N
In partnership with
Profit
PAKISTAN, MALDIVES SIGN 20 MOUS, SET $200M TRADE TARGET WITHIN TWO YEARS Thursday, 22 October, 2026 | 10 Jumada al-Awwal, 1448
g
g
g
PM SHEHBAZ REAFFIRMS COMMITMENT TO STRENGTHEN MALDIVES RELATIONS FOR 'ALL TIME TO COME'
PRESIDENT MUIZZU CALLS PAKISTAN A TRUSTED FRIEND OF MALDIVES FOR 60 YEARS
g
g
Rs 20.00 | Vol XVII No 208 | 8 Pages | Lahore Edition
TWO COUNTRIES AGREE TO BUILD A NEW ERA OF PARTNERSHIP ON FOUNDATIONS OF SIX DECADES OF FRIENDSHIP
BOTH COUNTRIES AIM TO RAISE BILATERAL TRADE FROM $13.9M TO $200M WITHIN TWO YEARS
20 MOUS COVER TRADE, INVESTMENT, HEALTH, EDUCATION, DEFENCE, IT, TOURISM AND OTHERS
Dar, Tallal Ch discuss broader cooperation with Maldivian leadership ISLAMABAD
stAFF RePORt
P
ISLAMABAD
sAleem JAdOOn
RIME MINISTER Shehbaz Sharif on Wednesday vowed to further strengthen Pakistan’s longstanding relations with the Maldives as the two countries signed 20 memorandums of understanding (MoUs) across multiple sectors and agreed to raise bilateral trade from $13.9 million to $200 million within the next two years. Welcoming Maldivian President Dr Mohamed Muizzu and his accompanying delegation to Pakistan, the prime minister said the two brotherly countries were committed to deepening their cooperation and expanding their partnership in areas of mutual interest.
“There is no doubt that the two countries [will] keep on strengthening these relations for all time to come,” Prime Minister Shehbaz said while addressing a joint press stakeout following delegation-level talks and the exchange of the 20 MoUs. He extended his “warmest greetings and heartfelt affection to the people of Dhivehi Raajje, the land of islands, a nation whose spirit is as vast as the ocean that surrounds it,” while highlighting the significance of six decades of diplomatic relations between the two countries. President Muizzu arrived in Islamabad on Tuesday on a three-day visit at the invitation of Prime Minister Shehbaz.
CONTINUED ON PAGE 03
Deputy Prime Minister and Foreign Minister Senator Mohammad Ishaq Dar on Wednesday reaffirmed Pakistan’s commitment to its longstanding fraternal relations with the Maldives, emphasising the need to broaden bilateral cooperation across key sectors, including trade, investment, education, climate change and tourism. During a meeting with Maldivian President Dr Mohamed Muizzu, DPM Dar underscored the importance of expanding cooperation between the two countries, the Foreign Office (FO) said in a statement. Dar also welcomed the Maldivian business delegation participating in the Maldives-Pakistan Business Forum and expressed hope that business-tobusiness (B2B) engagements would translate into concrete trade and investment opportunities. President Muizzu, in his interaction with Dar, expressed the Maldives’ desire to deepen its close relations with Pakistan and explore new avenues of mutually beneficial cooperation, according to the FO.
Pakistan, Qatar, Türkiye and Indonesia sign Badr defence pact DOHA
ReuteRs
Pakistan, Qatar, Türkiye and Indonesia on Wednesday signed a multilateral defence cooperation agreement aimed at strengthening military capabilities, promoting joint production and expanding collaboration in defence technology, according to Turkiye’s defence ministry. The agreement, titled the Badr Memorandum of Understanding (MoU), was signed in Qatar by the defence ministers and senior officials of the four countries. Pakistan’s Defence Minister Khawaja Asif signed the accord on behalf of Islamabad. Pakistan’s Foreign Office had yet to issue a statement on the agreement. According to Türkiye's defence ministry, the pact seeks to promote cooperation in military production, enhance defence capabilities and facilitate collaboration in
technical military training, research and development. “The agreement holds substantial economic importance,” the ministry said, adding that the initiative would draw on the respective military production capabilities of the four countries to strengthen their defence industries and help meet the needs of allied
and friendly nations. Turkish Defence Minister Yaşar Güler, Qatar’s Deputy Prime Minister and Minister of State for Defence Sheikh Saud bin Abdulrahman, and Indonesia’s Deputy Defence Minister Yusuf Jauhari were the other signatories. Haluk Görgün, head of Turkiye’s
COOPERATION ON IMMIGRATION, HUMAN SMUGGLING, ORGANISED CRIME Separately, Minister of State for Interior Tallal Chaudhry met Maldivian Minister for Homeland Security Ali Ihusan to discuss ways to strengthen bilateral relations and enhance cooperation between the two countries, the Interior Ministry said in a statement. During the meeting, the two sides agreed to promote cooperation on immigration and work together to curb human smuggling and organised crime. Chaudhry said Pakistan valued the sharing of experiences and security cooperation with friendly countries to promote regional peace and stability. “Pakistan wants to strengthen bilateral cooperation with the Maldives in the areas of law enforcement and internal security,” the statement quoted him as saying. He emphasised the need for coordinated efforts between the two countries to address the challenges of illegal immigration and human smuggling. On behalf of Interior Minister Mohsin Naqvi, he also assured the visiting dignitary of “all-possible assistance” to enhance bilateral cooperation. Secretariat of Defence Industries, also attended the ceremony. In a statement, Mr Görgün described the accord as the foundation for strategic cooperation aimed at developing joint production and technological capabilities. He said technology sharing, joint development and stronger domestic production capabilities were essential to building a sustainable defence industry. “As Türkiye, we value partnerships that go beyond off-the-shelf procurement models, that foster the development of a nation’s own human capital and industrial infrastructure,” he said. Mr Görgün expressed confidence that the Badr MoU would help translate the complementary capabilities of Pakistan, Qatar, Indonesia and Turkiye into practical projects. State-run Qatar News Agency said the agreement was named Badr, referring to the full moon, to symbolise how the four countries complemented one another through the partnership. The agency added that other friendly countries could join the agreement, subject to criteria agreed upon by the four signatories.
CONTINUED ON PAGE 03
US must maintain ties with Pakistan from 'geographic standpoint', says Rubio NEW DELHI Agencies
US Secretary of State Marco Rubio said the United States needed to maintain a relationship with Pakistan, citing its geographical importance and nuclear capabilities. "It's a country that we have to have a relationship with. It's a country that possesses nuclear weapons. It's a country that, from a geographic standpoint, we need to be able to interact with it in much the same way as the government of India has to have and has a relationship and meets with leaders from Iran," Rubio said in an interview with India's Network18. His remarks came during a visit to India, where Washington and New Delhi have been discussing bilateral trade, defence cooperation and regional security. The US secretary of state acknowledged the challenges of balancing such relationships, saying they remained an essential part of Washington's foreign policy. He further suggested that maintaining communication with Islamabad could help Washington address India's security concerns. "And I think in a way it could be a positive thing, because if we have a relationship and we can speak to them, it could perhaps put us in a position to help discourage the kinds of things that India is worried about," he added.
ECP orders LG elections in Islamabad under Local Govt Act 2015
CONTINUED ON PAGE 03
ISLAMABAD
stAFF RePORt
The Election Commission of Pakistan has ordered that local government elections in the federal capital be held under the Local Government Act of 2015. The Commission has directed that the election schedule in this regard be issued today. A five-member commission, headed by the Chief Election Commissioner, conducted the hearing the case regarding the delay in Islamabad local government elections. The Interior Secretary and officials from the Election Commission appeared. Election Commission’s Special Secretary, Zafar Iqbal Malik briefed that delimitation of constituencies has been carried out six times and election schedules have been issued four times. Special Secretary stated that the latest schedule was set for October 9, 2026, with polling originally planned for February 2026. The government issued an ordinance while data and maps have been obtained,' the Special Secretary said. Delimitation processes were underway, but the ordinance expired on September 6, the Special Secretary stated. He added that final delimitation of constituencies was published on October 14. The Special Secretary added that two reminder letters were sent to the Ministry of Interior, which was also informed about the lapse of the ordinance. The Special Secretary said rules for the Islamabad local government have not yet been provided, and the Ministry of Law refused to vet the rules.
02 nEws
Thursday, 23 October, 2026 | LAHORE
PAKISTAN CUSTOMS REVISES CARBON STEEL SEAMLESS PIPE IMPORT VALUATIONS USING LONDON METAL EXCHANGE PRICES
P
PROFIT
STAFF REPORT
AKISTAN Customs has revised the valuation mechanism for imported carbon steel seamless pipes, linking customs assessments to London Metal Exchange (LME) steel billet prices, fabrication costs and freight charges, with separate formulas for imports from China and other countries. According to Valuation Ruling No. 69/2026, the Directorate General of Customs Valuation has introduced a revised cost-based assessment mechanism for carbon steel seamless pipes of assorted sizes under Section 25A of the Customs Act, 1969. The new ruling supersedes Valuation Ruling No. 68/2026, issued on June 12, 2026, following objections raised by three domestic manufacturers. Huffaz Seamless Pipe Industries Limited, Peoples Steel Mills Limited and Jamal Seamless Pipe (Pvt) Limited had challenged the earlier ruling under Section 25D of the Customs Act. Following their petitions, the Director
General of Customs Valuation issued Orderin-Revision No. 41/2026 on August 31, 2026, directing the Directorate to undertake a fresh valuation exercise using the computed-value method under Section 25(8). Under the revised mechanism, customs values for Chinese-origin carbon steel seamless pipes will be calculated using the LME domestic ex-works steel billet price, with an additional 2% of that price for general expenses, $50 per tonne for the square-billet differential, $300 per tonne for fabrication and actual freight charges. For imports originating from countries other than China, the customs value will be calculated using the LME export price of steel billets, with an additional $50 per tonne for the square-billet differential, $300 per tonne for fabrication and actual freight. Both categories fall under Pakistan Customs Tariff (PCT) code 7304.3900, while separate proposed WeBOC classifications have been specified for Chinese and other imports. he Directorate said the revised values were determined following a stakeholder meeting held on October 5, 2026, in compli-
PSX stages late-session recovery to close 779 points higher
The Pakistan Stock Exchange (PSX) staged a late-session recovery on Wednesday to close 779 points higher, reversing losses after a volatile trading session that saw the benchmark index swing between positive and negative territory. The market opened on a positive note and the benchmark KSE-100 Index surged 1,090.79 points to an intraday high of 166,242.43, according to PSX data. However, the rally lost momentum, with the index slipping into negative territory after 1:30 pm and hitting an intraday low of 164,999.59. The market staged a recovery later in the session, with the KSE-100 settling at 165,930.98, up 779.34 points, or 0.47%, from the previous close. The gain came after a negative session on Tuesday, when the PSX extended its decline amid persistent selling pressure, cautious investor sentiment and concerns over macroeconomic and geopolitical developments. THE KSE-100 INDEX HAD FALLEN 814.44 POINTS, OR 0.49%, ON TUESDAY TO CLOSE AT 165,151.64 POINTS. Asian stocks also came close to reclaiming their highest level since last week's selloff in regional trading on Wednesday, buoyed by gains on Wall Street and early signs of a strong corporate earnings season. MSCI's broadest index of Asia-Pacific shares outside Japan was up 1.1%, led by a 3.3% gain for Korean shares, while Japan's Nikkei 225 climbed 0.9%. S&P 500 emini futures rose 0.2%, although renewed concerns over AI-related data centre operators dampened risk appetite. Oil prices gained over $1 on Wednesday as escalating Middle East tensions fuelled fears of supply disruptions, while falling US crude and product inventories lent support to the market. Brent crude futures rose $1.61, or 1.5%, to $110.40 per barrel as of 0630 GMT. US West Texas Intermediate (WTI) crude gained $1.45, or 1.5%, to $99.27 per barrel.
