KARACHI: President Donald Trump’s nomination of an Indian-origin security expert, Paul Kapur, as the United States (US) assistant secretary of state for South Asian affairs could bring “renewed challenges” for Pakistan, but there would be no significant shift in the already restrained US policy toward Islamabad, analysts said on Saturday.
Pakistan and the US collaborated during the Cold War and in the fight against Al-Qaeda after 9/11, yet their relationship was also tested by divergent priorities on various issues. In recent years, Washington and Islamabad’s ties deteriorated as the former suspected the latter of supporting the Taliban in their 2021 takeover of Kabul, allegations which Islamabad rejected. Tensions rose further in 2022 when former Pakistan premier Imran Khan accused the Joe Biden administration of orchestrating his ouster via a parliamentary vote, a charge the US denied.
Kapur, who will succeed Donald Lu upon Senate confirmation, has long advocated for a closer US-India partnership and has been critical of Pakistan’s security policies. His appointment reflects a broader bipartisan consensus in Washington on prioritizing India as a key strategic partner, particularly in the Indo-Pacific.
Political analysts and foreign policy experts believe that while Kapur’s nomination underscores continuity in Washington’s South Asia approach, its policy positions suggest a “tougher stance toward Pakistan.”
“There is a growing bipartisan consensus in Washington on strengthening the US-India strategic partnership. Several Trump appointees, including Kapur, are advocates of a deeper relationship between both countries,” said Syed Hassan Akbar, a senior foreign policy specialist.
“How this reflects in policy will shape US-Pakistan relations going forward. But given the realities of our region we should not expect any significant departure in US policy toward Islamabad, which has been restrained ever since the US withdrawal from Afghanistan.”
Kapur is President Trump’s third top pick among Indian-origin Americans after Tulsi Gabbard and Kash Patel, who both have already been cleared by the US Senate as director of National Intelligence and head of the Federal Bureau of Investigation (FBI).
Akbar pointed out that Kapur has previously argued against US security assistance to Pakistan, saying that it would be perceived negatively in New Delhi and instead calling for a continued dialogue and limited economic engagement between Washington and Islamabad.
Abdul Basit, a former Pakistani high commissioner to India, echoed the concerns and said that Kapur’s appointment would likely increase pressure on Pakistan at an operational level even as the broader strategic dynamics remain unchanged.
“This is a strategic decision by the United States, and both Democrats and Republicans are committed to strengthening their partnership with India,” Basit said.
“But operationally, we will feel the impact.”
Pakistan’s diplomatic position remains weak due to a lack of economic leverage and a struggling diaspora engagement, according to Basit.
“Pakistan is not viewed as strategically significant, except in negative contexts such as terrorism, nuclear proliferation, and Afghanistan,” he said.
“Our embassy faces limitations and unless we mobilize Pakistani-Americans effectively, improving our diplomatic presence will be difficult.”
He stressed the importance of political stability in Pakistan, arguing that “unpredictability weakens foreign policy.”
“Political stability is crucial, predictability and consistency are key. Without it, the country will not be strong internally, and foreign policy will suffer as all these factors are interconnected,” the former diplomat said.
While Islamabad has exercised caution in commenting on Trump’s seemingly anti-Pakistan appointments, Syed Zulfikar Abbas Bukhari, a key figure in the Pakistan Tehreek-e-Insaf (PTI) opposition party, called Kapur’s nomination an “internal” US bureaucratic matter.
He, however, welcomed the departure of Donald Lu, whom PTI founder and former Pakistan prime minister Imran Khan had accused of orchestrating his removal from power via a parliamentary no-trust vote in 2022.
“This is the US’s internal matter of bureaucratic changes. It’s a welcome change as whatever Mr. Donald Lu touched, he destroyed. A lot of the unrest in the subcontinent is due to him,” Bukhari added.
Christopher Clary, an associate professor of political science at the US University at Albany, highlighted Kapur’s longstanding academic focus on Pakistan, noting that Trump’s South Asia envoy pick had portrayed Pakistan as a “uniquely dangerous state” due to its strategic choices.
“Kapur likely will be more skeptical of Pakistan than any previous incumbent of that office,” Clary wrote on X. “He has been involved for many years in exploring opportunities for US-India cooperation, but his academic work has had a greater Pakistan emphasis.”
