ISLAMABAD — An anti-graft crusade promoted by Pakistani Prime Minister Imran Khan has led to swathes of arrests of politicians, but critics say the economy is suffering as vital projects are put on hold by officials fearful of being caught up in the dragnet.
Khan won power last year vowing to root out corruption among what he cast as a venal political elite and views the probes into veteran politicians — including jailed former premier Nawaz Sharif and ex-President Asif Ali Zardari — as long overdue.
While few dispute the need to clean up Pakistani politics, the National Accountability Bureau (NAB) campaign has become a topic of fierce political debate.
Some in the business community say they worry the drive is hurting an ailing economy, which has just received a $6 billion International Monetary Fund bailout.
And the focus of the NAB so far on the new government’s political foes has prompted accusations it is a one-sided purge backed by Pakistan’s powerful military, which is seen to favor Khan. The government denies targeting political opponents.
NAB did not respond to a request for comment. The military also did not respond, but in the past it has denied interfering in politics or influencing NAB, an independent body within Pakistan’s legal system with its own investigators and courts.
The crackdown has also ensnared civil servants, who say they have become collateral damage in the accountability drive.
Six high-ranking officials who spoke to Reuters painted a picture of a civil service in disarray and decision-making at a standstill, with senior officials avoiding signing off projects or making decisions that could open them to bribery accusations.
“If a project works out, I don’t get a gold medal,” said one senior federal official. “But if it doesn’t work out, I might go to jail.” A second official spoke of an administrative “go-slow” amid a climate of fear in the bureaucracy.
POLITICAL CASES?
The government rejects accusations that NAB is impacting the economy, calling such allegations opposition propaganda, and says graft is to blame for Pakistan’s current economic woes.
Khan last month launched a commission to investigate projects and agreements that helped increase overall debt between 2008-2018, staffing it with members of NAB and military intelligence agencies.
Science Minister Fawad Chaudhry said government officials make up a small number of NAB cases, but their concerns had reached Khan and a special cell had been created within NAB to deal with bureaucrats’ issues.
“The rise of Imran Khan is basically a middle class revolution against corruption,” Chaudhry added. “You can’t expect from us that we will take the issue of corruption lightly.”
NAB last month arrested former President Zardari and his sister over alleged false bank accounts and money laundering. They both deny wrongdoing and call the arrests politically motivated.
Since Khan assumed power last August, NAB has continued investigating jailed former Prime Minister Sharif, who has alleged the military’s hidden hand is behind many of the anti-corruption cases against his family.
Fresh probes have also been opened involving Sharif’s brother and many of his closest allies, including at least eight ministers from the previous government. They all deny wrongdoing and say they are victims of persecution.
“Everybody who is against this government has a NAB case,” said one opposition politician who was a minister in the previous government.
Inquiries have also been launched against some prominent businessmen.
“KILLS CONFIDENCE”
Pakistan’s new liquefied natural gas (LNG) infrastructure, erected at breakneck speed by the previous administration, has emerged as a major anti-corruption battlefield.
LNG terminals built in 2016 and 2017 were vital to ending a decade of electricity shortages and turned Pakistan into one the world’s hottest LNG markets, with Qatar and Italy’s Eni signing long-term gas deals worth billions.
But Khan’s Pakistan Tehreek-i-Insaf (PTI) party has for years alleged corruption. In April, on NAB’s instructions, the government barred former Prime Minister Shahid Khaqan Abbasi, ex-Finance Minister Miftah Ismail, and six bureaucrats involved in the Qatar deal for the first terminal from leaving the country. They all deny wrongdoing. No allegations of wrongdoing have been made against the Qatari side.
Abbasi, who as petroleum minister masterminded Pakistan’s embrace of LNG, said he had to take a lead role because many officials were afraid of multi-billion dollar projects.
“Nobody wanted to do anything as they were scared of NAB,” said Abbasi, who said bureaucrats were now paying a price despite helping end electricity shortages. “We had good people who stuck their neck out and they’re all suffering today.”
