ability to limit the fiscal year’s non-bill recovery losses to Rs263 billion, noting that losses have already neared Rs200 billion in
seven months. This trend threatens the goal of containing the total circular debt of Rs 2.31 trillion by June 2024. The Fund inquired about Pakistan’s financial planning for the Chinese power projects, with energy officials confirming no plans for additional funding beyond the budgeted Rs48 billion. The dues under the China-Pakistan Economic Corridor (CPEC) have surged to Rs493 billion, violating the 2015 Energy Framework Agreement that requires adequate budget allocation to shield Chinese investors from circular debt. The IMF also expressed skepticism about the long-term efficacy of the antitheft campaign and the military’s role in overseeing power distribution companies. The government’s claim of recovering
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Rs82 billion through this campaign lacks detailed public accountability. Pakistan’s energy sector faces challenges with low bill recovery and high line losses, contributing to the annual circular debt increase of Rs589 billion. Despite an ongoing anti-theft drive, the government anticipates Rs263 billion in losses from poor bill recoveries this fiscal year. The energy ministry has projected a slight improvement in bill recovery rates and expects additional government subsidies to manage the circular debt. However, the IMF remains critical, especially following a controversial Rs7 per unit electricity price hike, questioning the rationale behind it and the overall management of fuel resources by the energy ministry. Additionally, the IMF has requested a revised timeline for phasing out agricultural tube-well subsidies in Balochistan, highlighting ongoing fiscal management challenges in Pakistan’s power sector.
After SSGC, SNGPL also seeks up to 147% hike in gas tariff g
SNGPL REQUESTS A PRICE INCREASE OF RS 2,646.18/MMBTU PROFIT
AHMAD AHMADANI
In a move that could add a financial burden to the inflation-hit consumers, Sui Northern Gas Pipelines Limited (SNGPL) has sought approval from the Oil and Gas Regulatory Authority (OGRA) to increase gas prices by 147%. As per details, after Sindh and Balochistan, preparations are in full swing to increase the gas prices for Punjab and Khyber Pakhtunkhwa as the SNGPL has requested a price increase of Rs 2,646.18 per Million British Thermal Unit (mmbtu) and requested to set a new average price of Rs 4446.89, which would multiply the burden on the people already grappling with soaring rates.
Sui Northern has estimated a revenue shortfall of Rs 189 billion and 18 crore. The OGRA will hear the SNGPL’s application on March 25 in Lahore and March 27 in Peshawar. If SNGPL’s request is approved, the increase in gas price will be applicable from July 2024. It may be noted here that Sui Southern Gas Company has also sent a request to OGRA for an increase of Rs 274.40/mmbtu in gas prices from July 1, 2024, and to fix the average gas price of Rs 1740.80/mmbtu which is expected to burden consumers by Rs 79 billion and 63 crores. The SSGC has estimated a total revenue shortfall of Rs 79 billion and 63 crore rupees in the application for the next financial year, of which Rs 56 billion and 69 crore are due to local gas and Rs 22 billion
and 93 crore due to RLNG. OGRA conducted a hearing on Monday on Sui Southern’s application to jack up the gas prices for its consumers by 18.71% in Karachi while OGRA will also conduct a hearing on March 20 in Quetta. In two separate petitions filed by both the Sui companies (SNGPL & SSGCL) with the OGRA for the determination of Estimated Revenue Requirement/Prescribed Prices for FY2024-25, the SNGPL and SSGCL have also sought the transfer of RLNG cost of service at Rs 325.08 per mmbtu and Rs 39.56 per mmbtu, respectively, for FY2024-25. The revenue requirement of the petitioners will enable the company to meet the cost of gas, operating costs and return on assets.
