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High-level Pakistan delegation to visit US ‘shortly’ to address trade imbalance, finmin says

High-level Pakistan delegation to visit US ‘shortly’ to address trade imbalance, finmin says
In this handout photo, released by Pakistan’s Finance Ministry on April 26, 2025, senior representatives of the United States Export-Import Bank (EXIM), led by Vice Chairman Jim Barrows (3L), gesture during the meeting with Pakistan Finance Minister Muhammad Aurangzeb (not pictured) in Washington, on the sidelines of the IMF–World Bank Spring Meetings. (Photo courtesy: Handout/Finance Ministry)
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Updated 26 April 2025

High-level Pakistan delegation to visit US ‘shortly’ to address trade imbalance, finmin says

High-level Pakistan delegation to visit US ‘shortly’ to address trade imbalance, finmin says
  • The development comes as the South Asian country mulls options to offset a trade imbalance that has triggered higher tariffs from Washington
  • The US is Pakistan’s largest export market with over $5 bln annual exports as of 2024, while Pakistan’s imports from the US are about $2.1 bln

KARACHI: A high-level Pakistani delegation will “shortly” visit the United States to address trade imbalance between the two countries, Pakistani Finance Minister Muhammad Aurangzeb said on Friday.
The statement came after Aurangzeb’s meeting with Thomas Lersten, a senior State Department Official for economic growth, energy and environment, in Washington, on the sidelines of the International Monetary Fund-World Bank spring meetings.
The development comes as Islamabad mulls options, which range from importing crude oil from the US to abolishing tariffs on American imports, to offset a trade imbalance that has triggered higher tariffs from Washington.
In his meeting with Lersten, Aurangzeb thanked the United States for the participation of a well-represented US delegation in a minerals summit held in Pakistan this month, according to the Pakistani finance ministry.
“He expressed Pakistan’s desire to engage constructively to address the trade imbalance between the two countries and informed that a high-level trade and investment delegation was expected to visit the United States shortly to explore avenues of mutually rewarding economic engagement,” the ministry said.




This handout photo, released by Pakistan’s Finance Ministry on April 26, 2025, shows officials from Pakistan (right) and senior representatives of the United States Export-Import Bank (left) during a meeting in Washington, on the sidelines of the IMF–World Bank Spring Meetings. (Photo courtesy Handout/Finance Ministry)

Pakistan is looking to buy more cotton and soybean from the US, while it is also in talks to tear down non-trade barriers to open its markets to more US products.
“We can also look at if there are any issues with respect to non-tariff discussion, whether there are any onerous inspections at our end for US products, we can obviously view that,” Aurangzeb told Bloomberg this week.
Islamabad is trying to appease the US to seek reprieve from the 29 percent reciprocal tariffs imposed by Trump. Those levies are on hold until July.
The US is Pakistan’s largest export market with over $5 billion in annual exports as of 2024, while Pakistan’s imports from the US are about $2.1 billion.
Aurangzeb also held a meeting with senior representatives of the US Export-Import Bank (EXIM), led by its Vice Chairman Jim Barrows, according to his ministry. The finance minister briefed the EXIM delegation on Pakistan’s improving macroeconomic fundamentals and the fiscal consolidation measures undertaken by the government.
“He called for the EXIM Bank’s enhanced support to facilitate greater US investment in Pakistan,” the finance minister said.
“Senator Aurangzeb further expressed Pakistan’s desire to engage constructively with the United States to address tariff-related issues and strengthen bilateral trade relations.”
Authorities are trying to rebuild Pakistan’s tattered economy after it came close to a default in 2023. The South Asian nation last year secured a 37-month, $7 billion IMF program to help stabilize the $350 billion South Asian economy.
This month, Fitch upgraded Pakistan’s credit rating, citing confidence that the South Asian country will be able to sustain reforms under the IMF loan program.


