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Commission fines AliExpress €550 million for breaching the Digital Services Act
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Commission fines AliExpress €550 million for breaching the Digital Services Act

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European Commission Imposes €550 Million Fine on AliExpress The European Commission has fined AliExpress €550 million for violating its obligations under the Digital Services Act (DSA) by failing to properly assess and reduce the risks associated with the sale of illegal, unsafe, and counterfeit products on its e-commerce platform. The Commission has also ordered AliExpress to take corrective measures to comply with the DSA and strengthen consumer protection across the European Union. Failure to Diligently Assess Risks The Commission found that AliExpress failed to adequately assess the risks linked to the dissemination of illegal, unsafe, and counterfeit products on its platform in several key areas. The company did not properly evaluate whether it had sufficient staff to review potentially illegal listings and significantly overestimated the effectiveness of its systems for detecting and removing unlawful products. As a result, it failed to account for the imbalance between the number of human moderators and their workload. The investigation also found that AliExpress did not sufficiently assess how its recommender and advertising systems contributed to the spread of illegal products. Testing conducted by the Commission showed that many illegal items continued to be recommended or advertised to consumers before they were removed. In addition, AliExpress relied on only one quantitative indicator to measure the effectiveness of its moderation efforts. The Commission concluded that this metric did not accurately measure whether illegal products were being prevented from appearing or reappearing on the platform. Independent testing further showed that a significant number of illegal products remained available despite the platform’s moderation efforts. Failure to Mitigate Identified Systemic Risks The Commission also determined that AliExpress failed to implement effective measures to reduce the risks associated with illegal products. Its product detection system did not function effectively, allowing counterfeit goods, unsafe toys, dangerous cosmetics, and other illegal products to remain on the platform for several weeks even after being identified. The investigation further found that AliExpress did not properly enforce its penalty policy against traders repeatedly selling illegal products. Many sellers continued operating despite previous enforcement actions. Product Compliance Checks Were Easily Circumvented The Commission found that AliExpress’ product compliance checks could be bypassed through product miscategorisation. According to the findings, the company assigned insufficient staff to verify whether products had been placed in the correct categories. As a result, dishonest sellers intentionally listed products under incorrect categories with less stringent compliance requirements, allowing non-compliant products to be published without proper review. Counterfeit Product Controls Found Ineffective Counterfeit products were identified as another major concern during the investigation. The Commission concluded that AliExpress’ mandatory brand authorisation system, designed to prevent counterfeit sales, was ineffective and lacked adequate staffing. This allowed traders to bypass the verification process and publish counterfeit products that were only removed after complaints or later reviews. The Commission noted that counterfeit products not only pose risks to consumers but also undermine legitimate businesses that invest in product design, safety testing, quality assurance, and innovation. Fine Based on Serious and Prolonged Breaches The €550 million fine was calculated based on the nature, severity, and duration of the violations, which continued until at least June 2025, when the Commission issued its preliminary findings. The Commission stated that AliExpress’ failure to conduct proper risk assessments and effectively mitigate systemic risks represented serious violations of the Digital Services Act. However, it also considered mitigating factors, including the relatively recent implementation of the DSA, when determining the final penalty. AliExpress Given Deadline to Comply AliExpress has until 20 October 2026 to submit a detailed action plan outlining how it will address the identified shortcomings. The European Board for Digital Services will review the plan within one month of submission before providing its opinion. The European Commission will then issue its final decision and establish a deadline for implementing the required measures. Failure to comply with the Commission’s decision could result in additional periodic financial penalties. Background of the Investigation The European Commission launched formal proceedings against AliExpress on 14 March 2024 to assess possible violations of the Digital Services Act relating to risk management, content moderation, trader traceability, advertising transparency, recommender systems, complaint handling, and researcher access to platform data. On 18 June 2025, the Commission accepted a series of commitments offered by AliExpress addressing several areas of concern, including advertising transparency, recommender systems, and notice-and-action mechanisms. However, the commitments did not resolve concerns regarding the assessment and mitigation of systemic risks linked to illegal products. The final non-compliance decision was based on AliExpress’ 2023 and 2024 risk assessment reports, additional information provided by the company, responses to formal information requests, submissions from third parties, and the Commission’s own investigative findings.