and maintained that China's domestic exworks prices already included 13% valueadded tax. Following the consultation, Customs adopted a fabrication cost of $300 per tonne, between the amounts proposed by manufacturers and importers, while retaining actual freight charges in the valuation formula. The Directorate said the revised values were calculated using five verifiable cost components: the LME billet price, squarebillet differential, fabrication cost, freight and miscellaneous expenses. It also examined import data for round billets and bars used by domestic manufacturers, alongside import records for finished seamless pipes brought in by commercial importers. The Directorate stated that the transaction value method under Section 25(1) could not be adopted because declared import values did not correspond to prevailing market prices. Methods based on identical and similar goods were also considered unsuitable for exclusive reliance because sufficient evidence regarding product quality, quantities and commercial levels was unavailable. Market inquiries under Section 25(7)
PROFIT STAFF REPORT
The proposed relocation of Pakistan Petroleum Limited's (PPL) headquarters from Karachi to Islamabad has drawn opposition from Pakistan Peoples Party (PPP) lawmakers, who questioned the financial justification for the move and cited an estimated cost of Rs4 billion. During a National Assembly session on Tuesday, Petroleum Minister Ali Pervaiz Malik defended the proposal, saying it had been approved by PPL's management and three previous boards of directors to reduce expenditure and improve administrative efficiency. Responding to a calling-attention notice moved by PPP MNA Naveed Qamar, the minister said PPL's operational assets and field offices would remain in Karachi, while shifting the headquarters would facilitate
coordination with government departments in Islamabad. He maintained that the decision was part of broader reforms at PPL and was not politically motivated.Parliamentary Secretary for Petroleum Mian Khan Bugti said the company spent approximately Rs120 million annually on officers' travel, presenting the expenditure as one of the reasons for the proposed restructuring. However, Qamar questioned the need to relocate the entire headquarters, arguing that the government's explanation was inadequate. PPP MNA Nafisa Shah recalled that the petroleum minister had stated in 2025 that PPL would not be relocated from Karachi. She criticised the proposed centralisation of operations and claimed that shifting the headquarters would cost approximately Rs4 billion. She also raised concerns
Pakistan's mobile phone industry misses localisation target as value addition remains at 10-15% PROFIT STAFF REPORT
Pakistan's mobile phone manufacturing industry has failed to achieve meaningful localisation despite attracting more than 35 international manufacturers, with domestic value addition remaining at 10-15% against a target of 49% by June 2023, largely due to an unfavourable tariff structure and delays in implementing the government's manufacturing roadmap. The Mobile Device Manufacturing Policy 2020 was introduced to establish local assembly opera-
tions before gradually shifting towards domestic production of components, including motherboards, displays, batteries and chargers, to develop an export-oriented industry. According to the Pakistan Telecommunication Authority (PTA), more than 35 manufacturers, including Samsung, Xiaomi, OPPO, Vivo, Transsion and Nokia, established production facilities in Pakistan, creating approximately 40,000 jobs. However, a policy brief by the Policy Research Institute of Market Economy (PRIME), titled Protecting Assembly, Distorting Markets,
found that the incentives encouraged assembly without establishing a competitive domestic component manufacturing industry. The brief noted that 31 companies had obtained manufacturing authorisations by February 2023, attracting approximately $300 million in investment. Domestic production reached 21.94 million handsets in 2022, compared with 1.53 million commercially imported devices. Despite this expansion, localisation remained limited, with manufacturers continuing to rely heavily on imported completely knocked-down (CKD) kits.
Pakistan refineries agree to slash diesel margins by another $3.9/barrel to lower fuel prices PROFIT STAFF REPORT
Pakistan's five oil refineries have agreed to reduce their margins on high-speed diesel (HSD) by another $3.9 per barrel at the government's request, contributing to a Rs7.69 per litre reduction in diesel prices on October 19, 2026, The Express Tribune reported. The decision followed consultations between Federal Minister for Petroleum Ali Pervaiz Malik and the management of Attock Refinery, National Refinery, Cnergyico Pk, Pakistan Refinery and Pak-Arab Refinery. During a meeting chaired by the petroleum minister on Monday, refinery executives agreed to make further concessions to provide relief to consumers despite financial pressures arising from international crude oil prices. Following the consultations, the federal cabinet approved a revised HSD pricing formula, setting the maximum allowable refinery crack at $38 per barrel while retaining the existing minimum floor of $11.33 per barrel. The latest reduction of $3.9 per barrel comes in addition to earlier concessions made by the refining in-
dustry. According to an official communication issued by the Petroleum Division to the Oil and Gas Regulatory Authority (OGRA), the revised formula provides that the maximum diesel crack will be determined using the average crack spread over the preceding seven working days, subject to the $38-per-barrel ceiling. The federal cabinet also approved the continuation of the revised crude-based pricing mechanism for another three months. However, the arrangement may be reviewed before the end of that period if geopolitical conditions improve and international petroleum prices decline sharply. All other parameters used to determine petroleum product prices will remain unchanged. Commenting on the decision, Cnergyico Pk's vice chairman said the refining sector had made substantial contributions to consumer relief despite facing financial challenges. He said refineries had supported the government through reductions in fuel prices, discounted fuel supplies for Hajj flights and petroleum supplies to the country's defence forces at reduced prices. Report AdAdvertisement he Cnergyico official maintained that the industry's financial position remained under pressure because the
existing pricing mechanism did not fully reflect the actual cost of crude oil purchased from international markets. He said the realised diesel crack remained low as the pricing formula did not adequately account for crude procurement costs. He also urged the government to examine businesses that had previously increased the prices of goods and services on the grounds of higher fuel costs. He argued that these businesses should now pass on the benefit of lower diesel prices to consumers rather than retain the additional margins generated by earlier price increases. He further said the refining industry's concessions should be considered in the context of national energy security, particularly as refineries continued supplying fuel to essential sectors despite financial constraints. The revised pricing arrangement follows successive reductions in refinery margins intended to limit the impact of international petroleum price movements on domestic consumers Under the latest decision, the seven-working-day average will serve as the basis for determining the diesel crack, with the upper limit fixed at $38 per barrel and the lower threshold maintained at $11.33 per barrel.
about PPL's performance, citing losses of Rs3,600 billion in the gas sector. Pakistan Petroleum Limited (PPL) is a state-owned oil and gas exploration and production company headquartered in Karachi. One of Pakistan’s largest companies in the sector, PPL accounts for more than 20% of the country’s total natural gas supplies. Established in 1950, the company is primarily engaged in the exploration, prospecting, development and production of hydrocarbons and mineral resources. Earlier, National Assembly Speaker Ayaz Sadiq expressed displeasure over the absence of the petroleum minister and senior Petroleum Division officials when the matter was taken up. Malik subsequently arrived and apologised, explaining that a meeting at the Prime Minister's Office had delayed his attendance.
Pakistan Customs revises valuations of coconut oil imported from Sri Lanka, Malaysia, Indonesia and the Philippines PROFIT
PROFIT
Pakistani exporters have urged the government to explore improved bilateral trade arrangements to compete with India and Bangladesh in international markets, where the two countries benefit from preferential trade advantages. The proposal was made during a highlevel consultation chaired by Federal Minister for Commerce Jam Kamal Khan at the Ministry of Commerce on Wednesday, where exporters also raised concerns over
rising energy costs, taxation, delayed refunds and international shipping disruptions. Business representatives recommended examining markets where India and Bangladesh enjoy preferential trade arrangements and assessing opportunities to negotiate better market access for Pakistani products. The meeting brought together leading exporters, industrialists and representatives of the business community, alongside senior government officials. Federal Minister for Maritime Affairs Muhammad Junaid Anwar Chaudhry partic-
ipated virtually, while Minister of State for Finance and Revenue Bilal Azhar Kayani, Coordinator to the Prime Minister on Commerce and Industries Rana Ihsaan Afzal Khan and officials from relevant ministries and departments also attended. During the meeting, exporters highlighted the impact of rising energy prices, the captive power gas levy, provincial infrastructure levies and increasing production expenses on Pakistan's industrial competitiveness. Officials from the Petroleum Division provided clarifications regarding the cap-
STAFF REPORTT
The Directorate General of Customs Valuation has revised customs assessment values for imported coconut oil, fixing rates between $1.92 and $2.52 per kilogramme depending on the country of origin and whether the product is imported in bulk or retail packaging. Valuation Ruling No. 2116/2026, issued on October 16 under Section 25A of the Customs Act, 1969, supersedes Valuation Ruling No. 2042/2026 dated February 10, 2026. Under the revised schedule, coconut oil imported in bulk from the Philippines and Indonesia will be assessed at $1.92 per kg, followed by Malaysia at $1.97, Sri Lanka at $2.23 and other countries at $2.32. For retail-packed coconut oil, customs values have been fixed at $2.12 per kg for the Philippines and Indonesia, $2.17 for Malaysia, $2.43 for Sri Lanka and $2.52 for other origins. The revised values apply to coconut oil classified under HS Code 1513.1900 and proposed WeBOC classification 1513.1900.1000. However, the directorate has excluded virgin and extra virgin coconut oil from these assessment values because of their premium quality. The revision follows an earlier dispute over the customs valuation of Sri Lankan coconut oil, after importers challenged the use of international benchmark prices for products they said differed from organic extra virgin and refined coconut oil. The previous ruling was remanded for reconsideration through Order-in-Revision No. 12/2026 dated May 7, 2026, prompting the directorate to reassess the values in light of international market conditions and stakeholders' objections. During a consultation meeting on October 6, commercial importers and representatives of the Pakistan Biscuits and Confectionery Manufacturers Association presented their views on the proposed valuations. Importers argued that prices published by the International Coconut Community (ICC) for Sri Lankan coconut oil were not suitable for assessing their products because those prices related to organic extra virgin or refined, bleached and deodorised coconut oil. The directorate, however, observed that the importers had not submitted substantive evidence establishing that the ICC's published values were restricted to those grades. It also noted that the ICC did not explicitly identify the processing grade in its published prices.
Exporters seek better trade agreements to compete with India, Bangladesh amid rising costs, market access challenges STAFF REPORT
were conducted but did not produce meaningful results because prices varied significantly. Consequently, the Directorate applied the computed-value method under Section 25(8), using LME price references, fabrication costs and freight to determine the revised customs values. Under the ruling, where declared transaction values or invoice values exceed the customs values calculated through the prescribed formulas, duties and taxes will be assessed on the higher amounts. The ruling applies to the specified descriptions and specifications of carbon steel seamless pipes, while the HS codes are provided for illustrative purposes. Customs collectorates have been instructed to implement the revised assessment mechanism and immediately report any anomalies to the Directorate General of Customs Valuation. The ruling will remain effective until rescinded or revised under Section 25A(4) of the Customs Act, 1969. The revised valuation mechanism has been circulated to customs offices across Pakistan for implementation and incorporation into the WeBOC database.
Pakistan Petroleum’s headquarters relocation to Islamabad faces PPP opposition; govt denies political motives
PROFIT
STAFF REPORT
ance with the Director General's revision order. During the consultation, local manufacturers argued that the London Metal Bulletin/Fastmarkets benchmark previously used for Chinese-origin square billets was outdated and inappropriate because it represented an import price rather than an export price. They maintained that the benchmark had not been updated since March 2024 and therefore did not reflect prevailing international market conditions. The manufacturers proposed using China's domestic ex-works steel billet prices in the absence of an export benchmark and argued that 13% value-added tax should be included when calculating the Chinese export free-on-board price. They also maintained that round-bar feedstock was approximately 180–200 per tonne more expensive than LME square billets. On fabrication costs, local manufacturers proposed an allowance of approximately $350 per tonne for converting round bars into seamless pipes and recommended using a fixed freight value instead of actual freight. costs should not exceed $250 per tonne
tive power gas levy mechanism. Business representatives also discussed international shipping delays, port facilitation, banking regulations and payment settlement requirements, proposing greater flexibility in settlement periods to accommodate disruptions in global logistics. Exporters appreciated the Export-Import Bank of Pakistan's (EXIM Bank) financing scheme, describing it as a positive initiative for improving access to export financing and supporting businesses seeking to expand internationally. Representatives of the meat and live-
stock sector raised concerns about foot-andmouth disease, international sanitary requirements, border restrictions and difficulties accessing Gulf markets. Responding, Jam Kamal Khan said Prime Minister Shehbaz Sharif was taking a personal interest in livestock development, including disease control, investment, improved breeding and value-added exports. Participants were also informed about plans to establish a dedicated, private-sector-led livestock board. Mineral exporters highlighted restrictions on mining explosives and withholding taxes, while Qaiser Saleem Shabbir, chief executive officer representing the surgical instruments sector, called for technological advancement, skilled human resources, industrial investment and modernisation to improve export competitiveness.
