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Pakistan’s finance chief says economic liberalization, structural reforms to trigger ‘East Asia moment’

Pakistan’s finance chief says economic liberalization, structural reforms to trigger ‘East Asia moment’
Pakistan’s Federal Minister for Finance and Revenue, Muhammad Aurangzeb, during an interview with an American news channel, CNBC, in Washington D.C., on October 15, 2025. (Finance Ministry)
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Pakistan’s finance chief says economic liberalization, structural reforms to trigger ‘East Asia moment’

Pakistan’s finance chief says economic liberalization, structural reforms to trigger ‘East Asia moment’
  • Aurangzeb says Pakistan cannot keep shielding protected industries and must build competitiveness to boost exports
  • Finance minister cites progress in taxation, energy, privatization and public finance reforms under IMF-backed program

KARACHI: Federal Minister for Finance and Revenue Muhammad Aurangzeb on Wednesday highlighted Pakistan’s policy of trade and economic liberalization during an interview with an American news channel, saying that combined with the ongoing reform momentum, these policies could generate an “East Asia moment.”

Aurangzeb, currently in Washington D.C. to attend the World Bank and International Monetary Fund annual meetings, spoke to CNBC about Pakistan’s improving macroeconomic indicators and the government’s focus on structural transformation to sustain growth and stability.

Speaking about the overall global trade dynamics, the finance minister said Pakistan’s economic focus was shifting away from protectionism.

“We cannot continue to shield industries which have received protection for the longest time,” he said, adding that if Pakistan has to grow, “it has to have industries which are competitive and which can export.”

He noted that macroeconomic stability and structural reforms must go hand in hand, citing progress in taxation, energy, privatization of state-owned enterprises and public finance management as integral to the government’s reform agenda.

Pakistan began implementing stringent economic reforms after finding itself on the verge of default in mid-2023.

The country’s performance has also been recognized by all three major global rating agencies, which have upgraded Pakistan’s outlook in recent months, a validation of what Aurangzeb described as the country’s improving “economic trajectory and reform agenda.”

“We feel this can be an ‘East Asia moment’ for Pakistan in terms of liberalizing the economy,” he said, drawing a broader perspective on the country’s reform path.

He also acknowledged the strong partnership with the United States and commended the World Bank Group for supporting Pakistan’s reform efforts, reaffirming the government’s commitment to sustaining implementation and positioning the country on a “sustainable, outward-looking growth path.”


Pakistan to host Saudi performers for the first time at World Culture Festival in Karachi

Pakistan to host Saudi performers for the first time at World Culture Festival in Karachi
Updated 15 October 2025

Pakistan to host Saudi performers for the first time at World Culture Festival in Karachi

Pakistan to host Saudi performers for the first time at World Culture Festival in Karachi
  • ‘Biggest festival in the world’ to run from Oct. 31 to Dec. 7, featuring artists from 141 countries
  • Israeli filmmakers also approached the Arts Council of Pakistan to participate in the festival

KARACHI: Cultural groups from Ƶ will participate for the first time in the World Culture Festival hosted by Pakistan from Oct. 31 to Dec. 7, the president of the Arts Council of Pakistan said on Wednesday, adding that it would be “the biggest festival in the world.”

The event, which will be held in Karachi, will host performers from 141 countries, including 37 from Africa, 41 from Asia, 36 from Europe, 13 from North America, 11 from South America and three from Oceania.

The seven-week festival will feature 45 theater productions, 60 music performances, 25 dance shows, six exhibitions, 25 workshops and 15 talks, with 25 international and 30 national artists taking part.

“This year, cultural groups from across the Middle East are participating in the World Culture Festival,” the council’s president, Muhammad Ahmed Shah, told Arab News. “We are grateful to Crown Prince Mohammed bin Salman for his remarkable efforts in promoting art and culture in Ƶ.”

“In the future, we look forward to strengthening cultural collaboration with the Kingdom,” he added.

Shah said during a news conference that the festival aimed to promote peace and intercultural understanding, noting that artists from conflict-affected regions will also be represented.

“When people from around the world come here, they will see how peaceful we are,” he said.

Highlighting the response the festival has received, he said that the council had received more than 2,800 films, adding that this is a number unmatched by any other festival in the world.

