PM Sharif offers facilitation to Japanese investors as Pakistan seeks foreign capital

PM Sharif offers facilitation to Japanese investors as Pakistan seeks foreign capital
Prime Minister Shehbaz Sharif meeting with Japanese investors in Islamabad, Pakistan, on August 27, 2025. (PMO)
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PM Sharif offers facilitation to Japanese investors as Pakistan seeks foreign capital

PM Sharif offers facilitation to Japanese investors as Pakistan seeks foreign capital
  • Shehbaz Sharif made the offer in a meeting with a senior Japan Bank for International Cooperation official
  • Japan has been a major development partner, financing infrastructure projects and providing yen loans

ISLAMABAD: Pakistan on Wednesday offered facilitation to Japanese banks and investors, with Prime Minister Shehbaz Sharif telling the Director General of Mining and Metal Finance at the Japan Bank for International Cooperation that his government would extend “all possible support” to boost investment in key sectors.

The offer comes as Pakistan steps up economic diplomacy to expand trade ties and attract foreign capital after emerging from a prolonged financial crisis that nearly pushed it into default in mid-2023.

Islamabad has since set up the Special Investment Facilitation Council (SIFC), a civil-military body designed to cut red tape and provide a one-window operation for businesses.

“Pakistan and Japan have a long history of cooperation in industry and trade, and both countries are determined to renew their economic partnership,” the prime minister said during a meeting with the visiting Japanese official, Taro Kato, according to a statement from his office.

“Pakistan will provide every possible facilitation to Japanese investors and banks investing in the country,” he continued. “In agriculture, IT, textiles and other sectors, Pakistan can benefit considerably from Japanese innovation and professional expertise.”

Sharif added that global financial institutions and international investors were showing strong interest in Pakistan’s major economic and development projects, pointing to the country’s cost-effective labor market and his government’s commitment to making Pakistan a safe destination for investment.

Kato thanked the Pakistani government for its hospitality and conveyed Japanese investors’ growing interest in economic projects in Pakistan, expressing hope to further expand cooperation.

Pakistan and Japan established diplomatic and economic relations in 1952.

Since then, Japan has been a major development partner, financing infrastructure such as roads, power plants and water systems, while extending technical assistance and yen loans.

Earlier this month, in a meeting in Tokyo, the two sides agreed to deepen industrial cooperation, particularly in the automotive and IT sectors, with Japan emphasizing the need for regulatory clarity and incentives to encourage new investments.


UAE gallery honors Sadequain, Pakistan’s legendary calligrapher-painter, with Dubai exhibition

UAE gallery honors Sadequain, Pakistan’s legendary calligrapher-painter, with Dubai exhibition
Updated 27 August 2025

UAE gallery honors Sadequain, Pakistan’s legendary calligrapher-painter, with Dubai exhibition

UAE gallery honors Sadequain, Pakistan’s legendary calligrapher-painter, with Dubai exhibition
  • ‘The Holy Sinner’ exhibition runs Aug. 26–31 at Noor Royal Gallery, Jumeirah
  • Sadequain produced Pakistan’s most iconic artworks, including large-scale murals

ISLAMABAD: Pakistani artist Sadequain’s work is being showcased at an exhibition titled “The Holy Sinner” in the United Arab Emirates (UAE) from Aug. 26 to 31, state media reported this week.

Widely regarded as one of Pakistan’s most celebrated painters, calligraphers and muralists, Sadequain, who died in 1987, was known for his bold murals, intricate calligraphy and evocative portrayals of spiritual and existential themes.

He produced some of the country’s most iconic public artworks, including large-scale murals in Lahore, Karachi and Islamabad, and is credited with revitalizing Islamic calligraphy by blending classical tradition with modernist expression.

“A distinctive exhibition featuring the works of Pakistan’s legendary artist Sadequain has kicked off at the Noor Royal Gallery in Jumeirah 2, Dubai,” the Associated Press of Pakistan (APP) said in a report on Tuesday.

“According to a press release, the exhibition is a tribute to the artist’s unique blend of spiritual themes and modern artistic expression.”

The report quoted the Noor Royal Gallery as describing the exhibition as “a homage to Sadequain’s genius,” offering art enthusiasts, collectors and scholars in the UAE to engage with his legacy.

Sadequain’s works have fetched high prices in the international art market.

According to Pakistan’s Dawn newspaper, his 1968 painting “Crucifixion” sold for a record £118,750 (Rs16 million) at a 2017 auction in London.


Iran says killed 13 militants in restive province bordering Pakistan

Iran says killed 13 militants in restive province bordering Pakistan
Updated 27 August 2025

Iran says killed 13 militants in restive province bordering Pakistan

Iran says killed 13 militants in restive province bordering Pakistan
  • Iranian state TV says suspects were behind Friday ambush that killed five policemen
  • Attack was claimed by Jaish Al-Adl, militant group operating in Sistan-Baluchistan

TEHRAN: Iranian forces have killed 13 militants in a raid in the restive southeast, state media reported Wednesday, adding they were members of a group suspected of a recent deadly attack on police.