Thursday, 23 October, 2026 | LAHORE
WHAT INDRIVE IS REALLY BUILDING WITH BOOKME? PROFIT
STAFF REPORT
inDrive appears to have quietly added ticketing to its ride-hailing platform in Pakistan, redirecting users to Bookme.pk’s interface to purchase tickets. Neither company has publicly confirmed the partnership, but sources familiar with the arrangement have identified Bookme as the ticketing partner. The integration offers a glimpse into how inDrive could be expanding beyond its core ride-hailing business, using partnerships to add new services without having to build them from scratch. For Bookme, the arrangement could open up a new distribution channel, putting its ticketing services in front of inDrive’s existing user base. For inDrive, it raises a bigger strategic question: is the company moving towards a super-app model where ride-hailing becomes one part of a broader platform connecting users to multiple services? Pakistan's technology companies are increasingly looking beyond their core businesses for growth. Rather than building every service themselves, some are turning to partnerships that allow them to tap into existing customer bases, expand
their offerings and enter new markets with less investment in infrastructure. inDrive has been proactive in this, launching grocery delivery in Karachi in January 2026, which was quickly expanded in Lahore in March after which they fully acquired Kravemart to bolster this vertical. The apparent inDrive-Bookme arrangement fits that strategy. It brings together a ride-hailing platform with a ticketing service, raising a larger question: could the next phase of competition in Pakistan's digital economy be less about individual apps and more about who can assemble the most useful ecosystem of services? For Shehryar Hydri of Endeavor, who discussed the strategic implications of the arrangement in an interview, the central idea is distribution. As he put it, “The underlying principle is that distribution is valuable.” FOR INDRIVE, TICKETING IS ANOTHER STEP BEYOND RIDE-HAILING The strategic rationale becomes clearer when the arrangement is viewed against inDrive’s broader ambitions. The company has been expanding beyond ride-hailing into other services relevant to its presence as a logistics platform; it's part of a strategy to
diversify revenue and increase engagement with its platform. Ticketing could extend that approach into travel. A customer who opens inDrive to book a ride could also use it to arrange an intercity journey or purchase a travel ticket. The integration is a value addition because it connects two complementary parts of the travel journey. A passenger can book an intercity travel ticket through inDrive and, upon arriving at a destination such as Karachi’s Jinnah International Airport, use the same app to book an inDrive ride to their hotel or final destination. This creates a more seamless experience by connecting intercity travel with local mobility on a single platform, reducing the need to switch between multiple apps. The advantage is not simply adding another feature. It is making an existing customer relationship more valuable by offering users additional reasons to return to the app. For inDrive, building every service internally would require specialist teams, supplier relationships and operational capabilities that may already exist elsewhere. Partnering with Bookme offers a way to access ticketing infrastructure without having to recreate the entire busi-
ness. Hydri described this model as one in which a platform with an established audience works with a specialist that has the relevant service or inventory. The platform supplies distribution; the partner supplies the product and operational expertise. The commercial outcome will depend on the terms of the agreement, how prominently ticketing is integrated into inDrive and whether customers actually use the service. Neither company is guaranteed a substantial increase in revenue simply by making the feature available but the strategic opportunity is clear: inDrive can broaden its offering while potentially generating additional value from an audience it has already acquired. BOOKME GETS ACCESS TO A DIFFERENT KIND OF CUSTOMER FUNNEL For Bookme, the proposition is different. Its opportunity lies opening a new customer-acquisition channel without ramping up its marketing efforts substantially. A user might enter inDrive to arrange local transport and discover that the same platform can help with a wider journey. That creates a potential customer-acquisition channel for Bookme, allowing it
Pakistan, Maldives sign 20 MoUs, set $200m trade target within two years CONTINUED FROM PAGE 01
The visit is the first by a Maldivian president to Pakistan in 11 years and coincides with the 60th anniversary of diplomatic relations between the two countries, established in 1966. The prime minister said he and President Muizzu held comprehensive bilateral and delegation-level discussions on matters directly affecting the two countries, alongside regional and international developments. “I am very happy to announce that we had a wonderful session, very productive and very fruitful discussions,” he remarked. Prime Minister Shehbaz said the talks covered economic and trade relations, strategic defence cooperation and Pakistan’s support for training Maldivian citizens in various fields, including policing, defence, education, healthcare and other professional disciplines. He announced that both sides had agreed to increase bilateral trade from $13.9 million, describing the existing volume as “just a fraction of our potential”, to $200 million over the next two years. Noting that Pakistan and the Maldives enjoyed very strong relations and had a long record of mutual achievements, the prime minister said their existing trade figures did not reflect the true strength of their economic cooperation. He thanked President Muizzu for his personal support in advancing the bilateral agenda and announced that Pakistan would assist the Maldives in its plan to plant five million trees by providing 100,000 olive cuttings and 100,000 seeds of various plant species within a mutually agreed timeframe. Referring to the 20 MoUs signed between the two countries, Prime Minister Shehbaz said he was ready to work personally with President Muizzu to translate the agreements into practical results through prompt decision-making and speedy implementation. He said Pakistan was prepared to provide technical expertise in different areas of cooperation, particularly as the Maldives moved forward with plans to establish data centres at additional locations. “This is great news, and as a matter of good luck, Pakistan has also attained a reasonable level of expertise and professional capability in this field,” he said, adding that Pakistan had established data centres at various locations and was willing to share its experience and professional capabilities with the Maldives. The prime minister also highlighted cooperation in healthcare and education, noting that a large number of Maldivian students were studying at Pakistani universities and colleges, particularly in healthcare-related dis-
ciplines. He added that 250 Pakistani doctors and other paramedics were serving in the Maldives. “This shall continue in future with bigger numbers so that whatever requirements you have, we as a brotherly country would be more than happy to fulfil those requirements willingly and with utmost sincerity of purpose,” he said. PM COMMENDS MALDIVES’ ‘UNWAVERING’ SUPPORT FOR PALESTINE Turning to international developments, Prime Minister Shehbaz commended the Maldives for its “unwavering” support for the Palestinian cause and reaffirmed Pakistan’s commitment to the Palestinian people’s right to self-determination and the establishment of an independent state of Palestine. He also briefed President Muizzu on Pakistan’s principled position on occupied Jammu and Kashmir, reiterating Islamabad’s support for a peaceful resolution of the dispute in accordance with relevant United Nations Security Council resolutions. “Till they have won their struggle and gotten the right of self-determination, Pakistan shall continue to support them diplomatically and, of course, support them at all international forums till they become an independent sovereign country as per UNSC resolutions, and their sacrifice will not go to waste at all,” he said. In his concluding remarks, the prime minister said President Muizzu’s visit had given Pakistan-Maldives relations “new purpose and new momentum”. “The same ocean that touches the shores of Karachi and Gwadar embraces the islands of the Maldives,” he said. “For centuries, its waves have carried traders, scholars and travellers between our lands. Today, they carry the renewed promise of our wonderful friendship whose finest chapters are yet to be written.” ‘PAKISTAN STANDS AS A TRUSTED FRIEND OF THE MALDIVES’ Addressing the joint press stakeout, President Muizzu thanked Prime Minister Shehbaz, the government and people of Pakistan for their “exceptional warmth and gracious hospitality”. He said the visit was particularly significant as it coincided with the 60th anniversary of diplomatic relations between the two countries, a period marked by warmth, friendship and shared perspectives. “This visit takes place after a decade-long interval. It offers us an important opportunity not simply to celebrate the friendship of the past but to define the partnership of the future,” he said. Emphasising the close ties between the two countries, President Muizzu remarked: “Only two such long-
standing friends could have talked so widely and agreed on so much about our future together”. He said the discussions reflected a clear, shared ambition to move the Maldives-Pakistan partnership into a new era. The Maldivian president said the talks covered a wide range of areas, including trade and investment; health and education; the environment, fisheries and agriculture; youth and sports; policing and defence; training and capacity-building; and tourism. Welcoming the signing of 20 MoUs, he said the agreements would open new avenues for cooperation across multiple sectors. “These memoranda will open new avenues for cooperation among multiple sectors, but agreements are meaningful only when they produce results. Our next step, of course, is to translate these understandings into tangible opportunities and meaningful benefits for the people of both nations,” he said. President Muizzu endorsed the target of increasing bilateral trade from around $13 million to $200 million within two years, describing both countries as partners with substantial untapped potential. “The Maldives and Pakistan are worlds of untapped potential for each other,” he said. He expressed confidence that the two countries would take a firm step in the right direction, adding that Thursday’s Pakistan-Maldives Business Forum would bring together business leaders, inventors and innovators to explore mutually beneficial investment opportunities. President Muizzu also welcomed discussions on establishing direct flights between Pakistan and the Maldives, saying improved air connectivity would help promote tourism and strengthen people-to-people contacts. He said both countries’ leadership saw considerable potential in halal and Muslim-friendly tourism. Highlighting educational cooperation, the Maldivian president appreciated Pakistan’s scholarships and educational placements for Maldivian students. He said the two sides would seek to expand these opportunities, particularly in artificial intelligence, digitisation, future technologies and healthcare. “We want our next generation to be prepared for the future and be prepared to shape that future,” he said. President Muizzu described climate change as a direct challenge to the Maldives’ security, development and future rather than an abstract environmental concern. He welcomed cooperation with Pakistan in climate resilience, conservation, sustainable waste management and renewable energy.
Pakistan Customs revises valuation mechanism for imported coal, links to international Argus prices PROFIT STAFF REPORT
The Directorate General of Customs Valuation has revised the customs valuation mechanism for imported coal, linking minimum assessment values to international Argus prices plus actual freight charges instead of relying on previously determined benchmarks. The Federal Board of Revenue (FBR), through Publication Valuation Ruling No. 70/2026, has introduced the revised mechanism under Section 25A of the Customs Act, 1969. The ruling supersedes Valuation Advice No. 01/2023, issued by the Directorate of Customs Valuation, Quetta, on September 12, 2023. Under the new mechanism, coal imported from all countries will be assessed using the applicable Argus price plus actual freight costs, expressed in US dollars per tonne on a cost-and-freight basis. The ruling covers coal classified under Pakistan Customs Tariff codes 2701.1200 and 2701.1900, with
corresponding proposed WeBOC classifications of 2701.1200.1000 and 2701.1900.1000. Customs authorities have also allowed the Argus price prevailing on the date of the letter of credit (L/C) to be used for determining the assessment value. The revision followed requests from coal importers and other stakeholders who argued that international price-linked valuations would better reflect market fluctuations than fixed customs benchmarks. During a consultation meeting held on October 5, stakeholders proposed linking coal valuations to Argus, an internationally recognised commodity price reporting benchmark. The directorate subsequently examined Argus coal price assessments alongside import declarations and trends recorded over the preceding 90 days. According to the ruling, the review found that Argus prices reflected prevailing international market conditions, making them an appropriate reference for customs assessment.
The directorate said the transaction value method could not be applied because the necessary information was unavailable, while valuations based on identical or similar goods were considered unreliable because the international prices underlying earlier import data had changed. t therefore determined the revised values under Section 25A of the Customs Act, using the international benchmark and relevant import data. The new values will serve as minimum assessment benchmarks. Where an importer's declared or invoice value exceeds the Argus-linked customs value, duties and taxes will be calculated using the higher amount. For consignments transported by air, the difference between air and sea freight charges will also be added to the customs assessment value. The ruling will remain applicable until revised or rescinded, while affected importers may file revision petitions within 30 days under Section 25D of the Customs Act.
Pakistan, Qatar, Türkiye and Indonesia sign Badr defence pact CONTINUED FROM PAGE 01
The agreement comes amid growing diplomatic engagement among Pakistan, Qatar and Türkiye, with Islamabad maintaining longstanding ties with all three countries. Pakistan and Türkiye, along with Saudi Arabia, are members of the Makkah Defence Alliance, under which the three countries have agreed to treat an attack against any one of them as an attack against all. Qatar has welcomed the arrangement as a step towards strength-
ening regional security and stability. Pakistan and Qatar have also remained engaged in diplomatic efforts relating to the US-Iran conflict, while Pakistan and Türkiye are part of the Regional Four (R4) grouping alongside Saudi Arabia and Egypt. The group emerged in March and has held several meetings since its formation. Earlier this week, Interior Minister Mohsin Naqvi met his Qatari counterpart during a visit to Doha, where the two sides agreed to enhance cooperation in internal security. During his visit to Qatar in November
2025, President Asif Ali Zardari also met Qatari Emir Sheikh Tamim bin Hamad Al Thani and offered to expand bilateral cooperation in defence production. Pakistan and Indonesia have likewise been pursuing closer defence cooperation. Last month, Indonesian naval chief Admiral Dr Muhammad Ali called on Chief of Defence Forces and Chief of Army Staff Field Marshal Asim Munir in Rawalpindi. According to the Inter-Services Public Relations, the two sides reaffirmed their commitment to strengthening cooperation in professional training, de-
fence collaboration and joint exercises. The Indonesian naval chief also met President Zardari during the visit. In January, Indonesia’s Defence Minister retired Lieutenant General Sjafrie Sjamsoeddin met Field Marshal Munir, with the ISPR saying that he had conveyed Jakarta’s desire to further expand defence ties with Pakistan. The Badr MoU provides a new multilateral framework for the four countries to explore joint defence projects, share technological expertise and build on their respective industrial capabilities.
NEWS 03
to reach users through an app they already use. The arrangement could also reduce the friction involved in discovering and purchasing tickets. Instead of requiring customers to find Bookme independently, the service can be presented within an existing digital journey. This is particularly relevant in a market where platforms compete not only on the breadth of their services but also on convenience and the cost of attracting customers. Bookme has pursued distribution arrangements with other businesses, integrating its ticketing services into third-party digital channels. Such partnerships allow it to reach customers beyond its own app and website. The inDrive arrangement would also be consistent with a broader model in which Bookme distributes its services through platforms that already have established audiences. The potential benefit is getting reach without having to acquire every customer directly. However, distribution alone does not guarantee growth. Bookme will still need to ensure that its ticket inventory, booking process, customer support and commercial arrangements can support additional demand. The economics will depend on how much incremental business the partnership generates and how much revenue Bookme retains from it. The international dimension may be just as important as the immediate opportunity in Pakistan.
