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Moody’s upgrade underscores Pakistan recovery, reforms fueling stability — central bank governor 

Moody’s upgrade underscores Pakistan recovery, reforms fueling stability — central bank governor 
State Bank of Pakistan Governor Jameel Ahmad speaks at the Reuters NEXT Asia summit in Singapore July 9, 2025. (Reuters/ file)
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Updated 14 August 2025

Moody’s upgrade underscores Pakistan recovery, reforms fueling stability — central bank governor 

Moody’s upgrade underscores Pakistan recovery, reforms fueling stability — central bank governor 
  • Rating agency lifted Pakistan’s sovereign credit score on Wednesday, citing stronger reserves and external stability
  • SBP governor says inflation has dropped to a historic low and reforms will support long-term growth

KARACHI: Pakistan’s central bank said on Thursday recent credit rating upgrades underscored the country’s improving macroeconomic outlook, as Governor Jameel Ahmad used an Independence Day address to stress economic resilience and reforms.

The remarks came a day after Moody’s Investors Service upgraded Pakistan’s sovereign rating, citing stronger foreign exchange reserves, a current account surplus and fiscal consolidation. Analysts said the move could ease access to global capital markets and attract investment as Pakistan looks to consolidate gains under its $7 billion IMF program approved in September 2024.

“International credit rating agencies have upgraded Pakistan’s ratings in recognition of recent measures which will help unlock foreign investment opportunities,” Ahmad said at the State Bank of Pakistan’s (SBP) flag-hoisting ceremony in Karachi.

Ahmad noted the dramatic improvement in inflation, which had soared to 38 percent in May 2023 before easing to 11.8 percent by May 2024 and reaching a record low of 3.2 percent in June 2025.

“Our monetary policy remains geared toward maintaining the hard-earned gains in price stability, while ensuring inflation remains within 5–7 percent,” he said, adding that this would help “unlock broader economic and business opportunities.”

The SBP has reduced its policy rate in seven steps from 22 percent to 11 percent since June 2024 in line with the improved outlook.

External accounts have also strengthened, with reserves nearly tripling to $14.5 billion by the end of FY25 from $4.4 billion two years earlier. Ahmad said the turnaround was achieved through a $2.1 billion current account surplus – the first in 14 years – and record remittances of $38.3 billion from overseas Pakistanis, without adding to external debt.

The governor also highlighted SBP’s digital push, including spinning off the Raast instant payment system into a separate subsidiary, easing account opening procedures and modernizing payment infrastructure to widen financial inclusion. He said such steps would particularly benefit women and small businesses.

Pakistan’s economic rebound follows two years of crisis, when the country averted default through IMF disbursements, painful reforms, and strict fiscal consolidation. The IMF has urged Pakistan to maintain exchange rate flexibility, broaden its tax base and strengthen the energy sector to lock in recent stability.


Pakistan confirms ‘successful deployment’ of satellite launched with China

Pakistan confirms ‘successful deployment’ of satellite launched with China
Updated 16 August 2025

Pakistan confirms ‘successful deployment’ of satellite launched with China

Pakistan confirms ‘successful deployment’ of satellite launched with China
  • The satellite, PRSS-1, will be primarily used in the fields of land resource surveys as well as disaster prevention and mitigation
  • The satellite launch, deployment mark another step in Pakistan’s growing engagement with outer space through Chinese assistance

ISLAMABAD: The Pakistan Space and Upper Atmosphere Research Commission (SUPARCO) has confirmed the “successful deployment” and “operational readiness” of the country’s latest remote sensing satellite, launched from Xichang Satellite Launch Center (XSLC) in China, on July 31.

The satellite, PRSS-1, will primarily be used in the fields of land resource surveys and disaster prevention and mitigation, and it will help promote the development of Pakistan, Planning Minister Ahsan Iqbal said this month.

SUPARCO said the satellite, following the successful launch, has established “stable contact” with ground stations and begun capturing and transmitting high-resolution imagery, greatly enhancing data availability and reliability for various national sectors.

“The satellite will deliver high-quality imaging capabilities to support a wide range of applications, revolutionizing urban planning, infrastructure development, and regional planning by monitoring urban expansion and growth trends,” it said in a statement on Friday.

“It will strengthen disaster management efforts through timely data for early warnings and rapid response to floods, landslides, earthquakes, and other hazards, while also aiding environmental protection by tracking glacier recession, deforestation, and climate change indicators.”

The satellite will enhance agricultural productivity through precision farming, mapping of crop patterns, and improved water resource management, thereby contributing to food security, according to SUPARCO.

