Pakistani, foreign business stakeholders seek continuity of policies, ‘charter of economy’ after polls

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Updated 22 January 2024
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Pakistani, foreign business stakeholders seek continuity of policies, ‘charter of economy’ after polls

  • Representatives say they expect new government to reduce energy tariffs, ensure availability of foreign exchange 
  • Government will have to make ‘hard decisions’ to deal with economic challenges facing Pakistan, they say

KARACHI: As Pakistan gears up for national elections next month, Pakistani and foreign business stakeholders wish for the establishment of a transformative government after the polls, anticipating the continuity of present policies, a “charter of economy,” and the willingness to make tough decisions to tackle economic challenges. 

Scheduled for February 8, the general elections are coming after more than a year of economic and political turmoil in the South Asian country that narrowly escaped a default in June last year, thanks to a last-gasp $3 billion International Monetary Fund (IMF) bailout. 

Despite these challenges, there has been a palpable optimism within the business community, which hopes that the upcoming political transition would usher in a new era of much-needed stability and prosperity in the country. 

“After the election we are expecting that there would be the economic stability and continuity of policies that is what actually the business community needs,” Saquib Fayyaz, senior vice president of the Federation of Pakistan Chambers of Commerce & Industry (FPCCI), told Arab News recently.

The FPCCI official said businessmen in Pakistan wanted to see the issues of high energy prices and interest rates as well as the shortage of foreign exchange resolved. 

“We will emphasize that the new government should resolve the problem of energy, electricity and also the problem of foreign exchange, which is a very big problem and also we want reduced rate of interest,” he said. 

Iftikhar Ahmed Sheikh, president of the Karachi Chambers of Commerce and Industry (KCCI), said they required long-term policies and a “charter of economy” for the resolution of these issues. 

“We need long term policies,” he told Arab News. “We are always in favor of a charter of economy and we call for this and when a charter of economy is made, it encompasses long-term policies for exports, for development, as against the prevailing system of short-term policies running for decades.” 

The concept of a charter of economy has been discussed extensively in the Pakistani discourse, with calls for a comprehensive agreement between stakeholders to create a stable economic environment. 

Traders and industrialists advocate for a charter that could move Pakistan away from the decades-old tradition of short-term strategies, which have often proven to be flawed. 

The KCCI chief said they wanted the new government to work on long-term policies “in consultation with businessmen,” promising an increase in Pakistan’s exports on the basis of such policies. 

Asif Inam, chairman of All Pakistan Textile Mills Association (APTMA), appreciated the caretaker government of Prime Minister Anwaar-ul-Haq Kakar for its measures to boost the economy, including curbs on Afghan transit trade, crackdown on currency smugglers and efforts to bring in foreign direct investment. 

“The caretaker setup is doing well and they (the next government) should adopt the same policies,” Inam said. “Current policies should be maintained and [the] stability we have achieved should not be deterred.” 

Pakistan’s textile sector contributes around 60 percent to the overall exports of the country. In Dec. 2023, the Pakistani commerce ministry set an ambitious export target of $100 billion, including $50 billion for the textile sector, in the next five years. 

However, the APTMA chief said expensive energy was an impediment in the way of textile industry to achieve this $50 billion target. 

“One of the main reasons why the export is not flourishing is the expensive energy, which is two or three times [more] than the regional competitors,” he said. 

Foreign investors expect the new government to create a conducive environment and boost investor confidence through some “hard decisions.” 

“I think from the developments that have taken place, we do see that the election will take place on time. Sooner or later, they will have to work and bring some sort of a maturity and stability,” said Abdul Aleem, CEO of the Overseas Investors Chambers of Commerce and Industry (OICCI) that represent multinational companies operating in Pakistan. 

“So, our expectation is that whoever sits in the government will understand that the environment has to be created with political and policy stability.” 

Aleem said this stability would give confidence to foreign investors to invest more in Pakistan. 

“Economic challenges right now facing the country are quite serious and therefore, they will have to take actions which may not be very popular,” he said. “The situation is such that there will be some hard decisions to be made.” 

Pakistan has already taken some painful decisions, including energy tariff and interest rate hikes that have fueled decades-high inflation. 

One of the major economic problems Pakistan has continued to face throughout its history is the scarcity of foreign exchange, primarily the US dollar, but recent measures by the caretaker administration have raised hopes for its continued availability. 

Malik Bostan, chairman of the Exchange Companies Association of Pakistan (ECAP), said the government’s actions would continue to bring stability and the greenback would eventually settle around Rs250. 

