Fishermen hope, and worry, as China builds giant port in Pakistan’s Gwadar

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Over thousand people are associated with boat making profession who manufacture boats on the west bay, locally called Paddi Zirr (AN Photo by Hassam Lashkari)
Updated 01 May 2019
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Fishermen hope, and worry, as China builds giant port in Pakistan’s Gwadar

  • Port expansion has already displaced 800 fishermen who live on or close to the bay, construction of expressway deepens anxiety
  • Maritime affairs minister says government has adequately addressed all of the fishermen’s concerns

GWADAR: For over two decades, Pakistani officials have promised to transform the poor coastal village of Gwadar into Pakistan’s version of Dubai, or a second Shenzhen, a tiny fishing community in China that has developed into a sprawling megacity.

Gwadar, in the restive Balochistan province, forms the southern Pakistan hub of a $62-billion China-Pakistan Economic Corridor (CPEC) of infrastructure and energy projects that Beijing announced in 2014. The project is a flagship of China’s Belt and Road initiative to build a new “Silk Road” of land and maritime trade routes across more than 60 countries in Asia, Europe and Africa.
So far, Beijing has pledged vast aid for Gwadar — which overlooks some of the world’s busiest oil and gas shipping lanes — and is building a commercial deep-water port there. A school has already been constructed and $500 million more in handouts have been promised, including $230 million for a shiny new airport. A hospital, college and badly-needed water infrastructure will also be built with Chinese grants.
But locals, particularly Gwadar’s fishermen, are worried. The expansion of the port has already displaced around 800 fishermen who live on or close to the port. Now, the construction of the Gwadar Eastbay Expressway is deepening worries.
“This is going to deprive us of our source of earning,” Muhammad Akber, a 71-year-old fisherman, said at Dimi Zarr on the east bay of the port. “Fishing has been our profession since the days of our forefathers. But the way we are being pushed out, we may lose this.”
Until 2007, what is now being built into a commercial port was a tiny jetty jutting out into the Arabia Sea. In March of that year, military ruler General Pervez Musharraf officially inaugurated the port, promising to make it a gateway for trade with Central Asia. China provided 80 percent of Gwadar’s $248 million initial development costs. Pakistan’s two other ports are at Karachi, 450 km to the east.
The first round of displacement of fisherman occurred then as construction of the port began in 2007. Now as the Chinese have picked up the expansion plans under the CPEC project, an expressway is being built to connect the east bay of the port directly to the Makran Coastal Highway.
The east bay is where a majority of fishing takes place, Akbar explained, and construction of the expressway has disrupted work.
Earlier this year, the government said it would allow three passages for boats underneath the expressway so that fishermen were not disturbed. Locals have largely accepted the proposal but fear persists that once the port is fully functional, the fishermen’s livelihood will be the last thing on the government’s mind.
“We haven’t avoided making any sacrifice [for CPEC] as we believe in development and we want development. But we also strongly believe we must be the first and prime beneficiary,” Akber said.
Federal Minister for Maritime Affairs, Ali Haider Zaidi, said the government had addressed all the concerns of fishermen.
“The Gwadar Development Authority has acceded all demands for design changes to the Eastbay Expressway by including three bridges and a breakwater to its design,” Zaidi told Arab News. He said the government was also constructing two fishing jetties at Surbandan and Pishukaan and assured that fishing on the east bay would not be disturbed due to the construction of the bridges and the breakwater.
Zaidi said the Prime Minister’s flagship ‘Naya Pakistan Housing Scheme,’ launched this month, included 110,000 apartments for the fishermen of Gwadar who would also get health insurance cards in the near future.
“The Pak-China Vocational Training Institute (PCVTI) is being constructed with a Chinese grant of $10 million so that fishermen can acquire the necessary skills for port-related services,” he said. “Once the port is fully operational and the CPEC route is completed … it will attract other investments such as hotels and tourism, which will create job opportunities for local fishermen and their families,” Zaidi said.