In addition, it will play a strategic role in national development projects such as the China–Pakistan Economic Corridor (CPEC) by mapping transportation networks, identifying geohazard risks and facilitating efficient resource allocation that will not only improve decision-making across multiple sectors but also promote sustainable socio-economic development and strengthen Pakistan’s technological autonomy.

The satellite launch and deployment mark another step in Pakistan’s growing engagement with outer space through Chinese assistance.

“This remarkable accomplishment highlights Pakistan’s advancing capabilities in space-based technologies, and SUPARCO’s dedication to strengthening national infrastructure for Earth observation,” SUPARCO said.

“It not only contributes to achieving self-reliance but also opens new avenues for advancement, sustainability and informed decision-making across key sectors.”

China and Pakistan are also preparing to send the first Pakistani astronaut into space aboard China’s Tiangong space station, with training programs currently underway.


Authorities arrests five suspects involved in smuggling Pakistanis to Iran, Turkey

Authorities arrests five suspects involved in smuggling Pakistanis to Iran, Turkey
Updated 16 August 2025

Authorities arrests five suspects involved in smuggling Pakistanis to Iran, Turkey

Authorities arrests five suspects involved in smuggling Pakistanis to Iran, Turkey
  • The arrests were made by the FIA in Taftan and Loralai border towns of Pakistan’s southwestern Balochistan province
  • The development comes amid a crackdown on agents involved in sending Pakistanis abroad through dangerous routes

KARACHI: Pakistan’s Federal Investigation Agency (FIA) has arrested five suspects involved in smuggling citizens to Iran and Turkiye, the agency said on Saturday, amid an ongoing crackdown against human smugglers in the country.

The arrests were made by the FIA in Taftan and Loralai border towns of Pakistan’s southwestern Balochistan province, which shares a long porous border with Iran and Afghanistan.

The development comes amid a crackdown on agents involved in sending impoverished Pakistanis abroad through dangerous routes, luring them with a chance at a better life in Europe.

The arrested suspects, identified as Rasool Bacha, Aminullah, Hashmat Ali, Talib Hussain and Ehsanullah, worked for an agent, Faheem Gujjar, based in Iran, according to the FIA.

“The suspects Rasool Bacha, Aminullah and Hashmat Ali are involved in illegally transporting citizens to Iran and Turkiye,” the FIA said in a statement. “Talib Hussain and Ehsanullah were found involved in helping citizens illegally cross the border.”

The suspects had been on the ‘most-wanted list’ of Pakistani embassies in Iran and Turkiye, according to the FIA. They used to smuggle citizens from Pakistan to Iran, from where they would arrange for their travel further to Turkiye.

“Four innocent civilians were also rescued from the suspects’ house during the raid,” the FIA said.

The Pakistani government has ramped up efforts in recent months to combat human smugglers facilitating dangerous journeys for illegal immigrants to Europe, resulting in several arrests.

Last month, the FIA arrested five suspects in Punjab’s Gujranwala and Gujrat districts who were said to be involved in human smuggling and defrauding citizens.

Prior to that, the FIA said it had arrested an agent involved in the Morocco boat tragedy, in which dozens of Pakistanis attempting to travel illegally to Europe had drowned near the African country’s coast.

The boat had set off from Mauritania in January with 86 migrants on board, among them 66 Pakistanis, for the Canary Islands administered by Spain, international rights group Walking Borders had said. Moroccan authorities said on January

16 that 36 people were rescued from the vessel, while Pakistan confirmed survivors of the tragedy included 22 of its nationals.

A record 10,457 migrants, or 30 people a day, died trying to reach Spain in 2024. Most of them died while attempting to cross the Atlantic route from West African countries such as Mauritania and Senegal to the Canary Islands, according to Walking Borders.

In 2023, hundreds of migrants, including 262 Pakistanis, drowned when an overcrowded vessel sank in international waters off the southwestern Greek town of Pylos, marking one of the deadliest boat disasters ever recorded in the Mediterranean Sea.


Pakistan, Arab, Muslim nations condemn Netanyahu’s ‘Greater Israel’ remark

Pakistan, Arab, Muslim nations condemn Netanyahu’s ‘Greater Israel’ remark
Updated 16 August 2025

Pakistan, Arab, Muslim nations condemn Netanyahu’s ‘Greater Israel’ remark

Pakistan, Arab, Muslim nations condemn Netanyahu’s ‘Greater Israel’ remark
  • In a joint statement, Muslim nations say the pronouncements by Netanyahu and his ministers were ‘a blatant and dangerous violation’ of international law
  • European nations, alarmed by Israeli plans, have called on the Israeli government to stop the expansion that would further restrict mobility of Palestinians

ISLAMABAD: Arab Gulf countries and Muslim nations, including Pakistan, have condemned statements about a “Greater Israel” that Israeli Prime Minister Benjamin Netanyahu was reported to have made in the wake of pronouncements by his far-right allies to annex Palestinian territories.

