ISLAMABAD: Pakistan’s newly-formed ruling alliance is yet to finalize its finance minister, the person who has to lead an immediate effort to negotiate a new International Monetary Fund (IMF) bailout, sources familiar with the discussions said.
The struggling $350 billion economy has a narrow path to recovery and the current IMF agreement expires on April 11, with critical external financing avenues linked to securing another extended program.
Former four-time finance minister Ishaq Dar remains the top contender, according to two sources in his Pakistan Muslim League-Nawaz (PML-N) party, which is leading the coalition.
PML-N’s Shehbaz Sharif has been nominated by the alliance to be prime minister in an election scheduled for March 3. He will announce his cabinet, including the finance minister, shortly after being elected.
But Dar is not the only candidate being considered, the sources said. Despite being a relative of, and close aide to, PML-N chief Nawaz Sharif, many political allies have criticized Dar’s handling of the economy in the last coalition set up.
He, however, has defended his actions, saying he had to take tough measures to avert a sovereign default by securing the IMF program, which former Prime Minister Imran Khan had scuttled days before leaving his office, a charge Khan denies.
Pakistan struggled for over four months to lock in the stand-by arrangement last summer when Dar was finance minister, and it took the intervention of his prime minister, Shehbaz Sharif, to secure a last-ditch deal.
Dar also regularly criticized the IMF on public platforms in the middle of negotiations, and has long favored market interventions to prop up the Pakistani rupee – something the IMF has warned against.
If Dar doesn’t get the portfolio, his party might consider creating a position of deputy prime minister for him, one of the sources in the PML-N said.
Also being considered are caretaker Finance Minister Shamshad Akhtar, a former central bank governor, who is overseeing key policy measures under the current IMF program, both sources said.
Akhtar has been a key part of the caretaker set up that has been praised by the IMF for “decisive policy efforts” to maintain stability.
Another name being considered is Muhammad Aurangzeb, president and chief executive officer of the country’s largest bank, Habib Bank Limited, the sources said.
Aurangzeb had also served as the CEO of JP Morgan’s Global Corporate Bank based in Asia.
Akhtar did not respond to a Reuters request for a comment and Aurangzeb’s HBL said it would not comment on “rumors and speculations.”
A PML-N spokesperson did not respond to a request for comment.
Dar himself told reporters before the parliament’s inaugural session on Thursday that there was no decision yet when asked if he would be the choice for finance minister again.
PML-N senior leader Irfan Siddiqui told the local newspaper The News that Dar will “most probably” be picked for the post.
Aside from negotiating a new and extended IMF program, the new finance minister will have about three months to prepare a federal budget that will need to strike a difficult balance between tough reforms and rejuvenating a struggling economy.
The PML-N, leading a minority government, will be relying on the support of different parties to pass critical legislation, with alliance partner Pakistan Peoples Party saying it would support the government on an issue-to-issue basis.
Efforts to assuage growing public anger at record inflation hovering around 30 percent will also be challenging with limited fiscal space.
“Pakistan needs someone who has broad and in-depth international experience to introduce the kind of reforms that have helped many other countries to come out of economic crises,” said Yousuf Nazar, a London-based economist and former Citigroup banker.
He, however, declined to say who was best suited.
Race for new Pakistan finance minister heats up ahead of crucial IMF negotiations
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Race for new Pakistan finance minister heats up ahead of crucial IMF negotiations
- Ishaq Dar remains the top contender, though he may be declared deputy PM if he does not get the portfolio
- Pakistan’s interim finance minister and president of the country’s largest HBL bank are also said to be in the race
On death anniversary, Pakistani leaders remember Benazir Bhutto, first woman PM in Muslim world
- Bhutto was daughter of ex-PM Zulfikar Ali Bhutto who was hanged during reign of former military ruler Gen. Zia-ul-Haq
- Year before assassination in 2007, Bhutto signed landmark deal with rival Nawaz Sharif to prevent army interventions
ISLAMABAD: Prime Minister Shehbaz Sharif and other Pakistani leaders on Friday paid tribute to Benazir Bhutto, the first woman prime minister in the Muslim world who was assassinated 17 years ago in a gun and bomb attack after a rally in the city of Rawalpindi.
