Pakistan’s trade deficit widens 46% year on year in September

Pakistan’s trade deficit widens 46% year on year in September
A view of shipping containers at a warehouse yard near the port area in Karachi, Pakistan, on July 31, 2025. (REUTERS/File)
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Pakistan’s trade deficit widens 46% year on year in September

Pakistan’s trade deficit widens 46% year on year in September
  • Trade deficit increased by $1.05 billion from $2.29 billion in the same month last year
  • Pakistan’s top imports included petroleum products, machinery, gas, steel and cotton

ISLAMABAD: Pakistan’s trade deficit widened 46% in September to $3.34 billion as imports outpaced exports, the country’s statistics bureau said on Thursday, adding pressure on the country’s foreign exchange reserves.

The development comes as the cash-strapped country struggles to stabilize its foreign exchange reserves, amid looming debt repayments and limited avenues of fresh inflows. The total liquid reserves held by the country stood at $19.80 billion as of September 26, according to the State Bank of Pakistan.

The latest data from the Pakistan Bureau of Statistics (PBS) revealed that the trade deficit had increased by $1.05 billion, compared to $2.29 billion in the same month last year.

“Last month, the country’s imports surged 14% to $5.85 billion vs $5.13 billion last year,” the PBS said in its report. “Exports declined 12% to $2.5 billion vs $2.84 billion year earlier.”

The trade gap widened 33% to $9.37 billion in the third quarter of 2025, compared to $7.05 billion in the same period last year, according to the report. Pakistan’s exports fell 4% from $7.91 billion to $7.6 billion on a quarterly basis, while imports surged 13.5% from $14.9 billion to $16.9 billion.

The trade gap underscores structural weaknesses in Pakistan’s export base, dominated by low value-added textiles, while the country remains heavily reliant on costly fuel and machinery imports. The South Asian nation remains heavily reliant on foreign petroleum products, importing $17.9 billion in FY2024-25, almost equal to its textile export earnings.

Pakistan’s top exports this year included knitwear, readymade garments, bedwear, cotton, cloth, rice, towels, made-up articles, fruits, cotton yarn and basmati rice, according to the PBS. Items imported during the same period were petroleum products, crude oil, palm oil, electric machinery and apparatus, plastics, iron and steel, liquified natural gas, mobile phones and raw cotton.


India downed five F-16, JF-17 Pakistani jets in May conflict, says Indian air force chief

India downed five F-16, JF-17 Pakistani jets in May conflict, says Indian air force chief
Updated 5 sec ago

India downed five F-16, JF-17 Pakistani jets in May conflict, says Indian air force chief

India downed five F-16, JF-17 Pakistani jets in May conflict, says Indian air force chief
  • Pakistan has said it shot down six Indian fighter jets during the conflict, including the French-made Rafale
  • The fighting, the worst between the old foes in decades, in May was sparked by an attack in disputed Kashmir

NEW DELHI: India downed five Pakistani fighter jets of the F-16 and JF-17 class during the intense fighting between the nuclear-armed neighbors in May, Indian Air Force Chief Amar Preet Singh said on Friday.

Although Singh had previously said that five Pakistani fighter jets and another military aircraft were shot down during the conflict, this is the first time New Delhi has mentioned the class of jets in public.

“As far as air defense part is concerned, we have evidence of one long range strike...along with that five fighters, high-tech fighters between F-16 and JF-17 class, our system tells us,” Singh told reporters at the Indian Air Force annual day press conference.

The F-16 is a US-made fighter jet while the JF-17 is of Chinese origin.

Pakistan’s military did not immediately respond to a Reuters request for comment.

Pakistan has said it shot down six Indian fighter jets during the conflict, including the French-made Rafale. India has acknowledged some losses but denied losing six aircraft.

On Friday, Singh declined to respond to questions on Pakistan’s claim of downing Indian jets.

The May fighting, the worst between the old foes in decades, was sparked by an attack on tourists in Indian-administered Kashmir, which New Delhi said was backed by Pakistan.

Both sides used fighter jets, missiles, artillery and drones during the four-day conflict, killing dozens of people, before agreeing to a ceasefire.

