Pakistan cabinet sworn in, taking control of nation deeply divided with looming economic crisis

Newly elected Pakistani President Asif Ali Zardari inspects the honor guard at the Presidential Palace in Islamabad, Pakistan on March 11, 2024. (Press Information Department)
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Updated 11 March 2024
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Pakistan cabinet sworn in, taking control of nation deeply divided with looming economic crisis

  • Ishaq Dar, former finance minister and close Sharif family loyalist, widely tipped to be foreign minister 
  • PCB chief Mohsin Naqvi top choice for interior minster, only one woman lawmaker included in cabinet 

ISLAMABAD: Prime Minister Shehbaz Sharif’s new cabinet with 19 members took oath on Monday, tasked with running the South Asian country of 241 million people facing profound economic, political and security challenges. 

Cash-strapped Pakistan has grappled with the Feb. 8 general election that threw up a hung National Assembly and delayed the formation of a coalition government until Sharif was sworn in last Monday. 

“That, as Federal Minister (or Minister of State), I will discharge my duties, and perform my functions, honestly, to the best of my ability, faithfully in accordance with the Constitution of the Islamic Republic of Pakistan and the law, and always in the interest of the sovereignty, integrity, solidarity, well- being and prosperity of Pakistan,” the ministers said in an oath administered by President Asif Ali Zardari. 

“That I will not allow my personal interest to influence my official conduct or my official decisions.”

Among those who took oath are senior members of Sharif’s Pakistan Muslim League-Nawaz (PML-N) party, including Khawaja Muhammad Asif, Ahsan Iqbal, Azam Nazeer Tarar, Ishaq Dar and Shaza Fatima Khawaja. 

Former finance minister Dar, one of the most trusted aides of the Sharif family, is widely tipped to be appointed the country’s new foreign minister while Asif will get the defense portfolio. 

Prominent banker Muhammad Aurangzeb, the president of HBL, Pakistan’s largest bank, is expected to become the new finance chief while Sharif loyalist Ataullah Tarar will lead the information ministry and Azam would handle the law ministry. Shaza Fatima Khawaja, who served as a special assistant to PM Sharif on youth affairs during his last term, will be IT minister as the only woman-member of the new set-up. 

Media mogul Syed Mohsin Raza Naqvi, the current chief of the cricket board and a former chief minister of Punjab who is widely believed to be close to Pakistan’s all-powerful army chief, is slated to become the minister for interior. He had no political experience before being appointed CM Punjab for 13 months in January 2023. 

“CHALLENGES”

Sharif’s new government will have to immediately get down to negotiating a bailout deal with the International Monetary Fund (IMF) as the current agreement expires this month. A new IMF program would mean committing to steps needed to stay on a narrow path to recovery, but which will limit policy options to provide relief to a deeply frustrated population and cater to industries that are looking for government support to spur growth. 

The new government will also have to tackle a surge in militancy, with Balochistan and Khyber Pakhtunkhwa worst hit by attacks. The escalation in militant violence has led to a deterioration in Pakistan’s ties with neighboring Afghanistan, which borders KP, as Islamabad urges Kabul to rein in militants it says use Afghan soil to launch attacks in Pakistan. Afghanistan denies Pakistan’s allegations.

The government’s toughest challenge, however, would be on the political front. 

Independent candidates backed by Khan gained the most seats, 93, after the elections, but Sharif’s Pakistan Muslim League-Nawaz (PML-N) and the Pakistan Peoples Party (PPP) of the Bhutto dynasty agreed to an alliance to form a coalition government. No single party won a majority.

The Sunni Ittehad Council backed by Khan alleges that the election was rigged against it and has called for an audit of the polls. Lowering political temperatures will thus be a key challenge for the new government as Khan maintains mass popular support in Pakistan, and a continued crackdown on his party and his remaining in jail would likely stoke tensions at a time when stability is needed to attract foreign investment to shore up the economy. 

For now, the Khan-led opposition has signaled it would “cooperate” with the new government on issues of public concern but keep protesting the alleged manipulation of election results. Protests over the weekend saw over a hundred PTI leaders and supporters arrested, according to the party.

Sharif will also have to manage ties with the all-powerful military, which has directly or indirectly dominated Pakistan since independence. Unlike his elder brother, former PM Nawaz Sharif who has had a rocky relationship with the military in all his three terms, the younger Sharif is considered more acceptable and compliant by the generals, most independent analysts say. The military denies it interferes in political matters. 