Petrol price cut by Rs2.71 per litre, diesel rises by 31 paisa PROFIT
STAFF REPORT
The government has reduced the price of petrol by Rs2.71 per litre for October 22, providing limited relief to motorists, while diesel has become costlier by 31 paisa per litre, adding to the fuel expenses of transporters and diesel-dependent consumers. According to the Petroleum Division, the Oil and Gas Regulatory Authority (OGRA), under the federal government's petroleum pricing mechanism, has revised the ex-depot prices of petroleum products for October 22, 2026. Following the revision, the price of motor spirit (petrol) has declined from Rs382.02 to Rs379.31 per litre, while the price of high-speed diesel (HSD) has increased from Rs389.80 to Rs390.11 per litre. The reduction in petrol prices offers some relief to private motorists and motorcycle users already struggling with high fuel expenses. However, the increase in diesel prices is likely to add to operating costs for goods transporters, public transport operators, farmers and other consumers dependent on diesel-powered vehicles and machinery, potentially putting further pressure on transportation and agricultural expenses. The latest adjustment has brought the price of petrol below the Rs380per-litre mark, but diesel remains more expensive at Rs390.11 per litre. The contrasting movements mean that consumers will experience different effects depending on their fuel consumption, with petrol users paying less while diesel users face a marginal increase. The Petroleum Division has attributed the changes to global developments, including fluctuations in Platts rates, premiums and other incidental costs. The revised prices will apply from October 22, 2026. The latest adjustment provides partial relief to petrol consumers but offers no corresponding relief to diesel users, underscoring the continued impact of international petroleum market movements on domestic fuel prices and household and business expenses.
US must maintain ties with Pakistan from 'geographic standpoint', says Rubio CONTINUED FROM PAGE 01
Referring to his current role, Rubio said his responsibilities as secretary of state required him to engage with countries with which Washington might have differences. "In my new role, I'm no longer a senator. I'm the secretary of state. I have to manage the foreign policy of the US, and that does require us to have relationships with countries, including those that we may have some disagreements with," he said. Diplomatic engagement between the United States and Pakistan reached new heights after Trump helped broker a ceasefire between Pakistan and India during their brief war. Since then, leaders from both countries have exchanged cordial gestures and praised each other’s leadership on international platforms. PM Shehbaz even nominated President Trump for the Nobel Peace Prize in recognition of his mediation efforts. Trump, in turn, has frequently praised PM Shehbaz and Pakistan’s military leadership, notably describing CDF Munir as his “favourite field marshal”. Building on this positive momentum, Islamabad now seeks to translate the goodwill into tangible economic benefits by pursuing a more favourable trade agreement with Washington, including tariff concessions and expanded market access for Pakistani exports. Most recently, after a war broke out between the US and Iran in February this year, Pakistan emerged on the international stage as a peace broker. Islamabad brokered a two-week ceasefire between the United States and Iran on April 8, followed by critical talks in Islamabad attended by senior delegations from both countries on April 11 and 12.
04 COMMENT
The devolution has stopped at the wrong floor
Preparing for the next programme
E
IMF regional director lays out direction for next programme
VEN though negotiations still have to be held, the International Monetary Fund has begun preparations for the next programme, to the extent that the visiting regional director for the Middle East and Central Asia, Jihad Azour, has laid out the programme of reforms that Pakistan must follow, in the opening speech at a conference on the taxation system. Perhaps more worrisome is that M Azour conveyed the same programme to President Asif Ali Zardari during his call on him at the head of a delegation, and received a reassurance of the country’s commitment to the reforms. While his speech at the conference dealt only with taxation, his stress on the tax system being fairer indicated that the IMF will work to expand the tax net, which it tried in the current programme, but the experiences with the retail, real estate and agriculture sectors have been instructive rather than productive. While talking to the President, M Azour did not restrict himself to fiscal sustainability, but also spoke about energy sector reforms, privatization and social protection. Again, these are measures the IMF has insisted are essential reforms, and each programme aims to achieve them, but does not. The IMF seems prepared to continue trying. Pakistan has found in the past that the recourse to the IMF has been inevitable. This time, it seems the cycle of boom and bust will be avoided, and there will be another IMF programme, fulfilling the danger, that of Pakistan becoming like Argentina, a country which has become the IMF’s biggest borrower. Pakistan may find itself obliged, because the IMF is virtually a rating agency, with one of its programmes assuring the international money market that the country is following the kind of conservative policies that will keep it able to service its debt.The problem with the IMF prescriptions is that they provide no path towards export growth, which is the only long-term way of servicing the country’s foreign debt of $138 billion. Revenue raising is the only way to service the domestic debt of Rs 86.7 trillion, is to raise revenue. Now exports and revenue raising means growth, and that is the catch of IMMF programmes. The IMF tries to ignore growth, and views it with suspicion. This is where governments and the IMF clash: governments want growth, the IMF austerity. The result is government that need the IMF, but try to resist their prescriptions.
The political economy has to be adjusted to the Constitution
P
dr Zafar Khan safdar
AKISTAN passed the 18th Amendment to its Constitution in 2010, widely celebrated as the most significant democratic reform in the country’s history. By decentralising power and shifting major fiscal and administrative responsibilities from the federal government to the provinces, it sought to permanently transform governance across the country. The National Finance Commission Award was restructured to guarantee provinces their share of national revenue. Article 140A mandated that each province establish elected local governments with devolved political, administrative and financial authority. Constitutional scholars called it a turning point. International donors applauded it. Pakistani politicians congratulated themselves. Sixteen years later, the promise remains incomplete. A Task Force on Local Governance Reform, which deliberated from January to June 2026, concluded that none of the four provinces had implemented Article 140A in a sustained and constitutionally compliant manner. The 18th Amendment devolved power from Islamabad to four provincial capitals. It stopped there. It failed to take the next and most important step, devolving meaningful power from those provincial capitals to the cities, towns and districts where 259 million Pakistanis actually live. This is Pakistan’s defining governance failure of the post-2010 era, and it has a precise political explanation. The BNU Centre for Policy Research, in a report prepared with the Sanober Institute in 2026, concluded that the failure is primarily political and structural rather than technical, with members of national and provincial assemblies having a vested interest in retaining development funds and political influence that could otherwise shift to empowered local governments. In plain language, the politicians who were supposed to devolve power kept it for themselves. Provincial secretariats in Lahore, Karachi, Peshawar and Quetta became the new Islamabad, concentrating authority, development funds and patronage networks in provincial capitals while cities, districts and union councils remained starved of the fiscal resources and ad-
Dedicated to the legacy of late Hameed Nizami
Arif Nizami (Late)
A faster railway is not a freight corridor Founding Editor
M. A. Niazi
Babar Nizami
Editor Pakistan Today
Editor Profit
T
Pakistan needs a freight system, not another list of projects Mujtaba arshad
HE Karachi–Rohri section of the Main Line-1 (ML-1) upgrade is estimated to cost about $2.5 billion. The Planning Ministry says the proposed modernisation would increase line capacity from 34 to 120 train pairs and raise freight speeds from around 30 to 80 km/h. These are projected improvements, not results yet achieved. Pakistan Railways issued an early market engagement notice for the project in September 2026. The question is what must change beyond the track itself for businesses to benefit from the investment. The case for modernisation is clear: better track, signalling and operating capacity can improve the railway’s ability to carry freight. But infrastructure is only one part of the equation. Businesses also need dependable schedules, transparent charges, access to suitable rolling stock and timely information about when their cargo will arrive. But a better railway does not automatically create a competitive freight system. PIDE’s transport and logistics research describes Pakistan’s freight movement as heavily dependent on roads, with rail accounting for a comparatively small share. This imbalance cannot be explained by track condition alone. The commercial appeal of rail also depends on reliability, total door-to-door cost, service frequency and how easily businesses can arrange shipments. The evidence points to service, not only steel. PIDE’s transport and logistics research reports that freight forwarders have been reluctant to use Pakistan Railways because of unreliable services and limited access to relevant information. The research also discusses the open-access framework outlined by Pakistan Railways and the Infrastructure Project Development Facility in 2011, under which planned private-sector concessions were not activated. These findings point to a practical policy question: how can freight services become more predictable and accessible to commercial operators? Pakistan has operated container trains between Karachi’s ports and inland freight terminals. A dedicated Karachi–Lahore freight train launched under a public-private partnership in December 2018, with an expected journey time of 48 hours. Officials presented the service as a way to reduce transport costs, but I could not establish whether these projected benefits were sustained in practice. That is precisely why route-level performance data matter. The government should publish comparable information on cost, transit time and reliability wherever commercially and operationally feasible.
This matters to CPEC Phase II because regional connectivity requires more than physical links between locations. Pakistani producers must be able to move goods reliably towards ports and regional markets. A modernised railway that lacks predictable schedules, transparent handling charges and commercially workable access arrangements may fail to deliver its full freight potential. The route proposed below is a policy pilot; I do not claim that it is a formally designated CPEC route. I propose a pilot Multimodal Freight Plan on one commercially viable route connecting Karachi’s ports with an inland freight terminal serving a major production cluster. Faisalabad is one candidate, but it should not be selected before comparison with alternatives such as Sialkot or Multan. Pakistan Railways, Karachi Port Trust, Port Qasim Authority and relevant terminal operators should supply available data on container volumes, costs, capacity and service performance. The route should be selected on evidence of demand and the feasibility of improving existing road–rail connections, not simply because infrastructure is already present. It would also distinguish operational failures from genuine infrastructure gaps. For one defined container shipment type, the pilot would examine volumes and seasonality, road, rail and terminal costs, handling charges, timetables and frequency, capacity and
ministrative authority that functional local government requires. Around 80 percent of local government budgets are consumed by salaries, leaving only about 20 percent for development expenditure. Punjab’s Local Government Act 2025 has also attracted constitutional concerns over the design of council elections and the method of electing mayors, arrangements that can limit the direct political accountability of local leadership. International comparison makes Pakistan’s failure even harder to defend. India’s Panchayati Raj system, established through the 73rd and 74th Constitutional Amendments in 1992, created a constitutionally recognised third tier of government with elected representatives, reserved seats for women and disadvantaged communities, and a framework for fiscal transfers from state governments to local bodies. Indonesia’s decentralisation programme, launched in 1999 and deepened in 2004, transferred substantial administrative and fiscal authority to district-level governments, transforming a highly centralised Suharto-era state into one of the developing world’s more credible examples of subnational governance. Brazil’s municipalities exercise substantial responsibility for public services, supported by constitutionally protected revenue-sharing arrangements that cannot be withheld by state governments. Germany’s Kommunen, the municipal tier of its federal system, manage local infrastructure, urban planning, and social services with genuine fiscal autonomy guaranteed by the Basic Law itself. Switzerland devolves extraordinary authority to its 2,148 communes, including taxation powers that make local government the primary point of contact between citizens and the state. Even South Africa, a far younger democracy than Pakistan, has constitutionally entrenched local government under Chapter 7 of its 1996 constitution, with guaranteed revenue transfers and protection from dissolution without due process. The United Kingdom,
The 18th Amendment gave Pakistan a constitutional foundation for democratic federalism. Sixteen years later, the country has built four powerful provincial floors above Islamabad, but the staircase stops before it reaches the people.
its actual use, port access, and who sets tariffs at each handover. The assessment should compare like with like: the same shipment type, origin and destination, handling requirements and relevant service conditions. The Ministry of Railways should coordinate the assessment with the Ministry of Maritime Affairs, Karachi Port Trust, Port Qasim Authority, relevant dry-port operators and private freight forwarders, with each institution supplying data within its mandate. The first assessment can be done administratively from existing records. Wider private access to rail may need policy approval. Not every constraint is the railway’s, and not every answer is spending. Remedies might include better scheduling, clearer terminal terms, or access for the operators the 2011 policy anticipated. New capital works should follow only where a missing link is demonstrated. I would not start with a new logistics authority or subsidy. The indicators would be: total cost of moving a defined container from origin to destination; transit time; rail’s share of eligible containers; terminal and transfer dwell time; service frequency and on-time performance; capacity utilisation; private operators using the route; and bottlenecks found and resolved. I would avoid cost-per-tonne-kilometre comparisons unless distance, commodity and shipment size match. Data may be commercially sensitive, so results should be published in aggregate. CPEC 2.0 should connect assets into a working freight system and let route-level results guide the next round of public investment. Before committing to further investment, the government should be able to show what it costs, and how reliably, to move a defined container shipment from a production centre to the sea.
The writer is a Research Associate at the Centre of Excellence for CPEC, Pakistan Institute of Development Economics , Islamabad
CPEC 2.0 should connect assets into a working freight system and let route-level results guide the next round of public investment. Before committing to further investment, the government should be able to show what it costs, and how reliably, to move a defined container shipment from a production centre to the sea.
