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PAKISTAN NEEDS ANOTHER LIFELINE FROM IMF FOR THREE YEARS: PM SHEHBAZ
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Friday, 22 March, 2024 I 11 Ramazan, 1445
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HINTS AT TOUGH ECONOMIC DECISIONS TO STEER COUNTRY OUT OF CRISIS
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Rs 20.00 | Vol XIV No 264 I 8 Pages I Islamabad Edition
CLAIMS BURDEN OF THESE MEASURES WOULD PRIMARILY FALL ON WEALTHY AND ELITE
IMF directs Pakistan to expedite tariff rebasing for Discos PROFIT
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RIME Minister Muhammad Shehbaz Sharif on Thursday said that Pakistan wanted to negotiate another loan programme from the International Monetary Fund (IMF) spanning over three years, hinting at tough economic decisions to steer the country out of the crisis. Addressing the meeting of the Apex Committee of Special Investment Facilitation Council (SIFC) here, the prime minister said the IMF had concluded the final review for the last tranche of$1.1 billion that will hopefully be received by next month. After this, he said, Pakistan also wanted to start another programme with the IMF for a period of three years during which the government will take strict measures to bring
deep-rooted structural reforms in the country. He was of the view that the government was going to make tough economic decisions to steer the country out of crisis assuring to protection of downtrodden segments of the society. He said that the burden of these measures would primarily fall on the wealthy and elite, with safeguards in place to protect the interests of the poor and vulnerable. With the reforms, he said “we will succeed in gradually breaking the begging bowl and come out of the debt trap”. The prime minister sought the support of all political parties and the provincial governments to successfully implement the agenda of macroeconomic stability in the country. “For this, we will have to work together. With the support of all the provinces, we will together resolve all the challenges and difficulties faced by the country”, he added.
PTI denounces Lu’s statement, calls for open trial in cypher case LAHORE
STAFF REPORT
The Pakistan Tehreek-e-Insaf (PTI) has strongly rebuked recent remarks made by US diplomat Donald Lu, denouncing them as false and deceptive, and has demanded an open trial regarding the cypher case. In a press conference held on Thursday, PTI Chairman Barrister Gohar Ali Khan addressed the media, asserting that PTI founder Imran Khan has urged former envoy to the US Asad Majeed to clarify his position on Lu’s statement. According to Gohar, Khan declared Lu’s deviation from his initial testimony before Congress as misleading, alleging a conspiracy against PTI’s democratically elected government, which was ousted through a vote of no-confidence in 2022. Barrister Gohar challenged Lu’s denial of his previous statement, urging Majeed to reaffirm his stance in response to Lu’s testimony, citing prior discussions between the two parties. He criticised Lu’s apparent diversion during a congressional hearing, where he purportedly spent minimal time addressing the cypher issue and instead shifted focus to unrelated matters. Highlighting Lu’s comments regarding the general elections on February 8, Barrister Gohar underscored the diplomat’s assertion that the United States had never endorsed Pakistani elections as ‘free and fair.’ Consequently, he called for a thorough investigation into any irregularities in the electoral process. PTI Information Secretary Raoof Hasan highlighted the Pakistan Democratic Movement’s (PDM) evolving stance on the cypher issue. He said despite initially denying its existence, PDM later acknowledged violations of the Official Secret Act within the cypher case, despite the cabinet’s declassification of the document. Hassan noted that Lu’s testimony supported the reality of the cypher, despite his reluctance to acknowledge its content. Expanding on this, Hasan referenced two National Security Council meetings convened to discuss the cypher, during which it was decided to issue formal demarches to the US government in Islamabad and Washington. Meeting minutes, he claimed, provided evidence of significant interference in Pakistan’s internal affairs. Hasan emphasised that the contents of the cypher were no longer confidential, having been reported in the international press. He aligned with Imran Khan’s consistent stance, stressing the disparity between the ongoing secretive trial against Khan within the cypher and the public hearings in the US Congress.
