Daraz slashes 11% workforce, affecting employees in Pakistan, Bangladesh, Nepal and Sri Lanka

The undated photo shows Daraz's pickups and motorbikes. (Photo courtesy: Social media)
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Updated 07 February 2023
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Daraz slashes 11% workforce, affecting employees in Pakistan, Bangladesh, Nepal and Sri Lanka

  • Daraz Group lays off workforce across all markets citing “war in Europe,” “supply chain disruptions“
  • “Will continue investing in Pakistan and are strong believers of this market,” Daraz CEO says

KARACHI: E-commerce giant Daraz Group has announced it is slashing 11 percent of its workforce across the group, with the CEO saying the decision was taken due to the “reality” of the market after the Russian invasion of Ukraine in 2022 and subsequent rise in inflation across the globe.

Daraz Group operates in Pakistan, Bangladesh, Sri Lanka and Nepal, and was acquired by China’s AliBaba in 2018 from European tech incubator Rocket Internet. The company has since increased its number of active shoppers from three to 15 million, with an average order growth of almost 100 percent until last year, Daraz Group Bjarke Mikkelsen said in a statement. 

“I’m making the tough announcement that we are reducing our team by 11 percent and saying goodbye to many talented people in the process,” Mikkelsen said on Monday. “This decision has been made by myself and the leadership team to prepare the company for the current market reality and to ensure that Daraz will thrive in the long term to achieve our vision.” 

According to the platform’s LinkedIn profile, Daraz has access to over 500 million customers in its markets and employs over 10,000 people. The recent decision to slash 11 percent of its workforce is likely to impact an estimated 1,100 people, who will be laid of within a week.

Mikkelsen said the company’s growth pace decelerated last year after Russia’s invasion of Ukraine caused a rise in the prices of global commodities, which disrupted supply chains and economies in many parts of the world.

“In the last 12 months, the market environment turned and became extremely difficult with a war in Europe, huge supply chain disruptions, soaring inflation, increasing taxes, and removal of essential government subsidies in our markets.” 

The CEO said despite economic headwinds, Daraz remained a growing business and had taken huge strides in unit economics over the past couple of years.

“Unfortunately, it’s not enough and we need to do more to adjust the company to the lower growth outlook in the next couple of years,” Mikkelsen said. “In order to weather the storm, we need to collectively do everything we can to improve profitability and save costs.” 

Following the announcement, Daraz Managing Director Ehsan Saya spoke to Pakistani employees of the company to explain that the group was restructuring to ensure its continued growth. 

“Naturally, given the global economic conditions, we are ensuring we invest in all the right priorities,” Saya was quoted as saying by Daraz Pakistan.

“We will continue investing in Pakistan and are strong believers of this market, hence, we felt it is imperative that we reorganize our structure to scale and grow in the coming years.”

Earlier in October, Daraz invested in the region’s first smart distribution centers in Karachi and Lahore to build a sustainable future for e-commerce in Pakistan. 


Pakistan to create digital IDs of citizens in economic transformation push

Updated 5 sec ago
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Pakistan to create digital IDs of citizens in economic transformation push

  • Pakistan, a country of over 240 million people, has a vast informal economy and low tax compliance
  • The government has long identified digitization as key to improve governance and reduce corruption

ISLAMABAD: Pakistan will develop digital identities of all its citizens to enable secure and efficient payments, Pakistani state media reported on Sunday, amid the Islamabad’s push for economic transformation.

The report comes weeks after Prime Minister Shehbaz Sharif directed provincial governments to fully cooperate with the center to move the country toward a “cashless” system as the central government aims to digitize the economy for greater transparency. Pakistan is a cash-dominated market where a significant portion of transactions, particularly in the informal sector, are conducted in cash.

In recent years, the country’s central bank has taken steps to ensure a transition toward a more cashless economy so that transactions are more traceable, reducing chances of tax evasion and corruption. Pakistan’s digital payments have also been on the rise. Since its 2021 launch, the central bank’s Raast system has processed over 892 million transactions worth Rs20 trillion ($72 billion) as of July 2025.

On Sunday, PM Sharif presided over a review meeting in Islamabad on cashless economy, at which he directed provincial chief secretaries to fully cooperate with the federal government in expanding the Raast digital payment system to the district level.