Brent Crude Climbs Above $90 as Middle East Conflict Raises Global Oil Supply Concerns
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Brent Crude Climbs Above $90 as Middle East Conflict Raises Global Oil Supply Concerns

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Brent crude oil prices climbed above $90 per barrel on Monday after escalating military tensions between the United States and Iran triggered fresh concerns over global energy supplies. The sharp rise reflects growing fears that prolonged conflict in the Middle East could disrupt crude exports from one of the world’s most important oil-producing regions. Brent crude futures gained more than 2%, reaching their highest level in over a month, while US West Texas Intermediate (WTI) crude also posted strong gains. The latest rally follows another week of significant increases, driven by uncertainty surrounding oil shipments through the Strait of Hormuz, a strategic maritime route that carries a substantial share of the world’s seaborne oil trade. Brent Crude Climbs Above $90 as Hormuz Supply Risks Intensify Market sentiment has become increasingly cautious after both Washington and Tehran expanded military operations in recent days. Reports of reduced tanker traffic through the Strait of Hormuz have heightened worries about possible supply disruptions, prompting traders to factor geopolitical risks into oil prices. Although there has been no complete interruption in exports, the decline in shipping activity has been enough to push crude prices higher and increase volatility across global energy markets. Energy Markets Remain Highly Sensitive Energy analysts believe the oil market remains highly sensitive to developments in the Middle East. Any further escalation or prolonged disruption to shipping routes could tighten global crude supplies and place additional upward pressure on prices. Some experts also note that global oil inventories remain relatively low, making energy markets more vulnerable to unexpected supply shocks and geopolitical events. Higher Oil Prices Could Fuel Inflation Rising crude oil prices could have far-reaching economic consequences. Countries that rely heavily on imported fuel may face higher energy import costs, while consumers around the world could experience increased prices for petrol, diesel, transportation, and manufactured goods. Economists also warn that sustained strength in oil prices may add to global inflationary pressures, complicating monetary policy decisions for central banks. Investors Closely Watch Middle East Developments Investors are now closely monitoring geopolitical developments and shipping activity across the Gulf region for signs of either escalation or de-escalation. While easing tensions could stabilize oil markets, continued military operations are expected to keep crude prices volatile and maintain uncertainty over global energy supplies in the days ahead.

Escalation in US-Iran Conflict: American Strikes Target Iranian Defences After Jordan Incident
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Escalation in US-Iran Conflict: American Strikes Target Iranian Defences After Jordan Incident

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The US Central Command (CENTCOM) has concluded its eighth consecutive night of airstrikes on Iran, targeting military coastal surveillance and air defence facilities. The operation follows an Iranian attack that reportedly killed two US military personnel in Jordan, with one additional service member still missing. US Strikes Aim to Degrade Iranian Military Capabilities The strikes, ordered by President Donald Trump, began at 6:00 p.m. on Saturday. According to US officials, the operation is intended to further weaken Iran’s ability to threaten commercial shipping in the Strait of Hormuz and to respond to the attack attributed to Iran-backed forces that resulted in US military casualties in Jordan. CENTCOM stated that the operation successfully struck key Iranian military facilities involved in coastal surveillance and air defence. The latest action represents another escalation after the collapse of an interim ceasefire last week. Iranian Response and Regional Tensions Intensify Iran’s Islamic Revolutionary Guard Corps (IRGC) claimed responsibility for strikes targeting US assets across Kuwait, Bahrain, and Jordan, including radar installations and military aircraft. Iranian commanders warned that any further US military action would be met with what they described as a “devastating response.” Explosions were reported near Sirik, Shadegan, and Qeshm Island. Iranian state media said there were no major casualties in some affected areas, although emergency response teams were deployed. Kuwait reported intercepting missiles and drones, with injuries among emergency responders. Diplomatic Fallout Grows Supreme Leader Ayatollah Mojtaba Khamenei criticized the United States, describing its commitments as unreliable. Iran’s Foreign Ministry accused Washington of attempting to assert control over the strategically important Strait of Hormuz. The US Defence Secretary reiterated Washington’s determination following the deaths of American service members. According to US officials, total US military fatalities in the conflict have now reached 16, while more than 420 personnel have been wounded. Regional and International Concerns Mount Broader security alerts have been issued across the Gulf region, including in Saudi Arabia, as tensions continue to rise. The European Union and Gulf states have called on Iran to avoid actions that disrupt maritime navigation through the Strait of Hormuz, one of the world’s most critical energy shipping routes. Former US defence officials have noted that the recent shift toward targeting inland military infrastructure appears aimed at isolating Iran’s coastal defence network while limiting broader regional escalation. Strait of Hormuz Remains at the Centre of the Crisis The continuing confrontation has heightened concerns over regional stability and global energy security, with the Strait of Hormuz remaining the focal point of military and diplomatic tensions. Analysts warn that any prolonged disruption to shipping through the strategic waterway could significantly impact global oil markets, increase freight costs, and place additional pressure on energy-importing economies worldwide.