Lahore – Ph: 042-36300938, 042-36375965
I
Karachi – Ph: 021-32640318 I
Islamabad – Ph: 051-2204545
I
Thursday, 22 October, 2026
which has no written constitutional guarantee of local government, has nonetheless devolved substantial authority to Scottish, Welsh, and English municipal councils that manage housing, transport, and social care independently of Westminster. Pakistan’s local governments, where they exist and function at all, possess far less authority than any of these examples, receive far fewer resources, and remain vulnerable to dissolution, redesign, or administrative interference by provincial governments whose institutional interests are consistently served by keeping local democracy weak. The consequences of this incomplete devolution are visible in almost every public service Pakistanis experience daily. Pakistan cannot effectively improve schooling, primary healthcare, water, sanitation, land administration or urban transport through four distant provincial secretariats. A bureaucrat in Lahore cannot know which school in Dera Ghazi Khan needs a teacher, which road in Muzaffargarh needs repair or which water pump in Lodhran has broken down. A genuinely empowered district government, with elected accountability, adequate fiscal resources and administrative authority, could know these things and act on them. The absence of such governments is not an administrative inconvenience. It is one of the structural reasons why service delivery remains so weak. In fiscal year 202425, actual transfers to local governments in Punjab and Sindh reportedly represented only about 33 percent of the constitutional target for local government functions. If that figure is correct, roughly two-thirds of the fiscal devolution envisaged for local functions never reached the level where citizens actually need services. The path forward requires confronting the political economy that has produced this outcome rather than merely redesigning constitutional text. The Task Force on Local Governance Reform has identified the problem with sufficient clarity. Pakistan has decentralised authority from the centre without completing the chain of devolution to the people. Power has repeatedly stopped at the level most convenient to sitting legislators. What is needed is a constitutionally guaranteed minimum fiscal allocation for local governments that cannot be withheld through provincial legislation, direct elections for mayors of major cities with genuine executive authority over municipal services, and protection against the routine dissolution or suspension of elected local councils whenever their political complexion displeases the provincial government in power. Genuine devolution is not a threat to national unity or provincial autonomy. It is essential to making both work. A federation cannot be considered fully democratic merely because power has moved from Islamabad to four provincial capitals. Democracy becomes meaningful when authority reaches the neighbourhood, town and district, where citizens can see who is responsible for their school, their street, their water supply and their sanitation. The 18th Amendment gave Pakistan a constitutional foundation for democratic federalism. Sixteen years later, the country has built four powerful provincial floors above Islamabad, but the staircase stops before it reaches the people. The devolution has not failed because Pakistan devolved too much. It has failed because devolution stopped at the wrong floor. The writer has a PhD in Political Science, and is a visiting faculty member at QAU Islamabad. He can be reached at zafarkhansafdar@yahoo.com and tweets @zafarkhansafdar
Editor’s mail
Send your letters to: Letters to Editor, Pakistan Today, 4-Shaarey Fatima Jinnah, Lahore, Pakistan. E-mail: letters@pakistantoday.com.pk Letters should be addressed to Pakistan Today exclusively
Power shifts without Washington
THE recent G-20 Summit in South Africa will be remembered not only for the historic decisions taken, but equally for the loud, symbolic silence created by the absence of United States President Donald Trump, or even a high-level US delegation. It was a vacuum that everyone felt, a political absence that lowered the temperature of the event, diminished its traditional stature, and, yet, paradoxically empowered the rest of the world to move forward without waiting for Washington’s approval. A gathering once shaped, dominated and animated by American leadership unfolded without it — and the world did not stop. In fact, it moved with surprising confidence and determination, proving for the first time in decades that global cooperation no longer revolves around a single pole of power. Trump’s official explanation for skipping the summit was both extraordinary and controversial. He had alleged that South Africa was maltreating, harassing and killing its white population of British, French, European and American origin, and that the US boycotted the gathering in protest. This justification stunned the world of diplomacy. But, instead of waiting, or putting on hold critical decisions, G-20 moved on, signalling a shift: the world’s most influential economies were no longer willing to freeze or dilute their agenda because the US chose not to show up. The summit scored several major breakthroughs. Africa achieved its long-awaited elevation as a permanent force within the grouping. The Global Debt Relief Framework 2.0 was adopted, which is a unified system for restructuring debt for developing nations. The group finally agreed on a shared code of conduct for artificial intelligence (AI) development, data transparency, cybersecurity protocols, and cross-border data flows. The most visionary outcome, however, was the creation of a $120 billion Green Energy Transition Fund, which aims at helping developing and least-developed countries move away from fossil fuels and adopt alternative sources. While the US debates climate strategies, the G-20 chose global environmental responsibility as a collective mission. The same was the case with trade tariffs and a universal pathogen-sharing system to improve the world’s preparedness facing pandemics in future. Washington’s nonparticipation deprived the summit of its traditional weight, but it gave the rest of the world a rare freedom. For the first time, the G-20 showed that global governance can continue even when America chooses not to lead. This absence also reflects a deeper American decline. The US has already withdrawn from key United Nations bodies, distanced itself from multilateral structures, and ceded leadership of global organisations to others. Across Europe and beyond, intellectuals are questioning the legitimacy of veto powers at the UN Security Council. Economists are also sounding alarms about the US dollar, noting that global confidence in the dollar as a reserve currency is eroding. History teaches that such erosion is initially slow and subtle — as was the case with the British pound — until one day it becomes sudden and irreversible. The G-20 Summit in South Africa was, therefore, more than a diplomatic event; it was a mirror held up to the US. A country that once led the free world with great confidence is now drifting towards isolation, controversy and self-inflicted decline. The world has shown that it can move forward without the US. QAMAR BASHIR ISLAMABAD
End dowry now
AS has often been pointed out, the Dowry and Bridal Gift Act of 1976 does not ban dowry completely. All it does at best is to put a restriction on it. This surely is not good enough, especially when the execution of even this legality is pathetic. We really need to change mindsets at the grassroots level to have any hope for the future. In this regard, the Zanjir-i-Riwaj, an initiative launched by students in Lahore, as part of the Global Perspectives Project, targets complete eradication of such practices. NAME WITHHELD ON REQUEST LAHORE
Web: www.pakistantoday.com.pk
I
Email: editorial@pakistantoday.com.pk
COMMENT 05
The story of two elections Thursday, 22 October, 2026
USA and Israel go to the polls
T
Qamar BasHir
WO elections, separated by one week, could reshape the future of the Middle East. Israel votes on October 27; Americans elect Congress on November 3. Behind both contests stands the same question: has the war against Iran made ordinary people safer, or has it made their lives more expensive and their future more uncertain? For Donald Trump and Benjamin Netanyahu, the battlefield is becoming an electoral liability. These are different elections with interconnected consequences. Netanyahu is fighting to retain the premiership; Trump is fighting to preserve Republican control of Congress. An Israeli defeat could dislodge one architect of confrontation. An American congressional reversal could constrain the other. Neither outcome guarantees peace, but together they could alter the political machinery sustaining this conflict. Iran, the country Washington and Israel sought to weaken, could consequently become a central factor in weakening their leaders’ domestic authority. The military buildup makes that possibility urgent. Euronews reported on October 16 that the USS George Washington and USS George H.W. Bush were operating in the Arabian Sea, with the USS Theodore Roosevelt heading toward the region. Approximately 9,000 additional sailors and Marines were being dispatched, potentially bringing regional naval personnel above 20,000. DefenseScoop also reported an autonomous surface vessel deploying with the Roosevelt’s strike group. The preparations give Washington the means to turn threats into action. Trump’s promise of no attack before the midterms offers little reassurance while American strike capacity continues to grow. On October 8, he publicly tied his pledge to November 3. His record of reversals gives reason to question whether this is electoral caution, negotiating pressure or tactical ambiguity intended to keep Iran off guard.
Tehran therefore has reason to judge Washington’s military preparations more seriously than its president’s assurances. CNN subsequently reported contingency plans potentially involving the Massive Ordnance Air Blast bomb. Read alongside the naval deployments, such planning gives Trump’s declaration a disturbing significance: the pause could provide time to position forces while encouraging an adversary to lower its guard. A sudden strike before the election could then be defended as deliberate deception. The political calendar shapes the danger; it does not reliably determine when that danger might materialize. For Americans, the connection between foreign policy and household hardship is becoming difficult to ignore. Trump campaigned on restoring affordability. The BBC account places his approval near 37 percent and describes gasoline reaching approximately four dollars following disruption to Middle Eastern energy supplies. War reaches voters through fuel pumps, transport charges and household budgets. Presidential declarations of strength offer little comfort when families experience that strength as another expense they cannot avoid. Republican vulnerability is acute in the House of Representatives. All 435 seats face election, and the governing majority is narrow. The Senate presents Democrats with a harder challenge: Republicans hold 53 seats, against 47 Democrats and aligned independents. Democrats therefore need a net gain of four for an outright majority. A national mood hostile to Trump creates opportunities, but individual candidates, turnout and state loyalties will decide whether discontent becomes congressional power. History reinforces Republican vulnerability. The president’s party lost House seats in 20 of the 23 midterms from 1934 through 2022. Trump lost 41 in 2018, although Republicans gained Senate seats. Presidential unpopularity can punish the governing party without producing identical verdicts in both chambers.
Why would a Democratic victory matter to Iran? Congress controls appropriations and can attach restrictions to funding, investigate military decisions and challenge the legal basis for hostilities. A hostile House could make financing an extended campaign considerably more difficult. Democratic control of both chambers would strengthen that pressure. The essential question would become whether legislators actually use these powers, rather than merely expressing dissatisfaction while approving the resources that keep military operations moving. Yet an electoral defeat would not immediately immobilize Trump. The new Congress takes office on January 3, 2027, leaving an interval after November’s vote. Trump could therefore confront a future Democratic majority with military decisions already taken. Congressional checks would remain significant, but their timing matters: an election that promises restraint could be followed by escalation before that restraint becomes effective. In Israel, Netanyahu confronts a different version of the same reckoning. A leader who has built his authority around security must answer whether successive wars have
This is the story of two elections whose consequences will travel well beyond two countries. Iran may emerge as the issue that helped weaken the leaders who pursued war against it. The hopeful outcome is restraint, accountability and renewed diplomacy. The darker outcome is escalation pursued before restraints take effect. These ballots could open a door to peace. The world must hope their answer arrives before another devastating round of war.
Is Elon Musk building a ‘flying car’ because he has been ‘pushed out’ of traditional auto race by China?