But the people of Gwadar say they have heard all these promises before.
“Long before Musharraf inaugurated the Gwadar port in 2007, we were asked to see a dream of a beautiful new life,” Nasir Raheem, a youth activist and resident of Gwadar, told Arab News. “We dreamed but nothing changed.”
“Who knows what we will get from this massive project?” he said.
The skepticism is not without reason. Balochistan is Pakistan’s biggest but poorest province, plagued for decades by a low-level insurgency by separatists seeking autonomy and control of gas and mineral resources. The province also has the country’s largest gas reserves and is rich in minerals, including copper and uranium. Militants often attack pipelines, power transmission cables, railway tracks, buses and military and government installations. They also oppose the construction of the port.
Though the security situation has improved in recent years and many separatists have surrendered, attacks continue. Earlier this month, a separatist group pulled 14 members of the Pakistani armed forces off a bus and shot them dead on the province’s southern coast.
Balochistan also has some of the worst health indicators in the country. About 62 percent of its population does not have access to safe drinking water and more than 58 percent of its land, which makes up 44 percent of Pakistan’s total land mass, is uncultivable due to water shortages.
“Prosperity is a combination of many things: better health care, best education and employment. We want prosperity,” said Dad Kareem, another fisherman. “Our hospitals don’t offer more than treatment for fever and cough.”
Many also complained about the lack of transparency in executing projects in Gwadar.
“The people don’t believe the government is serious,” said Ahmed Iqbal Baloch, the president of the Gwadar Builders Association.
In 2016, Pakistan welcomed the first large shipment of Chinese goods at Gwadar, where the China Overseas Ports Holding Company Ltd. took over operations in 2013. It plans to eventually handle 300 million to 400 million tons of cargo a year and develop seafood processing plants in a nearby free trade zone sprawled over 2,281 acres.
Anticipating development, many locals sold their lands. But property prices have continued to rise two- to four-fold on average since 2016 and many now feel they were pushed to let go of their properties at much less than the market price.
Baloch from the Gwadar Builders Association insisted that once the port was fully functional, the major beneficiaries would be the people of Gwadar.
Shahzeb Khan Kakar, Director General of the Gwadar Development Authority (GDA), said work on a water distillation plant with the capacity to produce 5 million gallons per day was just getting started. Separately, two dams were already providing 50 million gallons of water to the parched city.
Currently, Iran is supplying 100 megawatts of electricity to Balochistan’s Makran division, of which Gwadar is a part. This, locals say, is insufficient and there are often month-long power breakdowns.
Kakar said these issues would be resolved once a 300MW coal power plant was built under the CPEC portfolio. Prime Minister Imran Khan has also ordered that Gwadar be connected to the national grid.
Officials also said locals’ complaints that they were getting jobs in CPEC projects were unfair.
Jiand Baloch, a spokesperson for the Gwadar Port Authority (GPA), said almost 95 percent of the staff employed at the Authority was Baloch and a sizeable number were from Gwadar. Arab News could not independently verify these figures.
Baloch said more locals would be employed in the Authority once planned free trade zones were fully functional and other CPEC projects, including the vocational training institute, were completed.
Sohail Asgher, a deputy director at GPA, said the youth of Gwadar would be taught 101 new trades at the vocational institute to prepare them for employment at the industrial zone.
“A single batch will produce around 5,000 skilled workers, both males and females,” Asghar said.
Engineer Dadullah, a resident of Gwadar city and project manager at the Free Trade Zone, said around 700 locals were already employed at the industrial zones. “More will get jobs as it expands,” he said.
But Faisal Baloch, a local youth who lives near the port, said the government needed to follow a policy of transparency to gain the trust of the people of Gwadar.
“Hollow claims in the past have left us with little reason to believe the government’s claims today,” he said. “Let’s wait and hope to see what we get from CPEC.”