A third LNG terminal and a new gas pipeline needed to keep up with rising energy demand have been on the “backburner” for more than a year as no decision making is taking place across ministries, according to an energy official.
“Bureaucrats being barred from leaving the country kills confidence,” he said. “We are going to have a (energy) crisis in a year or two.”
The result, say the officials who spoke to Reuters, is that senior colleagues nearing retirement are refusing to sign off on projects due to fears of being dragged out of retirement to answer NAB inquiries for years.
“If I have to make a decision about a $10 billion refinery... I’ll sit on this file for six months, and get the next guy to make that decision,” said the first senior federal official.
A senior civil servant in the Khyber Pakhtunkhwa province said he hasn’t approved any major project since late 2018.
“All bureaucrats know that once you are tagged with NAB, no matter if you’re innocent or you really did some corruption, you have no future,” he said. “You’re finished.”
’Government go-slow’, as Pakistan’s anti-corruption drive bites
’Government go-slow’, as Pakistan’s anti-corruption drive bites
- Anti-graft crusade promoted by PM Khan has led to swathes of arrests of politicians
- Focus so far on government’s political foes has prompted accusations of a one-sided purge
Pakistan central bank cuts key rate by 100 bps
- The bank’s governor said inflation would ease further in Jan. but noted core inflation remained elevated
- Jameel Ahmed said the forecast for full-year inflation in the year to June was an average of 5.5 percent to 7.5 percent
KARACHI: Pakistan’s central bank cut its key policy rate by 100 basis points to 12 percent on Monday, the governor told reporters, for a sixth straight reduction since June as the country attempts to revive business and economic sentiment amid easing inflation.
The State Bank of Pakistan has slashed rates by 1,000 bps from an all-time high of 22 percent in June 2024, in one of the most aggressive moves among central banks in emerging markets and topping the 625 bps in rate cuts it did in 2020 during the COVID-19 pandemic.
The bank’s governor Jameel Ahmad said at a press conference that the inflation rate would ease further in January but noted that core inflation remained elevated. He said the forecast for full-year inflation in the year to June was an average of 5.5 percent-7.5 percent.
Fourteen of 15 analysts surveyed by Reuters expected the central bank to cut its key rate by at least 100 bps mainly due to a drop in inflation.
Pakistan’s consumer inflation rate slowed to an over 6-1/2-year low of 4.1 percent in December, largely due to a high year-ago base. That was below the government’s forecast and significantly lower than a multi-decade high of around 40 percent in May 2023.
Pakistan’s economy grew by 0.92 percent in the first quarter of the fiscal year 2024-25 which ends in June, according to data approved by the National Accounts Committee, and released by its Statistics Bureau in December.
The governor said that the bank maintained its forecast full-year GDP growth at 2.5 percent-3.5 percent.
Pakistan reaffirms support for Beijing after reports of interior minister attending anti-China event
Pakistan reaffirms support for Beijing after reports of interior minister attending anti-China event
- News outlets reported last week Mohsin Naqvi met members of political group opposed to Chinese state
- Pakistan’s FO says One-China position “consistent cornerstone” of its foreign policy that remains unchanged
ISLAMABAD: Pakistan’s foreign office spokesperson reiterated support for the One-China Policy on Monday, days after news reports claimed Interior Minister Mohsin Naqvi attended a meeting by a group in Washington opposed to the Chinese state.
Local and international news outlets reported last week that Naqvi had attended an event in Washington by the New Federal State of China (NFSC), a political movement opposed to the Chinese Communist Party (CCP). The Pakistani interior minister is in the United States to engage American lawmakers on issues of mutual concern, including militancy.
Naqvi denied the allegations while speaking to reporters on Sunday, describing them as “propaganda.” The minister said he had attended an event by US-based public relations firm Gunster Strategies in Washington, categorically stating that it was not opposed to the Chinese state.
Pakistan has always backed the One-China Policy, which is the diplomatic acknowledgment of Beijing’s stance that there is only one Chinese government. China uses this policy to form the basis of its ties with other countries regarding the status of Taiwan.