translated into products more quickly and
Global electric vehicle sales exceeded 20 million in 2025, made accessible to more consumers. This is underpinned by the country’s long-dewith Chinese automakers accounting for around 60 percent veloped industrial ecosystem. Close coordination across the power battery, of sales and roughly three-quarters of global EV production electric motor, electronic controls and in-
C
GLOBAL TIMES editorial
URRENTLY, China’s economy is steadily advancing along the path of high-quality development, even as domestic and international circumstances become increasingly complex. Some Western media, due to misunderstanding or bias, have repeatedly questioned or even distorted China’s economic development. Accordingly, the Global Times launches the “Q&A on China’s Economy” column to publish opinion pieces to present facts and clarify perceptions. Tesla recently unveiled its next-generation Roadster, which can briefly take flight and perform an aerial flip, drawing global attention. The Wall Street Journal published an article arguing that “Elon Musk’s latest vision for the company’s sports car has more to do with China than cold-gas rocket thrusters.” It suggested that Musk “is leaving the mainstream car market to the Chinese” because “many Western automakers are unable to compete without government intervention.” The article also claimed that some Western automakers are feeling the same pressure as Musk to either “move up” or “be pushed out.” But does the rise of China’s auto industry really mean that automakers from other countries are being forced off the track? The competitive pressure generated by China’s auto industry is indeed a reality that automakers around the world cannot ignore. Musk himself has publicly described Chinese automakers as the “most competitive in the world.” According to the International Energy Agency, global electric vehicle sales exceeded 20 million in 2025, with Chinese automakers accounting for around 60 percent of sales and roughly three-quarters of global EV production. At this year’s Paris Motor Show, the presence of more than 20 Chinese auto brands attracted considerable attention in Europe. Chinese companies have evolved from important participants in the global auto industry into formidable competitors in an expanding range of markets and technological fields. However, interpreting Tesla’s Roadster unveiling as a simple retreat from the mainstream market is misleading. From the outset, the Roadster was designed for
delivered it. Households also judge the cumulative burden of expensive essentials and prolonged mobilization. These pressures do not require an economy in collapse to become politically powerful. Families can hear reassuring national statistics and still conclude that their own lives have become harder, less predictable and less secure. The electoral arithmetic offers Netanyahu little comfort, although it leaves room for survival. An October 15 Times of Israel report put Gadi Eisenkot’s Yashar party at 26 seats and Likud at 20. Its poll projected 54 seats for the Jewish opposition bloc and 49 for Netanyahu’s camp, both below the conventional 61-seat majority in the 120seat Knesset. Other surveys differ. The broad warning is uncertainty: dissatisfaction with Netanyahu has yet to produce an assured alternative government. That uncertainty is central to his survival. Israel’s Basic Law provides for an outgoing government to continue until a successor is constituted. Netanyahu could therefore fail to secure a fresh majority yet remain prime minister during coalition negotiations or another electoral cycle. Political deadlock can prolong incumbency. An
a niche market, serving as a showcase for Tesla’s technological capabilities and brand image. It is not just Tesla. In recent years, nearly all leading global automakers have placed greater emphasis on autonomous driving, connected vehicles and AI applications, reflecting a broader industry consensus on the future of mobility and automotive technology. In fact, most established automakers have not abandoned the mass market. On the contrary, they are stepping up efforts to compete for this core segment of the automotive market. Volkswagen and Renault are still developing more affordable electric vehicles and Toyota and Honda are maintaining dual-track strategies involving both hybrids and pure electric vehicles. The transformation underway in the global auto industry is therefore far more complex than a scenario in which Chinese companies take over the mass market while Western automakers retreat to the premium segment. To understand this transformation, it is essential to examine the sources of China’s automotive competitiveness. Technological innovation in the auto industry has often followed a pattern in which new technologies are introduced in premium models before gradually spreading to ordinary vehicles. The more advanced the technology, the higher the price tends to be. As the technology matures and becomes more widely available, features once reserved for high-end cars eventually find their way into more affordable models. The intense competition in China’s auto market is accelerating this process. In 2025, around 70 percent of the battery electric vehicles sold in China were priced below the average price of conventional gasoline cars. Smart cockpits, advanced driver-assistance systems, efficient electric drivetrains and ultrafast charging are increasingly available in vehicles that ordinary consumers can afford. Whether Musk’s “flying sports car” will ever prove practical remains to be seen. China’s auto industry, however, has already demonstrated that new technologies need not be reserved for a privileged few; they can also benefit the wider public. The fundamental strength of China’s auto industry lies in its ability to closely integrate technological innovation, largescale manufacturing and market demand, enabling advanced technologies to be
telligent manufacturing sectors allows automakers to iterate technologies and develop new products more rapidly. China’s vast domestic market provides a wealth of real-world application scenarios, while consumers’ growing demand for intelligent and electrified vehicles continues to push companies to improve their products. Chinese automakers also face intense competition, and a number of new-energy vehicle companies have already been eliminated in recent years. Yet it is this competitive environment that has helped drive greater industrial efficiency and innovation, propelling the sector to the forefront of the global industry. Seen in this light, portraying the growth of China’s auto industry as “swallowing up markets” deliberately amplifies the perceived threat of competition while overlooking the new opportunities and changes that healthy competition can create. Tesla’s entry into China injected fresh competition into the domestic market, producing a “catfish effect” that spurred local manufacturers to improve. The establishment of Tesla’s Shanghai Gigafactory also put pressure on Chinese automakers, but Chinese suppliers gained technical expertise and experience through production partnerships, improving both efficiency and quality. This has been a process of mutual development. Today, cooperation between Chinese and international automakers, such as Xpeng and Volkswagen, as well as Geely and Ford, further demonstrates how the global auto industry is building new networks of innovation. More than a century of automotive history has been a story of competition driving innovation and technology becoming increasingly accessible. The US once revolutionized the industry through mass production; Japanese automakers raised efficiency through lean manufacturing; and European carmakers built deep strengths in technology and branding. Today, the rise of China’s auto industry is adding a new chapter to that history. Rather than treating market competition as a zero-sum game in which one side’s gains must come at the other’s expense, automakers should focus on strengthening their competitiveness through innovation and cooperation. China’s automotive rise has not deprived the global auto industry of a future. On the contrary, it has opened up more possibilities for the industry’s future.
opposition that wins more seats but cannot assemble a government may discover that an adverse verdict against Netanyahu is insufficient to remove him. His legal exposure adds another dimension. Netanyahu faces domestic corruption proceedings and an International Criminal Court arrest warrant issued in November 2024 concerning alleged war crimes and crimes against humanity. A warrant is not a conviction. Nor does losing office automatically produce arrest. Nevertheless, a weakened Netanyahu could face greater diplomatic isolation. Reduced US protection might make international cooperation with the Court politically easier, although enforcement depends on states, legal obligations and where he travels. Still, voters have an opportunity to interrupt the assumption that military dominance entitles leaders to unlimited political patience. Americans and Israelis will vote for different institutions, but both can demand an accounting of promises, costs and results. Neither electorate controls the region; both can influence governments whose decisions reach far beyond their borders. This is the story of two elections whose consequences will travel well beyond two countries. Iran may emerge as the issue that helped weaken the leaders who pursued war against it. The hopeful outcome is restraint, accountability and renewed diplomacy. The darker outcome is escalation pursued before restraints take effect. These ballots could open a door to peace. The world must hope their answer arrives before another devastating round of war. The writer retired as Press Secretary the President, and is former Press Minister at Embassy of Pakistan to France and former MD, Shalimar Recording & Broadcasting Company Limited
Campus rape culture
W
MONTREAL GAZETTE Jane Hazel
HEN I read the allegations from Cornell University that are making headlines across the U.S. and beyond, I remembered a party at McGill nearly 40 years ago. I was on the rugby team. I was at the Zeta Psi fraternity house that night. I was drinking, dancing and having fun. I did not know what was happening upstairs. A 19-year-old student later said that three men had raped her while several others — around 10, it was reported — watched from the doorway. The McGill Daily reported the allegation in October 1988. The Gazette followed under the headline: “‘Bad apple’ fraternity denounced at McGill”. A Montreal police official is quoted as describing the gathering as an initiation party for rugby players. Slowly, some of the details were filled in. We heard that the young woman had been drinking blue punch and went upstairs with a quiet young man from her pre-med class. She became sick and passed out. He returned to the party and told his fraternity brothers what had happened. Other men went upstairs anyway. I did not witness what transpired. I’m repeating what I remember being told and what I read at the time. The published record is terrible enough: an allegation of rape by three men while 10 others watched. The lesson drawn at the time was simple. She had drunk too much. Women must be careful. We should watch our drinks, stay together and never lose control. It was a convenient lesson. It turned the choices of men into precautions for women. I wish I had done more. I wish I had asked harder questions. There were protests and petitions but in the end the woman’s attempt to have criminal charges laid was unsuccessful. Even the fate of a civil suit she launched seems unclear. As I remember it, the young woman left McGill and Montreal. She bore the cost in her education, her safety and the future she had imagined. As for the men, I have found no evidence that McGill expelled any of them. Three were reported suspended from Zeta Psi. But the fraternity itself endured. Yes, I wish I could have done something. But I was young, and I let it pass. Re-
gret that changes nothing is merely regret. It matters only if it changes what we do next. The Cornell case is still unfolding, and the allegations are disputed. A civil complaint alleges that a student who was severely intoxicated was sexually assaulted by fraternity members in 2024. Records from Cornell’s disciplinary inquiry describe a Snapchat message advertising “Free p—y” and drawing other men to the room. Cornell says its sanctions included suspensions and expulsions. A criminal investigation has been reopened. The two cases are not identical. The pattern is recognizable. In 1988, there was no group chat to summon men upstairs or preserve what they said. There was still an incapacitated woman treated as an opportunity. There were still men seeking the approval of other men. There were still witnesses who did not intervene. And there was still a group with a strong reason to protect itself. Fraternities use the word brotherhood. It is a fine word. But its meaning depends on whom the brothers protect. When a woman is helpless, does brotherhood produce the man who stops his friends, calls for help and tells the truth? Or does it keep the men together and leave the woman alone with what they did? Universities lend these organizations their names, recognition and prestige. They have a duty to examine the evidence on sexual violence, alcohol, bystanders and internal discipline, and to publish what they find. A chapter that cannot protect students or hold members accountable should lose its recognition, housing and privileges. If the problem belongs to the system, the system should end. In 1988, an alleged gang rape at one of Canada’s leading universities soon receded from public memory. The response to Cornell feels different. More people are paying attention. They are asking more and harder questions about the men, the witnesses, the fraternity and the university. I cannot change what I might have done differently in 1988. It is not too late to change what happens now. The outcry is different this time. Forty years should be long enough for the outcome to be different too.
Jane Hazel graduated from McGill University in 1990 with a bachelor of science. She lives in Ottawa.
That Man City appeal in full SATIRE
A
NEWS BISCUIT deskpilot
N independent panel has found Manchester City Football Club to be guilty of 115 offences of financial misconduct. The club say that the independent panel is clearly biased, stupid, corrupt and, worst of all, Southern. They are appealing all the guilty findings. The club’s case for the defence rests on six key arguments that we found in a bin outside the Etihad Stadium. They are:
1. We didn’t handle the money inside the penalty area 2. A big club did it and ran away 3. Andy says we’re innocent, and what more do you need? 4. The money just started spewing out of ATMs at the ground, so we booked it as revenue. 5. The extra money didn’t affect the team’s performance 6. The money was just resting in our account City are confident that they can overturn all 115 guilty findings. A spokesman said, ‘We’ve got the best judges money can buy.’
06 NEWS
Thursday, 22 October 2026 | LAHORE
CHINA TO STEP UP GREEN TRANSITION, STRENGTHEN CLIMATE ACTION BEIJING
OUR CORRESPONDENT
China will accelerate its green and low-carbon transition, promote the peaking of coal and oil consumption, and work to fulfill its 2030 Nationally Determined Contributions (NDCs) during the 15th Five-Year Plan period (2026-2030), an environmental official said at a press conference on Wednesday, underscoring the country's continued efforts to address climate change. China has made significant progress in its green and
low-carbon transition. In the first half of this year, the country's installed renewable energy capacity reached 2.455 billion kilowatts, accounting for 60.7% of its total installed power generation capacity. By the end of July, installed solar power capacity had surpassed coal-fired power capacity for the first time, making it China's largest power source, said Li Gao, vice minister of ecology and environment, highlighting the country's strong momentum in green development. Li added that China ranked first in the world in the combined installed capacity of nuclear power units in
operation and those approved and under construction. The country has also ranked first globally in new energy vehicle production and sales for 11 consecutive years. It has built the world's largest and most comprehensive clean energy industrial chain, with green and low-carbon industries becoming an important driver of economic growth. China has also strengthened its institutional system for addressing climate change, Li said. The Ecological Environment Code, which came into force in August, includes a dedicated chapter on climate
change, marking the first time China's legislation has made specific provisions on the issue. Efforts to achieve China's "dual carbon" goals – reaching carbon peaking before 2030 and achieving carbon neutrality by 2060 – have been incorporated into central environmental protection inspections, while the green and low-carbon transformation of development approaches has been included in assessments of building a Beautiful China. So far, China has issued 113 national standards for carbon emissions management, with more than 50 additional standards expected this year, covering areas including carbon accounting, carbon trading and carbon footprints, Li said. China has established the world's largest national carbon emissions trading market, while its voluntary greenhouse gas emissions reduction trading market continues to expand, Li noted. The cumulative trading volume in the national carbon market recently surpassed 1 billion tonnes. The market also covered about 8.3 billion tonnes of carbon dioxide emissions, accounting for over 65% of the country's total. During the 14th FiveYear Plan period (20212025), China's carbon market helped reduce carbon dioxide emissions in the thermal power sector by about 530 million tonnes. It also generated around 36 billion yuan (about $5.4 billion) in emission-reduction benefits for more than 1,100 key emitting entities, and lowered the country's cumulative emission-reduction costs by 56.8 billion yuan (about $8.5 billion).
Türkiye plans mandate to send military personnel to Saudi Arabia, ruling party official says ANKARA
AGENCIES
Türkiye will submit to parliament a mandate allowing for military personnel to be deployed to Saudi Arabia under its joint defence pact with Saudi Arabia and Pakistan, a lawmaker from the ruling AK Party told Reuters on Wednesday. The lawmaker, speaking on condition of anonymity, said the mandate would be sent to parliament once a bill ratifying the accord has been approved. Türkiye submitted the Makkah Joint Defence Agreement — signed by the three countries in August — to parliament for ratification on Tuesday, moving NATO's second-largest army closer to a formal mutual defence pledge with Riyadh as it faces Houthi attacks. The AKP lawmaker said that no Turkish troops deployed to other countries under the pact would take part in offensive operations, adding that technical personnel and experts would be sent initially to help with air defences, electronic warfare technologies, and other defensive support. Earlier, two officials had told Reuters that Türkiye's contribution was expected to be limited to military equipment, intelligence sharing and weapons systems, adding that no other form of deployment had taken place under the alliance so far. Türkiye, which has condemned the Houthi attacks, has also agreed to join a Saudi-led coalition to ensure navigational safety in the Red Sea. A day earlier, Reuters reported that Türkiye submitted a defence pact with Pakistan and Saudi Arabia to parliament for ratification, according to three parliamentary sources. The trilateral Makkah Joint Defence Agreement outlines that an armed attack on one member is considered an attack on all. The agreement's first article says the parties shall use "all necessary means" to eliminate threats to one another's territorial integrity, sovereignty or internationally recognised borders, according to a text seen by Reuters. "In the event one of the parties is subjected to an armed attack or military aggression by another country or group of countries.
NEWS 07
Thursday, 22 October, 2026 | LAHORE
CORPORATE CORNER
CM MAryAM rEAffIrMs sUpporT for sAUdI sECUrITy, TArgETs rs500B-pLUs ExporTs
p g
PGL makes history as Pakistan’s first OMC to win a Blue Dragon at Dragons Of Asia Awards in Malaysia, with #SplitTheTimeTax – Bangles of Strength named the country’s best campaign.