“At a time when dollar went up to Rs330 and people were talking about Rs400 and Rs500, we had announced that it may go [back] to Rs250 and it gradually depreciated and has to go to 250,” he said. 

Bostan even called for drawing a charter of economy before the elections, binding all political parties to pledge continuity of policies. 

“I think the government has to make a charter of economy even before the elections,” he said. “All political parties should be called and they should give pledge to implement the charter and they should not get involved in leg-pulling.” 

FPCCI’s Fayyaz said they had also prepared a charter of economy and would hold consultations on it with political parties and the new government. 

The stakeholders stressed the importance of reducing government expenditures, broadening the tax base, and making tough decisions for financial stability and economic self-reliance to meet the present economic challenges. 


Japan outclass Pakistan 3-0 to win Men’s U18 Asia Cup 2025 title

Updated 13 July 2025
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Japan outclass Pakistan 3-0 to win Men’s U18 Asia Cup 2025 title

  • Japan’s Yuma Fujiwara scored goals in the 22nd and 38th minutes of game
  • Skipper Tatsuaki Yasui scored the final goal to end Pakistan winning streak

ISLAMABAD: Japan defeated Pakistan 3-0 to win the Men’s U18 Asia Cup 2025 final at the National Hockey Training Center in Dazhou, China on Sunday.

Despite both teams attacking each other, the opening quarter of the match ended without a goal. Japan’s Yuma Fujiwara scored the first goal in the seventh minute of the second quarter.

Fujiwara found the net once again in the third quarter, followed by Tatsuaki Yasui extending Japan’s lead to 3-0 on a penalty corner in the final minutes of the fourth quarter.

“Japan are crowned champions after a commanding 3–0 victory over Pakistan in the final,” the Asian Hockey Federation commented on X.

“A flawless campaign, built on discipline, skill, and teamwork, earns Japan the top spot on the podium.”

Pakistan had entered the final unbeaten, after defeating Malaysia 4-3 in the semifinals.

Prior to that, the Pakistani side beat hosts China 2-1, Bangladesh 6-3, Sri Lanka 9-0 and Hong Kong 8-0.


Pakistan’s performance under $7 billion program has been ‘strong so far,’ IMF representative says

Updated 13 July 2025
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Pakistan’s performance under $7 billion program has been ‘strong so far,’ IMF representative says

  • Pakistan is currently navigating a long path to economic recovery under the 37-month IMF program secured in Sept.
  • Reforms to strengthen tax equity, improve business climate are key to economic sustainability, Mahir Binici says

ISLAMABAD: Mahir Binici, the International Monetary Fund (IMF) country representative for Pakistan, has described Islamabad’s performance under a $7 billion IMF loan program as being “strong so far,” the Islamabad-based Sustainable Development Policy Institute (SDPI) think tank said on Sunday.

Binici said this in his guest lecture at the Institute, during which he shed light on the evolving economic landscape across the Middle East and North Africa (MENA) region and Pakistan.

Pakistan narrowly avoided a sovereign default in mid-2023 thanks to a shorter $3 billion IMF facility. In Sept. last year, Islamabad secured the 37-month, $7 billion program after meeting targets under the previous arrangement.

The IMF representative said Pakistan’s successful completion of the first review of its loan program, secured last year, by the IMF executive board in May 2025 was a “key milestone.”

“Early policy measures have helped restore macroeconomic stability and rebuild investor confidence, despite persistent external challenges,” Binici was quoted as saying in an SDPI statement.

He, however, cautioned that “elevated trade tensions, geopolitical fragmentation, and weakening global cooperation continue to generate exceptional uncertainty and weigh on the global economic outlook,” underlining the urgent need for prudent and forward-looking policy actions.

“Growth across the Middle East, North Africa (MENA) region, and Pakistan is expected to strengthen in 2025 and beyond,” Binici said.

The IMF representative reaffirmed the global lender’s continued support for Pakistan’s economic and climate reforms agenda.

“Structural reforms remain central to Pakistan’s long-term economic sustainability, particularly reforms that strengthen tax equity, improve the business climate, and encourage private-sector-led investment,” he said.

Binici’s comments came a day after Prime Minister Shehbaz Sharif defended his government’s structural reform agenda, particularly in tax administration, saying that difficult and often unpopular decisions were necessary to rebuild national institutions as the country could no longer afford “business as usual.”

Speaking at a session of the Uraan Pakistan youth development program, he said his administration took on the “onerous task” of stabilizing the economy under immense pressure, choosing to pursue long-delayed reforms rather than temporary fixes.