Experts raise alarm as Shanghai Electric terminates $1.8 billion deal to acquire Pakistan’s K-Electric

Experts raise alarm as Shanghai Electric terminates $1.8 billion deal to acquire Pakistan’s K-Electric
Updated 6 sec ago

Experts raise alarm as Shanghai Electric terminates $1.8 billion deal to acquire Pakistan’s K-Electric

Experts raise alarm as Shanghai Electric terminates $1.8 billion deal to acquire Pakistan’s K-Electric
  • Chinese power company cites K-Electric’s failure to meet conditions, changes in Pakistan’s business environment for terminating deal
  • Analysts say the development reflects “several bottlenecks and red tape” foreign investors have to suffer to acquire assets in Pakistan

KARACHI: Experts expressed concern on Thursday over Shanghai Electric Power Company’s (SEPC) decision to terminate its $1.8 billion deal to acquire majority shares in Pakistan’s K-Electric (KE), citing the power utility company’s failure to meet conditions and Pakistan’s changing business environment.

SEPC has been in talks to acquire a stake in KE since 2016, delayed due to regulatory approvals and liquidity constraints as a consequence of mounting circular debt plaguing the country’s power sector. The government of Pakistan owns a 24.4 percent stake in KE, which powers the country’s largest city and commercial hub of Karachi.

As per the agreement, SEPC was to acquire 66.4 percent or 18.3 billion shares in KE, which is Pakistan’s largest private utility company, for $1.77 billion and an additional $27 million incentive payment, depending on KE’s operating performance.

SEPC’s decision to terminate the agreement was taken by its board during its Sept. 9 meeting and was notified to shareholders on the Shanghai Stock Exchange (SSE) the following day. The decision remains subject to review by shareholders.

“The counterparty has consistently failed to meet the closing conditions precedent, and changes in Pakistan’s business environment have resulted in this transaction no longer being aligned with the company’s international development strategy,” the SEPC said in its filing at the SSE.

“After careful research and analysis, and in order to safeguard the interests of the company and all shareholders, the company has decided to terminate this major asset purchase,” it added.

KE spokesperson Imran Rana, meanwhile, refused to comment on the development when approached by Arab News. Zafar Yab Khan, a spokesman at the energy ministry’s Power Division, said only KE could comment on the matter since it was a “privatized entity.”

KE, whose shares were one of the most traded ones on the Pakistan Stock Exchange (PSX) in recent days, declined in price by 3.6 percent to Rs5.54 per share since Sept. 10.

Recalling Pakistan’s changing regulatory landscape, SEPC said KE’s profitability and equity value had been significantly reduced in July 2018 after Pakistan’s National Electric Power Regulatory Authority (NEPRA) announced a “reconsidered” multi-year electricity price mechanism.

 The two parties had to re-evaluate and adjust the transaction price. In 2019, after completing supplementary due diligence on various professional aspects and adjusting the financial model, SEPC submitted an updated non-binding offer to KE, which it did not accept.

“Since 2020, the company has been conducting supplementary technical, financial, and tax due diligence in accordance with project needs and continuously monitoring project progress,” the SEPC said.

‘OPPORTUNITY LOST’

Khaqan Najeeb, Pakistan’s former finance adviser, said the government’s priority should be to strengthen the country’s regulatory frameworks, streamline approvals, and build confidence in dispute resolution.

Improving these fundamentals will matter far more in the long run than any one transaction, he told Arab News.

“Large investment decisions being scrapped naturally raise concerns about a country’s ability to attract and retain foreign investment,” Najeeb said.

Najeeb said that while individual cases might have their own dynamics, they highlight the broader issue that “investors look not just at opportunities, but also at predictability and clarity in local processes.”

Muhammad Saad Ali, an energy analyst at Lucky Investments Ltd., said Chinese investors pulling out from Pakistan was a “negative for FDI (foreign direct investment) as [it] shows the several bottlenecks and red tape foreign direct investors have to bear to acquire an asset in Pakistan.”