With Kapur in the key position, analysts expect the US to continue its policy of limited engagement with Pakistan, while focusing on strategic alignment with India.
Akbar suggested Pakistan to prioritize its economic growth and regional stability to navigate the evolving geopolitical landscape.
“Pakistan’s focus should be on improving its economy and addressing challenges in our immediate neighborhood while ensuring that, at a minimum, crisis management mechanisms continue to operate with Washington,” he said.
Basit, meanwhile, said Pakistan must make proactive efforts to strengthen its diplomatic position.
“Unless we take serious steps to bring political stability at home and mobilize our diaspora in the US, we will have to face challenges in ties with America,” he said.
US President Trump’s South Asia envoy pick signals ‘renewed challenges’ for Pakistan — analysts
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US President Trump’s South Asia envoy pick signals ‘renewed challenges’ for Pakistan — analysts

- Paul Kapur, Trump nominee for assistant secretary of state for South Asia, has been a vocal critic of Pakistan’s policies
- While Islamabad has not commented on the nomination, member of jailed ex-PM Imran Khan’s party calls it ‘welcome change’
Islamabad expresses solidarity with Myanmar, Thailand after earthquake kills over 150

- The shallow 7.7-magnitude tremor hit Myanmar’s Sagaing on Friday afternoon and was followed minutes later by a 6.4-magnitude aftershock
- The quake flattened buildings, downed bridges, and cracked roads across swathes of Myanmar, demolished a 30-story skyscraper in Bangkok
ISLAMABAD: Pakistan on Friday expressed solidarity with Myanmar and Thailand after a powerful earthquake killed more than 150 people and injured hundreds in the two Southeast Asian countries.
The shallow 7.7-magnitude tremor hit northwest of the city of Sagaing in central Myanmar in the early afternoon, and was followed minutes later by a 6.4-magnitude aftershock.
The quake flattened buildings, downed bridges, and cracked roads across swathes of Myanmar, and even demolished a 30-story skyscraper under construction hundreds of kilometers (miles) away in Bangkok.
The Foreign Office in Islamabad said the Pakistani people were saddened by the heartbreaking news of the devastating earthquake and their thoughts were with everyone impacted by this tragedy.
“We applaud the courageous individuals and emergency responders who are working diligently on the ground to deliver rescue and relief efforts. Their bravery and commitment during this urgent time are truly admirable,” it said.
“We express our solidarity with the governments and communities affected during this challenging period. May strength and resilience lead those impacted toward healing and recovery.”
While the full extent of the catastrophe is yet to emerge, the leader of isolated Myanmar, in the grip of a civil war, issued a rare plea for international aid.
Junta chief Min Aung Hlaing said 144 people had been killed, with 732 confirmed injured, but warned the toll was “likely to rise.” Eight deaths have been confirmed so far in Thailand, with more expected.
“In some places, some buildings collapsed,” he said in a televised speech. “I would like to invite any country, any organization, or anyone in Myanmar to come and help. Thank you.”
Across the border in Thailand, a 30-story skyscraper under construction collapsed to a tangled heap of rubble and dust in a matter of seconds.
Interior Minister Anutin Charnvirakul said eight dead bodies have been recovered and, with between 90 and 110 people unaccounted for, the toll is expected to rise.
“We see several dead bodies under the rubble. We will take time to bring the bodies out to avoid any further collapses,” he told reporters.
Earthquakes are relatively common in Myanmar, where six strong quakes of 7.0 magnitude or more struck between 1930 and 1956 near the Sagaing Fault, which runs north to south through the center of the country, according to the United States Geological Survey (USGS).
A powerful 6.8-magnitude earthquake in the ancient capital Bagan in central Myanmar killed three people in 2016, also toppling spires and crumbling temple walls at the tourist destination.
Pakistan PM calls for national unity to tackle militancy, economic issues

- The statement comes amid Pakistan’s efforts for economic recovery under a $7 billion IMF bailout program
- The country is also battling twin insurgencies in its western provinces of Khyber Pakhtunkhwa and Balochistan
ISLAMABAD: Prime Minister Shehbaz Sharif on Friday called for unity and harmony in the society to eradicate militancy and address the country’s economic issues.
The prime minister said this while addressing a National Youth and Ulema Convention in connection with Jumatul Wida in the federal capital of Islamabad.