Islamabad denied involvement in the Kashmir attack, which killed 26 men and was the worst assault on civilians in India since the Mumbai attacks in 2008.

India said in July that three “terrorists” involved in the attack had been killed, and there was “lot of proof” that they were Pakistanis.

Pakistan’s foreign ministry had questioned the credibility of India’s account of the events, saying it was “replete with fabrications.”

Ties between the countries, which have fought two of their three wars over the Himalayan region of Kashmir, have been downgraded since the attack, with the impact being felt in areas ranging from trade and travel to sports.

India has also kept in abeyance a key water-sharing treaty — a move Pakistan termed an “act of war.”


Pakistan engages European country to retrieve ex-senator captured in Israeli raid on Gaza aid flotilla

Pakistan engages European country to retrieve ex-senator captured in Israeli raid on Gaza aid flotilla
Updated 03 October 2025

Pakistan engages European country to retrieve ex-senator captured in Israeli raid on Gaza aid flotilla

Pakistan engages European country to retrieve ex-senator captured in Israeli raid on Gaza aid flotilla
  • More than 400 people were aboard the vessels that were part of the flotilla halted by the Israeli navy late Wednesday
  • The Israeli obstruction has sparked global protests over delivery of aid to Gaza, where UN reports famine conditions

ISLAMABAD: Pakistan has engaged a European country to secure the release of a former Pakistani senator, Mushtaq Ahmed Khan, from Israel after he was captured from an aid flotilla that was enroute to Gaza, the Pakistani foreign minister said on Friday.

Israeli forces this week intercepted the Global Sumud Flotilla carrying humanitarian aid and activists from around the world, including Swedish campaigner Greta Thunberg and the former Pakistani senator, to the besieged Palestinian territory.

Demonstrators took to the streets from Europe to Australia and South America to condemn the interception of the aid flotilla, which set sail from Barcelona last month to challenge Israel’s blockade of Gaza where the United Nations reports famine conditions after nearly two years of war.

Pakistan’s foreign office condemned the obstruction of the fleet and said it was working with international partners to secure the release of its citizens, with Prime Minister Shehbaz Sharif applauding their “dignified participation” and calling for their immediate return.

“Of the 45 vessels, they have captured 22 ships and detained all their passengers... According to our information, Senator Mushtaq sahib, who is a former senator from Jamaat e Islami... he is among them,” Pakistani Foreign Minister Ishaq Dar told parliament on Friday.

“We have engaged a European third country, which is influential, we are using their diplomatic process. We have asked them to contact there (Israel) and have our senator immediately released.”

More than 400 people were aboard the vessels that were part of the flotilla halted by the Israeli navy late Wednesday and prevented from reaching the coastal territory. Several hundred protesters marched outside the Irish parliament on Thursday in Dublin, where support for the Palestinian cause has often been compared to Ireland’s centuries-long struggle against British colonial rule.

Around 15,000 people marched through Barcelona in protest at Israel’s actions, according to the municipal police force in Spain’s second city, chanting slogans including “Gaza, you are not alone,” “Boycott Israel” and “Freedom for Palestine.” Protests were also held in Berlin, The Hague, Tunis, Brasilia and Buenos Aires.

Dar said the European country, which he declined to name, has assured them they would inform about the well-being of ex-senator Khan by Sunday.

“I and the entire foreign ministry is engaged with them and we are trying to have all Pakistanis exited safe and sound and respectfully from there (Israel) as soon as possible,” he said.

Gaza has faced a significant humanitarian crisis since Israel imposed a blockade in March, severely restricting access to food, water and medical supplies. Aid agencies and the UN have warned of mass starvation and rising child malnutrition in the Palestinian enclave, home to around 2 million people, where only a few humanitarian trucks have been allowed in.

The Global Sumud Flotilla, which set sail in late August, was transporting medicine and food to Gaza and consisted of more than 40 civilian vessels with about 500 parliamentarians, lawyers and activists. It was the latest sea-borne attempt to break Israel’s blockade of Gaza, much of which has been turned into a wasteland by almost two years of war that has killed over 65,000 Palestinians.


