Pakistan PM says will announce relief in electricity costs ‘soon’ 

Pakistan PM says will announce relief in electricity costs ‘soon’ 
Pakistani technicians of the Karachi Electric Corporation work on a high voltage line in Karachi on August 31, 2016. (AFP/File)
Short Url
Updated 23 March 2025

Pakistan PM says will announce relief in electricity costs ‘soon’ 

Pakistan PM says will announce relief in electricity costs ‘soon’ 
  • Shehbaz Sharif chairs high-level meeting on matters relating to Pakistan’s Power Division
  • Pakistan’s energy sector has struggled with financial strain due to circular debt, power theft

ISLAMABAD: Pakistan’s Prime Minister Shehbaz Sharif said on Sunday he would “soon” announce a comprehensive package providing relief to the masses in terms of electricity prices, state-run media reported. 

Pakistan has aggressively pursued reforms in its energy sector, which has long struggled with financial strain due to circular debt, power theft and transmission losses. These problems have led to blackouts and high electricity costs in the country.

Sharif chaired a meeting in Islamabad to review matters related to the Power Division on Sunday, state broadcaster Radio Pakistan reported. 

“Prime Minister Shehbaz Sharif says a comprehensive package will be announced soon to provide relief to the public in electricity costs,” the state broadcaster said.

Sharif said his government would be able to provide more relief to the people in prices of electricity due to its recent power reforms. 

He directed authorities to expedite the process of privatizing power distribution companies, urging them to resolve legal or other matters relating to the liquidation of power generation companies.

The Pakistani premier said promoting renewable energy was a “priority” of his government, clarifying that there is no change in the government’s policy on solar energy.

The clarification comes as Pakistan’s Economic Coordination Committee (ECC) earlier this month revised the buyback rate for solar net-metering electricity from Rs27 per unit to Rs10 per unit, saying the move was intended to ease the burden on grid consumers. 

Pakistan has sought to ease fiscal pressure aggressively in recent months by undertaking energy reforms that reduce tariffs and slash capacity payments to independent power producers (IPPs). 

The federal cabinet approved a plan in January to renegotiate agreements with 14 IPPs in its bid to lower electricity costs and address the country’s mounting circular debt.


Pakistan Cricket Board downgrades contracts for Babar Azam and Mohammad Rizwan

Pakistan Cricket Board downgrades contracts for Babar Azam and Mohammad Rizwan
Updated 19 August 2025

Pakistan Cricket Board downgrades contracts for Babar Azam and Mohammad Rizwan

Pakistan Cricket Board downgrades contracts for Babar Azam and Mohammad Rizwan
  • No player awarded top-tier contract as PCB splits pool evenly across B, C and D categories
  • Test captain Shan Masood, pacer Naseem Shah demoted as part of PCB’s contract reshuffle

ISLAMABAD: The Pakistan Cricket Board has downgraded deals for Babar Azam and Mohammad Rizwan in the latest list of 30 centrally contracted players announced on Tuesday.

Both Babar and Rizwan were in category A but have been relegated to join Abrar Ahmed, Fakhar Zaman, Haris Rauf, Hasan Ali, Saim Ayub, Salman Ali Agha, Shadab Khan and Shaheen Shah Afridi in category B.

The PCB didn’t contract any players at the highest level, instead selecting 10 players in each of the B, C and D categories.

Pakistan’s white-ball head coach Mike Hesson said last weekend that Babar needed to work on his strike-rate and playing against spin in the T20 format. Selectors yet again ignored both Babar and Rizwan in the

Pakistan T20 squad for an upcoming tri-series and the Asia Cup.

Pakistan finished at the bottom of the ICC World Test Championship and the PCB has demoted its test captain Shan Masood from category B to category D.

Fast bowler Naseem Shah, who was also dropped for the upcoming T20 tournaments in the United Arab Emirates, was dropped from the second tier to the third tier of contracted players.

Wickekeeper-batter Usman Khan, who chose to play for Pakistan over the UAE, was among the eight international players who didn’t get a central contract.