Umar Ayub says no dialogue with govt sans release of PTI leaders ISLAMABAD
STAFF REPORT
PTI leader Umar Ayub said that as long as PTI leaders were not released, there will be not dialogue with the government. He claimed that Shehbazled government has no knowledge of the economy therefore there was no use to discuss economic challenges with him. He said Shehbaz led government destroyed the economy in the past and this time they will do the same. Meanwhile, the antiterrorism court in Lahore granted interim bail to Umar Ayub Khan in five cases till April 20. The court ordered Umar Ayub to submit a bond of fifty thousand. Babar Awan Advocate appeared on behalf of Umar Ayub. PTI leader was accused in setting containers on fire during protest demonstrations on May 9 besides torching PML-N office.
Eight terrorists, including HVT commander, killed in Waziristan IBO RAWALPINDI
STAFF REPORT
Security forces killed eight terrorists, including a commander, during an intelligence-based operation in North Waziristan, said the InterServices Public Relations (ISPR) on Monday. The terrorist commander was identified as Sehra aka Janan and was killed after an intense gun battle along with the other militants.
SBP plays it safe with policy rate. Was there any other choice? g
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MPC MAINTAINS POLICY RATE AT 22% FOR SIXTH TIME IN LINE WITH MARKET EXPECTATIONS PROFIT
MARIAM UMAR FAROOQ
The Monetary Policy Committee (MPC) of the State Bank of Pakistan (SBP) met today to decide about the Monetary Policy and opted to maintain the policy rate at 22% during its meeting on Monday, March 18, 2024. The decision was in line with analysts’ expectations. The central bank last hiked the policy rate by 100 basis points (bps) to 22% in an emergency meeting in June ahead of an agreement with the International Monetary Fund (IMF). Since then, it has maintained the rate at 22%. The MPC acknowledged that as anticipated, inflation has started to decrease significantly in the latter part of the fiscal year 2024. Headline inflation registered a broad-
based and considerable year-on-year decline from 28.3% in January to 23.1% in February. Core inflation, which is another measure that excludes volatile components such as food and energy prices from inflation calculations, and had previously shown resistance to change, also slowed to 18.1% in February from 20.5% in January. The MPC attributed the improvement in inflation to the combined impact of contractionary monetary policy, fiscal consolidation, better food supplies, moderating global commodity prices and favourable base effect. However, the MPC observed that while energy inflation also decelerated on a yearon-year basis in February, the adjustments in administered energy prices have continued to contribute to inflation directly and indirectly. Going forward, any further
adjustments in administered prices or fiscal measures that may push prices up pose a risk to the near- and medium-term inflation outlook. Cognisant of these risks, the Committee assessed that it is prudent to continue with the current monetary policy stance at this stage. “This warrants a cautious approach and requires continuity of the current monetary stance to bring inflation down to the target range of 5-7% by September 2025. The Committee reiterated that this assessment is also contingent upon continued targeted fiscal consolidation and timely realisation of planned external inflows”, read the monetary policy press release. The MPC also observed that globally, while the overall trajectory of commodity prices remained stable, there was an uptick in oil prices, driven in part by ongoing ten-
sions in the Red Sea region. This development carries the potential to escalate inflationary pressures. Finally, MPC also took into consideration the cautious approach taken by major central banks in both advanced and emerging economies that have opted to maintain a prudent monetary policy stance in their recent meetings due to uncertainty of inflation outlook. Earlier today, Bloomberg predicted that the SBP would likely maintain the current policy stance. The reason it cited was: that the policy rate is below the inflation rate resulting in negative real rates, which is already supporting growth. The report by Bloomberg also highlighted that a potential rate cut could prompt capital outflows, exacerbating the depletion of foreign exchange reserves, which presently cover less
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than two months of imports. Additionally, the repayment of a $1 billion bond due on April 15 would further strain these reserves. In the post-analyst briefing, the governor reiterated that SBP’s foreign exchange reserves stand at around $8 billion currently, and the SBP is targeting minimum foreign exchange reserves of $ 9.1 billion by the end of June 2024. IMF equation Concurrently, Pakistan is undergoing the last review of the IMF’s $3 billion SBA. The review began on Thursday, March 14, and is expected to last four days. Pakistan will receive the last tranche of $1.1 billion if the last review is successful. This review will also set the tone for the negotiations of a longer economic bailout package to sustain the economy
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