Economic downturn forces top Pakistani startup to cease operations

The undated photo shows a bus of Pakistani quick commerce startup, Airlift. (Social media)
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Updated 13 July 2022
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Economic downturn forces top Pakistani startup to cease operations

  • Startup said it would ensure its employees were provided salaries for the months of July and August 
  • A few Pakistani startups last month restricted their services and laid off workers

ISLAMABAD: A top Pakistani quick commerce startup, Airlift, confirmed on Tuesday it was shutting down operations in light of the recent economic downturn and global recession spurned on by sluggish commercial activity and soaring fuel prices. 

The South Asian country’s startups have been reeling from the recent surge in fuel prices. Pakistan has increased the price of petroleum products four times in less than two months, partly to revive its suspended deal with the International Monetary Fund (IMF). 

Last month, Pakistani startup player Careem said it had suspended its food service in Pakistan and would focus on its ride-hailing and delivery segments only. Separately, app-based bus service Swvl said last month it was “pausing” its service in Karachi, Lahore Islamabad, and Faisalabad due to the “global economic downturn.” 

Airlift initially started as a bus service in 2019 but later pivoted to a national grocery delivery service through which customers could order groceries, fresh produce, medicines and other items via the company’s mobile app. 

The company reached a high point last year when it raised a whopping $85 million in Series B financing — the largest single private funding round in Pakistan’s history. It delivered products to households across nine cities of Pakistan including Karachi, Lahore and Islamabad. 

Airlift said last month it was laying off 31 percent of its workforce. On Tuesday, it announced it was closing operations altogether. 

“While the global recession and recent downturn in capital markets has affected economic activity across the board, it has had a devastating impact on Airlift and rendered its shut-down inevitable,” the company said in a press release. 

Airlift said that as of July 12, the company’s operations have ceased. 

The startup explained how several investors shared uncertainty in wire schedules and their disbursements in early July during a capital-raising exercise after “rapidly deteriorating conditions in the global economy.” 

The startup, however, said it would ensure its employees were provided salaries for the months of July and August. 

“For suppliers, vendors and other third parties, our team will communicate proactively to manage arrears and liabilities as a part of our ongoing shut-down process,” it added. 


Pakistan plans media visit to de facto Kashmir border to counter Indian reports of militant camps

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Pakistan plans media visit to de facto Kashmir border to counter Indian reports of militant camps

  • The trip has been organized by the information ministry and is expected to take place on Monday
  • Information minister, military spokesperson will brief politicians on Pakistan-India tensions today

ISLAMABAD: Pakistan plans to take local and foreign journalists to the Line of Control (LoC), the de facto border separating the two parts of the disputed Himalayan region of Kashmir, on Monday, following Indian media reports alleging the presence of militant camps on the Pakistani side.
According to the state-owned Associated Press of Pakistan (APP), the trip has been organized by the information ministry and was originally planned for Sunday. However, it had to be postponed due to a weather forecast predicting inclement conditions.
The media visit has been planned less than two weeks after the April 22 gun attack in Pahalgam, a tourist destination in Indian-administered Kashmir, that killed 26 people.
Security sources say the visit will allow journalists to investigate claims made in recent Indian media reports identifying several locations allegedly used as militant camps.
“Journalists will be taken to all the areas mentioned in recent reports to independently verify the claims,” a security official said on condition of anonymity. “Pakistan rejects these allegations and considers them part of a propaganda effort.”
Recent Indian news reports named various towns and villages near the LoC and claimed that militant groups had vacated camps ahead of potential Indian strikes. Pakistani authorities have dismissed the claims of militant presence and camps as baseless.
Meanwhile, Federal Minister for Information and Broadcasting Attaullah Tarar and military spokesperson Lt. Gen. Ahmed Sharif Chaudhry are also scheduled to brief leaders of Pakistan’s political parties on Sunday, said a report in Radio Pakistan.
“The high-level background briefing will focus on the current state of national security, particularly in the context of Pakistan-India relations and the implications of recent developments,” it said.
“Participants will be briefed on the defensive preparedness of Pakistan’s armed forces, ongoing diplomatic efforts, and the official stance of the state on key issues,” the report added.
 


