ISLAMABAD: Pakistan’s new government plans to tap Middle Eastern commercial banks for financing after securing a new and long-term bailout loan from the International Monetary Fund (IMF) in the coming months, the new finance chief said on Wednesday.
The first order of business for new finance minister Muhammad Aurangzeb will be to seek a fresh Extended Fund Facility (EFF) from the IMF after a current standby arrangement expires on April 11. Pakistan bagged the last-gasp rescue package last summer to avert a sovereign default. The final review this week, if successful, will release a last tranche of around $1.1 billion.
“Once we conclude the [new] Extended Fund Facility, we should be able to approach Middle Eastern banks, which have ended their whole business and appetite, for commercial borrowing and we will be able to get funding and support from them primarily to help us with our trade business, etc.,” Aurangzeb said during an interview with Pakistan’s Geo TV on Wednesday night.
Pakistan has been financially assisted by countries like Saudi Arabia and the United Arab Emirates in the past, with deposits of billions of dollars in its central bank, followed by rollovers.
Gulf states have also regularly provided Pakistan oil on deferred payment facilities and offered direct financial support to help stabilize its economy and shore up its foreign exchange reserves.
Pakistan’s newly appointed finance minister has said he wants to ensure macroeconomic stability and reduce spending and tax system leakages as an IMF team arrived in Islamabad to hold a second and last review of the nation’s $3 billion stand-by arrangement starting today, Thursday.
A set of critical challenges face Aurangzeb, including stabilizing the economy amid soaring inflation and dwindling foreign reserves, managing substantial external debts and navigating negotiations with global lenders. Pakistan also needs fiscal reforms to boost revenue and attract investments, vital for sustainable economic growth and job creation.
The debt-ridden economy, which shrank 0.2 percent last year and is expected to grow around 2 percent this year, has been under extreme stress with low reserves, a balance of payment crisis, inflation at 23 percent, policy interest rates at 22 percent and record local currency depreciation.
“The GDP is better, we have macroeconomic stability and the exchange rate is getting better,” Aurangzeb told Geo. “So we need to bring this macro stability to permanence. If this stability comes toward permeance, we can lead it toward growth.”
The minister said Pakistan had a narrow tax base and needed to reduce revenue leakages, for which it was important to digitize the tax system and make it more transparent.
“This is something we have already started working on,” said the minister, who made his first official visit to the Federal Bureau of Revenue, the national tax collection body, on Wednesday.
On foreign borrowing, the minister said Pakistan needed to improve its economic management to break out of the practice of asking friendly countries to deposit money in its central bank and then seeking rollovers.
“Now even these friendly countries have given us a clear hint that they want to help us but not through aid but through investments,” the finance minister added. “And I think it is the right thing to do for the country.”
Aurangzeb said the government would tap the China bond market in the next fiscal year.
“The one [bond] market that we haven’t tapped is in China,” he said.
“See, our G2G [government-to-government] relationships are good. Their banks are still rolling over and giving aid to us. Chinese government is also helping us.”
“So, the panda market there, the bond market, it’s the second or third most liquid market in the world,” he added. “So I think from the ministry of finance we should go toward inaugural panda bonds during the next fiscal year.”
In February, China rolled over a $2 billion loan to Pakistan due in March.
The lender has said it will formulate a medium-term program if Islamabad applies for one.
Ahead of the current stand-by arrangement, Pakistan had to meet IMF conditions including revising its budget, and raising interest rates and the price of electricity and gas. The IMF also got Pakistan to raise $1.34 billion in new taxes. The measures fueled all-time high inflation of 38 percent year-on-year in May.
The government has not officially stated the size of the additional funding it is seeking through a successor program, but Bloomberg reported in February that Pakistan planned to seek a new loan of at least $6 billion from the lender.
Pakistan says will seek financing from Middle Eastern banks after securing new IMF bailout
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Pakistan says will seek financing from Middle Eastern banks after securing new IMF bailout
- New finance chief hopes better credit ratings post-bailout will make tapping bond markets easier
- Pakistan aims to secure new IMF loan after successful completion of last review under $3 billion facility
Pakistan to unveil Economic Survey 2024-25 on Monday
- The survey will include details about performance and trends of various sectors in outgoing fiscal year
- The survey will be followed by federal budget, which is expected to lay out targets for macroeconomic stability
ISLAMABAD: Pakistan will unveil its Economic Survey 2024-25 tomorrow, Monday, and detail major socio-economic achievements of the outgoing fiscal year, Pakistani state media reported.
The survey will include details about performance and economic trends of various sectors, including agriculture, industry, services, energy, information technology and telecommunications, capital markets, health, education and transport.
Annual trends of major economic indicators regarding inflation, trade and payments, public debt, population, employment, climate change, and social protection will also be part of the survey.