Finance Minister Bezalel Smotrich announced plans to expand settlement building in the occupied West Bank to “bury the idea of a Palestinian state.” Netanyahu said in a recent interview he felt “very much” connected to the vision of “Greater Israel,” describing it as a “historic and spiritual mission.”

The comments have triggered widespread outrage across the Arab and Muslim world in recent days and have been denounced by several nations, including Ƶ, the United Arab Emirates (UAE), Egypt and Pakistan, as well as the Palestinian Authority.

Pakistan’s foreign office said the remarks showed Israel’s intent to cement its occupation and disregard peace efforts, urging the international community to act swiftly to halt further regional destabilization and end crimes against Palestinians.

“Pakistan strongly condemns and rejects recent statements made by the Israeli Occupying power, alluding to the creation of so-called ‘Greater Israel,’ and its designs aimed at the forcible displacement of Palestinians from Gaza,” the foreign office said in a statement.

Reiterating Islamabad’s long-standing position, the foreign office reaffirmed Pakistan’s support for the Palestinian people’s right to self-determination and the establishment of an independent state of Palestine, based on pre-1967 borders, with Al-Quds Al-Sharif as its capital.

In a joint statement on Saturday, the foreign ministers of Arab and Muslim nations said the pronouncements by Netanyahu and his ministers were “a blatant and dangerous violation” of international law.

“They also constitute a direct threat to Arab national security, to the sovereignty of states, and to regional and international peace and security,” said the statement carried by the Saudi Press Agency, or SPA.

The signatories include the foreign ministers of Ƶ, Algeria, Bahrain, Bangladesh, Chad, Comoros, Djibouti, Egypt, Gambia, Indonesia, Iraq, Jordan, Kuwait, Lebanon, Libya, Maldives, Mauritania, Morocco, Nigeria, Oman, Pakistan, Palestine, Qatar, Senegal, Sierra Leone, Somalia, Sudan, Syria, Türkiye, the United Arab Emirates, and Yemen. It also included the secretaries-general of the League of Arab States, the Organization of Islamic Cooperation, and the Gulf Cooperation Council.

The ministers stressed that “while their states reaffirm their respect for international legitimacy and the Charter of the United Nations, particularly Article 2, paragraph 4, which prohibits the use of force or the threat thereof, they will adopt all policies and measures that preserve peace, in a manner that serves the interests of all states and peoples in achieving security, stability, and development, away from illusions of domination and the imposition of power by force.”

The ministers pushed back against Israeli Minister Smotrich’s approval of the settlement plan in the “E1” area in the West Bank, along with his “radical, racist” statements rejecting the establishment of a Palestinian state.

European nations, alarmed by the plan, have also called on the Israeli government to stop, with Germany warning that the “E1” settlement and the expansion of Maale Adumim would further restrict the mobility of the Palestinian population in the West Bank by splitting it in half and cutting the area off from East Jerusalem.

The joint statement said Israel’s plan would constitute a “blatant violation of international law and a flagrant assault on the inalienable right of the Palestinian people to realize their independent, sovereign state on the lines of 4 June 1967, with Occupied Jerusalem as its capital.”

They warned Israel’s blatant disregard for the rights of Palestinians and its neighbors and the international community as a whole “directly fuel cycles of violence and conflict and undermine prospects for achieving just and comprehensive peace in the region.”

The ministers “reiterated their rejection and condemnation of Israel’s crimes of aggression, genocide, and ethnic cleansing” and reaffirmed the need for a ceasefire in the Gaza Strip, and “ensuring unconditional humanitarian access to end the policy of systematic starvation that Israel is pursuing as a weapon of genocide.”

Since Oct. 2023, Israel has killed more than 60,000 Palestinians, many of them women and children, according to data from Gaza’s Health Ministry. In late July 2025, the ministry reported that at least 18,500 children and 9,800 women have been killed by Israel.

Not contented with the almost total destruction it has caused in Gaza, Israel has also continued to block international humanitarian agencies from delivering food to starving refugees.