At least 1.2 million Afghans forced to return from Iran and Pakistan this year — UN

Updated 28 June 2025
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At least 1.2 million Afghans forced to return from Iran and Pakistan this year — UN

  • Iran has deported over 366,000 Afghans this year, with the 12-day war increasing departures
  • Pakistani officials have set a June 30 deadline for nearly 1.3 million Afghan nationals to leave

ISLAMABAD: At least 1.2 million Afghans have been forced to return from Iran and Pakistan this year, the UN refugee agency said Saturday, warning that repatriations on a massive scale have the potential to destabilize the fragile situation in Afghanistan.

Iran and Pakistan in 2023 launched separate campaigns to expel foreigners they said were living in the country illegally. They set deadlines and threatened them with deportation if they didn’t leave. The two governments deny targeting Afghans, who have fled their homeland to escape war, poverty or Taliban rule.

The UN high commissioner for refugees said that of the 1.2 million returning Afghans, more than half had come from Iran following a March 20 government deadline for them to leave voluntarily or face expulsion.

Iran has deported more than 366,000 Afghans this year, including refugees and people in refugee-like situations, according to the agency.

Iran’s 12-day war with Israel also has driven departures. The highest number of returns was on June 26, when 36,100 Afghans crossed the border in one day.

“Afghan families are being uprooted once again, arriving with scant belongings, exhausted, hungry, scared about what awaits them in a country many of them have never even set foot in,” said Arafat Jamal, the UNHCR representative in the Afghan capital, Kabul.

He said women and girls are particularly worried, as they fear the restrictions on freedom of movement and basic rights such as education and employment.

More than half Afghanistan relies on humanitarian assistance. But opposition to Taliban policies and widespread funding cuts are worsening the situation, with aid agencies and nongovernmental organizations cutting back on basic services like education and health care.

IRAN URGES FOREIGNERS TO LEAVE QUICKLY

Iran’s attorney general, Mohammad Movahedi Azad, said Saturday that foreigners in the country illegally should leave as soon as possible or face prosecution, state media reported.

“Foreign nationals, especially brothers and sisters from Afghanistan whom we have hosted for years, help us [so] that illegal individuals leave Iran in the shortest period,” the official IRNA news agency quoted Azad as saying.

Iranian authorities said in April that out of more than 6 million Afghans, up to 2.5 million were in the country illegally.

Iran’s top diplomat in Kabul, Ali Reza Bikdeli, visited the Dogharoun border crossing with Afghanistan and promised to facilitate the repatriation of Afghans, state TV reported.

Iranians have complained about the increasing presence of Afghans in recent months, with some accusing them of spying for Israel since the outbreak of the war.

TALIBAN PLEDGE AMNESTY

Earlier this month, on the religious festival of Eid Al-Adha, the Taliban prime minister said all Afghans who fled the country after the collapse of the former Western-backed government were free to return, promising they would be safe.

“Afghans who have left the country should return to their homeland,” Mohammad Hassan Akhund said in a message on X. “Nobody will harm them. Come back to your ancestral land and live in an atmosphere of peace.”

On Saturday, a high-ranking ministerial delegation traveled to western Herat province to meet some of the Afghans returning from Iran.

The officials pledged “swift action to address the urgent needs of the returnees and ensure that essential services and support are provided to ease their reintegration,” according to a statement from the Taliban deputy spokesman Hamdullah Fitrat on X.

People get food, temporary accommodation and access to health care upon their return, said Ahmadullah Muttaqi, the director of information and culture in Herat. Everyone receives 2,000 Afghanis, or $28.50, in cash and is taken free of charge to their home provinces.

“Upon arrival, they are housed in designated camps until permanent housing is arranged, as residential townships are currently under construction in every province for them,” he told The Associated Press.

Meanwhile, Pakistani authorities have set a June 30 deadline for some 1.3 million Afghans to leave. Pakistan aims to expel a total of 3 million Afghans this year.


Pakistan army chief hails cadets from Arab and allied nations at Naval Academy graduation

Updated 28 June 2025
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Pakistan army chief hails cadets from Arab and allied nations at Naval Academy graduation

  • Among the 127 graduating midshipmen were 19 cadets from Bahrain, four from Iraq and two from Palestine
  • The army chief says Pakistan’s response to India standoff showed armed forces ready to defend the country

ISLAMABAD: Pakistan’s army chief, Field Marshal Asim Munir, on Saturday hailed the presence of cadets from Arab and allied countries at a Naval Academy graduation ceremony, saying it reflected the high standard of training the country offers to its military partners.

The commissioning parade, held in Karachi, marked the completion of the 123rd Midshipmen and 31st Short Service Commission courses.

Among the 127 graduating midshipmen were 19 cadets from Bahrain, four from Iraq and two from the State of Palestine, with additional participants from the Republic of Djibouti and the Republic of Türkiye.

“The Pakistan Naval Academy has consistently provided excellent professional training to cadets from allied nations,” the army chief said, according to a statement issued by the military’s media wing, Inter-Services Public Relations (ISPR).

This handout photo, taken and released by Pakistan’s Inter-Services Public Relations (ISPR), Pakistan Army Chief Field Marshal Asim Munir addressing a passing out parade at the Naval Academy in Karachi on June 28, 2025. (Handout/ISPR)

“The presence of cadets from Bahrain, Iraq, the State of Palestine, the Republic of Djibouti and the Republic of Türkiye in today’s commissioning parade is a reflection of the Academy’s high training standards,” he added.

Pakistan regularly trains cadets and officers from partner nations and sends its own officers abroad to institutions in countries such as the United States and the United Kingdom for advanced military education and joint training.