While some key Pakistan cricketers were demoted, legspinner Ahmed, fast bowler Rauf, opening batter Ayub, T20 captain Agha and legspinner Shadab Khan were all upgraded from C to B category contracts.

The contracts run through June 30, 2026.


China’s top diplomat to visit Pakistan on Thursday for strategic dialogue amid regional tensions

China’s top diplomat to visit Pakistan on Thursday for strategic dialogue amid regional tensions
Updated 19 August 2025

China’s top diplomat to visit Pakistan on Thursday for strategic dialogue amid regional tensions

China’s top diplomat to visit Pakistan on Thursday for strategic dialogue amid regional tensions
  • Wang Yi to co-chair strategic dialogue after reported Chinese support for Islamabad during India-Pakistan standoff
  • Pakistan and China held arms control talks in Beijing a day earlier, focusing on regional security, strategic stability

ISLAMABAD: Chinese Foreign Minister Wang Yi will visit Islamabad on Thursday for the sixth Pakistan-China Foreign Ministers’ Strategic Dialogue to explore ways of further deepening the bilateral strategic partnership, the foreign office in Islamabad said in a statement on Tuesday.

The two allies have a longstanding relationship encompassing the China-Pakistan Economic Corridor (CPEC), close defense and security ties and frequent diplomatic coordination. The visit comes just months after a brief but intense military standoff between India and Pakistan in May, during which Islamabad deployed Chinese-made fighter jets and missiles. India alleged that Beijing had actively supported Pakistan’s military response.

Institutionalized in 2017, the Foreign Ministers’ Strategic Dialogue provides a platform for high-level engagement on regional developments, reaffirmation of shared interests and coordination on multilateral issues.

“On the invitation of Deputy Prime Minister and Foreign Minister, H.E. Senator Mohammad Ishaq Dar, member of the Politburo of the Communist Party of China and Foreign Minister, H.E. Mr. Wang Yi is visiting Islamabad for co-chairing the 6th Pakistan-China Foreign Ministers’ Strategic Dialogue on August 21, 2025,” the foreign office said.

“The visit is part of the regular high-level exchanges between Pakistan and China to further deepen their ‘All-Weather Strategic Cooperative Partnership,’ reaffirm support on the issues of respective core interests, enhance economic and trade cooperation, and reaffirm their joint commitment to regional peace, development and stability,” it added.

The announcement comes just a day after Pakistan and China held bilateral consultations on arms control, non-proliferation and disarmament in Beijing.

According to a separate statement, the foreign office said the two sides engaged in a comprehensive exchange of views on issues related to global and regional peace and security.

“They also reviewed the situation in South Asia, with particular emphasis on the challenges to security and strategic stability,” it added.

Wang is currently in India, where he arrived on Monday and is expected to hold talks with Prime Minister Narendra Modi and National Security Adviser Ajit Doval on the disputed Himalayan border.

The two countries have witnessed military tensions along the Line of Actual Control in Ladakh since 2020. Media reports suggest discussions may focus on reducing troop deployments and partially resuming cross-border trade.

|The regional diplomacy comes amid growing friction between New Delhi and Washington, after US President Donald Trump imposed steep tariffs on India. Seen as a strategic counterweight to China, India is also part of the Quad security alliance with the United States, Australia and Japan.


Fitch says Pakistan’s banks to gain from improving economic outlook

Fitch says Pakistan’s banks to gain from improving economic outlook
Updated 19 August 2025

Fitch says Pakistan’s banks to gain from improving economic outlook

Fitch says Pakistan’s banks to gain from improving economic outlook
  • Ratings agency cites easing inflation, stronger growth, currency stability
  • Notes risks remain tied to sovereign credit profile and pace of reforms

ISLAMABAD: Pakistan’s banks are set to benefit from better opportunities to generate business volumes due to improving operating conditions amid receding macroeconomic headwinds, Fitch Ratings said in its latest report. 

Pakistan’s economy has shown signs of stabilization in recent months after securing a $7 billion International Monetary Fund (IMF) bailout program in September 2024, which helped restore investor confidence. Ratings agencies have since upgraded the country’s sovereign credit profile, citing fiscal reforms, lower inflation, and easing external pressures.