Islamabad, Riyadh to forge partnership in AI and cybersecurity

Islamabad, Riyadh to forge partnership in AI and cybersecurity
Updated 03 October 2025

Islamabad, Riyadh to forge partnership in AI and cybersecurity

Islamabad, Riyadh to forge partnership in AI and cybersecurity
  • is developing its health, education, IT and other sectors under Vision 2030, while Pakistan aims to launch 50,000 AI-driven projects in five years
  • The Pakistani IT minister also attended Global Cybersecurity Forum 2025 in Riyadh that seeks to strengthen global cyber resilience, advance impactful initiatives

ISLAMABAD: Pakistan and plan to forge a partnership in the fields of artificial intelligence (AI) and cybersecurity, Pakistani state media reported on Friday.

The report came after Pakistani IT and Telecommunication Minister Shaza Fatima Khawaja’s meeting with President of Saudi Data and Artificial Intelligence Authority (DAIA) Dr. Abdullah bin Sharaf Al-Ghamdi in Riyadh.

The two figures discussed promoting enhanced bilateral cooperation under the framework of Saudi Vision 2030 and Pakistan’s National AI Policy 2025, the state-run Radio Pakistan broadcaster reported.

“The parties discussed leveraging ’s ‘One Million Saudis in AI’ model to build capacity in artificial intelligence and emphasized mutual cooperation in the goal of training one million AI professionals in Pakistan,” the broadcaster reported.

is consolidating its economy on modern lines under the Vision 2030, which is a strategic development framework intended to cut the Kingdom’s reliance on oil. It is aimed at developing public service sectors in the Kingdom such as health, education, infrastructure, information technology (IT), recreation and tourism.

In July, Pakistan’s federal cabinet approved the National AI Policy 2025 to democratize artificial intelligence, aiming to enhance public services and generate employment opportunities for the youth.

The national policy also aims to create 50,000 AI-driven civic projects and 1,000 local AI products in the next five years, according to Pakistani state media. The government intends to make the use of AI inclusive through the distribution of 3,000 annual AI scholarships and facilitate 1,000 research projects, the state media said.

Pakistan and have close religious, cultural, diplomatic and strategic ties, particularly in trade and defense. The Kingdom is home to over two million Pakistani expatriates, who are the largest source of remittances to the South Asian country.

Prior to her meeting with the DAIA chief, Khawaja represented Pakistan at the Global Cybersecurity Forum 2025 in Riyadh. The initiative seeks to strengthen global cyber resilience by advancing international collaboration, purposeful dialogue and impactful initiatives.

“She emphasized Pakistan’s vision for secure digital transformation, cyber capacity building, and international tech cooperation,” Radio Pakistan reported.


Security forces kill seven Pakistani Taliban militants in restive Balochistan province — military

Security forces kill seven Pakistani Taliban militants in restive Balochistan province — military
Updated 03 October 2025

Security forces kill seven Pakistani Taliban militants in restive Balochistan province — military

Security forces kill seven Pakistani Taliban militants in restive Balochistan province — military
  • The militants were killed during an intelligence-based operation in Balochistan’s Sherani district
  • The region has been the site of a long-running insurgency that has intensified in recent months

KARACHI: Pakistani security forces have killed seven Pakistani Taliban militants in the southwestern Balochistan province, the military said on Friday.

The militants were killed during an intelligence-based operation in Balochistan’s Sherani district, according to the Inter-Services Public Relations (ISPR), the military’s media wing.

Weapons, ammunition and explosives were recovered from the deceased, who the ISPR said remained actively involved in “numerous terrorist activities.”

“Sanitization operation is being conducted to eliminate any other terrorist found in the area,” the ISPR said in a statement.

Balochistan, Pakistan’s largest but most impoverished province, has been the site of a long-running insurgency that has intensified in recent months, with separatist militants frequently attacking security forces, government officials and installations and people from other provinces.

Apart from separatist outfits, religiously motivated groups such as the Pakistani Taliban and Daesh also maintain presence in the restive southwestern region that is home to major Chinese investments, including a deep seaport as well as gold and copper mines.