Petrol, Diesel Prices Hiked Up to Rs31 as Daily Review Begins Amid Hormuz Crisis
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Petrol, Diesel Prices Hiked Up to Rs31 as Daily Review Begins Amid Hormuz Crisis

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The government on Friday raised petrol and diesel prices by up to Rs31 per litre in line with global oil price fluctuations. The new rates took effect on July 18, 2026, under the newly introduced daily price review mechanism. Daily Price Review Introduced The switch to daily oil price reviews marks a significant policy shift. Previously, the government moved from fortnightly to weekly reviews following the initial wave of Iran-US tensions. The latest move is aimed at allowing domestic fuel prices to respond more quickly to changes in international oil markets while reducing the risk of supply disruptions. Impact of Strait of Hormuz Closure Fresh escalation between Iran and the United States has led to the closure of the Strait of Hormuz. The disruption of this critical global energy chokepoint threatens oil supplies to international markets, including Pakistan. Rising geopolitical tensions have pushed crude oil prices higher, prompting the government to revise domestic petroleum prices under the new daily pricing framework. New Ex-Depot Prices High-Speed Diesel (HSD) price increased by Rs31.05 per litre, rising from Rs323.30 to Rs354.35 per litre. Petrol registered a comparatively smaller increase of Rs5.44 per litre, moving from Rs310.71 to Rs316.15 per litre. Petroleum Levy Details The government continues to charge a Rs70.82 per litre petroleum levy on retail High-Speed Diesel and Rs79.46 per litre on direct sales, in addition to a Rs5 Climate Support Levy (CSL). For petrol, the petroleum levy remains Rs80 per litre, along with a Rs5 CSL at retail outlets. Officials stated that the revised prices will apply only for July 18, 2026, with rates to be reassessed under the new daily review mechanism. Second Consecutive Fuel Price Increase This marks the second recent adjustment in petroleum prices. Last Friday, fuel prices were increased by up to Rs13.80 per litre under the weekly pricing mechanism. International oil prices surged again following renewed Iran-US tensions. Earlier optimism stemming from a temporary ceasefire had briefly eased domestic fuel prices before the latest escalation reversed the trend. Economic Impact of Higher Fuel Prices High-Speed Diesel is widely used by Pakistan’s transport and agriculture sectors. The sharp increase is expected to raise transportation costs, increase agricultural input expenses, and add to inflationary pressures across the economy. Petrol demand has also risen in Punjab following restrictions on the use of indigenous gas, meaning motorists and motorcycle users are likely to face higher transportation costs. Kerosene oil continues to serve remote northern regions where LPG availability remains limited, while the Pakistan Army remains among its major institutional users. Light diesel oil supports various industrial operations, while the furnace oil levy remains at Rs77 per litre, plus the Rs5 Climate Support Levy. Daily Pricing Aims to Prevent Fuel Shortages The introduction of the daily oil pricing mechanism is expected to make it more difficult for petroleum dealers to engage in speculative hoarding during periods of rapid international price movements. The government says the system will improve alignment with global oil benchmarks, discourage artificial shortages, and ensure more timely price adjustments. Economists, however, warn that if elevated crude oil prices persist due to continued disruptions in the Strait of Hormuz, Pakistan could face additional pressure on its import bill and foreign exchange reserves. Policymakers may need to carefully balance fiscal sustainability with measures aimed at protecting consumers from prolonged inflation.