“Pakistan had to undertake these long-overdue, deep structural changes, if we had to find our lost place in the comity of nations through hard and untiring efforts,” he said.

Sharif noted the transition from paper-based tax systems to digital and AI-led processes was already bearing fruit and his administration had prioritized accountability and removing senior revenue officials accused of corruption, resisting political pressure in doing so.

“It’s a long and thorny journey,” he said, assuring merit would remain the cornerstone of his governance model. “We are facing bumps on the way and mountain-like impediments. But I can assure you, we will not shy away from discharging our responsibility.”


Pakistani commerce minister embarks on ‘pivotal’ UK visit to deepen economic ties

Updated 13 July 2025
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Pakistani commerce minister embarks on ‘pivotal’ UK visit to deepen economic ties

  • The UK maintains zero-tariff access of Pakistan’s exports post-Brexit, making it Islamabad’s largest European export partner
  • The Pakistan-UK trade in goods and services reached £4.7 billion in 2024, an increase of 7.3 percent, compared to the previous year

ISLAMABAD: Pakistani Commerce Minister Jam Kamal Khan has embarked on a “pivotal” official visit to the United Kingdom (UK) from July 14 till July 20 to strengthen economic ties between the two countries, Khan’s ministry said on Sunday.

The minister is accompanied by Commerce Secretary Jawad Paul and this high-level visit aims to deepen bilateral commercial ties, strengthen institutional frameworks, and open new avenues for trade and investment between Pakistan and the UK.

Khan will engage with major Chambers of Commerce in London and Birmingham to advance bilateral trade and explore opportunities in emerging sectors, besides highlighting Pakistan’s export potential and fostering greater business-to-business collaboration.

“One of the central moments of the visit will be the signing of the Terms of Reference (ToRs) for the Pakistan-UK Trade Dialogue,” the commerce ministry said.

“This formalization marks a significant step toward institutionalizing bilateral trade cooperation, injecting greater standardization, transparency, and predictability into the economic relationship between the two countries.”

The UK maintains zero-tariff access of Pakistan’s exports post-Brexit, making it Pakistan’s largest European and third-largest individual export partner, according to the Pakistani foreign ministry.

The Pakistan-UK trade in goods and services reached £4.7 billion in 2024, an increase of 7.3 percent, or £320 million, compared to the previous year, according to the UK government data. Of this £4.7 billion, UK exports to Pakistan amounted to £2.2 billion, while its imports from Pakistan amounted to £2.5 billion.

During his visit, the Pakistani commerce minister is scheduled to meet with members of the UK’s All Parties Parliamentary Group (APPG), where he will advocate for stronger political support in enhancing trade and investment flows, according to the commerce ministry.

These discussions will aim to align parliamentary efforts with Pakistan’s broader economic diplomacy goals and strengthen long-term partnerships.

“Khan will interact with leading UK-based multi-million-dollar companies from key sectors such as food processing, information technology, engineering, fintech, and capital investment. These meetings aim to showcase Pakistan’s economic potential and attract targeted investments into high-growth industries,” the commerce ministry said.

“The visit also includes important meetings with the UK Pakistan Business Council, Pakistan Britain Business Council, and UK Pakistan Chamber of Commerce & Industry. These discussions will focus on strengthening institutional trade linkages and leveraging diaspora-led initiatives to boost trade volumes and visibility in the UK market.”

Pakistan is currently striving to draw overseas investment amid a gradually healing macroeconomic environment after a prolonged downturn that forced Islamabad to seek external financing from friendly nations and multiple loan programs from the International Monetary Fund (IMF).

Khan’s visit follows another trip to the UK in June by Pakistan’s Finance Minister Muhammad Aurangzeb and Prime Minister Shehbaz Sharif’s aide on privatization, Muhammad Ali, who held meetings with executives from renowned firms, including TTB Partners, STJ Partners, Deutsche Bank, Berenberg Bank, and Amundi Fund Group, to spotlight Pakistan’s privatization roadmap and its growing potential as a hub for strategic, long-term investment.

The Pakistani commerce ministry said Khan’s visit marks a “renewed thrust in Pakistan’s efforts to advance economic diplomacy, diversify export markets, and solidify its commercial footprint in global markets like the United Kingdom.”


Pakistan minister to attend today tri-nation conference in Tehran on pilgrim, border issues

Updated 13 July 2025
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Pakistan minister to attend today tri-nation conference in Tehran on pilgrim, border issues

  • The Pakistan-Iran-Iraq conference is being convened on Islamabad’s request
  • Thousands of Pakistanis travel to the two countries annually to visit holy sites

KARACHI: Pakistan’s Interior Minister Mohsin Naqvi is undertaking an official visit to Tehran to attend a tri-nation conference on pilgrim and border issues, the Pakistani interior ministry said on Sunday.