IMF team to arrive in Pakistan in coming week for talks on ‘next phase of engagement’

Updated 11 May 2024
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IMF team to arrive in Pakistan in coming week for talks on ‘next phase of engagement’

  • Esther Perez Ruiz says IMF encourages better governance, wants to help with inclusive economic growth
  • She says IMF mission team will be led by Nathan Porter and hold meetings with the Pakistani authorities

KARACHI: The top International Monetary Fund (IMF) official in Pakistan confirmed on Saturday the global lending agency will send a delegation to Islamabad next week to discuss the “next phase of engagement” with the government that has publicly expressed its interest in securing a larger and longer-term loan.
Last month, the country’s finance minister, Muhammad Aurangzeb, told a media briefing Pakistan was hoping to reach a staff-level agreement with the IMF for a new loan “by June or early July.”
His statement came at a time when the country’s short-term IMF loan program of $3 billion was about to expire after its successful completion.
However, he did not elaborate much on the government’s preference for the size and duration of the next loan facility, saying these issues would be discussed during negotiations with the IMF team.
“A mission team led by Nathan Porter, IMF’s Mission Chief to Pakistan, will meet with authorities next week to discuss the next phase of engagement,” Esther Perez Ruiz, IMF Resident Representative for Pakistan, told Arab News in response to a query.
“The aim is to lay the foundation for better governance and stronger, more inclusive, and resilient economic growth that will benefit all Pakistanis,” she added.
Some Pakistani media outlets recently reported that an IMF team was already visiting the country to discuss the bailout program under the Extended Fund Facility.
However, the IMF statement clarifies its mission is yet to arrive in Islamabad for negotiations.


PM Sharif seeks UK investment as Pakistan bolsters economic diplomacy amid financial recovery

Updated 11 May 2024
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PM Sharif seeks UK investment as Pakistan bolsters economic diplomacy amid financial recovery

  • The PM highlights governance and institutional reforms by his administration in a meeting with the top British diplomat
  • Pakistan has been actively urging countries worldwide to explore opportunities in mining, tourism and agriculture sectors

ISLAMABAD: Prime Minister Shehbaz Sharif expressed a keen interest in attracting investment from the United Kingdom during a meeting with British High Commissioner Jane Marriott on Saturday, as his administration continued active economic diplomacy by encouraging countries worldwide to explore opportunities in mining, tourism, information technology and agriculture sectors.
Faced with daunting financial challenges, Pakistan sought the International Monetary Fund (IMF) assistance and encouraged businesses and entrepreneurs from friendly nations to invest in the local market to reap benefits and help with the country’s economic recovery.
So far, the government’s focus has mainly remained on the Gulf states since the establishment of the Special Investment Facilitation Council (SIFC), a civil-military hybrid body, established last year to oversee foreign financing.
However, Federal Finance Minister Muhammad Aurangzeb announced earlier this week investors from the United States and European countries were also taking interest in putting their money in Pakistan amid its gradually recovering economy.
“Pakistan and the United Kingdom enjoy long-standing relations that are further strengthening with the passage of time,” the prime minister was quoted as saying by the state-owned Associated Press of Pakistan (APP) news service.
The APP also reported that Sharif highlighted his administration’s efforts to improve governance structures and introducing institutional reforms.
“He said that the government was taking measures at the micro and macroeconomic levels to recover the country’s economy,” the report said. “Moreover, he said the digitization process of the Federal Board of Revenue (FBR) was in the final stage.”


Pakistan serves notices to 12 cosmetic companies for ‘greenwashing,’ misleading marketing

Updated 11 May 2024
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Pakistan serves notices to 12 cosmetic companies for ‘greenwashing,’ misleading marketing

  • Competition Commission of Pakistan says these firms falsely claimed their products to be organic, chemical-free
  • It asks customers to remain vigilant and report misleading advertising claims, health hazards caused by them

KARACHI: The Competition Commission of Pakistan (CCP) announced on Saturday it had served notices to 12 cosmetics companies for running “deceptive marketing campaigns” by engaging in “greenwashing,” falsely describing their products as organic and devoid of any chemicals.
The CCP is a regulatory agency with a fundamental mandate to ensure a level playing field for all market players and to protect consumers from anti-competitive practices, predatory behavior and price-fixing.
The CCP statement also highlighted that Section 10 of the Competition Act, 2010, prohibits misleading marketing practices and emphasizes “accuracy, integrity, reliability and truthfulness” in marketing communication to assist consumers in making informed purchase decisions.
“The Competition Commission of Pakistan has taken cognizance of deceptive marketing by the beauty products’ manufacturers and issued notices to 12 companies regarding their false and misleading claims,” the CCP said.
“CCP’s preliminary probe revealed that these Undertakings were prima facie engaged in ‘greenwashing’, advertising their products as ‘Natural, Organic, Sustainable, Pure, and Chemical Free’ without having any scientific evidence to support their claims,” it added. “Such unsubstantiated marketing claims not only mislead the consumers but also pose potential health risks.”
It added the notices issued by its officials could ultimately lead to responsible marketing practices prioritizing environmental integrity and consumer trust.
The statement also urged consumers to remain vigilant and report false advertising claims along with any health hazards caused as their consequence.