Bhutto, born on Jun. 21, 1953, was elected premier for the first time in 1988 at the age of 35. She was deposed in 1990, re-elected in 1993, and ousted again in 1996 amid charges of corruption and mismanagement, which she denied as being politically motivated.
Bhutto only entered politics after her father was hanged in 1979 during military ruler Gen. Zia-ul-Haq’s reign. Throughout her political career, she had a complex and often adversarial relationship with the now ruling Sharif family, but despite the differences signed a ‘Charter of Democracy’ in 2006 with three-time former PM Nawaz Sharif, with a pledge to strengthen democratic institutions and prevent military interventions in Pakistan in the future. She was assassinated a year and a half later.
“Today, we commemorate the 17th anniversary of the martyrdom of Shaheed Mohtarma Benazir Bhutto,” PM Shehbaz Sharif, who is Nawaz’s younger brother, said in a post on X. “A champion of democracy, and a staunch advocate of the power of dialogue and reconciliation in the political process, Mohtarma Benazir Bhutto remains an icon of courage and resilience.”
President Asif Ali Zardari, Bhutto’s widower, urged the nation to draw inspiration from the late premier and work to realize her “dream of a peaceful, progressive, and democratic Pakistan.”
“On this day, we honor a leader who embodied the very spirit of hope, resilience, and unwavering commitment to the ideals of democracy and justice,” he was quoted as saying by Radio Pakistan.
“Mohtarma Benazir Bhutto was a trailblazer who dreamt of a Pakistan where the rights of all citizens, irrespective of color, class and creed, would be protected.”
Powerful families from the Bhuttos and Sharifs of Pakistan to the Gandhis of India and the Bandaranaike family of Sri Lanka have dominated politics in this diverse region since independence from British colonial rule. But none have escaped tragedy at the hands of rebels, militants or ambitious military leaders.
It was Zulfikar Ali Bhutto who founded the troubled Bhutto dynasty, becoming the country’s first popularly elected prime minister before being toppled by the army in 1977 and later hanged. Both his sons died in mysterious circumstances.
Before her assassination on Dec. 27, 2007, Bhutto survived another suicide attack on her motorcade that killed nearly 150 people as she returned to Pakistan after eight years in exile in October 2007.
Bhutto’s Oxford-educated son Bilawal Bhutto Zardari, 36, is now leading her Pakistan Peoples Party, founded by her father, and was foreign minister in the last administration of Shehbaz Sharif.
Pakistan has been ruled by military regimes for almost half its history since independence from Britain in 1947. Both former premier Imran Khan and the elder Sharif, Nawaz, have alleged that they were ousted by the military after they fell out with the generals. The army says it does not interfere in politics.
Pakistani ministry, Saudi Airlines ink agreement to facilitate Hajj pilgrims — state media
- Saudi Arabia has allotted Pakistan a Hajj quota of 179,210 pilgrims, to be divided between government and private schemes
- Saudi Airlines will provide travel services for 35,000 Pakistani government-sponsored Hajj pilgrims under the new agreement
ISLAMABAD: Pakistan’s religious affairs ministry has signed an agreement with Saudi Airlines to facilitate travel of Pakistani Hajj pilgrims, Pakistani state media reported on Thursday.
Saudi Arabia has allotted Pakistan a Hajj quota of 179,210 pilgrims, to be divided equally between government and private schemes.
Under the agreement with the Pakistani religious affairs ministry, Saudi Airlines will provide travel services for 35,000 Pakistani government-sponsored Hajj pilgrims, the state-run APP news agency reported.
“The agreement was formalized during a ceremony attended by Sultan Al-Harbi, Country Manager of Saudi Airlines in Pakistan, and Dr. Syed Ata-ur-Rehman, Additional Secretary of the Ministry of Religious Affairs and Interfaith Harmony,” the report read.