Air University hosts landmark AI Expo, global conference on data analytics ISLAMABAD
STAFF REPORT
Marking a significant milestone in academic excellence, technological innovation, and industry-academia collaboration, Air University successfully hosted the 3rd International Conference on Recent Trends in Statistics and Data Analytical Sciences alongside the AI Tech Expo, bringing together distinguished national leaders, eminent scholars, policymakers, researchers, and industry innovators for two days of intellectual engagement and technological advancement. Organized by the Department of Statistics and Data Analytical Sciences (SDAS), Air University, the landmark event celebrated not only the transformative potential of statistics, data analytics, and artificial intelligence but also the remarkable progress of a department committed to preparing graduates for the rapidly evolving demands of the modern workforce. At the heart of this achievement is the department’s flagship, industry-oriented graduate education in Statistics and Data Analytical Sciences, designed to bridge the gap between academic knowledge and practical professional requirements. By integrating statistical thinking, advanced analytical methods, data-driven problem-solving, and emerging AI technologies, the department is strengthening pathways for graduates to pursue professional careers, contribute to research and innovation, and create new opportunities through entrepreneurship and technology-led ventures.
Wealth University signs strategic deal with Babsol, Targets $10m revenue by 2027 KARACHI
STAFF REPORT
Wealth University, led by Chief Operating Officer Muhammad Anas Ali, has signed a strategic growth agreement with BABSOL (SMC-PRIVATE) LIMITED. Under the agreement, Babsol will support Wealth University's expansion through financial resources, technology expertise, digital marketing and business development. As per the deal, Babsol will be eligible for 20% ownership stake upon achieving $5 million in cumulative qualifying revenue, increasing to 40% upon achieving $10 million in cumulative qualifying revenue by December 31, 2027. Wealth University will retain responsibility for day-to-day management, while Babsol will fund commercially reasonable expenses under a jointly approved growth plan.
MAKKAH JOINT DEFENCE AGREEMENT OPENS NEW CHAPTER IN BILATERAL TIES, SAYS PUNJAB CM LAHORE
SALEEM JADOON
UNJAB Chief Minister Maryam Nawaz on Wednesday reaffirmed Pakistan’s unwavering support for Saudi Arabia’s sovereignty and security, saying the Makkah Joint Defence Agreement (MJDA), signed in August 2026, reflected the shared resolve of the two brotherly countries to safeguard their sovereignty, security and vital interests. “The Makkah Joint Defence Agreement marks the beginning of a new chapter in bilateral relations,” Maryam Nawaz remarked during a meeting with Saudi Ambassador to Pakistan Dr Rajeh Albugamy, who called on her in Lahore, according to a statement issued by the Chief Minister’s Office (CMO) on Wednesday. The chief minister reiterated Pakistan’s support for Saudi Arabia’s right to defend its people, cities and critical infrastructure against threats, while strongly
condemning Houthi attacks on the Kingdom and expressing deep sorrow over the loss of precious human lives. Maryam Nawaz warmly welcomed Dr Rajeh Albugamy and congratulated him on assuming his diplomatic responsibilities. She appreciated his diplomatic services and expressed gratitude to the Saudi leadership for its continued economic and financial assistance to Pakistan. The meeting focused on expanding bilateral economic cooperation, particularly by tapping Punjab’s resources and production potential to increase exports of livestock, beef, poultry, fruits and vegetables to Saudi Arabia. The two sides also discussed organising a PIVOT roadshow in Riyadh to attract investment into Punjab and agreed on a target of over Rs500 billion in exports of livestock, beef, poultry, mangoes, potatoes and shrimp. Speaking on the occasion, Maryam Nawaz said the Custodian of the Two
Holy Mosques and the Saudi leadership enjoyed a unique and revered place in the hearts of the Pakistani people. She said the decades-long relationship of trust between the Saudi leadership and Muhammad Nawaz Sharif stood as a shining example of the enduring bonds between the two countries. She noted that Saudi Arabia was Pakistan’s largest source of remittances, sending approximately 9.8 billion to the country. She also strongly condemned attacks on Saudi cities and civilian infrastructure, including attempts to target
Pakistan–Africa trade, investment to get boost at 2026 conference: Rafiq Memon KARACHI STAFF REPORT
Chairman of the Pakistan SADC Chamber Trade Federation PSCTF (Pakistan Chapter), Muhammad Rafiq Memon, has expressed confidence that the 1st Africa Diplomatic & Economic. Conference 2026 will prove to be a significant milestone in promoting trade and investment between Pakistan and the African continent. He said the initiative by the PSCTF (Pakistan Chapter) had the potential to transform diplomatic relations into meaningful trade and investment partnerships, paving the way for enhanced economic cooperation and opening new avenues for bilateral trade. He expressed hope that the Federation’s efforts, in collaboration with government institutions and trade bod-
ies in Pakistan, would significantly boost trade between Pakistan and Africa, particularly the Southern African Development Community (SADC). Mr. Memon was speaking at a press conference organised by the PSCTF (Pakistan Chapter) at the Pearl-Continental (PC) Hotel, Karachi, on October 19, 2026, a day before the conference. The briefing was held to inform the media about the conference and its objectives of expanding trade and investment opportunities between Pakistan and Africa. Patron-in-Chief of the PSCTF
(Pakistan Chapter), Dewan Muhammad Yousuf Farooqui, extended his warm greetings to all delegates and participants. He said the conference offered a valuable platform to strengthen Pakistan– Africa relations, promote bilateral trade and foster strategic partnerships across industry, technology and sustainable mobility. “Yousuf Dewan Companies remains committed to Pakistan’s economic development, innovation and global collaboration,” he said, expressing hope that the conference would advance meaningful cooperation,
AGTL delivers strong turnaround as revenue and profitability surge KARACHI
9th Chief of naval staff amateur golf cup 2026 commences ISLAMABAD
STAFF REPORT
The Media Brief and Opening Ceremony of 19th Chief of the Naval Staff Amateur Golf Cup 2026 was held at the Margalla Greens Golf Club (MGGC), Islamabad. The ceremony marked the formal commencement of one of the most prestigious events on the national golf calendar.During the media briefing, Rear Admiral Ahmed Hussain, Patron Pakistan Navy Golf (North), highlighted the salient features of the championship and outlined details regarding its format and participation across various categories. The tournament will be held from 22 to 25 October 2026, featuring competitions in Men Amateurs (54 holes), Ladies Amateur (36 holes) Seniors match (36 holes) and Juniors match (18 holes), along with an invitational match for guests and sponsors. Since its inception in 2007, the Chief of the Naval Staff Amateur Golf Cup has evolved into a prominent fixture on Pakistan’s golfing circuit.
Lahore Meesaq Centres provide legal services to over 19,000 minority citizens LAHORE
STAFF REPORT
Al-Ghazi Tractors Limited (AGTL) delivered a strong turnaround during the nine months ended September 30, 2026, as improving operational momentum translated into significantly stronger financial performance. Tractor sales increased 60% year-on-year, operating revenue rose approximately 79%, while the Company recorded a net profit of Rs. 1.658 billion compared with a net loss of Rs. 270 million in the corresponding period last year. The improvement was underpinned by a substantial increase in operational activity. AGTL produced 6,967 tractors during the period, up 39% from 5,005 units in the first nine months of 2025. Sales grew at an even stronger pace, rising to 6,587 tractors from 4,126 units in the comparative period, an increase of 60%. The higher sales performance supported a sharp increase in operating revenue, which reached Rs. 17.511 billion for the nine-month period, compared
Makkah and Madinah. “The people of Pakistan and Punjab stand shoulder to shoulder with the Kingdom of Saudi Arabia,” she said, emphasising that shared economic strength served as a reliable guarantee of collective security. The chief minister said Punjab had immense potential to emerge as a dependable supplier of halal-certified food products to Saudi Arabia, adding that stronger trade ties could help translate the longstanding friendship between the two countries into greater economic opportunities.
STAFF REPORT
with Rs. 9.761 billion a year earlier, representing growth of approximately 79%. The improvement was even more pronounced at the gross profit level. Gross profit increased approximately 159% to Rs. 4.477 billion from Rs. 1.729 billion in the corresponding period of 2025, an increase of Rs. 2.748 billion. AGTL’s bottom-line performance marked the clearest indication of the turnaround. The Company reported net profit of Rs. 1.658 billion compared with a net loss of Rs. 270 million in the same period last year, representing a Rs. 1.928 billion positive swing in profitability. Earnings per share consequently stood at Rs. 28.61, compared with a loss per share of Rs. 4.65 for the corresponding nine months of 2025.
Illicit trade drains Rs1.6tr yearly from Pakistan’s economy, FBR data shows ISLAMABAD STAFF REPORT
Pakistan is losing an estimated Rs1.6 trillion every year to tax evasion, underreporting and illicit manufacturing across 18 key economic sectors, according to the latest assessment by the Federal Board of Revenue (FBR) presented to Prime Minister Shehbaz Sharif. The stark figure was shared during a briefing by the FBR Transformation Team, which also updated the premier on the government’s drive to install real-time digital production monitoring systems in major manufacturing industries. Five sectors, including tobacco, cement, sugar, tiles and fertiliser, are already fully covered. The remaining 13 are at various stages of procurement and installation, with a firm deadline of December 31, 2026, for a nationwide rollout. It is pertinent to mention here that the tobacco sector shows one of the clearest examples of both progress and persistent challenges.
Capital City Police Officer (CCPO) Lahore Bilal Siddique Kamyana has said that issues faced by minority communities are being addressed on a priority basis, reaffirming the Lahore Police’s commitment to protecting their rights and providing prompt relief. In a statement issued here on Tuesday regarding the performance of Meesaq Centres, the CCPO said the timely resolution of problems faced by minority citizens and the provision of immediate assistance remained among the foremost responsibilities of the Lahore Police. He described the establishment of Meesaq Centres as a significant milestone towards promoting a peaceful, tolerant and balanced society, saying the initiative reflected the police department’s commitment to addressing the concerns of minority communities.
PM WARNS INDIA: ANY INDUS WATERS TREATY VIOLATION WILL BE ‘ACT OF WAR’ NEWS
P
for humanity, particularly for lower riparian countries,” Prime Minister Shehbaz emphasised, reiterating that Pakistan’s stance on any violation of its water rights was unequivocal. He made it clear that any violation in this regard would be treated by Pakistan as an act of war, underscoring the strategic importance of the country’s water resources and the need to respect international agreements governing shared rivers. Signed in 1960 and brokered by the World Bank, the Indus Waters Treaty governs the distribution of waters from the Indus river system between Pakistan and India. Under the agreement, the western rivers — Indus, Jhelum and Chenab — were allocated primarily to Pakistan, which depends on them for most of its agricultural needs, while the eastern rivers — Ravi, Beas and Sutlej
ISLAMABAD
Saleem Jadoon
RIME MINISTER Shehbaz Sharif on Wednesday reiterated Pakistan’s firm warning that any violation of the Indus Waters Treaty (IWT) by India would be regarded as an “act of war,” declaring that water remained a red line for Pakistan and must not be weaponised or used as an instrument of political pressure. Addressing a joint press stakeout with Maldivian President Dr Mohamed Muizzu following delegation-level talks in Islamabad, the prime minister said Pakistan had consistently conveyed its position on the treaty at international forums, including the United Nations General Assembly. “Our position is clear. Water is a lifeline
PHC bars arrest of KP deputy speaker, suspends sealing of residence
ISLAMABAD
Staff RepoRt
The Peshawar High Court (PHC) on Wednesday restrained police from arresting Khyber Pakhtunkhwa Assembly Deputy Speaker Suraiya Bibi under the Maintenance of Public Order (MPO) Ordinance and suspended the notification ordering the sealing of her official residence. A two-member bench comprising Justice Ijaz Anwar and Justice Muhammad Fahim Wali issued the orders while hearing a writ petition filed by the deputy speaker through her counsel, Advocate Yasar Khattak. The court issued notices to the provincial chief secretary, inspector general of police and other relevant authorities, directing them to submit their replies by the next hearing. During the proceedings, Mr Khattak told the court that Suraiya Bibi had been allotted the official residence in 2024 in her capacity as deputy speaker. He said police raided the premises on October 14 and sealed the residence after the imposition of emergency and Governor’s Rule in the province on October 11, describing the action as unlawful. The counsel argued that the imposition of emergency and Governor’s Rule did not authorise the authorities to seal the deputy speaker’s official residence without fulfilling the relevant legal requirements. He sought an order restraining the police from arresting his client under Section 3 of the MPO Ordinance and directing the authorities to de-seal the residence, contending that the measures amounted to political victimisation. Mr Khattak further submitted that the speaker and deputy speaker would continue to hold their constitutional offices until a new provincial assembly was formed. He argued that any action against them in disregard of their legal and constitutional status was ultra vires the Constitution and the law.