Japan defeat Pakistan in dramatic shootout to win 2024 Azlan Shah Hockey Cup final

Updated 11 May 2024
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Japan defeat Pakistan in dramatic shootout to win 2024 Azlan Shah Hockey Cup final

  • Japan seized an early lead with a field goal in the 12th minute, igniting a fierce contest that ended in a 2-2 draw
  • The electrifying shootout phase led to Japan’s convincing 4-1 victory, helping the team clinch the Azlan Shah cup

ISLAMABAD: In a dramatic conclusion to the 2024 Azlan Shah Hockey Cup on Saturday, Japan defeated Pakistan in a penalty shootout after a tense 2-2 draw, dashing the Pakistan team’s hopes that had reached the tournament final for the first time since 2011 following a series of stellar performances.
Six teams participated in the event, including the tournament Malaysia, Pakistan, South Korea, Japan, New Zealand and Canada. Pakistan won the Azlan Shah Cup title three times in the past and was the second runners-up in the last edition which was also held in Malaysia two years ago.
Prior to facing Japan the second time in the tournament, Pakistan played against New Zealand on Friday in a match that ended in a tie.
“Today is the day we’ve all been waiting for,” the Pakistan Hockey Federation exclaimed in a social media post prior to the match. “The FINAL showdown of the Sultan Azlan Shah Cup is here, and our beloved Green Shirts are ready to take on Japan ... Let’s rally behind our team with all our support and cheers as they aim for glory on the field!”

In a riveting showdown, Japan seized an early lead with a field goal in the 12th minute, igniting a fierce contest that saw both teams neck and neck until the final whistle.
As regular time expired with the score deadlocked, the match escalated into an electrifying shootout phase.
When the dust settled, however, Japan had triumphed with a convincing 4-1 victory, clinching the cup and retaining their top position on the leaderboard where they already stood tall with 13 points right ahead of the final.
Pakistan, despite a valiant effort, were on the second place with two draws.

 


Pakistan drafts new social media regulatory law amid free speech concerns from digital activists

Updated 11 May 2024
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Pakistan drafts new social media regulatory law amid free speech concerns from digital activists

  • The government says it wants the legislation to curb disinformation, hate speech on social media platforms
  • Rights activists fear the authorities may curb online dissent instead of encouraging responsible Internet use

ISLAMABAD: Pakistan is working on a draft law to regulate social media to “protect digital rights” of millions of users, encourage responsible Internet use and regulate online content to prevent hate speech and disinformation, confirmed a senator belonging to the ruling Pakistan Muslim League-Nawaz (PML-N) party on Saturday.
The authorities have long struggled to regulate the social media content through different legislations, prompting critics to accuse it of trying to quell dissent. The popular social media platform X remains blocked in the country after widespread allegations of election manipulation in the wake of the February 8 national polls.
Earlier this month, the government notified a National Cybercrimes Investigation Agency to probe electronic crimes and is now working on another draft law related to the social media content, making digital rights activists describe it as yet another official attempt to stifle criticism online.
“The government is currently working on a draft law to regulate the social media content as we want to curb disinformation and hate speech being spread through these platforms,” Senator Afnan Ullah Khan told Arab News.
“A committee led by the federal law minister is discussing the draft law as we have to ensure people’s right to freedom of speech and freedom of expression as well,” he continued, ruling out concerns the government wanted to muffle its rivals and critics.
Khan said the draft law would be tabled in parliament within four weeks for discussion and debate.
“The opposition parties or any parliamentarian can object to any clause of the bill once it is presented in parliament for vote,” he said.
“We want to protect digital rights of our users instead of imposing any restrictions, but at the same time we want those to be prosecuted who violate the law by inciting hate speech and pedaling disinformation, or any content against the national security,” he added.
The draft law may propose establishment of a digital rights protection authority to ensure effective enforcement of laws, Khan informed, but “all this will be disclosed to the media and public once the bill is tabled in parliament for discussion.”
Digital rights activists said successive governments in Pakistan had drafted new laws or amended old ones to curb the dissenting voices on social media platforms and file criminal charges against journalists and activists to restrict freedom of speech and expression.
“The government should involve all stakeholders, including civil society and rights activists, while drafting the new law to prevent its misuse,” Sabookh Syed, President of Digital Media Alliance of Pakistan, told Arab News.
“The government may strengthen defamation laws to prevent social media misuse instead of making it a criminal offense that could lead to persecution of activists and violate constitutional guarantees related to free speech,” he added.