Pakistan’s government has been actively trying to secure FDI over the past several months. However, it has only managed to attract $3 billion in the last two decades, according to Pakistan’s central bank.

“(It is a) lost opportunity for Pakistan as it could have learnt a lot from a power behemoth from China,” Ali said.

Ali noted the SEPC decision would also dampen the hopes of KE’s minority shareholders, “who have been hoping for this acquisition to unlock value in the stock.”


Pakistan says has filled 179,210 Hajj slots in 2026 after last year’s shortfall

Pakistan says has filled 179,210 Hajj slots in 2026 after last year’s shortfall
Updated 11 September 2025

Pakistan says has filled 179,210 Hajj slots in 2026 after last year’s shortfall

Pakistan says has filled 179,210 Hajj slots in 2026 after last year’s shortfall
  • Pakistan has allocated quota of 120,000 Hajj pilgrims for government scheme, rest for private tour operators
  • Around 63,000 Pakistani pilgrims were unable to perform the pilgrimage under the private scheme last year

ISLAMABAD: Pakistan has filled its entire quota of 179,210 Hajj pilgrims under both the government and private schemes, the religious affairs minister said on Thursday, disclosing that negotiations are underway with Saudi companies to finalize transport and accommodation arrangements.

Similar to last year, Pakistan has been allocated a quota of 179,210 pilgrims for Hajj 2026. Out of these, around 120,000 seats have been allocated under the government scheme and the rest to private tour operators.

“We have now completed the Hajj applications with the entire quota utilized and the first installment of dues also submitted,” Religious Affairs Minister Sardar Muhammad Yousuf told Arab News.

The minister was speaking to Arab News at the sidelines of a pre-launch event for a Hajj and Umrah exhibition in Islamabad, which will take place from Oct. 24-26 in Islamabad.

“All preparations have been finalized and a procurement committee has been formed to sign agreements with Saudi companies for transportation, accommodation, and other arrangements,” Yousuf said. “And their work has already started.”

The minister said many people were still inquiring about the government scheme quota, saying they were unable to apply in time. Yousuf said the ministry would accommodate them on a case-by-case basis, provided any pilgrims drop out.

He added that the private sector has also completed its quota of 60,000 Hajj pilgrims.

“Thus, next year Pakistan will fully utilize its total quota of 179,210 pilgrims,” the minister said.

Last year, around 63,000 Pakistani pilgrims were unable to perform Hajj under the private scheme due to delays in payments and mismanagement by private Hajj operators.

As a result, Islamabad was forced to surrender these slots to Ƶ.

Yousaf said the government had taken serious action over the matter, saying this led to a reduction in the Hajj pilgrims’ quota for private tour operators this year.

He said earlier, the quota for Hajj pilgrims under government and private schemes was kept allocated at 50 percent each. The quota for private tour operators now has been slashed to 33 percent while the government has been allocated a share of 67 percent.

“Through this, the cabinet has sent a warning that since performance was unsatisfactory, their [private Hajj operators] quota has been reduced by 30,000— from almost 90,000 to 60,000,” Yousuf said.

He said the ministry would review performances of private tour operators this year and future quotas would be decided accordingly.

Yousuf spoke about the Munazzam system adopted by Pakistan, which refers to clustering private Hajj operators into larger groups to meet Ƶ’s regulatory requirements.

“Last year there were 41 clusters which have now been reduced to 25 this year,” he said.

Under the Kingdom’s rules, only companies handling a minimum of 2,000 pilgrims can directly operate Hajj services. Since most Pakistani private Hajj operators are small and don’t individually meet this threshold, they are grouped together into clusters called Munazzam.

‘STRICT ACTION’ AGAINST BEGGARS

Yousuf said the government is working hard to reduce Hajj expenses, adding that the early completion of procedures would help to achieve this.

Under the government scheme, pilgrims can choose between a long Hajj package (38-42 days) and a short package (20-25 days). Costs range between Rs1,150,000 and Rs1,250,000 ($4,050–4,236).