“The meeting was briefed that Pakistan will develop digital public infrastructure to create digital IDs for every citizen, integrating national Identity Cards, biometrics, and mobile numbers,” the Radio Pakistan broadcaster reported.

“These digital IDs will enable secure and efficient payments. It was further said that the provincial governments have shown significant progress in linking government-to-public and public-to-government payments with the Raast system.”

Pakistan, a country of over 240 million people, has a vast informal economy and low tax compliance. The government has long identified digitization as a key tool to improve governance, reduce corruption and expand the country’s narrow tax base.

The government has set an ambitious tax collection target of Rs14,131 billion ($49.46 billion) for the fiscal year 2025-26 (FY26), reflecting a nine-percent increase over last year’s goal.

Last month, Pakistan launched the Merchant Onboarding Framework that requires banks and payment providers to equip all merchants with Raast-enabled digital payment tools such as QR codes and POS [Point of Sale] systems. In May, the government also approved setting up the Pakistan Digital Assets Authority to regulate blockchain-based financial infrastructure.

Speaking at Sunday’s meeting, Sharif said his government was working on a priority basis to digitize the economy and transform financial transactions to cashless and digital system.

“Federal development agencies have granted Right of Way for fiber connectivity, while discussions are ongoing with Pakistan Railways and the National Highway Authority to expand digital infrastructure,” the report said, citing officials at the meeting.


Pakistan to compensate survivors for losses after floods kill 312 in northwest since Aug. 15

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Pakistan to compensate survivors for losses after floods kill 312 in northwest since Aug. 15

  • The cumulative death toll from rain-related incidents in the country has surged to 645 since late June
  • Authorities have warned of more deluges, landslides till Tuesday, amid fears of a repeat of 2022 floods

ISLAMABAD: The government in Pakistan’s northwestern Khyber Pakhtunkhwa (KP) province will compensate survivors of this week’s deadly floods, Chief Minister Ali Amin Gandapur announced on Sunday, urging residents of disaster-prone areas to relocate from there.

Monsoon rains have wreaked havoc in Pakistan’s northern areas, especially its Khyber Pakhtunkhwa (KP) province, where floods and landslides have killed over 312 people since Aug. 15, according to the National Disaster Management Authority (NDMA).

The cumulative death toll from rain-related incidents in Pakistan, which ranks among the countries most vulnerable to climate change, has surged to 645 since Jun. 26. Apart from KP, 164 deaths have been reported in Punjab, 29 in Balochistan, 14 in Azad Kashmir, eight in Islamabad, and 28 each in Gilgit-Baltistan and Sindh.

Raging hill torrents flattened several homes and swept away dozens of people and in KP’s Swat, Buner, Bajaur, Torghar, Mansehra, Shangla and Battagram districts on Friday. Officials says around 54 bodies were found on Sunday in the worst-hit Buner district where cloudbursts triggered massive flooding.

“The data of all the losses is being compiled,” CM Gandapur told reporters in Buner. “It is beyond our power to compensate the loss of lives, but we will compensate financial losses, damages to private property.”

Residents in Buner have accused officials of failing to warn them to evacuate after torrential rain and cloudbursts triggered deadly flooding and landslides.

Mohammad Iqbal, a schoolteacher in Pir Baba village, said the lack of a timely warning system caused casualties and forced many to flee their homes at the last moment.

“Survivors escaped with nothing,” he said. “If people had been informed earlier, lives could have been saved and residents could have moved to safer places.”

The government said that while an early warning system was in place, the sudden downpour in Buner was so intense that the deluge struck before residents could be alerted.

Asfandyar Khan Khattak, director-general of the Provincial Disaster Management Authority, said there was “no forecasting system anywhere in the world” that could predict the exact time and location of a cloudburst.

Several people are still missing and search efforts are focused on areas where homes were flattened by water torrents that swept down from the mountains, carrying massive boulders that smashed into houses like explosions.

Authorities have warned of more deluges and possible landslides till Tuesday.

Speaking to reporters, CM Gandapur vowed the government infrastructure relating to health, water, road or education would be fully restored. He, however, noted that some of the villages were located in such areas where any calamities like cloudbursts and floods could hit any time.