The conference of interior ministers from Pakistan, Iran and Iraq is being convened on a request from Islamabad, according to the Pakistani interior ministry.

Thousands of Pakistani Shiite Muslims, who travel annually to Iran and Iraq to visit holy sites, have often complained of issues at the border.

“Interior Minister Mohsin Naqvi will attend the trilateral conference on pilgrims and border issues in Tehran tomorrow,” the Pakistani interior ministry said on Sunday. “Naqvi will also meet with Iranian President Masoud Pezeshkian.”

Last month, Pakistan evacuated over 260 nationals from Iraq and another 450 Pakistanis who had been stranded in Iran during the Tehran-Israeli conflict.

The 12-day war between Iran and Israel, which began on June 13 Israeli airstrikes on Iranian nuclear facilities and military leadership, raised alarms in a region that was already on edge since the start of Israel’s war on Gaza in October 2023.

Pakistan remained engaged in talks with regional partners like Saudi Arabia, Iran, China and Qatar to de-escalate tensions in the Middle East after Iran conducted retaliatory strikes on Israel and a US base in Qatar, raising fears the conflict could draw in other regional states.


Imran Khan’s party says has launched 90-day ‘do-or-die’ movement against government

Updated 13 July 2025
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Imran Khan’s party says has launched 90-day ‘do-or-die’ movement against government

  • Ali Amin Gandapur, KP chief minister and a close Imran Khan aide, says movement to ‘reach its peak’ on August 5
  • Information Minister Attaullah Tarar calls the announcement a ‘political gimmick,’ saying Khan’s party is ‘heading toward irrelevance’

ISLAMABAD: Former prime minister Imran Khan’s Pakistan Tehreek-e-Insaf (PTI) party announced on Sunday that its 90-day “do-or-die” protest movement against the government has begun, saying that it would determine the future of the party. 

Earlier this month, the PTI announced it would launch a nationwide protest movement after the Islamic month of Muharram, following a ruling by Pakistan’s top court denying the party reserved parliamentary seats for minorities and women.

Tensions further escalated days earlier when 26 PTI provincial lawmakers were suspended by the speaker of the Punjab Assembly for 15 sessions, after they protested during Chief Minister Maryam Nawaz Sharif’s speech on June 27.

Gandapur arrived in the eastern city of Lahore from KP on Saturday to discuss the party’s political strategy and finalize its protest movement against the government.

“We have announced a 90-day protest movement, which began yesterday [Saturday]… And it will be a do-or-die [movement] for us, whether we remain there [in KP government] or not,” Gandapur, flanked by the PTI’s leadership, told reporters at a news conference in Lahore.

The KP chief minister vowed that the party’s anti-government protest movement will “reach its peak” on August 5, marking two years since Khan was arrested after being convicted by a court for illegally selling state gifts. 

Federal Information Minister Attaullah Tarar termed the PTI protest movement a “political gimmick,” saying that Khan’s party had made several such announcements.

“He [Gandapur] has made several such announcements and these are political gimmicks,” Tarar told Arab News.

“PTI has lost street power and its credibility, and is heading toward irrelevance,” the minister added.

Khan, who has remained in prison since then, says the charges against him are politically motivated and has denied wrongdoing. His party has held various protests demanding his release and an independent investigation into the elections of February 2024. 

Pakistan’s government has denied the PTI’s allegations and says the elections of February 2024 were transparent. It accuses the former prime minister and his party of attempting to disrupt the government’s efforts to achieve sustainable economic growth through violent protests.

In one of the PTI’s protests in November last year, the government said four troops were killed in clashes with Khan supporters. The PTI rejects this allegation. 

‘REAL DECISION-MAKERS’

Gandapur alleged that the PTI was being denied its right to hold peaceful protests, vowing that it would now mobilize people across the country.

“We will announce a plan accordingly, after taking all our local workers and leaders into confidence on how to proceed with this movement,” the chief minister said. 

On holding talks with the government, Gandapur said his government was ready to hold talks but with the “real decision-makers,” indirectly referring to the military. 

“Imran Khan has very clearly said this, ‘[I] will only negotiate with those who are decision-makers. What’s the point of talking to someone who doesn’t have any authority?’,” Gandapur said. 

Pakistan’s military says it does not interfere in political issues and rejects the PTI’s allegations that it conspired with Khan’s political opponents to oust his government in a parliamentary vote in April 2022.