“This collaboration follows a previous agreement between the Ministry of Religious Affairs and Pakistan International Airlines (PIA), which also pledged travel arrangements for 35,000 pilgrims as part of this year’s Hajj operations.”
The religious affairs ministry has also signed an agreement with the Pakistan’s National Testing Service (NTS), which will hold exams for the selection of supervisors and assistants for next year’s pilgrimage, the ministry said this month.
Pakistan selects hundreds of assistants and doctors from federal and provincial government departments via a competitive process every year to facilitate local pilgrims in performing the rituals of the annual pilgrimage in Saudi Arabia. The ministry said it would “soon” announce the selection through an advertisement.
The Pakistani government approved a new Hajj policy in November.
The cost of next year’s Hajj under the government scheme is expected to range between Rs1,075,000 to Rs1,175,000, while an additional cost for the sacrifice of animals during the pilgrimage will be Rs55,000, according to the ministry.
The first installment of Hajj dues, amounting to Rs200,000, have to be deposited at the time of the application, while the second installment of Rs400,000 will be paid within ten days of the balloting and if your name is picked in the lucky draw. The remaining amount can be paid by Feb. 10 next year.
Pakistan arrests woman among two more human smugglers after deadly Greek shipwreck
- The boat capsize near the Greek island of Gavdos killed at least five Pakistani nationals this month
- The arrests come days after Pakistan PM Shehbaz Sharif ordered a crackdown on human smugglers
ISLAMABAD: Pakistani authorities have arrested a woman among two more human smugglers after a recent boat tragedy off the coast of Greece that killed at least five Pakistanis, the Federal Investigation Agency (FIA) said on Thursday, an intensified crackdown on human smuggling networks.
The arrests come in the wake of the boat capsize this month near the Greek island of Gavdos, which highlighted the perilous journeys many migrants undertake, often driven by conflicts in the Middle East. In the case of Pakistani nationals, economic challenges push many young individuals to attempt dangerous crossings to Europe in search of better financial prospects.
The issue of illegal immigration to Europe came under greater scrutiny in the South Asian country last year when hundreds of migrants, including 262 Pakistanis, who were en route to Greece from Libya, drowned after an overcrowded vessel capsized off the southwestern Greek coastal town of Pylos.
On Thursday, the FIA said it had apprehended suspects, Isha Fatima and Abdullah Shehzad, who were involved in both incidents, in Gujranwala city of Pakistan’s most populous Punjab province, while the agency was conducting raids for the arrest of other human smugglers.
“Female human trafficker Isha Fatima is involved in the Greek boat accident, while proclaimed offender Abdullah Shahzad is involved in the Libya boat accident that occurred in 2023,” it said in a statement.
“Isha Fatima, with the connivance of other accomplices, trafficked one of the Pakistanis from Libya to Greece via boat. The Pakistani national was rescued in the Greek boat accident [this month].”
The woman suspect had received Rs4.5 million ($16,189) from the survivor, according to the investigation agency. The other suspect, Shehzad, had been involved in the 2023 incident that killed more than 250 Pakistani nationals. He had taken Rs2.9 million ($10,433) from each victim for sending them abroad.
The development came days after the FIA said it had apprehended two suspects in Punjab’s Gujranwala and Gujrat, who were involved in this month’s boat capsize.
Pakistan’s Prime Minister Shehbaz Sharif this month called for enhanced cooperation with international agencies, seeking swift action against human trafficking networks. He also instructed the FIA to compile a detailed report on migration-related incidents over the past year and implement an Integrated Border Management System (IBMS) to monitor and prevent illegal movement.
“A crackdown on elements involved in the Greek boat tragedy is underway. All resources are being utilized to arrest the suspects,” Abdul Qadir Qamar, FIA Gujranwala zone director, said on Thursday.
“In the light of solid evidence, the accused will be handed down stern punishment.”