European states back Pakistan’s proposal for Kashmir inquiry following Pahalgam attack

Updated 03 May 2025
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European states back Pakistan’s proposal for Kashmir inquiry following Pahalgam attack

  • Foreign office says Switzerland’s FM offered assistance with the probe during a call with Ishaq Dar
  • Greek foreign minister urges restraint to prevent escalation between the two South Asian neighbors

ISLAMABAD: Switzerland and Greece welcomed Pakistan’s proposal for an independent investigation into last month’s gun attack on a tourist hub in Indian-administered Kashmir, with the Swiss government offering to assist in facilitating a transparent probe, said the foreign office on Saturday.
The April 22 assault in Pahalgam, a popular destination in the disputed Himalayan region, killed 26 people. India blamed Pakistan for the attack, an allegation Islamabad has repeatedly denied. Tensions between the two nuclear-armed neighbors have surged in the wake of the attack, with India imposing trade and shipping restrictions and suspending its participation in the Indus Waters Treaty.
Pakistan has responded by calling for a neutral and transparent international investigation into the incident while warning that any military action would trigger a strong response despite Islamabad’s desire to avoid escalation.
Pakistan’s Deputy Prime Minister Ishaq Dar spoke over the phone with the foreign minister’s of Switzerland and Greece, presenting his country’s perspective on the situation.
“FM @ignaziocassis appreciated Pakistan’s commitment to peace, and endorsed its proposal for an investigation,” the foreign office said in a social media post, referring to Swiss Foreign Minister Ignazio Cassis, following a call between the two officials. “He expressed Switzerland’s readiness to offer its good offices and explore appropriate mechanisms to facilitate an impartial investigation.”
Greek Foreign Minister George Gerapetritis also welcomed Pakistan’s proposal for an impartial inquiry and stressed the importance of restraint to prevent escalation and preserve regional stability, according to another post.
A day earlier, Dar spoke with European Union High Representative for Foreign Affairs Kaja Kallas, who emphasized the need for dialogue between the two South Asian nuclear rivals to maintain regional peace and stability.
The Pakistani deputy prime minister told all three European officials that Islamabad rejects India’s allegations and unilateral actions like the suspension of the Indus Waters Treaty.
He described the Indian decision to hold the treaty “in abeyance” as a violation of international law.
Pakistan and India have fought multiple wars over Kashmir, which both countries claim in full but control in part. The latest diplomatic exchanges come as concerns rise over the potential for further escalation following the Pahalgam attack.


Pakistan’s cement exports jump 29% but domestic demand remains weak

Updated 03 May 2025
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Pakistan’s cement exports jump 29% but domestic demand remains weak

  • Cement industry has struggled due to economic headwinds, high construction costs in Pakistan
  • APCMA has asked the government to announce industry-friendly measures in the upcoming budget

KARACHI: Pakistan’s cement exports rose nearly 29% to 7.4 million tons in the first ten months of the current fiscal year, but overall despatches remained flat due to sluggish domestic demand, industry data showed on Saturday.
Total cement despatches, domestic and exports combined, reached 37.336 million tons during the July 2024 to April 2025 period, just 0.32% lower than the same stretch last year, according to the All Pakistan Cement Manufacturers Association (APCMA).
Domestic sales, however, dropped 5.55% to 29.978 million tons, while exports surged 28.77% from 5.714 million tons to 7.359 million tons.
“A healthy rise in exports this year is a good omen,” an APCMA statement said. “However, the industry’s resurgence was limited due to low domestic demand, leaving about one third of the industry capacity idle.”
April 2025 data showed total cement despatches increased by 13.24% year-on-year to 3.342 million tons, driven by a 34.56% jump in exports and a modest 7.64% rise in local sales.
The APCMA statement urged the government to announce industry-friendly measures in the upcoming budget to boost domestic construction activity and enhance the global competitiveness of Pakistani cement.
Pakistan’s cement industry has struggled in recent years with subdued domestic consumption due to economic headwinds and high construction costs, forcing manufacturers to increasingly rely on exports.