“Pakistan’s banks are set to benefit from better opportunities to generate business volumes due to improving operating conditions amid receding macroeconomic headwinds,” Fitch Ratings said, adding that the view was reinforced by the country’s improved sovereign credit profile following its upgrade of Pakistan’s Long-Term Issuer Default Rating to ‘B-’/Stable from ‘CCC+’ in April 2025.

Fitch said Pakistan’s economic recovery comes after “a period of significant turmoil and high inflation,” with real GDP growth expected to accelerate to 3.5 percent by 2027 from 2.5 percent in 2024.

“Consumer price inflation eased to 4.1 percent in July 2025 from its peak of 38 percent in May 2023, and we expect it to average around 5 percent in 2025,” the ratings agency noted.

The statement pointed to monetary easing and currency stability as drivers of recovery:

“The halving of the policy rate since May 2024 to 11 percent and a stabilizing external position, evident in lower currency volatility and current account surpluses, should support this recovery.”

Fitch said that while lower rates and a steadier macroeconomic environment should stimulate private credit demand and reduce banks’ dependence on lending to the public sector, risks remain.

“The banks’ intrinsic creditworthiness will likely remain closely linked to the sovereign and the pace of economic reform in the near term given their significant holdings of sovereign securities and loan exposures to state-linked entities.”

Pakistani banks have posted resilient results despite recent challenges, the agency added.

“The sector’s impaired loan ratio improved to 7.1 percent by March 2025 from 7.6 percent at end-2023, driven by strong loan growth of 26 percent amid high inflation.”

Return on average equity has “normalized to 20 percent in 1Q25, from around 27 percent in 2023,” while capital adequacy reached “a decade-high of 21 percent by March 2025.”

Fitch said that most large Pakistani banks “are well-positioned to navigate the transition to a more normalized operating environment of lower interest rates, although structural challenges persist.”


Pakistan continues to dispatch relief goods to flood-hit northwestern districts as over 350 killed

Pakistan continues to dispatch relief goods to flood-hit northwestern districts as over 350 killed
Updated 58 min 7 sec ago

Pakistan continues to dispatch relief goods to flood-hit northwestern districts as over 350 killed

Pakistan continues to dispatch relief goods to flood-hit northwestern districts as over 350 killed
  • Hundreds killed and injured in Khyber Pakhtunkhwa province in latest spell of rains that started last week
  • United States expresses ‘deep sorrow’ over loss of life in recent Pakistan floods via social media message

ISLAMABAD: Pakistan’s National Disaster Management Authority (NDMA) on Tuesday said it had dispatched relief goods to flood-affected districts of Khyber Pakhtunkhwa province as monsoon rains continue to wreak havoc in the north of the country.

Since late June, heavy monsoon rains have killed at least 660 people across Pakistan, damaged infrastructure and triggered flash floods and landslides in the country’s mountainous north, according to official data. The Provincial Disaster Management Authority (PDMA) said late Tuesday that at least 358 people had died and 181 were injured in Khyber Pakhtunkhwa in the latest spell of rains that began last week.

It said Buner district was the worst-hit, with 225 deaths. Fatalities across the province included 287 men, 41 women and 30 children, while 780 houses were damaged, nearly half of them completely destroyed.

“NDMA’s dispatch of relief goods for flood-affected areas of Khyber Pakhtunkhwa is continuing,” the authority said in a statement. “This morning, two separate consignments were sent for Swat and Shangla.”

The consignments include tents, blankets, generators, dewatering pumps, ration bags and medicines, the NDMA said, adding that the goods would be handed over to district administrations for distribution among affected people.

The agency said it was working with the armed forces and welfare organizations to ensure timely delivery of relief supplies to flood-hit areas of Khyber Pakhtunkhwa and Gilgit-Baltistan.

“NDMA is in constant contact with all concerned civil and military institutions,” it added.

Changing climate has made residents of northern Pakistan’s river-carved mountainous areas more vulnerable to sudden, heavy rains.