Shah mentioned that the council was even approached by filmmakers in India and Israel.

Pakistan has tense relations with India after an intense, four-day military conflict between the two South Asian nuclear-armed neighbors.

Pakistan also does not recognize Israel and has always called for an independent state of Palestine with pre-1967 borders and East Jerusalem as its capital.

Shah also praised the Sindh administration for supporting the event, saying the festival will feature Pakistani films alongside international entries.


Pakistan seeks to replicate Egypt’s Suez Canal free zone model in its ports — minister

Pakistan seeks to replicate Egypt’s Suez Canal free zone model in its ports — minister
Updated 15 October 2025

Pakistan seeks to replicate Egypt’s Suez Canal free zone model in its ports — minister

Pakistan seeks to replicate Egypt’s Suez Canal free zone model in its ports — minister
  • Egypt offers technical support as Pakistan plans port free zones modeled on Suez Canal framework
  • Islamabad also proposes “Pakistan Houses” in Egypt, Africa and Central Asia to promote trade and investment

KARACHI: Pakistan plans to replicate Egypt’s Suez Canal free zone framework across its key ports to boost industrial activity and regional trade, the Ministry of Maritime Affairs said on Wednesday.

A statement released after talks between Minister Muhammad Junaid Anwar Chaudhry and Egypt’s Ambassador Dr. Ihab Mohamed Abdelhamid Hassan in Islamabad said Egypt has offered to share its experience in managing and regulating free zones around the Suez Canal, one of the world’s busiest maritime corridors, to help Pakistan develop similar economic zones around its deep-sea ports. 

The move aims to attract investment in port-linked industries, logistics, and shipping, expanding Pakistan’s maritime footprint along the Arabian Sea.

“We are working hard to establish stronger links with Central Asian states and East African countries, and we can further enhance maritime connectivity with Egypt,” Chaudhry said, adding that Egypt’s success in free zone management provides a model for Pakistan’s own blue economy growth.

The Suez Canal Economic Zone (SCZone) is a 460-square-kilometer industrial and logistics corridor stretching along the canal. Established in 2015, it offers foreign investors tax incentives, streamlined customs procedures, and dedicated infrastructure for manufacturing, shipbuilding, and port services. The model is designed to attract global trade and industry around one of the world’s busiest maritime routes, linking the Red Sea to the Mediterranean.

The minister also proposed establishing “Pakistan Houses” in Africa, Central Asia and Egypt to promote trade, investment, and business partnerships, saying such centers would deepen Pakistan’s commercial engagement with regional markets.

Ambassador Hassan welcomed the proposals and said Egypt would extend technical assistance in developing frameworks for maritime and industrial zones. According to the maritime ministry statement, he praised the competitiveness of Pakistani exports, including spices, pharmaceuticals, leather goods, and rice, and said greater port connectivity could help expand their market reach.

The ministry said working groups from both sides would now draft feasibility studies for port-based free zones and joint industrial ventures. 

The initiative is seen as part of Pakistan’s broader effort to diversify its trade partners and strengthen economic diplomacy through the maritime sector.


Pakistan to launch first hyperspectral satellite from China to boost agriculture, climate mapping

Pakistan to launch first hyperspectral satellite from China to boost agriculture, climate mapping
Updated 15 October 2025

Pakistan to launch first hyperspectral satellite from China to boost agriculture, climate mapping

Pakistan to launch first hyperspectral satellite from China to boost agriculture, climate mapping
  • HS-1 satellite to strengthen Pakistan’s space-based monitoring of agriculture, urban growth and climate resilience
  • SUPARCO says data from the mission will improve crop yield estimates and disaster-response capability across the country

ISLAMABAD: Pakistan’s Space and Upper Atmosphere Research Commission (SUPARCO) on Wednesday announced the launch of the country’s first Hyperspectral Satellite (HS-1) from China’s Jiuquan Satellite Launch Center on October 19, marking what officials described as a major leap in national space and climate-monitoring capability.

The HS-1 mission will capture hundreds of spectral bands across visible and infrared wavelengths to help detect changes in soil, vegetation, water bodies and man-made structures with far greater precision than conventional imaging satellites. Officials say the technology will be applied to improve agricultural productivity, monitor environmental degradation and strengthen early-warning systems for floods and landslides.