Applicants were required to deposit the first installment of Rs500,000 [$1764] or Rs550,000 [$1941], depending on the package. The remaining dues will be collected in November.

Yousuf said the ministry has established a separate wing to take control of Umrah operations, according to the Hajj and Umrah (Regulation) Act, 2024.

“I met with the tour operators this morning as we are going to implement this act soon, and work is already underway as modalities are being finalized and registration of the Umrah tour operators is underway,” he said.

Yousuf acknowledged that previously, some Umrah pilgrims went to perform the pilgrimage but were found begging and involved in similar activities, bringing a bad name to Pakistan.

He said the Saudi government has been very strict about begging and sent letters to all countries, urging them to strengthen their systems to prevent the illegal practice.

“It was a mafia-like network, and we have now strictly prohibited it and strict action will be taken against anyone found involved in such practices,” Yousuf said.


Pakistan police arrest suspect, launch probe into triple murder of Karachi women

Pakistan police arrest suspect, launch probe into triple murder of Karachi women
Updated 11 September 2025

Pakistan police arrest suspect, launch probe into triple murder of Karachi women

Pakistan police arrest suspect, launch probe into triple murder of Karachi women
  • Police say initial investigations reveal maternal uncle stabbed women to death over domestic dispute
  • Sindh Home Minister expresses sorrow over the triple murder, vows to punish culprit behind the killings

KARACHI: Pakistani police said they had arrested a suspect who had brutally stabbed to death three women and injured two others on Thursday, launching a probe into the murders.

According to details shared by police, the murders took place in Karachi’s Bhittai Abad Colony in the city’s Gulistan-e-Jauhar area. The murdered women have been identified as Aashi, Tania, and Nina, while the three persons injured in the incident were identified as Ajay Ram, Priya, and Nandini.

Senior Superintendent of Police Dr. Abdul Khalique Pirzada said preliminary investigations revealed the murder took place due to a domestic dispute and were committed by Ram, who was the uncle of two of the victims. Police said the bodies were sent to the Jinnah Hospital for post-mortem, while the injured have also been shifted there for treatment.

“According to initial investigations, the injured child and woman stated that their maternal uncle, Ajay Ram, attacked the women with a knife, killing them,” a spokesperson of the Malir Cantonment Police, under whose jurisdiction the murders were committed, said in a statement.

According to Pirzada, Ram was taken into police custody in an injured condition as he tried to take his life after carrying out the killings. He is being treated at the hospital as well.

“Malir Cantt Police are carrying out further legal proceedings as per law,” the spokesperson said.

Meanwhile, Sindh Home Minister Zia ul Hasan Lanjar sought a detailed report of the incident from Pirzada, expressing sorrow over the incident.

“The motives behind the incident should be brought to light immediately,” Lanjar was quoted as saying, according to the Sindh Home Department.

He directed police to carry out a transparent inquiry into the incident.

Domestic violence remains a prevalent issue in Pakistan, where many cases go unreported due to social stigma attached with it and a lack of resources for victims.

The Sindh Suhai Sath Organization, a local non-government organization, reported in October 2024 that 165 women were killed in Pakistan’s southern Sindh province in 2023, with the actual number of such cases likely to be much higher.


US multinational Chevron to set up $30 million lubricants blending plant in Pakistan

US multinational Chevron to set up $30 million lubricants blending plant in Pakistan
Updated 11 September 2025

US multinational Chevron to set up $30 million lubricants blending plant in Pakistan

US multinational Chevron to set up $30 million lubricants blending plant in Pakistan
  • Chevron Pakistan country head Zahid Ahmad meets Pakistan Petroleum Minister Ali Pervaiz Malik in Islamabad
  • Chevron says currently selling approximately 70 million liters of high-quality lubricants in Pakistan per annum

ISLAMABAD: American multinational company Chevron has invested $30 million to set up an automated lubricants blending plant in Pakistan, the petroleum ministry announced on Thursday, terming such investments as vital for economic growth.