The ceremony was attended by senior officials from Pakistan and other countries, government representatives and families of the graduating cadets.

This handout photo, taken and released by Pakistan’s Inter-Services Public Relations (ISPR), shows graduating midshipmen during a passing out parade at the Naval Academy in Karachi on June 28, 2025. (Handout/ISPR)

In his remarks, the army chief also praised the Navy’s professionalism and its efforts as a regional maritime force committed to securing international sea lines of communication.

He also referenced the recent standoff with India, saying the country’s armed forces had “responded swiftly and decisively against a numerically superior enemy,” and were fully prepared to defend Pakistan’s sovereignty.


Pakistan army chief vows retribution as 13 soldiers killed in militant attack in northwest

Updated 28 June 2025
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Pakistan army chief vows retribution as 13 soldiers killed in militant attack in northwest

  • Armed forces say 14 militants were killed in a firefight during a clearance operation after the convoy attack
  • Field Marshal Asim Munir vows to avenge innocent Pakistani lives and respond swiftly to militant violence

KARACHI: Pakistan’s army chief, Field Marshal Asim Munir, on Saturday vowed retribution after 13 soldiers were killed in a suicide bombing on an armed forces convoy in the country’s northwestern tribal belt, in one of the deadliest attacks on security personnel in recent months.

The military said the convoy was targeted in Mir Ali, a town in North Waziristan near the Afghan border, when an explosives-laden vehicle rammed into one of the lead vehicles after a failed attempt by a suicide bomber to detonate earlier.

Three civilians, including two children and a woman, were also injured in the blast.

Militant violence has surged in northwestern Khyber Pakhtunkhwa province in recent years, particularly in the tribal region, where attacks have targeted soldiers, police, government officials and civilian residents.

Saturday’s assault marked one of the highest single-day tolls for security forces this year. The military said it was followed by the killing of 14 militants in a firefight during a clearance operation launched by the security forces.

“Field Marshal Syed Asim Munir … visited Corps Headquarters Peshawar today, where he was briefed in detail on the prevailing security situation and ongoing counter-terrorism operations,” the military’s media wing, Inter-Services Public Relations (ISPR), said in a statement. “During the visit, the Field Marshal also attended funeral of Shuhada [martyrs] of the incident at Bannu Garrison and visited the injured at Bannu CMH [Combined Military Hospital].”

In this handout photo released by Pakistan’s Inter-Services Public Relations (ISPR), Pakistan Army Chief Field Marshal Asim Munir visits soldiers injured in a militant attack on Bannu Garrison, at the Combined Military Hospital in Bannu, Pakistan, on June 28, 2025. (Handout/ISPR)

“Reiterating the state’s uncompromising stance, the Chief of Army Staff vowed that all facilitators, abettors, and perpetrators of terrorism will be relentlessly pursued and brought to justice— without exception and at all costs, and the face of true perpetrator of terrorism in the region will be exposed to the entire world,” the statement added.

Most militant attacks in Khyber Pakhtunkhwa have been claimed by fighters belonging to the Tehreek-e-Taliban Pakistan (TTP), an umbrella group of armed factions that the Pakistani state refers to as khawarij — a term rooted in Islamic history used to describe a violent extremist sect that rebelled against authority and declared other Muslims as apostates.

The army described the assault as a “cowardly attack planned and orchestrated by the terrorist state of India” and executed by its “proxy Fitna Al-Khawarij.”

It said Pakistani forces intercepted the initial suicide bomber, but the attackers rammed a second explosive-laden vehicle into the convoy, killing 13 soldiers.

In this handout photo released by Pakistan’s Inter-Services Public Relations (ISPR), Pakistan Army Chief Field Marshal Asim Munir (3R), along with Interior Minister Mohsin Naqvi (2R) and others, offers funeral prayers for soldiers killed in a militant attack on Bannu Garrison, in Bannu, Pakistan, on June 28, 2025. (Handout/ISPR)

“The blood of every innocent Pakistani shall always be avenged,” the ISPR quoted the army chief as saying. “Any attempt to undermine Pakistan’s internal stability will be met with swift and decisive retribution.”

He also called for increased institutional support for civilian law enforcement agencies, particularly the Khyber Pakhtunkhwa Police, urging government stakeholders to prioritize capacity enhancement while reaffirming the army’s commitment to assist.

In a separate statement, Prime Minister Shehbaz Sharif condemned the attack, offering prayers for the fallen soldiers and condolences to their families. He praised the security forces for their response, including the killing of 14 militants, and said the entire nation saluted its martyrs.