“So, we want to resettle residents of those small villages at another place and we will build houses for them, but they should evacuate these dangerous areas,” Gandapur said.


Iran forces kill seven militants in restive province bordering Pakistan

Updated 17 August 2025
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Iran forces kill seven militants in restive province bordering Pakistan

  • The militants ‘intended to attack sensitive centers and military and law enforcement bases,’ governor says
  • The province which borders Pakistan and Afghanistan is one of Iran’s poorest, and a frequent scene of clashes

Tehran: Iranian security forces on Sunday killed seven members of a militant group in the southeastern province of Sistan-Baluchistan, state media reported.

Deputy provincial governor Ali Velayatipour said the gunmen, all members of the Ansar Al-Furqan group, were killed in the early hours of Sunday, according to official news agency IRNA.

The militants “intended to attack sensitive centers and military and law enforcement bases,” Velayatipour said.

Iran has designated Ansar Al-Furqan a “terrorist” organization. Last year, the group claimed a suicide attack that killed a police officer, also in Sistan-Baluchistan.

The province which borders Pakistan and Afghanistan is one of Iran’s poorest, and a frequent scene of clashes between security forces and Baloch minority rebels.

It is home to a large ethnic Baloch population, most of whom are Sunni Muslims, in contrast to Iran’s Shiite majority.

On Saturday, gunmen killed a police officer in a shootout in the province, with the militant group Jaish Al-Adl (Arabic for ‘Army of Justice’) claiming responsibility.

The group, which operates from the borderlands between Iran, Pakistan and Afghanistan, mainly the Sistan-Baluchestan triangle, but has been active mainly inside Iran, has claimed multiple attacks in recent years, including an assault on a courthouse last month that left at least six people dead.


Hopes for survivors wane as landslides, flooding bury Pakistan villages

Updated 17 August 2025
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Hopes for survivors wane as landslides, flooding bury Pakistan villages

  • More than 150 people are missing in hardest-hit Buner district, where at least 208 people were killed
  • Around 2,000 rescue workers were involved across nine districts, where rain was still hampering efforts

BUNER: Pakistani rescuers dug homes out from under massive boulders on Sunday as they searched for survivors of flash floods that killed at least 344 people, with more than 150 still missing.

Since Thursday, torrential rains across the country have caused flooding, rising waters and landslides that have swept away entire villages and left many residents trapped in the rubble.

Most of the deaths, 317, were reported in Khyber Pakhtunkhwa province, where monsoon rains that are only expected to intensify in the days ahead drove flooding and landslides that collapsed houses.

More than 150 people are missing in hardest-hit Buner district, where at least 208 people were killed and “10 to 12 entire villages” were partially buried, officials told AFP.

“They could be trapped under the rubble of their homes or swept away by floodwaters,” said Asfandyar Khattak, head of Khyber Pakhtunkhwa’s Provincial Disaster Management Authority.

“Separately, in Shangla district, dozens of people are also reported missing,” Khattak added.

“There is no electricity or mobile signal in Buner, as power lines and mobile towers were damaged,” he added.

Local residents sit beside the damaged homes following Friday's flash flooding at a neighborhood of Pir Baba, an area of Buner district, in Pakistan's northwest on Aug 17, 2025. (AP)

The spokesman for the province’s rescue agency told AFP that around 2,000 rescue workers were involved across nine districts, where rain was still hampering efforts.

“The operation to rescue people trapped under debris is ongoing,” said Bilal Ahmad Faizi.

“The chances of those buried under the debris surviving are very slim,” he added.

AFP journalists in Buner saw half-buried vehicles and belongings lying strewn in the sludge, with mud covering houses and shops.

A grave digger, Qaiser Ali Shah, told AFP he dug 29 burial places in the last two days.

“I have also dug six graves for children. With each grave, it felt as though I was digging it for my own child,” he told AFP.

“For the first time, my body simply refused to carry me through. That’s why today I apologized and said I cannot do this work anymore.”

Flooded roads hampered the movement of rescue vehicles, as a few villagers worked to cut fallen trees to clear the way after the water receded.