Chevron is a US energy and petroleum corporation, considered one of the largest oil companies in the world. The head of the company’s Pakistan chapter, Ahmad Zahid, met Pakistan’s Petroleum Minister Ali Pervaiz Malik. The two discussed the corporation’s ongoing operations and future plans in Pakistan, the petroleum ministry said in a statement.

“Mr. Zahid apprised the Minister that Chevron, a leading US-based multinational oil company, has recently invested $30 million to establish a state-of-the-art, fully automated lubricants blending plant in Pakistan,” the statement said.

Zahid said the investment showcases Chevron’s long-term commitment to Pakistan. The Chevron official said his company was currently selling approximately 70 million liters of high-quality lubricants per annum in Pakistan, serving a wide range of industrial and automotive customers.

Malik welcomed the investment, commending the company’s confidence in the Pakistani economy and its role in enhancing the country’s oil sector with advanced technology and international standards.

“The Government of Pakistan is committed to providing a conducive environment for businesses to thrive,” Malik was quoted as saying by the ministry.

He assured full support and facilitation to Chevron, noting that such investments are vital for economic growth, technology transfer, and creating employment opportunities.

Pakistan has been eyeing foreign partnerships with different countries and their companies, particularly those in the US, in mines and minerals, cryptocurrency and oil and gas sectors.

The South Asian country hopes to bolster its fragile $350 billion economy through lucrative partnerships with foreign governments and multinationals as it hopes to wiggle out of a prolonged macroeconomic crisis.


Finmin pledges price stability, safeguarding vulnerable families amid Pakistan floods

Finmin pledges price stability, safeguarding vulnerable families amid Pakistan floods
Updated 11 September 2025

Finmin pledges price stability, safeguarding vulnerable families amid Pakistan floods

Finmin pledges price stability, safeguarding vulnerable families amid Pakistan floods
  • Aurangzeb says inflation control is top priority, vows protection for flood-hit households
  • Committee reviews food stocks, crop damage, urges vigilance against market speculation

KARACHI: Finance Minister Muhammad Aurangzeb on Thursday said stabilizing prices and shielding low-income families from rising costs remained the government’s top priority, as Pakistan struggles with inflationary pressures compounded by recent flood damage to crops.

Punjab, home to more than half of Pakistan’s 240 million people and its main farming belt, has been devastated since late August when record monsoon rains swelled the Ravi, Chenab and Sutlej rivers simultaneously in a historic first. Punjab officials say 79 people have died and nearly two million acres of farmland submerged in the province’s worst flooding in four decades.

Now, as the floodwaters move south into Sindh, the country’s second-largest agricultural province, there are growing concerns for its key crops of cotton, rice and sugarcane, which form the backbone of Pakistan’s textile and food industries.

Economists and traders have warned the floods may elevate food and overall inflation in the coming months due to crop losses and supply chain disruptions.

“Controlling inflation and ensuring price stability remain among the top priorities of the government, especially to safeguard vulnerable and low-income households, including those affected by recent floods,” Aurangzeb said in a statement after the second meeting of the Steering Committee on Inflationary Trends, set up by the prime minister to monitor weekly inflation and coordinate policy responses.

The committee reviewed supplies of essential food items and initial crop damage assessments from this season’s heavy monsoon rains.

Officials noted that wheat stocks were sufficient, while early estimates suggested damage to rice and sugarcane crops was manageable. The minister stressed strict monitoring to prevent speculation and artificial price hikes in key staples such as wheat, sugar, edible oil and vegetables.

The committee also discussed preparations for the upcoming sowing season, emphasizing the timely availability of seeds and other inputs. Aurangzeb directed agencies including the National Disaster Management Authority and Pakistan Bureau of Statistics to work with provincial governments to complete accurate crop damage assessments.

The minister said the committee would meet again next week to track progress and decide further measures.