LAHORE
A judicial magistrate on Wednesday granted the National Cyber Crime Investigation Agency (NCCIA) five-day physical remand of a suspect accused of defrauding the United States Postal Service (USPS) of $126 million through the online sale of counterfeit postage labels. The 33-year-old suspect, a resident of Khanewal, was charged by a Florida jury with the alleged fraud, according to the US Attorney’s Office for the Southern District of Florida, which announced the develop-
FAJR SUNRISE
ZUHR
ASR MAGHRIB ISHA
6:07
1:30
4:30
5:40
5:30
7:15
India cannot unilaterally suspend the internationally binding agreement. Pakistan has also accused India of pursuing reservoir expansion and diversion projects on rivers covered by the treaty in violation of its provisions. The prime minister said Pakistan had serious concerns over India’s decision to place the treaty in abeyance, strongly objecting to what he described as a unilateral violation of an internationally binding agreement. “Pakistan’s position is loud and clear, beyond any doubt, that legally binding treaties must be respected, and shared water resources must never be weaponised or used as an instrument of political pressure or blackmailing,” he said. In recent months, Pakistani officials have said that they have observed unusual fluctuations in river flows, while Islamabad has repeatedly maintained that it would not allow New Delhi to restrict the flow of Indus waters. Emphasising the importance of water as a source of shared prosperity rather than confrontation, Prime Minister Shehbaz said: “Water flows in every canal, river, ocean and sea, carrying a message of prosperity and progress, not threats, confrontations and conflicts.”
ing a deadly militant attack in Indian-illegally occupied Jammu and Kashmir, which New Delhi blamed on Pakistan. Islamabad rejected the allegation and maintains that
Pakistan Tehreek-e-Insaf (PTI) Chief Whip Malik Aamir Dogar has expressed hope that negotiations with the government could resume in the coming days, while rejecting reports of internal divisions over the Khyber Pakhtunkhwa chief ministership, party leadership and the possibility of a forward bloc. Speaking to the media, Mr Dogar said there were no differences within the party’s parliamentary group and expressed confidence in opposition leaders Mahmood Khan Achakzai and Allama Raja Nasir Abbas, saying the party’s founding chairman had entrusted them with their responsibilities. He said party members were expected to support the two leaders and maintained that any decision to change the opposition leader could not be taken without the founding chairman’s approval. The remarks came amid growing political tensions following the imposition of emergency and Governor’s Rule in Khyber Pakhtunkhwa on October 11, after negotiations between the government and
opposition failed in the wake of a PTI long march towards Islamabad that began on October 4. A day earlier, Information Minister Attaullah Tarar had said a ban on the PTI might no longer be necessary following the imposition of Governor’s Rule in the province. Parliament subsequently adopted separate resolutions ratifying the presidential proclamations imposing emergency and Governor’s Rule in K-P for two months, despite protests from opposition lawmakers. Rejecting speculation about a possible change in the provincial leadership, Mr Dogar insisted that Sohail Afridi remained the constitutional and lawful chief minister of KP and continued to enjoy the confidence of the party’s founding chairman, Imran Khan. “No one else can become chief minister without the founding chairman’s consent,” he said, warning that any attempt to replace Mr Afridi without approval would amount to stabbing the party in the back. Mr Dogar alleged that certain elements were attempting to deepen divisions within the party, while describing the prevailing political environment as one in which “fascism is at its peak”.
GANDAPUR DEMANDS APOLOGY FROM AKRAM RAJA OVER ‘LOYALTY REMARKS’ PESHAWAR
Staff RepoRt
Former Khyber Pakhtunkhwa chief minister Ali Amin Gandapur has criticised PTI Secretary General Salman Akram Raja over remarks questioning the conduct of party lawmakers, saying KP representatives do not need “loyalty certificates” from anyone. Gandapur described Raja’s remarks as regrettable and damaging to PTI’s internal unity at a time when the party was already facing significant political challenges. He said loyalty to PTI should be judged by years of political struggle, sacrifices and practical contributions rather than by the opinions of individual party leaders. Gandapur challenged Raja to identify the “undemocratic decision-makers” and alleged conspirators he had referred to and asked him to produce evidence against any lawmakers accused of attempting to influence the selection of PTI’s provincial
ATC appoints state counsel for Imaan, Hadi in security breach case ISLAMABAD
Staff RepoRt
An anti-terrorism court (ATC) on Wednesday appointed a state counsel to cross-examine prosecution witnesses on behalf of lawyers Imaan Zainab Hazir-Mazari and Hadi Ali Chattha in a security breach case after the defence failed to proceed with the cross-examination. Advocate Taimur Janjua was directed to appear at the next hearing after the couple’s lawyers did not crossexamine the witnesses during proceedings held at Adiala Jail in Rawalpindi. The case relates to allegations that Imaan and her husband disrupted the security route of an international cricket team and incited public unrest
in 2024. The couple, who have been indicted in the case, are facing trial before ATC Judge Tahir Abbas Sipra inside the jail. Advocate Aimal Khan Mandokhail appeared on behalf of the accused on Wednesday and sought an adjournment. The judge, however, rejected the request, observing that the prosecution witnesses were present and the defence could proceed with their cross-examination. “The witnesses are present; you may proceed with the cross-examination,” Judge Sipra told the defence counsel. Mr Mandokhail responded that senior lawyer Riasat Ali Azad was not present and said he would conduct the cross-examination himself. The judge noted that both accused
were lawyers and could cross-examine the witnesses in their own case if they wished. In its written order, the court said it had made it clear at the previous hearing that the accused must ensure the presence of their lawyers for crossexamination. “But the defence side is reluctant, rather refused to cross-examine. Both the accused are advocates themselves, and they have been asked to cross-examine the witnesses, but they have also refused to do so,” the order stated. The court said it had no option but to appoint a state counsel at public expense in accordance with the law. Advocate Janjua was selected from a panel of five lawyers provided by the Islamabad advocate general. The hearing was adjourned until October 22.
Court grants NCCIA five-day remand in Rs35b fake postage label scam Staff RepoRt
pRayeR timingS
PTI rules out internal rifts, signals possible resumption of talks
PESHAWAR
Staff RepoRt
— were allocated primarily to India for unrestricted use. In April 2025, India announced that it was placing the treaty “in abeyance” follow-
Thursday, 22 October, 2026
ment on September 28. The NCCIA’s Lahore zone announced his arrest at a press conference on Tuesday, alleging that he had operated a website to market and sell more than five million counterfeit postage labels over a period of more than three years. The suspect was produced before Judicial Magistrate Naeem Wattoo on Wednesday, where the agency sought 14day physical remand for interrogation. The court partially accepted the request and granted the NCCIA five days to investigate the case. According to the investigating officer, the suspect had allegedly been oper-
ating LabelsBank.com since August 2023, selling more than five million counterfeit postage labels. The US Department of Justice said the website, operated by the Pakistani national, was not authorised to sell USPS products or services. The counterfeit labels allegedly enabled customers to ship packages at rates “far below legitimate USPS prices”, causing losses of more than $126 million to the US postal service, prosecutors said. According to the allegations, the website sold the labels for approximately $2 each, regardless of a package’s weight,
size or destination. A US court order authorised the seizure and shutdown of the website. On Tuesday, NCCIA Lahore Zone Additional Director Atif Ameer said eight special teams had been formed across Punjab, Islamabad and Sindh to trace the suspect’s alleged network and investigate the scam. He said 16 bank accounts had been used in the alleged fraud, including some that were reportedly operated by the suspect’s close relatives. The agency is investigating the suspected financial network and the alleged sale of counterfeit postage labels as part of its probe into the case.
president or chief minister without the approval of party founder Imran Khan or the political committee. He also questioned allegations that a group within the party had severed contact with Sohail Afridi and his team, contributing to circumstances that eventually led to the imposition of emergency and governor’s rule in KP. The former chief minister demanded clarity over an investigation mentioned by Raja, asking who had authorised it, which party forum was conducting it and why the wider leadership had not been informed. Gandapur also questioned reports that Ali Asghar Khan had been appointed acting PTI provincial president in the absence of Junaid Akbar, asking who had authorised the appointment and whether a formal notification had been issued. He said KP’s workers and elected representatives had consistently supported Imran Khan despite arrests, violence and political pressure following the events of May 9.
FCC declares Sindh govt notification to remove ATC judges null, void
ISLAMABAD
Staff RepoRt
The Federal Constitutional Court (FCC) on Wednesday, while declaring the notification issued by the Sindh government to remove judges of an anti-terrorism court (ATC) null and void, also annulled the Sindh High Court’s (SHC) verdict dated December 22, 2025. The verdict, authored by Justice Muhammad Karim Khan Agha, stated that the new age limit of 65 years did not apply to the judges appointed prior to an amendment to the Sindh Anti-Terrorism Act, 2025. The verdict read that ATC judge Muhammad Yameen would complete his 2.5 years term. It was further stated that the Sindh Anti-Terrorism Act, 2025 did not have a retrospective effect. Muhammad Yameen had been appointed as ATC judge under the Anti-Terrorism Act, 1997 on September 19, 2024 for two and a half years. At that time, the applicant’s age was 70 years, and no age limit had been specified for the appointment of a judge. However, under the amended Act, the maximum age limit for appointment and remaining on the post was fixed at 65 years. This prompted the Sindh government to immediately remove three judges, including Yameen, from their posts. Later, the SHC had ratified the notification issued by the provincial government. The FCC thus accepted the petition filed by Yameen.
Pakistan needs $565b by 2035 to meet climate targets amid financing crunch ISLAMABAD
Staff RepoRt
State Minister for Climate Change Dr Shezra Mansab Ali Khan on Wednesday said Pakistan would require an estimated $565 billion in investment through 2035 to meet its climate commitments, warning that limited fiscal space and shortfalls in international climate finance posed major hurdles to achieving its targets. Addressing a roundtable titled “PreCOP31 Multistakeholder Consultation” ahead of Pakistan’s participation in the 31st Conference of the Parties (COP31) in Antalya, Türkiye, the state minister stressed the need for a clearly defined negotiating position on adaptation finance, loss and damage, and the specific climate vulnerabilities of the country’s mountainous regions. She said Pakistan’s third Nationally Determined Contribution (NDC), submitted in September last year, committed the country to reducing emissions by 50 per cent against projected levels by 2035. The target comprised a 17 per cent unconditional reduction and a further 33 per cent conditional on international support. The minister pointed out that
fulfilling these commitments would be particularly challenging as more than 60 per cent of the country’s revenues were being spent on debt servicing, leaving limited fiscal space for climate action. “The gap between those two things is what our negotiators are set to close,” she said, referring to the gap between Pakistan’s climate commitments and its financial constraints. With the negotiating brief for COP31 being finalised across several ministries, Dr Kharal acknowledged that there was no formal mechanism through which provincial institutions, universities, youth organisations and af-
fected communities could contribute evidence and recommendations to the process. She said the consultation offered an opportunity to develop an evidence-based position before the negotiating brief was finalised, rather than formulate recommendations after the Pakistani delegation returned from the conference.
ADAPTATION FINANCE AND FUNDING GAP On adaptation finance, the minister highlighted uncertainty surrounding a commit-
ment made at an earlier climate conference to triple adaptation finance by 2035, noting that the final text did not specify the baseline against which the proposed increase would be calculated. She cited adaptation finance of $26 billion in 2023 against a commitment of $40 billion by the current year, while the assessed annual requirement stood at $310 billion. Dr Kharal said the baseline adopted for the proposed increase would determine whether the commitment translated into meaningful financial support for climatevulnerable countries such as Pakistan. She also drew attention to the disparity between the resources available through the Fund for responding to Loss and Damage and the financial requirements of countries seeking assistance. According to the minister, the fund had received 176 eligible proposals from 119 countries seeking a total of $2.8 billion, while only $342 million was available for its pilot phase. Pakistan had submitted three requests totalling $58 million for agricultural recovery, climate-resilient health systems in Balochistan and the rehabilitation of flood-damaged
Published by Asad Nizami at Qandeel Printing Press, 4 Queens Road, Lahore, for PT Print (Pvt) Limited. Ph: 042-36300938, 042-36375965. Email: newsroom@pakistantoday.com.pk
fisheries in Khyber Pakhtunkhwa, she said. No allocation had been made to Pakistan’s requests, while the fund’s first allocation decisions were expected in December, after COP31. Dr Kharal said half of the fund’s resources had been reserved for least developed countries and small island developing states, leaving Pakistan to compete for the remaining share with other developing countries outside those categories.
MOUNTAIN COMMUNITIES’ CLIMATE VULNERABILITIES Identifying mountain-related climate risks as another priority, the minister noted that accelerated glacial melt could reduce flows in the Indus River system by 20 to 30 per cent by 2050, according to Pakistan’s NDC projections. She said Gilgit-Baltistan and Chitral faced climate risks that were not adequately reflected in the existing categories used under the international climate convention. A glacial lake outburst flood, she observed, was a sudden disaster triggered by a gradual process, creating difficulties in classification and access to climate financing.