The International Monetary Fund (IMF) has instructed the Power Division of Pakistan (PD) to ensure timely tariff rebasing, directing power Distribution Companies (Discos) to submit their tariff petitions for the 2024-25 fiscal year, as reported by Business Recorder. Sources familiar with the matter reported that the IMF emphasizes the importance of meeting the deadlines for these petitions, which are set to take effect from July 1, 2024. The upcoming rebasing will not only determine the necessary tariff increase but also update longstanding reference figures. During discussions, the IMF team inquired about the expected tariff increase through rebasing. The Power Division, however, has yet to finalize these figures due to disagreements over the projections for the fiscal year 2024-25. Regarding Pakistan’s circular debt issue, sources indicated that the Power Division is aligned with the IMF’s targets, achieving a circular debt figure of Rs378 billion against a target of Rs385 billion by December 2023. Additionally, the division is progressing with reforms, including the privatization of
Discos and the finalization of the Integrated Generation Capacity Expansion Plan (IGCEP) scheduled for April 2024. The IMF, in a press release dated March 20, 2024, advised the government to continue with timely power and gas tariff adjustments to ensure tariffs reflect actual costs while protecting vulnerable consumers through progressive tariff structures. The Fund also recommended accelerating cost-reduction reforms in the energy sector, including enhancements in electricity transmission and distribution, integration of captive power demand into the grid, and strengthening governance and management of distribution companies. The Power Division addressed additional inquiries from the IMF, confirming that the budgeted Rs48 billion for 2023-24 is allocated for CPEC Independent Power Producers (IPPs) and explaining the January 2024 Fuel Charges Adjustment (FCA) of Rs7 per unit was a result of system constraints, as clarified in a recent public hearing chaired by the National Electric Power Regulatory Authority (Nepra). The Power Division is aiming for an early completion of tariff rebasing to mitigate the financial impact of FCAs and Quarterly Tariff Adjustments (QTAs), seeking to lessen the burden currently passed on to consumers.
SC rules ROs must avoid using authority to sabotage electoral process g
DETAILED DECISION EMPHASIZES ROS NEED TO UPHOLD FUNDAMENTAL RIGHTS OF INDIVIDUALS CONTESTING ELECTIONS ISLAMABAD
STAFF REPORT
The Supreme Court (SC) observed on Thursday that returning officer (RO) must scrutinize all nomination papers in the best interest of justice and uphold the fundamental right of any individual to contest elections. “Returning Officers must remember that it is a fundamental right of an individual to contest elections and if they sabotage an individual not only do they rob the individual of their fundamental right but they also rob the populace at large of voting for that individual, which is also a fundamental right protected by the Constitution,” said an 11-page detailed judgment authored by Justice Irfan Saadat Khan regarding the acceptance of the nomination papers of a candidate, Shaukat Mahmood. A three-judge bench led by Justice Munib Akhtar heard the matter. The detailed judgment noted that ROs are an integral part of the electoral process and it is highly unbecoming of them to exercise the authority conferred upon them in a manner that sabotages the electoral process. “We have carefully perused the one-page notification multiple times, and in any of those instances have not come across any official “office hours.” With due respect to the Returning Officer, if the ECP has fixed the last
date for scrutiny of nomination papers as 30.12.2023, the Returning Officer has no right to determine the cut-off period on 30.12.2023 or what “office hours” he or she will operate until on the last date, i.e. 30.12.2023. In our view, until the clock strikes midnight on 30.12.2023 or whatever the last date of the scrutiny of nomination paper may be for any future election, the Returning Officer must scrutinize all nomination papers submitted to him, in the best interest of justice and to uphold the fundamental right of any individual to contest elections,” the statement read. Justice Irfan Saadat Khan also said, “Elections are the bedrock of a democracy; and as the 16th President of the
United States of America, Abraham Lincoln, once said, elections belong to the people. Therefore, it is essential that those wishing to contest elections be facilitated as far as is legally permissible. It goes without saying that it is against democratic norms and principles to add technical bottlenecks in the way of any individual, who is a citizen of this country, trying to contest elections. And in this backdrop, it is pertinent to say that electoral laws and rules cannot be used as an arbitrary filtering mechanism, dependent on the whims of a Returning Officer. Therefore, a Returning Officer should exercise the discretional powers available to him in a rational and meticulous manner.”