Islamabad vows to extend ‘practical support’ to rehabilitate Palestinian educational institutions
- At least 625,000 children have been denied entire year of school due to Israel’s war on Gaza, says UNICEF
- Pakistan and COMSTECH have partnered to provide fully funded scholarships for hundreds of Palestinians
ISLAMABAD: Pakistan’s Education Minister Dr. Khalid Maqbool Siddiqui on Thursday vowed to extend “practical support” to rehabilitate educational institutions in Palestine, the OIC’s Standing Committee on Scientific and Technological Cooperation (COMSTECH) said.
Israel’s military campaigns in Gaza since Oct. 7, 2023, have killed over 44,000 Palestinians. Israel’s bombardment has dealt a heavy setback for education in the area, and according to a report by UNICEF, 625,000 children have been denied an entire school year in Gaza. With the conflict still ongoing, they face the high risk of a second year without education.
COMSTECH, in collaboration with the Association of Private Sector Universities of Pakistan (APSUP), initiated a program in 2021 offering 500 fully funded scholarships and fellowships to Palestinian students. This number was increased to 5,000 scholarships in 2023. Many Palestinian students have already arrived in Pakistan under this program and are pursuing full-degree programs.
Siddiqui, along with COMSTECH Coordinator General Dr. Muhammad Iqbal Choudhary, visited the Palestinian embassy in Islamabad to discuss matters related to education with Palestinian Ambassador Dr. Zuhair Zaid.
“He [Siddiqui] assured that Pakistan is committed to extending practical support for the rehabilitation of educational institutions in Palestine,” a press release by COMSTECH said.
The Pakistani minister reiterated his government and people’s steadfast support for Palestine, COMSTECH said.
“Sharing insights from his recent visit to Oman, he revealed discussions with educational ministers from other countries about joint actions to assist Palestine in the education sector,” it added.
Siddiqui said he has proposed convening an extraordinary meeting of the education ministers from OIC member countries in Islamabad to devise a “comprehensive long-term plan for supporting Palestine.”
Zaid expressed thanked the government, COMSTECH and people of Pakistan, the OIC body said.
“He acknowledged their steadfast support, emphasizing that these efforts will never be forgotten by the Palestinian people,” the statement said.
Pakistan PM visits Azerbaijan embassy, condoles loss of lives in Kazakhstan plane crash
- At least 38 people were killed when Azerbaijan Airlines passenger plane crashed in Kazakhstan’s Aktau city
- Shehbaz Sharif says ties between Pakistan and Azerbaijan rooted in shared religious and cultural values
ISLAMABAD: Prime Minister Shehbaz Sharif visited Azerbaijan’s embassy in Islamabad on Thursday to condole over the loss of lives in the Azerbaijan Airlines plane crash in Kazakhstan, the Prime Minister’s Office (PMO) said.
At least 38 people were killed when an Azerbaijan Airlines passenger plane with 67 people on board crashed near the Kazakhstan city of Aktau on Wednesday. The Embraer 190 aircraft was en route from the Azerbaijani capital of Baku to the Russian city of Grozny in the North Caucasus.
The Pakistani prime minister visited the Azerbaijan embassy in Islamabad where he met Khazar Farhadov to offer his condolences over the incident.
“In this hour of grief, the government of Pakistan and the people of Pakistan express their complete solidarity with the brothers and sisters of Azerbaijan,” Sharif was quoted as saying by the PMO.
The Pakistani prime minister prayed for the speedy recovery of all injured in the blast.
“Azerbaijan and Pakistan have strong relations of brotherhood based on shared religious and cultural values,” Sharif said.
Pakistan has eyed closer economic cooperation with Central Asian states such as Azerbaijan in recent months as the South Asian nation faces an economic crisis.
During Azerbaijan President Ilham Aliyev’s two-day visit to Pakistan in July, both nations agreed to enhance the volume of bilateral trade to $2 billion, vowing to strengthen ties and increase cooperation in mutually beneficial economic projects.
They also signed the Pakistan-Azerbaijan Preferential Trade Agreement to boost economic cooperation through the reduction of tariffs on goods like Pakistani sports equipment, leather, and pharmaceuticals as well as Azerbaijani oil and gas products.