More than 150 people were still missing in Buner after Friday’s flash floods. The NDMA has issued alerts for further flooding, with new rains forecast in many parts of the country through Aug. 21.

The United States on Tuesday expressed its “deep sorrow” over the loss of life and destruction caused by the flooding in a social media post.

Several other countries, including Russia and Gulf states, have also conveyed condolences to Pakistan.


Over 150 people are still missing after devastating flooding in northwest Pakistan

Over 150 people are still missing after devastating flooding in northwest Pakistan
Updated 19 August 2025

Over 150 people are still missing after devastating flooding in northwest Pakistan

Over 150 people are still missing after devastating flooding in northwest Pakistan
  • Government has said the sudden downpours were so intense that the deluge struck before residents could be warned
  • Higher-than-normal monsoon rains since June 26 have killed at least 645 people across Pakistan, with 400 deaths in northwest

PESHAWAR, Pakistan: Anguished Pakistanis searched remote areas for bodies swept away by weekend flash floods as the death toll reached 277 on Monday, while one official replied to the lack of evacuation warnings by saying people should have built homes elsewhere.

A changing climate has made residents of northern Pakistan’s river-carved mountainous areas more vulnerable to sudden, heavy rains.

More than 150 people were still missing in the district of Buner in Khyber Pakhtunkhwa province after Friday’s flash floods.

Villagers have said there had been no warning broadcast from mosque loudspeakers, a traditional method for alerting emergencies in remote areas. The government has said the sudden downpour was so intense that the deluge struck before residents could be informed.

Emergency services spokesman Mohammad Suhail said three bodies were found on Monday. The army has deployed engineers and heavy machinery to clear the rubble.

On Sunday, provincial chief minister Ali Amin Gandapur said many deaths could have been avoided if residents had not built homes along waterways. He said the government would encourage displaced families to relocate to safer areas, where they would be assisted in rebuilding homes.

Residents said they were not living near streams, yet the flood swept through their homes. In Buner’s Malak Pur village, Ikram Ullah, aged 55, said people’s ancestral homes were destroyed even though they were not near the stream, which emerged in the area because of the flood. He said large boulders rolled down from mountains with the flood.

In flood-hit Pir Baba village, Shaukat Ali, 57, a shopkeeper whose grocery store was swept away, said his business was not near a river or stream but had stood for years alongside hundreds of other shops in the bazar. “We feel hurt when someone says we suffered because of living along the waterways,” Ali told The Associated Press.

Pakistan has seen higher-than-normal monsoon rains since June 26 that have killed at least 645 people across the country, with 400 deaths in the northwest. The National Disaster Management Authority issued an alert for further flooding after new rains began Sunday in many parts of the country.

In a statement, the military said the Pakistan Air Force played a key role in flood relief operations by airlifting 48 tons of NGO-provided relief goods from the port of Karachi to Peshawar, the regional capital. It said the air force established an air bridge to ensure the swift delivery of supplies.

On Monday, torrential rains triggered a flash flood that struck Darori village in northwestern Swabi district, killing 15 people, government official Awais Babar said.

He said rescuers evacuated nearly 100 people, mostly women and children, who had taken refuge on the roofs of homes. Disaster management officials said the floods inundated streets in other districts in the northwest and in Pakistan-administered Kashmir.

Prime Minister Shehbaz Sharif chaired a high-level meeting Monday to review relief efforts in flood-hit areas of Khyber Pakhtunkhwa as well as northern Gilgit-Baltistan and Pakistan-administered Kashmir.

At the meeting, officials estimated flood-related damages to public and private property at more than 126 million rupees ($450,000), according to a government statement.

The UN humanitarian agency said it had mobilized groups in hard-hit areas where damaged roads and communication lines have cut off communities. Relief agencies were providing food, water and other aid.

Flooding has also hit India-administered Kashmir, where at least 67 people were killed and dozens remain missing after flash floods swept through the region during an annual Hindu pilgrimage last week.

In 2022, catastrophic floods linked to climate change killed nearly 1,700 people in Pakistan and left hundreds of thousands homeless.