The statement came amid the South Asian country’s efforts to recover from an economic meltdown under a $7 billion International Monetary Fund (IMF) bailout program secured last year.
Pakistan is also battling twin insurgencies: one led my religiously motivated groups, mainly the Tehreek-e-Taliban Pakistan (TTP), in Khyber Pakhtunkhwa and the other by ethno-nationalist Baloch separatist groups in Balochistan.
“Unfortunately, the society is being poisoned by disinformation and propaganda,” Sharif said. “We have a chance today as well to place our personal wishes and ego beneath Pakistan.”
According to the 2025 Global Terrorism Index (GTI), Pakistan is now the world’s second-most affected country by militant violence, with deaths rising 45 percent to 1,081 in 2024.
The 12th annual GTI report, published by Australian-based think tank Institute for Economics and Peace, ranked 163 countries in 2024, covering 99.7 percent of the world’s population and analyzing the impact of militant activities worldwide. Pakistan is second only to West African country Burkina Faso on the list.
Sharif emphasized that people from all walks of life, especially religious scholars, have the responsibility to play their role in ending internal divisions based on religious and ethnic divides.
“We have treasures worth billions present in our mountains,” he said. “Pakistan did not come into being so that we keep taking loans and live a life in debt.”
Sharif underscored the importance of setting aside personal desires and egos in the best interest of Pakistan, saying that Pakistan’s armed forces were making unparalleled sacrifices in the fight against militancy.
He urged the attendees to forge national unity, calling it the “only path to achieving a respectable position in the comity of nations.”
Mobile banking, e-wallets drive 12% growth in Pakistan digital payments

- Pakistan, home to one of the world’s largest unbanked populations, has undertaken several reforms to document and digitize economy
- Retail transactions witnessed an 11% increase in volume from Oct. till Dec. 2024, with digital channels processing 88% of transactions
KARACHI: Pakistan witnessed a growth of 12% in the volume of retail digital payment transactions from Oct. till Dec. 2024 on a year-on-year basis, the Pakistani central bank said, attributing it to the largescale use of mobile banking and e-wallet services.
Retail transactions witnessed an 11% increase in volume, reaching 2,143 million, while the value of transactions increased by 12% to Rs154 trillion, according to the State Bank of Pakistan (SBP).
The growth in value was primarily driven by mobile banking app payments, and Internet banking payments, and over-the-counter (OTC) transactions at bank branches.
“Digital payment channels processed 88% of all retail transactions by volume, with mobile app-based banking playing a crucial role,” the SBP said in its quarterly report issued on Friday.
“These platforms which includes mobile banking apps, branchless banking (BB) wallets, and e-Money wallets, collectively processed 1,450 million transactions worth PKR 24 trillion, marking a 12% increase in volume and 28% increase in value.”
Pakistan, with a population of 240 million, is home to one of the world’s largest unbanked populations, with around 64% of its adult population having a bank account, according to central bank figures. The South Asian country has lately undertaken several reforms to document and digitize economy and broaden its tax base.
The number of users leveraging digital banking services also saw a steady rise in the second quarter of this fiscal year, according to the SBP.
“Mobile banking app users grew to 21 million (↑7%), e-Money and BB wallet users increased to 4.7 million (↑13%) and 64.3 million (↑7%) respectively, while Internet banking users reached 13.3 million (↑7%),” it said.
Digital e-commerce transactions increased by 30% in volume to 152 million, amounting Rs193 billion, up by 32%, according to central bank figures.
The SBP-operated Raast Instant Payment System processed 296 million transactions, while the Real-time Gross Settlement System (RTGS) registered a 19% increase in large-value transactions.
The central bank said Pakistan’s transition toward a digital economy was being driven by the SBP’s strategic initiatives and collaborative efforts of banks, fintechs, and payment service providers, and it was committed to further fostering financial inclusion and enhancing payment efficiency for individuals and businesses.
Top journalist body condemns ‘illegal visit’ of Pakistani journalists to Israel

- Israeli media reported a 10-member Pakistani delegation this month visited Israel for a week
- Karachi Press Club calls the visit an ‘effort to whitewash Israeli crimes,’ demands investigation
KARACHI: A top Pakistani journalist body on Friday condemned a recent visit by a group of local journalists and researchers to Israel, calling it an “effort to whitewash Israeli war crimes against Palestinians.”