“So far, 13 terrorists have been killed and a number of others arrested” in Sistan-Baluchistan province, the Revolutionary Guards said in a statement carried by state television.

It said operations were carried out in the cities of Iranshahr, Khash and Saravan.

The broadcaster said that some of those killed were suspected of being behind an ambush reported on Friday that killed five policemen in Iranshahr.

Sistan-Baluchistan, which borders Pakistan and Afghanistan, has long been a flashpoint for clashes between security forces and armed groups, including drug traffickers and separatists.

Home to a large Sunni Muslim Baluch community, the province is one of the poorest regions of Shiite-majority Iran.

Militant group Jaish Al-Adl (Army of Justice) claimed responsibility for last week’s ambush in a post on the Telegram messaging app.

Iran regularly reports deadly attacks in the province targeting police or Revolutionary Guards, the ideological arm of Iran’s military.

Authorities blame militant groups, including Jaish Al-Adl, for such attacks.

On Saturday, Iranian forces killed six militants in another raid in the province, saying they were members of a group linked to arch enemy Israel.


Pakistan secures $6 billion funding package for Reko Diq mine project — state media 

Pakistan secures $6 billion funding package for Reko Diq mine project — state media 
Updated 27 August 2025

Pakistan secures $6 billion funding package for Reko Diq mine project — state media 

Pakistan secures $6 billion funding package for Reko Diq mine project — state media 
  • Radio Pakistan reports US, Japan, ADB, World Bank among backers of Balochistan mining scheme
  • Government sees project as economic lifeline despite continuing separatist insurgency, security risks

ISLAMABAD: Pakistan’s state broadcaster reported on Wednesday the country had secured $6 billion in international funding for the Reko Diq copper and gold mines in the country’s restive Balochistan province, a project officials describe as an economic lifeline but one dogged by security challenges.

Located in Pakistan’s largest and poorest province, Reko Diq is among the world’s biggest untapped deposits of copper and gold. The project is expected to generate approximately $74 billion in free cash flow over the next 37 years.

Long stalled by legal disputes and political wrangling, the project was revived after a 2022 settlement with Canada’s Barrick Gold. Islamabad has since touted the mine as a potential driver of growth and foreign exchange earnings in an economy heavily burdened by debt and reliant on IMF support.

“The required funds for Reko Diq project have been approved with the support of Special Investment Facilitation Council,” Radio Pakistan reported, referring to a special civil-military body that oversees foreign investments. 

“The United States, Japan and other international financial institutions have announced funding of six billion dollars for Reko Diq project. Out of the total six billion dollars funding, 1.5 billion dollars have already been approved by Asian Development Bank and World Bank.”

While the funding marks a breakthrough for Pakistan’s mining sector and overall economic development, the project’s location underscores the security and political challenges that have long dogged investment in the province.

Balochistan, which borders Iran and Afghanistan, has for decades faced a separatist insurgency. Armed groups have repeatedly attacked government facilities, the military, and infrastructure tied to foreign investment, including Chinese projects under the multi-billion-dollar China-Pakistan Economic Corridor. Insurgents say they are fighting for greater control over the province’s resources and for independence, while the state has described such attacks as terrorism threatening national stability.

Authorities in Islamabad view Reko Diq as a flagship investment that could transform Pakistan’s resource sector. Officials say revenues from the mine would help stabilize public finances, bolster exports, and reduce dependence on costly fuel imports, while also signaling to global investors that Pakistan remains open for business despite persistent security threats.

Barrick Gold owns a 50 percent stake in the Reko Diq mine and the governments of Pakistan and the province of Balochistan own the other 50 percent. Barrick considers the mine one of the world’s largest underdeveloped copper-gold areas.

The project is expected to start production by the end of 2028 and will produce 200,000 tons of copper per year in its first phase, with an estimated cost of $5.5 billion. The first phase is expected to be completed by 2029, Barrick’s CEO Mark Bristow told Pakistani digital media outlet Dawn News English in January. 

A second phase, estimated to cost $3.5 billion, will double production, he added.

The mine is estimated to have reserves lasting 37 years but Bristow said that through upgrades and expansions it could potentially be mined for much longer.


Pakistan condemns ‘unconscionable’ Gaza hospital strike, urges Israel’s accountability

Pakistan condemns ‘unconscionable’ Gaza hospital strike, urges Israel’s accountability
Updated 27 August 2025

Pakistan condemns ‘unconscionable’ Gaza hospital strike, urges Israel’s accountability

Pakistan condemns ‘unconscionable’ Gaza hospital strike, urges Israel’s accountability
  • The double airstrike medical facility killed 21 people, including journalists and rescue workers
  • Pakistan also slams Israel’s military actions in Syria, calling them violations of international law

ISLAMABAD: Pakistan on Wednesday condemned Israel’s “unconscionable” attack on Nasser Hospital in Khan Younis and called on the international community to hold it accountable for its military campaign in Gaza and the wider region.

A double Israeli airstrike on Nasser Hospital on August 25 killed 21 people, including journalists and rescue workers, sparking outrage globally and renewed scrutiny of the targeting of civilians and medical facilities.