“We are determined to eliminate every form of terrorism from the country,” Sharif said.


Pakistan plans to finalize Roosevelt Hotel privatization structure at next cabinet committee meeting

Updated 28 June 2025
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Pakistan plans to finalize Roosevelt Hotel privatization structure at next cabinet committee meeting

  • Privatization Commission denies reports claiming a $100 million base price has been set for the hotel
  • It points out the deal’s value will depend on the government-approved transaction structure, final terms

KARACHI: Pakistan is expected to finalize the transaction structure for the privatization of the Roosevelt Hotel in New York at the next meeting of the Cabinet Committee on Privatization, the government said in a statement on Saturday.

Located in Midtown Manhattan, the hotel is owned by Pakistan International Airlines Investment Limited (PIAIL) and occupies a full city block on Madison Avenue and 45th Street. It has also remained one of Pakistan’s most high-profile yet politically sensitive overseas assets.

“The base price and expected proceeds from the privatization of the Roosevelt Hotel will depend on the transaction structure and final terms approved by the government,” the Privatization Commission said in an official handout. “The transaction structure is expected to be finalized at the next meeting of the Cabinet Committee on Privatization.”

The statement informed no base price had yet been set for the property, rebutting some local media reports that claimed the government had fixed a $100 million floor.

It also pointed out such a value could only be determined at the time of bidding, adding that the deal’s potential value would depend on the transaction structure and final terms approved by the cabinet committee.

Over the past two decades, successive Pakistani governments have floated plans to sell, lease or redevelop the property, but no proposal has advanced beyond early-stage planning.

Earlier this month, Muhammad Ali, the prime minister’s adviser on privatization, told Arab News that the government had completed the hotel’s baseline valuation and appointed US-based consultancy JLL to conduct market sounding.

“We just need to get approval from the cabinet committee on the structure, and we’ll move ahead,” he said.


Pakistan tops global emerging market rankings in sovereign risk improvement — Bloomberg Intelligence

Updated 28 June 2025
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Pakistan tops global emerging market rankings in sovereign risk improvement — Bloomberg Intelligence

  • Government calls the development ‘a resounding signal’ to investors about Pakistan’s improving economy
  • It attributes the new outlook to economic stabilization, structural reforms and successful IMF engagement

KARACHI: Pakistan has recorded the world’s sharpest decline in sovereign default risk over the past year, topping Bloomberg Intelligence’s Global Emerging Market (EM) Rankings for credit risk improvement, according to new data cited by a senior finance official on Saturday.

The data, published by Bloomberg’s research arm, showed that Pakistan’s credit default swap-implied probability of default fell from 59 percent to 47 percent over the past 12 months, a drop of 11 percentage points. The change marks the biggest reduction among tracked emerging markets, outpacing countries like Argentina, Tunisia and Nigeria, as default risk rose in others such as Egypt, Gabon and Turkiye.

Credit default swaps (CDS) are insurance-like financial contracts that allow investors to hedge against the risk of a government failing to repay its debt. Issued and traded by large financial institutions, these contracts pay out in the event of a default. The higher the cost of a CDS, the greater the perceived risk. Bloomberg Intelligence uses CDS pricing to assess a country’s sovereign risk in its Global EM Rankings.

“Pakistan stands out globally as the most improved economy in terms of reduction in sovereign default risk,” said Khurram Schehzad, adviser to the finance minister, in a social media post. “This is a resounding signal to global investors: Pakistan is not only back on the map— it is moving forward with stability, credibility, and reform at its core,” he added.

Bloomberg Intelligence is a highly regarded financial data and media company widely used by global investors, analysts and institutions.

The improvement in Pakistan’s risk profile comes after the South Asian nation narrowly avoided a sovereign default in 2023. With dwindling reserves and mounting debt repayments, Islamabad secured a short-term bailout from the International Monetary Fund (IMF) with the support of key allies including Saudi Arabia, the United Arab Emirates and China.

Since then, Pakistan has undertaken a series of IMF-recommended structural reforms and fiscal adjustments aimed at stabilizing the economy.

Credit rating agencies such as Standard & Poor’s and Fitch have acknowledged the progress with improved outlooks, while the government has prioritized timely debt servicing and macroeconomic discipline.

Schehzad attributed the improved outlook to “macroeconomic stabilization, structural reforms, successful IMF engagement and timely debt repayments,” noting that investor confidence had begun to return.