Pakistan deputy PM to visit UK for talks, launch diaspora land record project

Pakistan deputy PM to visit UK for talks, launch diaspora land record project
Updated 16 August 2025

Pakistan deputy PM to visit UK for talks, launch diaspora land record project

Pakistan deputy PM to visit UK for talks, launch diaspora land record project
  • Dar will meet with UK counterpart Angela Rayner, the parliamentary under-secretary for Pakistan and the Commonwealth secretary-general
  • The UK is one of Pakistan’s largest development partners and home to one of the largest Pakistani diasporas, estimated at over 1.6 million

ISLAMABAD: Pakistan’s deputy prime minister and foreign minister, Ishaq Dar, will undertake an official visit to the United Kingdom (UK) on Sunday to hold with top officials and to launch a land record project for the Pakistani diaspora, the Pakistani foreign office said on Saturday.

In London, Dar will hold meetings with Deputy Prime Minister Angela Rayner, Parliamentary Under-Secretary of State for Pakistan Hamish Falconer, in addition to a breakfast meeting with Commonwealth Secretary-General Shirley Ayorkor Botchwey.

The deputy prime minister will also engage with British parliamentarians and Kashmiri leaders during his visit, according to the Pakistani foreign office.

“The Deputy Prime Minister/Foreign Minister will also inaugurate a Punjab Land Record Authority’s project, piloted at the Pakistan High Commission, London,” it said. “The initiative aims to assist members of the diaspora in resolving land documentation issues in Pakistan remotely.”

The UK is one of Pakistan’s largest bilateral development partners, with cooperation spanning education, health, climate resilience, governance reform and trade. It is home to one of the largest Pakistani diasporas, estimated at over 1.6 million people, who contribute significantly to remittances, business and cultural links.

These Pakistani expatriates often complain of prolonged procedures relating to sale, purchase, transfer and settlement of disputes relating to their lands back home. The initiative is likely to streamline processes to facilitate Pakistanis living in the UK.

The governments in Pakistan’s Punjab and Khyber Pakhtunkhwa (KP) provinces have also saved billions of rupees and unlocked significant new resources for development under a landmark British-backed governance program that concluded this year, according to the British High Commission.

The UK’s Sub-National Governance Program, which ran from 2019 to 2025, worked with provincial authorities to improve planning, budgeting and revenue mobilization. The program unlocked over £1.9 billion ($2.41 billion) in public finance, allowing savings to be reinvested into other public services.

“This program shows what is possible when strong partnerships come together to support long-term reform, changing people’s lives,” British High Commission Development Director Sam Waldock said on Aug. 13.

“We’ve strengthened institutions, improved service delivery, and helped Pakistan unlock more of its resources to finance its own development. That has led to direct improvements to the day to day lives of millions — from helping people to access essential cash assistance, to creating waste management systems which makes their surroundings cleaner and more hygienic.”

Last month, Pakistan and the United Kingdom (UK) decided to form a new business advisory council as officials from both countries met in London at the inaugural UK-Pakistan Trade Dialogue.

The council will bring together senior business leaders and government officials to provide strategic advice on policy reform, offer a confidential forum for engagement, and help promote commercial opportunities by addressing market access challenges and sharing best practices.


Iran policeman killed in clash in restive province bordering Pakistan

Iran policeman killed in clash in restive province bordering Pakistan
Updated 16 August 2025

Iran policeman killed in clash in restive province bordering Pakistan

Iran policeman killed in clash in restive province bordering Pakistan
  • The clash occurred in Sistan-Baluchistan province, the scene of frequent violence between security forces and rebel, extremist groups
  • The southeastern province is home to a large ethnic Baloch population, most of whom are Sunni Muslims, in contrast to Iran’s Shiite majority

TEHRAN: Gunmen in Iran’s volatile southeast killed a police officer and wounded another in a shootout with security forces, news agencies reported Saturday.

The clash occurred in Sistan-Baluchistan province, one of the country’s poorest regions and the scene of frequent violence between the security forces and Baloch minority rebels, extremist groups and drug traffickers.

“In an exchange of fire... between Iranshahr police and armed men, one officer was wounded and another killed,” the Fars news agency said, citing the police.

The ISNA news agency also reported the deadly gunbattle.

Sistan-Baluchistan is home to a large ethnic Baloch population, most of whom are Sunni Muslims, in contrast to Iran’s Shiite majority.

Fars said the assailants were wounded in the firefight, fled the scene and were being pursued by police.

In recent years, the Jaish Al-Adl (Arabic for ‘Army of Justice’) group has claimed multiple attacks in the area. The group operates from the borderlands between Iran, Pakistan and Afghanistan, mainly the Sistan-Baluchestan triangle, but has been active inside Iran.

On Sunday, the group carried out an attack in Sistan-Baluchistan that killed a police officer, according to local media.

On July 26, at least six people were killed in an attack claimed by Jaish Al-Adl on a courthouse in the same province.