India blocks Pakistani celebrities on social media

Updated 03 May 2025
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India blocks Pakistani celebrities on social media

  • Last month, India banned more than a dozen Pakistani YouTube channels for spreading ‘provocative’ content
  • Fawad Khan, Babar Azam, and Arshad Nadeem among celebrities whose accounts have been blocked

NEW DELHI: New Delhi widened measures against Islamabad on Saturday, blocking access to the social media accounts of Pakistani actors and cricketers, as well as extending trade blocks and stopping postal services.
India blames Pakistan of backing the deadliest attack in years on civilians in Indian-administered Kashmir on April 22, in which 26 men were killed.
Islamabad has rejected the charge, and both countries have since exchanged gunfire across their contested de facto border in Kashmir.
Pakistan’s military said it carried out a “training launch” of a surface-to-surface missile weapons system on Saturday, further heightening tensions.
On Saturday, India’s communications ministry issued a statement saying it had “decided to suspend the exchange of all categories of inbound mail and parcels from Pakistan through air and surface routes.”
The arch-rivals had already expelled each other’s citizens and closed the main border crossing, and barred aircraft from each other’s airspace.
Indian media on Saturday, citing a Directorate General of Shipping (DGS) order, said that Pakistani-flagged ships are barred from any Indian port — and Indian ships are banned from Pakistan.
The move, however, is seen as largely symbolic, as regular diplomatic flare-ups between the neighbors over decades have prevented close economic ties.
But cultural ties remain far stronger. The nations were only divided by the 1947 colonial creation at the violent end of British rule, partitioning the sub-continent into Hindu-majority India and Muslim-majority Pakistan.
On social media, India banned on April 28 more than a dozen Pakistani YouTube channels for allegedly spreading “provocative” content, including Pakistani news outlets.
On Saturday, further restrictions blocked access in India to the Instagram account of Pakistan’s ex-prime minister and cricket captain Imran Khan.
Bollywood movie regulars Fawad Khan and Atif Aslam were also off limits, as well as a wide range of cricketers — including star batters Babar Azam and Mohammad Rizwan and retired players Shahid Afridi and Wasim Akram.
Olympic gold medallist Arshad Nadeem’s Instagram account was also no longer accessible to Indian users, reflecting the broad scope of the clampdown beyond just cricket.
Users in India attempting to access these accounts are shown a message indicating that they are unavailable due to compliance with a legal request.


Pakistan envoy urges Trump administration to help resolve Kashmir amid tensions with India

Updated 03 May 2025
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Pakistan envoy urges Trump administration to help resolve Kashmir amid tensions with India

  • Pakistan envoy tells Fox News world must address root causes of India-Pakistan tensions
  • He says President Trump can build a peacemaker legacy by resolving the Kashmir dispute

ISLAMABAD: Pakistan’s envoy to the United States has urged Washington to move beyond crisis management and support efforts to resolve the Kashmir dispute, saying President Donald Trump came build a legacy by addressing the issue following last month’s deadly attack in the region.
The April 22 gun attack at a tourist hotspot in Indian-administered Kashmir left 26 people dead, prompting New Delhi to blame Pakistan, though Islamabad denied the charge forcefully.
India expelled Pakistani nationals and diplomats in the wake of the incident, closed a major border crossing, suspended a decades-old river water sharing treaty and imposed trade and shipping restrictions. Pakistan took reciprocal steps but also sought a neutral and impartial international investigation. Islamabad also warned that any military action by India would elicit a major response despite its desire to avoid escalation.
In an interview with Fox News on Friday, Ambassador Rizwan Saeed Sheikh said the risk of such crises would persist unless the global community moved beyond “band-aid solutions” and tackled the root cause of tensions.
“What we would urge the US leadership is to not only afford de-escalatory support in this situation but also to look at the broader issue of the disputed territory of Jammu and Kashmir,” he said.
India and Pakistan have fought several wars over the disputed Himalayan region, which both countries claim in full but rule in part.
“This is one nuclear flash point. There’s nothing flashier than this in terms of the impact on a large chunk of humanity that any misadventure, any miscalculation, any war here can cause. So, it would be an important part, it could be an important part of President Trump’s legacy to attend to this situation,” Sheikh added.
The Pakistani envoy noted that in previous crises, the international community had often intervened only to pull back before tensions were fully defused.
“This time ... it would be reasonable and perhaps even timely ... to perhaps not afford a band-aid solution, but to address the broader problem, the major disease that is there, and try and have a durable solution to the Jammu and Kashmir dispute,” he said.
Sheikh emphasized what he described as the “disproportionate responsibility” of the United States, as a preeminent global power, to help maintain and establish international peace and security.
He warned that the current crisis should not be allowed to fade without meaningful diplomatic solution.
“There is an opportunity in this situation, which we believe should not be squandered by the international community,” he added.