SUPARCO said the satellite will provide “detailed insights into crop health, soil moisture and irrigation patterns— enhancing yield estimation by 15–20 percent and contributing significantly to food security.” 

The agency added that HS-1’s sensors would also enable mapping of infrastructure and tracking of urban expansion to support sustainable city planning and land-use management.

“The HS-1 launch represents a transformative milestone in Pakistan’s national space program,” SUPARCO said in its statement. “The mission aligns with the National Space Policy and SUPARCO’s Vision 2047, which aim to position Pakistan at the forefront of space technology and innovation for sustainable national development.”

The new satellite will join Pakistan’s growing remote-sensing fleet, which includes PRSS-1 launched in 2018 and two Earth-observation satellites— EO-1 and KS-1— placed in orbit earlier this year. 

Officials said integrating HS-1 will expand Pakistan’s capacity for disaster assessment, water-resource modelling and climate-change monitoring, while deepening collaboration with China in the civilian space sector.
 


Pakistan’s national polio campaign vaccinates over 25 million children in first two days

Pakistan’s national polio campaign vaccinates over 25 million children in first two days
Updated 15 October 2025

Pakistan’s national polio campaign vaccinates over 25 million children in first two days

Pakistan’s national polio campaign vaccinates over 25 million children in first two days
  • More than 25.4 million children under five vaccinated across Pakistan in first two days of national drive
  • Health officials say goal is to reach over 45 million children by end of the week-long campaign

KARACHI: Pakistan’s nationwide polio immunization campaign continued successfully for a third consecutive day on Wednesday, with more than 25.4 million children under the age of five vaccinated in the first two days, according to the National Emergency Operations Center (NEOC).

The week-long campaign, launched earlier this week, aims to reach over 45 million children across all provinces and territories as part of Pakistan’s ongoing efforts to eradicate the paralytic disease. Pakistan remains one of only two countries in the world where wild poliovirus is still endemic, alongside Afghanistan.

According to the NEOC, 14.3 million children have been vaccinated in Punjab province, 5.02 million in Sindh, 3.77 million in Khyber Pakhtunkhwa, and 1.45 million in Balochistan. In Islamabad, health workers reached over 203,000 children, while 187,000 were vaccinated in Gilgit-Baltistan and 481,000 in Azad Jammu and Kashmir.

“Integrated and sustained efforts are underway to ensure that every eligible child receives the life-saving vaccine,” the NEOC said in a statement. It added that teams are going door-to-door and setting up transit vaccination points nationwide.

The NEOC urged parents to welcome vaccination teams and ensure that all children under five receive the drops, warning that polio “is a dangerous disease that can cause lifelong paralysis.” It emphasized that the campaign’s success depends on active community participation and parental cooperation.

While Pakistan has made major gains since the 1990s when annual cases exceeded 20,000, reducing the toll to eight by 2018, vaccine hesitancy, fueled by misinformation and resistance from some religious hard-liners, continues to undermine efforts.

Pakistan recorded 74 cases in 2024, a sharp rise from six in 2023 and just one in 2021. This year, it has reported 29 polio cases so far, including 18 from Khyber Pakhtunkhwa, nine from Sindh and one each from Punjab and Gilgit-Baltistan.

Polio is a highly infectious and incurable disease that can cause lifelong paralysis. The only effective protection is through repeated doses of the Oral Polio Vaccine for every child under five during each campaign, alongside timely completion of all routine immunizations.

Pakistan’s efforts to eliminate poliovirus have been hampered by parental refusals, widespread misinformation and repeated attacks on anti-polio workers by militant groups. In remote and volatile areas, vaccination teams often operate under police protection, though security personnel themselves have also been targeted and killed in attacks.

On Tuesday, a paramilitary Levies soldier deployed to protect a polio vaccination team was killed in Khyber Pakhtunkhwa province.