“Finance Minister Muhammad Aurangzeb will release the Economic Survey-2024-25 at a ceremony to be held in Islamabad,” the Radio Pakistan broadcaster reported.
The survey will be followed by the presentation of the national budget. The earlier dates for the announcement of Economic Survey 2024-25 and federal Budget 2025-26 were June 1 and June 2, respectively, but the government extended the dates to June 6 and June 7.
Pakistan is currently bolstered by a $7 billion International Monetary Fund (IMF) program and is navigating a long path to economic recovery. The country’s annual inflation rate rose to 3.5 percent in May, though its macroeconomic outlook has improved in recent months, supported by a stronger current account balance and increased remittances.
The Pakistani government says it remains committed to maintaining macroeconomic stability, accelerating structural reforms, and ensuring that economic growth translates into real and inclusive progress for all citizens.
Earlier this month, Planning Minister Ahsan Iqbal announced the government has allocated Rs1 trillion ($3.5 billion) for development projects in the upcoming budget for fiscal year 2025-26.
Pakistan to face off Myanmar in AFC Asian Cup qualifier on Tuesday
- The Pakistan team arrived in Yangon via private airline flight on Sunday
- Pakistan are placed in Group E alongside Myanmar, Afghanistan, and Syria
ISLAMABAD: Pakistan will face off Myanmar on Tuesday to qualify for the 2027 AFC Asian Cup tournament, the Pakistan Football Federation (PFF) said on Sunday.
The Pakistan team arrived in Yangon via private airline flight on Sunday, according to the PFF. They will train in Yangon on Monday.
“The match between Pakistan and Myanmar will be held at Thuwana Stadium,” it said. “It will start at 3:30 PM according to Pakistani time.”
Pakistan have been training under the supervision of head coach Stephen Constantine in hopes of bouncing back from a 2-0 defeat to Syria in the campaign opener back in March.
Pakistan are placed in Group E alongside Myanmar, Afghanistan, and Syria.
At least five injured as fire engulfs multiple factories in Pakistan’s Karachi
- The city, home to hundreds of thousands of industrial units, has fragile firefighting system and poor safety controls
- In November last year, a blaze erupted at a shopping mall killing around a dozen people and injuring several others
KARACHI: At least five persons were injured after a fire engulfed multiple factories in the southern Pakistani port city of Karachi, Rescue 1122 officials said on Sunday, with efforts underway to douse the blaze.
The fire affected four factories, including YG Textile and MF Roomi Textile, at the Landhi Export Processing Zone, with 11 fire brigade trucks and one snorkel taking part in the firefighting operation.
The operation was facing difficulties due to the intensity of smoke and shortage of water in the city of roughly 20 million people, according to rescue officials.
“Five people were injured after part of an affected building collapsed,” Rescue 1122 spokesperson Hasaan Khan told Arab News. “The injured were shifted to the hospital.”
The Rescue 1122 team is making efforts to control the blaze by utilizing all possible resources, Khan added.
Karachi, Pakistan’s largest city and commercial capital, is home to hundreds of thousands of industrial units and some of the tallest buildings in the South Asian country. The megapolis, known for its fragile firefighting system and poor safety controls, witnesses hundreds of fire incidents annually.
In Nov. last year, a blaze at a shopping mall killed around a dozen people and injured several others. In April 2023, four firefighters died and nearly a dozen others were injured after a blaze erupted at a garment factory, while 10 people were killed in a massive fire at a chemical factory in the city in August 2021.
In the deadliest such incident, 260 people were killed in 2012 after being trapped inside a garment factory when a fire broke out.
Volleyball returns to Azad Kashmir border village as fragile India-Pakistan ceasefire holds
- As guns fall silent in Battal sector, youth return to riverside ground with message of peace, memories of fallen friend
- Anwar Taskeen, 17-year-old student and regular at the matches, was killed in shelling hours before May 10 ceasefire
Battal Sector, Azad Kashmir: On a dusty, uneven patch of ground beside the Poonch River, the rhythmic thud of a volleyball hitting palms and sand rose above the late afternoon quiet.
It’s a familiar sound in the border village of Jhawara, located in the Poonch district of Azad Kashmir, the part of the disputed Himalayan region of Kashmir that is governed by Pakistan. But until recently, it had fallen silent under the roar of artillery and gunfire.
Just weeks ago, the area bore the brunt of intense cross-border shelling between India and Pakistan. The Line of Control (LoC), a jagged and heavily militarized de facto boundary slicing through the disputed region, once again became a flashpoint for conflict, forcing families into hiding and pausing everyday joys like this daily volleyball match.
Now, with a tenuous ceasefire in place since May 10 — brokered with help from Washington — the boys are back on the field.
For them, the return to play is more than a pastime. It’s an act of defiance, remembrance, and quiet hope.
“There has been firing here before but now it doesn’t feel scary,” said Hamid Fareed, 18, as he waited to serve. “There is a ceasefire in place now, which is why we play with peace of mind. Before, when there used to be firing, we didn’t play here.”