The Sherani operation comes days after security forces killed 13 militants in two separate operations in the province, Pakistan’s interior minister Mohsin Naqvi said, blaming what he called “Indian-sponsored terrorists” for unrest in the region.

In recent months, Islamabad has frequently accused Afghanistan of allowing the use of its soil and India of backing militant groups for attacks against Pakistan. Kabul and New Delhi both deny the allegation.


Government, protesters talks fail to break impasse after Azad Kashmir unrest kills nine

Government, protesters talks fail to break impasse after Azad Kashmir unrest kills nine
Updated 03 October 2025

Government, protesters talks fail to break impasse after Azad Kashmir unrest kills nine

Government, protesters talks fail to break impasse after Azad Kashmir unrest kills nine
  • Protesters are demanding an end to special allowances for government officials, ending 12 seats reserved for migrants, and royalty for hydel power projects
  • Days of unrest has paralyzed life in the territory, prompting Pakistan PM Shehbaz Sharif to send representatives to join the regional government in talks to end the crisis

ISLAMABAD: A high-level Pakistani government delegation on Thursday held the first round of talks with a civil rights alliance in Azad Kashmir, officials said, after days of unrest that has claimed lives of at least nine people.

The development comes amid tense situation in the disputed northern region following calls for a ‘lockdown’ by the Jammu Kashmir Joint Awami Action Committee (JKJAAC) since Sept. 29, seeking removal of perks for government officials, ending 12 seats in the regional assembly reserved for Kashmiri migrants who came from the Indian-side of the territory, and royalty for hydel power projects.

The protests have turned violent over the course of the last four days as protesters and police came face to face and clashed at various locations, with authorities confirming killing of six people and three policemen. JKJAAC leaders this week accused the government of reneging on promises and said at least 12 of their supporters have been killed, claims denied by the regional government.

On Thursday, Pakistan Prime Minister Shehbaz Sharif expressed concern over the situation and tasked a negotiations committee with reaching out to the protesters and resolving the issue. The committee includes Senator Rana Sanaullah, federal ministers Sardar Yousaf and Ahsan Iqbal, former AJK president Masood Khan and Qamar Zaman Kaira.

“I will particularly request the Joint Action Committee leadership and the people of Azad Jammu and Kashmir that we should keep the regional and global situation in view amid this crisis,” Iqbal told state TV, following the first round of talks that failed to break the impasse.

“Our enemy country will not waste a single second in capitalizing on a crisis situation in our country. And we should avoid lighting a fire through which our enemy can benefit and tarnish the image of Pakistan, cause unrest in Pakistan or the loss of life and property of the people.”

Iqbal’s statement was a reference to India. Kashmir is divided between India and Pakistan since their independence from British rule in 1947. Both claim the territory in its entirety, but rule in part. 
Azad Kashmir is the part administered by Pakistan.

“We, the members of the [JKJAAC] core committee, will hold consultations and then we will make a decision,” Shaukat Nawaz Mir, a senior JKJAAC member, told reporters after the first round of talks in Muzaffarabad, which included representatives of the Pakistani and Azad Jammu and Kashmir (AJK) regional governments.

The development a day after AJK PM Chaudhry Anwar ul Haq appealed for an end to protests organized by JKJAAC, saying the government is ready to talk to the protesters.

“For resolving any conflict, the best and most well-known way in the world, which has been used continuously and will continue to be used, is through dialogue,” he said at a presser.

“The government is ready to talk to you [JKJAAC], your legitimate demands will be resolved as soon as possible. The path of violence will only go toward the loss of human lives.”

The call for dialogue came as shutter-down and wheel-jam strikes disrupted public life in the territory, with protesters and police clashing in various areas.

In May 2024, a similar wave of protests paralyzed the region. After six days of strikes and violent clashes that left at least four dead, PM Sharif approved a grant of Rs 23 billion ($86 million) for subsidies on flour and electricity, and a judicial commission to review elite privileges.

Protest leaders suspended their campaign at that time but warned that failure to implement the package would fuel fresh unrest.