Pakistan, Afghanistan announce 48-hour ceasefire after ‘precision strikes’ on Kandahar

Pakistan, Afghanistan announce 48-hour ceasefire after ‘precision strikes’ on Kandahar
Updated 15 October 2025

Pakistan, Afghanistan announce 48-hour ceasefire after ‘precision strikes’ on Kandahar

Pakistan, Afghanistan announce 48-hour ceasefire after ‘precision strikes’ on Kandahar
  • Pakistani military says militants destroyed Pak-Afghan Friendship Gate and targeted divided villages along border
  • Foreign office says the truce will be used to pursue a constructive solution through dialogue amid rising tensions

ISLAMABAD/PESHAWAR: Pakistan and Afghanistan announced a temporary ceasefire on Wednesday after some of the heaviest cross-border fighting in recent years, the foreign office in Islamabad said, after Pakistani forces hit Afghan Taliban strongholds in Kandahar in what state media described as “precision strikes.”

Pakistan’s military said earlier in the day it had repelled coordinated attacks by Afghan Taliban fighters at multiple points along the shared border in Balochistan and Khyber Pakhtunkhwa provinces, saying Kabul’s forces had destroyed a key trade gate and endangering civilians. The clashes came days after deadly border fighting between the two neighbors in which Pakistan said 23 of its soldiers were killed, while Afghan authorities claimed to have killed 58 Pakistani troops.

Relations between Islamabad and Kabul have sharply deteriorated in recent years, with Pakistan accusing the Afghan Taliban of sheltering fighters from the banned Tehreek-e-Taliban Pakistan (TTP) and allowing them to stage cross-border attacks from Afghan soil. Kabul denies the allegation, saying it does not permit its territory to be used against other countries.

The escalation has strained already frayed ties, coming as Afghanistan’s foreign minister visited archrival India. Pakistan views New Delhi’s growing influence in Afghanistan as a regional security threat, given their long-standing rivalry.

“The Pakistani government and the Afghan Taliban regime have, at the Taliban’s request and with mutual consent, decided to implement a temporary ceasefire for 48 hours starting at 6 p.m. today,” the foreign office said in a brief statement.

“During this period, both sides will make a sincere effort to find a constructive solution to this complex yet resolvable issue through meaningful dialogue,” it added.

Prior to the announcement, Pakistan Television said the military had carried out “precision strikes” in Kandahar and Kabul on Afghan Taliban and TTP hideouts.

It said “all these targets were carefully selected, isolated from civilian populations and successfully destroyed.”

The report added that centers linked to Baloch separatist militants and their leadership were also targeted in Kabul.

The military’s media wing, Inter-Services Public Relations (ISPR), had said Wednesday morning Afghan Taliban fighters had launched a “cowardly attack” at four locations in the Spin Boldak area of Balochistan.

“The attack was effectively repulsed by Pakistani forces,” the ISPR said.

The statement said the attacks were coordinated with members of “Fitna Al-Khawarij,” a term Pakistan uses for militants linked to the TTP and which Islamabad claims are backed by Afghanistan and India — both of which deny the charge.

The ISPR said 15–20 Afghan Taliban fighters were killed in Spin Boldak and another 25–30 in Kurram district, where Pakistani troops destroyed eight Taliban posts and six tanks in what it called a “proportionate response.”

Afghan officials, meanwhile, said 15 civilians were killed and dozens wounded in the fresh clashes.

“The insinuations that the attack was initiated by Pakistan are outrageous and blatant lies, just like the claims of capturing Pakistani posts or equipment,” the ISPR said, calling Taliban statements “propaganda debunked with basic fact checks.”

It added: “The armed forces stand resolute and fully prepared to defend the sovereignty and territorial integrity of Pakistan. All acts of aggression against Pakistan will be responded to with full force.”

Cross-border trade remained suspended during the day as officials on both sides confirmed military reinforcements had been deployed around Chaman and Spin Boldak.

Tensions have worsened since 2023, when Pakistan began deporting hundreds of thousands of undocumented Afghans, a move it said was necessary to curb terrorism and smuggling. By 2025, more than 800,000 Afghans had been repatriated or forced out, according to government figures.

India’s deepening engagement with the Taliban, including reopening its embassy in Kabul last week, has further heightened Islamabad’s concerns.

Regional powers, including Ƶ, have called for restraint and renewed dialogue to prevent the escalating hostilities from destabilizing South Asia.