President Zardari seeks presidential immunity in Thatta Water Supply reference ISLAMABAD
STAFF REPORT
President Asif Ali Zardari filed on Thursday moved an accountability court, seeking presidential immunity in Thatta water supply reference. The president’s counsel sought presidential immunity through an application submitted to the Accountability Court, stating the immunity had also been attained in other cases. The court issued notices to the National Accountability Bureau (NAB) in the case and adjourned the hearing till April 22. The other accused in the case include former secretary Ejaz Ahmed Khan, Ali Akbar, Ejaz Memon, Ali Akbar Abro, Khawaja Abdul Ghani Majeed, Manahal Majeed, Abdul Nadeem Bhutto and others. The water supply reference pertains to an alleged illegal award of a contract for the water supply scheme in Thatta to a private contractor. In January 2023, an accountability court sent back a corruption reference against Zardari after amendments to the NAB law. Earlier, Zardari also secured presidential immunity in the Park Lane reference case. Accountability court Judge Nasir Javed Rana presided over the proceedings and heard the Park Lane reference against the president and others. Zardari’s lawyer Farooq H. Naik emphasised that President Zardari’s status as the country’s elected head granted him immunity from legal action, thus rendering the continuation of the case against him untenable.
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Pakistan doesn’t want any armed conflict with Afghanistan: Kh Asif ISLAMABAD
STAFF REPORT
Pakistan’s Defense Minister Khawaja Asif has stated that his country does not desire an armed conflict with Afghanistan, following Islamabad’s airstrikes on alleged terrorist hideouts across the border. In an interview with Voice of America (VoA), Asif emphasized, “Force is the last resort. We do not want to have an armed conflict with Afghanistan.” He cautioned that Pakistan could block the corridor it provides to landlocked Afghanistan for trade with India if Kabul fails to curb anti-Pakistan terrorists operating on Afghan soil, questioning the rationale behind providing this corridor if Afghanistan treats Pakistan as an enemy. Asif highlighted the surge in terror attacks in Pakistan since the Taliban regained power in Afghanistan in August 2021. He noted that a message needed to be sent that cross-border terrorism has become intolera-
ble. He expressed Pakistan’s desire to convey to the de facto rulers in Kabul that the current situation is untenable. Regarding Pakistan’s interactions with the Taliban, the defence minister stated that during a visit to Kabul in February 2023, he advised Taliban ministers to not let past “favours” from the Tehreek-e-Taliban Pakistan (TTP) tie Kabul’s hands. He warned, “If they [TTP] can harm us, then we’ll be forced to [retaliate].” Asif expressed hope that Afghanistan would meet the “single demand” of reining in the TTP, thereby preventing the need for future military strikes from Pakistan. Asif also alleged that Kabul was allowing the TTP to operate against Pakistan to prevent its members from joining the Islamic State terrorist outfit’s local chapter, known as IS-Khorasan Province. He referred to IS-KP as a major internal security threat for Afghanistan. Despite China’s silence on the cross-border fighting, Asif dismissed the lack of public support from Beijing, stating, “It’s not
necessary that the world must applaud us. What is in our interest is enough for us. We are protecting our interest, irrespective of whether someone applauds us or not.” Pakistan strikes inside Afghanistan Accusing certain elements in the Taliban government for patronizing the banned
Tehreek-e-Taliban Pakistan (TTP) and its affiliates, Pakistan carried out what it termed “intelligence-based anti-terrorist operations” in the border regions inside Afghanistan on Monday, in a significant escalation in tensions between the two neighbours. However, a carefully worded statement did not specify the nature of the operation or mention the air strikes. Although Pakistan has carried out air strikes in the past inside Afghanistan, notably in April 2022, this was the first time Islamabad officially acknowledged striking inside the neighbouring country. The strikes were prompted by the March 16 terrorist attack in Mir Ali, North Waziristan in which seven Pakistani soldiers including two officers were martyred. The attack seems to be a tipping point in the relationship that has remained on the edge for months. A statement issued by the foreign office said the target of the operation was the terrorists belonging to Hafiz Gul Bahadur Group, which along with TTP, was respon-
sible for multiple terrorist attacks inside Pakistan, resulting in the deaths of hundreds of civilians and law enforcement officials. Taliban condemn strikes The Taliban government confirmed the 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 of a house in Khost province.