“Our belongings are scattered, ruined and are in bad shape,” shopkeeper Noor Muhammad told AFP as he used a shovel to remove mud.

“The shops have been destroyed along with everything else. Even the little money people had has been washed away,” he added.

The provincial government has declared the severely affected mountainous districts of Buner, Bajaur, Swat, Shangla, Mansehra and Battagram as disaster-hit areas.

“We were trapped in our homes and could not get out,” another Buner resident, Syed Wahab Bacha, told AFP.

“Our entire poor community has been affected... This road was our only path, and it too has been washed away,” he added.

On Saturday, hundreds gathered for mass funerals, where bodies wrapped in blood-stained white shawls were laid out on the village ground.

Fallen trees and straw debris were scattered across nearby fields, while residents shovelled mud out of their homes.

Pakistan’s meteorological department has forecast “torrential rains” with monsoon activity “likely to intensify” from Sunday onwards.

The monsoon season brings South Asia about three-quarters of its annual rainfall, vital for agriculture and food security, but also brings destruction.

“The intensity of this year’s monsoon is around 50 to 60 percent more than last year,” said Lt. Gen. Inam Haider, chairman of the national disaster agency.

“Two to three more monsoon spells are expected until the first weeks of September,” he told journalists in Islamabad.

Landslides and flash floods are common during the season, which usually begins in June and eases by the end of September.

The torrential rains that have pounded Pakistan since the start of the summer monsoon have killed more than 650 people, with more than 920 injured.

Pakistan is one of the world’s most vulnerable countries to the effects of climate change and is contending with extreme weather events with increasing frequency.

Monsoon floods in 2022 submerged a third of the country and killed around 1,700 people.

Another villager in Buner told AFP on Saturday that residents had spent the night searching through the rubble of their former homes.

“The entire area is reeling from profound trauma,” said 32-year-old schoolteacher Saifullah Khan.

“I helped retrieve the bodies of the children I taught. I keep wondering what kind of trial nature has imposed on these kids,” he said.


Pakistan participates in regional commodity fair in China’s Kashgar amid investment push

Updated 17 August 2025
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Pakistan participates in regional commodity fair in China’s Kashgar amid investment push

  • Five-day commodity fair has attracted over 1,100 Chinese companies,181 enterprises from 40 countries 
  • Event focuses on business matchmaking in biomedicine, cultural tourism, textile , agriculture sectors

ISLAMABAD: Pakistani companies are taking part in a five-day regional commodity fair, which has attracted enterprises from around 40 countries and regions, in its push to attract international trade and investment, state-run Associated Press of Pakistan (APP) reported this week. 

The ‘15th Kashgar-Central and South Asia Commodity Fair’ kicked off in Kashgar, an ancient Silk Road town in northwest China’s Xinjiang region, on Friday. 

The five-day fair, which will run till Aug. 19, has attracted 181 enterprises from 40 countries and regions including Pakistan, Kyrgyzstan, Kazakhstan and Ghana, as per the APP. Around 1,120 Chinese companies and 26 overseas business associations are also taking part in the event.

“This year’s fair has a 40,000-square-meter exhibition space that is divided into three key sections: investment cooperation, international trade and domestic trade,” APP reported on Saturday.

“The event focuses on business matchmaking in sectors such as biomedicine, cultural tourism, agriculture, cotton and textiles industries.”

The report said the regional fair was first held in 2005 and has to date seen the participation of 38,000 enterprises from 56 countries and regions, generating cumulative trade deals exceeding 480 billion yuan ($67.25 billion).

Pakistan’s participation in the fair takes place as the country pushes for sustainable economic growth, driven by foreign investment, bilateral trade and economic cooperation, and exports. 

The South Asian country has signed trade deals worth billions of dollars with Saudi Arabia, UAE, Central Asian countries, China and other allies to bolster its fragile economy. 

Pakistan formed the Special Investment Facilitation Council (SIFC), a hybrid government body comprising civilian and military officials, in June 2023 to fast-track decisions related to investment in key economic sectors.

The SIFC was formed to attract international investment in mining, agriculture, tourism, livestock, energy and other economic sectors as Pakistan came to the brink of a sovereign default in 2023.