The strike prompted criticism from the United Nations, rights groups and foreign governments who called for independent investigations and protection of humanitarian zones in the war-battered Palestinian territory.

“Pakistan strongly condemns the deadly Israeli airstrikes on Nasser Hospital in Khan Younis, Gaza, which claimed the lives of at least 21 individuals, including four journalists and a rescue worker,” the foreign office said in a statement.

“This unconscionable and heinous attack on a medical facility, as well as the continued targeting of civilians and journalists, represents a grave violation of international human rights and humanitarian law, as well as freedom of the press,” it added.

The statement also condemned Israel’s military actions in Syria as a violation of international law and reaffirmed its support for the sovereignty, independence and territorial integrity of Syria, urging global efforts to prevent regional instability.

Syria mentioned Israel’s “military incursion” in the southwestern Damascus countryside on Monday, pointing out it could jeopardize regional peace. Subsequently, Syrian state media noted six army officers were also killed in Israeli drone strikes.

The region has remained in the grip of escalating tensions since the war in Gaza started in October 2023, with more than 62,000 Palestinians killed, many of them women and children.

The situation in the Palestinian enclave has also led to fears of famine amid Israeli blockades of humanitarian aid.

International bodies and human rights groups say Israel has been committing widespread human rights violations, including using starvation as a weapon of war, as they blame it for committing a Palestinian genocide.

Pakistan has long called for an immediate ceasefire in Gaza and advocates for a two-state solution, supporting the establishment of an independent Palestinian state within pre-1967 borders with East Jerusalem as its capital.


Pakistan launches new energy vehicle policy to boost EV adoption

Pakistan launches new energy vehicle policy to boost EV adoption
Updated 27 August 2025

Pakistan launches new energy vehicle policy to boost EV adoption

Pakistan launches new energy vehicle policy to boost EV adoption
  • Policy sets 30% EV sales target by 2030, with subsidies for two- and three-wheelers and levy on petrol vehicles to fund shift
  • Plans 3,000 charging stations nationwide by 2030, new tariff for fast charging and federal fleet to fully switch to EVs after 2027

ISLAMABAD: Pakistan this week launched a New Energy Vehicle (NEV) Policy 2025–2030, an ambitious plan to cut emissions, lower oil imports and use surplus power by pushing a shift from petrol to electric mobility.

Pakistan introduced its first EV policy in 2019 but fell short of targets due to weak implementation and COVID-19 disruptions. The new policy notes that electric vehicles have risen from just 567 in 2021 to more than 80,000 by June 2025, driven mainly by two- and three-wheelers. By July 2025, 65 manufacturers had secured certificates for local assembly of electric bikes and rickshaws, while two companies had approvals for electric cars and SUVs

Still, uptake has been slow compared to other countries. Analysts and officials cite high upfront costs, limited charging stations, and tight financing rules as barriers. The government says NEVs are vital for reducing transport emissions, which make up about 10% of Pakistan’s carbon output, and for cutting a $16 billion annual oil import bill.

“The New Energy Vehicles (NEV) Policy 2025-30 aims at reduction of vehicular emissions, improvement of air quality, enhancing the productive use of excess electricity generation capacity in the system and lowering oil import,” according to a copy of the policy available with Arab News. 

SUBSIDIES AND DEMAND PUSH

The policy introduces a cost-sharing scheme to reduce the price gap with conventional vehicles. 

Subsidies will initially cover Rs65,000 ($230) for two-wheelers and Rs400,000 ($1,420) for three-wheelers, while four-wheelers and commercial vehicles will be supported up to Rs15,000 ($53) per kilowatt-hour of battery capacity or five percent of invoice value, whichever is lower.

“In line with global practices, Pakistan will incentivize demand for NEV with a thrust on faster adoption of intra-city two- and three-wheelers as these mainly serve low-income groups and constitute around 87% of the vehicle population,” the policy says.

CHARGING NETWORK

The plan envisions 3,000 charging stations by 2030, with 40 fast chargers on motorways and highways within six months. Oil marketing companies must convert 10% of their filling stations into EV charging sites, while a new national tariff of Rs39.7 ($0.14) per kWh has been fixed for commercial charging.

PAYING FOR THE TRANSITION

To fund subsidies and infrastructure, the government will impose a levy on petrol and diesel vehicles. 

“A levy on the first sale and import of internal combustion engine vehicles will be imposed through an Act of Parliament,” the policy states, adding that revenues will be ring-fenced to finance the NEV program.

The levy is projected to raise about Rs122 billion ($430 million) during the policy period.

BROADER TARGETS

The policy sets a goal of 30% of all new vehicle sales as NEVs by 2030, rising to 50% by 2040 and a net-zero transport fleet by 2060. 

Islamabad will be designated a model “electric mobility city,” with provinces encouraged to replicate it. 

From 2027, all federal government purchases of two- and three-wheelers must be electric, with only NEVs to be bought for official use thereafter.

Officials say the measures could avoid 4.5 million tones of carbon dioxide emissions by 2030 and open opportunities for new industries, from battery assembly to software and Internet-of-things applications in transport.