“Responding to media speculations, the spokesperson categorically rejected baseless and unfounded allegations to target Pakistan-China friendship,” the foreign office spokesperson said. “He reaffirmed Pakistan’s unwavering commitment to the foundational principle of the One-China Policy which is a consistent cornerstone of Pakistan’s foreign policy and remains unchanged.”
The spokesperson described China as Pakistan’s “all-weather strategic partner,” saying their bilateral relations are based on mutual trust, shared values, support on issues of core concern and a commitment to regional and global stability.
China, a major ally and investor in Pakistan, has pledged over $65 billion in investment in road, infrastructure and development projects under the China-Pakistan Economic Corridor (CPEC) project. CPEC is a part of the Belt and Road Initiative, a massive China-led infrastructure project that aims to connect various countries around the globe through trade.
Pakistan court sentences four men to death for ‘online blasphemy’
- Many of the online blasphemy cases are being brought to trial by private “vigilante groups” led by lawyers
- National Commission for Human Rights says 767 people jailed, awaiting trial for blasphemy allegations
ISLAMABAD: A Pakistan court has sentenced four men to death for posting blasphemous content online, a member of a group of “vigilante” private lawyers that brought the prosecution said on Monday.
The four men were sentenced in Rawalpindi, the garrison city that neighbors the capital Islamabad, Rao Abdur Raheem, a lawyer from the Legal Commission on Blasphemy Pakistan (LCBP), told AFP.
Blasphemy is an incendiary charge in Muslim-majority Pakistan, where even unsubstantiated accusations can incite public outrage and lead to lynchings.
Pakistan has witnessed a sharp increase in the prosecution of “online blasphemy” cases, with private groups bringing charges against hundreds of young individuals for allegedly committing blasphemy.
“They were sentenced to death... on Friday for spreading blasphemous content online against the Prophet Muhammad and the Qur’an,” Raheem told AFP on Monday.
“Our case was supported by forensic evidence from the devices used in this heinous act,” he said of one of the LCBP’s latest prosecutions.
Despite the conviction, Pakistan has never executed anyone for blasphemy.
A member of a support group formed by the families confirmed the sentence to AFP and said the group would challenge the conviction.
“The pattern of arrests and prosecutions in this case is consistent with previous ones,” said the support group member, who spoke on condition of anonymity due to security concerns.
“We urge the government to establish a commission to investigate the rise in these cases before these young individuals spend the best years of their lives behind bars.”
Many of the online blasphemy cases are being brought to trial by private “vigilante groups” led by lawyers and supported by volunteers who scour the Internet for offenders, rights groups and police say.
The LCBP is the most active of those groups in Pakistan.
Sheraz Ahmad Farooqi, one of the group’s leaders, told AFP in October that “God has chosen them for this noble cause.”
A report published by the government-run National Commission for Human Rights in October last year said there were 767 people, mostly young men, in jail awaiting trial over blasphemy allegations.
“In these cases, due process was notably disregarded, with significant procedural violations observed at multiple stages,” the report said.
“Arrests were often carried out by private individuals rather than law enforcement.”
Cases can drag through the courts for years, although death penalties are often commuted to life in prison on appeal at the Supreme Court.
A special court was formed in September to expedite the dozens of pending cases.
Pakistan’s Shahzeb Rind successfully defends lightweight title at Karate event in Florida
- Rind, 26, defeats three-time world champion Edgars Skivers 7-0
- Rind boasts a combined Wushu and Kickboxing record of 75-4
ISLAMABAD: Pakistani Karate fighter Shahzeb Rind successfully defended his lightweight title against former three-time world champion Edgars Skrivers, defeating him 7-0 at the Karate Combat (KC) 52 event in Miami, the Pakistan Mixed Martial Arts Federation (PMMAF) announced on Sunday.
The KC52, a professional full-contact karate league, is part of a global karate MMA series featuring skilled fighters in action-packed competitions.