A 10-member Pakistani delegation of journalists, intellectuals and influencers this month visited Israel for a week to learn about the Holocaust and the October 7, 2023 attacks by Hamas, according to Israeli media.
Pakistan does not have diplomatic relations with Israel and has consistently called for an independent Palestinian state based on “internationally agreed parameters” and pre-1967 borders.
In a statement on Friday, the Karachi Press Club's (KPC) joint action committee, which represents multiple journalist unions, said the Pakistani journalists who undertook the visit do not represent the “broader media community of Pakistan.”
“We stand firm in our unwavering support for the Palestinian cause and denounce any attempt to normalize relations with a regime engaged in systematic ethnic cleansing,” the committee said in a joint statement, citing KPC President Fazil Jamili.
“The journalists in Pakistan have always been at the forefront of highlighting the suffering of oppressed people, and we will not tolerate any actions that undermine this solidarity.”
Israel Hayom, a Hebrew-language Israeli newspaper, reported the Pakistani journalists and researchers, including two women, arrived in Israel this month and carried passports declaring their invalidity for travel to Israel.
“Despite this, they bravely accepted an invitation from Sharaka, an organization working to strengthen relations between Israel and South Asian countries,” the report said. “To protect the delegation members, their passports were not stamped, and publication of their visit was delayed until they returned safely home.”
In response to media reports about the visit, the Foreign Office in Islamabad said Pakistan’s position on Israel “remains unchanged.”
“Pakistani passports explicitly state they are ‘not valid for travel to Israel’,” it said.
“Pakistan does not recognize Israel and steadfastly supports the legitimate rights of the Palestinian people, including the establishment of an independent and sovereign Palestinian state based on pre-1967 borders.”
The KPC committee lamented that the visit, which occurred at a time when over 150 journalists have been killed by Israeli forces for exposing the truth, amounted to “complicity in Israel’s war crimes and genocide against the Palestinian people.”
It called for an immediate investigation into how these individuals were able to visit Israel.
Pakistan among top countries for crypto adoption with 20 million users — adviser

- Pakistan Crypto Council set up this year to set regulatory guidelines for adoption, lure foreign investment
- Cryptocurrencies including bitcoin are not officially regulated in Pakistan but are not illegal or banned
ISLAMABAD: Pakistan is among the top countries in the world for crypto adoption, with around 20 million users, Pakistan Crypto Council (PCC) Chief Executive Officer Bilal Bin Saqib said on Friday.
The PCC, established by the government earlier this month, aims to create a legal framework for cryptocurrency trading in a bid to lure international investment. Cryptocurrencies including bitcoin are not officially regulated in Pakistan but are also not illegal or banned. As of Jan. 16, 2021, the State Bank of Pakistan has not authorized any individuals or organizations to carry out the sale, purchase, exchange, and investment of virtual currencies, coins, and tokens.
“Around 20 million crypto users are in Pakistan,” Saqib said during a talk show on Geo News. “We are coming on number three and four globally and there are many blockchain technology opportunities in Pakistan.”
Explaining the role of the PCC, Saqib said it would create a regulatory framework for crypto-related activities in Pakistan, including exchanges and licensing, and ensure a secure environment to protect Pakistanis from potential losses.
“Globally 0.24 percent cryptocurrency transactions are used for wrong things,” he said. “We want to use this technology for other things like real estate, agriculture and to unlock their liquidity.”
Saqib refrained from providing a timeline for when crypto would be legalized in Pakistan.
Speaking to Bloomberg earlier this month, Bilal, recognized by Forbes as a Web3 investor and blockchain strategist, highlighted that Pakistan offered one of the lowest operating costs for crypto businesses, making it a more cost-effective alternative to hubs like Dubai and Singapore.
He said regulatory sandboxes were being developed to create fast-track systems for crypto startups, enabling them to operate within a controlled and compliant environment.
Pakistan is also engaging with the UAE to learn from its regulatory model and is working closely with Nigeria and Turkiye on policy development, he told Bloomberg.
Regarding taxation, Bilal has said the government intended to implement a “balanced pro-growth tax structure” to encourage foreign investment in the sector.
He emphasized that cryptocurrency could significantly boost Pakistan’s fintech sector, positioning the country as a regional leader in digital finance.