The Battal sector, situated at one of the most sensitive stretches of the LoC, was at the heart of last month’s escalation, with the shelling so heavy residents were forced to evacuate, and even the simple joy of a volleyball match became too dangerous to risk.
Among those displaced were the families of the boys who now fill the field each evening from 4pm until the sunset maghrib prayer. Many had sought shelter with relatives in safer villages farther from the border during the latest fighting. Others, like Fareed, stayed behind but refrained from venturing out unnecessarily.
The violence still didn’t spare the players. Anwar Taskeen, a 17-year-old student and regular at the matches, was killed in shelling on his home just hours before the ceasefire was announced.
“Our brother who got martyred [on May 10, 2025] used to play volleyball with us,” said Muhammad Nawaz, one of Anwar’s closest friends. “He used to come every day.”
“When they [Indian forces] fire, they target civilians and army posts as well,” he added.
SYMBOL OF NORMALCY
Now that calm has returned, at least for the moment, the boys are determined to reclaim the ground and the normalcy it represents. Most days, they split into two teams of six, playing until darkness falls. Laughter, shouts, and the squeak of rubber slippers on hard soil fill the air.
But the volleyball field isn’t just a space for play. It’s also a space of memory.
Taskeen’s absence lingers. So too does the knowledge that peace here is often fleeting.
“There are beautiful places on that side, people should get to enjoy them. And people from there should be able to come here,” said Abdul Hannan, another student who recently completed his intermediate studies.
“Many people there [Indian-administered], in Jammu and Kashmir, play as well,” Hannan added. “We watch their videos to gain skills. They are playing better than us. We also get motivated by watching them.”
The boys recalled that some former players who used to compete on this very field had now moved abroad in search of better opportunities. From afar, many continued to support the volleyball tradition, pooling together funds to help maintain the ground.
Their latest contribution helped install a protective net, now in place for six to seven years, which keeps the ball from rolling into the river and drifting downstream toward the Indian side.
“WE JUST WANT PEACE”
The Poonch River marks both a border and a lifeline for the region. On hot days, the boys often dive into its cool waters to beat the heat, even as Indian army posts watch from across the bank.
That same river has seen far more than games but carried the sounds of shelling, the cries of displaced families, and now, the echoes of a volleyball match played in the name of peace.
During Ramadan and other special occasions, the field hosts semi-annual tournaments. Teams travel from neighboring towns and villages to compete, a reminder that even in a conflict zone, community and competition endure.
“When there is peace, we can play. That’s all we want,” Fareed saiid.
India and Pakistan have long shared a contentious relationship over Kashmir, with flare-ups along the LoC occurring frequently despite periodic agreements. The current ceasefire too is fragile, its future uncertain. But on this side of the Poonch River, young players are daring to imagine something more permanent — not through diplomacy, but through volleyball, through shared videos, playful rivalries, and quiet tributes to friends lost. And through simple, hopeful wishes — that one day, the people of Kashmir might cross the border not as enemies, but as guests.
“We just want peace,” Hannan repeated softly. “That’s all we’ve ever wanted.”
Pakistan-origin Mahnoor Qazi wins James Baldwin award for fiction
- The James Baldwin Award for Fiction is one of six creative writing awards given by Penguin Random House
- Qazi, whose entry ‘Eternity’ won $10,000 prize, aims to connect literature with the deepest human emotions
ISLAMABAD: Mahnoor Qazi, a Pakistani-origin high school student in the US state of California, has won the inaugural James Baldwin Award for Fiction, the organizers announced this week.
The James Baldwin Award for Fiction is one of six creative writing awards given by Penguin Random House, touted as the world’s largest trade book publisher, as part of their signature Creative Writing Awards (CWA) program. The award is named after Baldwin, a novelist, essayist, playwright, poet and critic.
Qazi, an aspiring writer who attends Golden Valley High School in California, is dedicated to connecting the art of literature with the deepest human emotions. Her entry ‘Eternity’ won the first-place prize of $10,000.
“As his niece, it has been an honor to select the recipient of the James Baldwin Award for fiction. Traveling the creative landscape of students with insightful narrative voices has been inspiring,” Baldwin’s niece Darlene Burnett said.
“They continue to demonstrate that the power of words can inform minds, fuel the imagination, and construct narratives that compel us to read and to feel. They are the literary architects of the future.”
Other categories included the Freedom of Expression Award, Michelle Obama Award for Memoir, the Amanda Gorman Award for Poetry, and the Maya Angelou Award for Spoken Word.
Since 1993, the Penguin Random House CWA program has awarded more than $2.9 million to public high school students for their original compositions.
In addition to scholarships, the publisher hosts a virtual development week for the CWA winners each summer that includes networking workshops, a panel about career opportunities in publishing, and fireside chats with Penguin Random House authors.