Rind, who hails from the impoverished southwestern Balochistan province, won his first martial arts title in 2011 after claiming victory in a provincial-level competition. His first national title came in 2019 when he triumphed at the National Games in the northwestern Khyber Pakhtunkhwa province.
During the two and half years of an undefeated Karate Combat career, Rind has fought fighters from North America, Peru, Venezuela, Brazil, France and India.
“In a stunning display of skill and determination, Rind has claimed his second championship title after a hard-fought victory against Edgars Skrivers,” the PMMAF said.
“The intense showdown unfolded on Friday in Miami, captivating audiences with its electrifying energy and showcasing the best of competitive spirit.”
The statement said Rind delivered an “extraordinary” performance that kept his fans excited throughout the match, adding that his “dedication, relentless training, and remarkable skill” had solidified his position as one of the top contenders.
“Rind’s triumph is a testament to the power of perseverance and hard work,” the sports body said. “As fans celebrate this incredible achievement, they eagerly await what the future holds for this rising star.”
The Pakistan Embassy in New York congratulated Rind on defending his title.
“Heartfelt congratulations to MMA fighter Shahzaib Rind, the brave son of Pakistan who hails from Balochistan, on defending his lightweight title in Miami, Florida, USA and becoming the world champion for the second time,” the embassy said on X. “Shahzaib Rind dedicated his victory to the people of Pakistan.”
Rind boasts a combined Wushu and Kickboxing record of 75-4, the majority of which was attained while training himself by watching YouTube videos. He is currently training under Asim Zaidi at the renowned Goat Shed gym in Miami.
Zaidi is the president of Karate Combat, a brand that promotes the first professional full-contact karate league, hosting worldwide events since April 2018.
Pakistan sacks 18% railways employees in bid to implement IMF reforms in state entities
- Pakistan’s Prime Minister Shehbaz Sharif chairs review meeting on Pakistan Railways performance
- IMF has pressed Pakistan to improve governance in state-owned assets for financial bailouts
ISLAMABAD: Pakistan Railways has sacked 18% of its “unnecessary staff” in a bid to improve the state-owned asset’s performance, Prime Minister Shehbaz Sharif was briefed on Monday according to a statement from his office, as Islamabad moves to implement ambitious reforms mandated by the International Monetary Fund (IMF) in exchange for a financial bailout.
Improving governance in loss-making state-owned enterprises (SOEs) has long been on the IMF’s list of recommendations for Pakistan, which has turned to the international lender for frequent financial bailouts, the latest of which was a $7 billion loan last year. Pakistan’s prolonged economic crisis has forced the country to implement an ambitious reforms program designed by the IMF, which includes privatizing public sector organizations and laying off unnecessary staff to enhance their revenue.
Pakistan’s SOEs have accumulated losses in the billions over the years due to mismanagement, operational challenges, high debt loads, inefficiencies and alleged corruption. Pakistan’s railways sector has also been poorly managed over the years, with the country witnessing several train accidents over the past few years due to decades-old signal systems and tracks.
Sharif chaired a meeting to review the railway sector’s performance on Monday which was attended by senior cabinet ministers and officials, the Prime Minister’s Office (PMO) said in a statement.
“As part of the Pakistan Railways rightsizing process, 18% of unnecessary staff has been laid off,” Sharif was briefed during the meeting, according to the PMO.
Sharif issued instructions to Pakistan Railways to attract passengers in a competitive manner, calling on the organization to provide better travel services to passengers through public-private partnerships.
He also instructed railways to hire professional and capable manpower, and replace its old system with modern technology that is more in line with today’s age, the PMO said.
Sharif was briefed that the railways suffered losses of Rs10 billion during the devastating floods of 2022, during which most of its tracks remained underwater for 35 days.
“Pakistan Railways improved its performance through various measures after the 2022 floods and has so far earned a profit equal to the initial cost of its freight operations,” the PM was told.
The Pakistani premier urged railways to use its land for business activities in collaboration with the private sector, directing it to formulate a strategy to increase trade in the region, especially with Central Asian countries.