K2 Airways Flight KTA1732 Crash: Families Accuse Airline of Silence as Pressure for Accountability Intensifies
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K2 Airways Flight KTA1732 Crash: Families Accuse Airline of Silence as Pressure for Accountability Intensifies

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The K2 Airways Flight KTA1732 Crash has entered a new and deeply emotional phase as the families of the victims publicly accuse the airline of failing to communicate, provide assistance, or explain the steps being taken after one of Pakistan’s most tragic aviation disasters in recent years. Days after the aircraft plunged into the Arabian Sea, grieving relatives say they have been left without meaningful updates from K2 Airways. Instead of receiving answers or support, they claim they have experienced what they describe as a complete communication blackout, raising serious concerns over the airline’s crisis management and corporate responsibility. K2 Airways Flight KTA1732 Crash Sparks Questions Over Corporate Response While the country continues to recognize the pilots and cabin crew for their service, the families argue that attention must now shift toward the airline’s handling of the aftermath. According to representatives of the victims’ families, K2 Airways has not established consistent communication with those affected, nor has it provided operational briefings or outlined the status of recovery efforts. They believe such silence has intensified public concern and damaged confidence in the airline’s commitment to transparency. Family representatives have publicly criticized what they describe as an absence of accountability, stating that the lack of engagement has only fueled speculation about whether operational shortcomings are being adequately addressed. Families Appeal Directly to the Prime Minister With confidence in the airline reportedly eroded, the families have turned directly to the Government of Pakistan, urging Prime Minister Shehbaz Sharif to personally oversee the next phase of the response. Rather than relying on K2 Airways for information, they are requesting immediate federal intervention to ensure that recovery operations continue and that all relevant facts surrounding the disaster are established through an independent and transparent process. Their appeal reflects growing public expectations that aviation incidents of this magnitude should be handled with the highest levels of accountability and institutional oversight. Three Key Demands Following the K2 Airways Flight KTA1732 Crash The families have outlined three major demands that they believe are essential to restoring public confidence. First, they want search and recovery operations to continue using every available national resource. They have also called for Pakistan to coordinate with friendly countries capable of providing advanced deep-sea recovery equipment to retrieve the aircraft’s fuselage and the flight recorders from the Arabian Sea. Second, they are seeking a comprehensive investigation into the airline’s management practices, operational procedures, maintenance standards, and any possible technical or telemetry-related failures. They insist that the findings should be made public to ensure complete transparency. Finally, the families are calling for legal accountability if any negligence or regulatory violations are established through the investigation. They argue that no individual or organization should be exempt from scrutiny where public safety is concerned. Aviation Safety and Public Trust Under the Spotlight The K2 Airways Flight KTA1732 Crash has become more than a tragic aviation accident. It has evolved into a wider debate about crisis communication, corporate governance, passenger safety, and regulatory oversight within Pakistan’s aviation sector. Industry experts frequently emphasize that airlines facing major accidents are expected to maintain regular communication with victims’ families, cooperate fully with investigators, and demonstrate transparency throughout the investigation process. Any perceived lack of engagement can significantly affect public confidence, regardless of the eventual findings. As recovery efforts continue in the Arabian Sea, the families maintain that their objective is not sympathy but clarity. They say they want credible answers, transparent investigations, and a process that delivers justice while strengthening aviation safety standards for the future. The coming weeks are likely to determine whether official investigations can address the concerns raised by the victims’ families and restore confidence in Pakistan’s aviation oversight framework.

SBP Unveils New Debit Card to Accelerate Pakistan's Cashless Future
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SBP Unveils New Debit Card to Accelerate Pakistan’s Cashless Future

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SBP Launches Co-Badged Debit Card to Advance Cashless Pakistan Pakistan has taken another major step toward building Cashless Pakistan as the State Bank of Pakistan (SBP) launched a new co-badged debit card developed in collaboration with HBL, UnionPay International, and PayPak. Speaking at the launch ceremony, SBP Governor Jameel Ahmad described the initiative as a significant milestone in Pakistan’s transition toward a modern, secure, resilient, and inclusive digital payments ecosystem. He said the new payment solution supports the government’s vision of promoting a cash-lite economy while strengthening the country’s domestic payment infrastructure. The co-badged debit card combines the capabilities of PayPak, Pakistan’s domestic payment scheme, with the international acceptance of UnionPay International, enabling customers to conduct seamless transactions both within Pakistan and abroad. Supporting SBP Vision 2028 and the Cashless Pakistan Initiative The governor said the initiative aligns with the State Bank’s long-term strategy of developing PayPak into a secure, cost-effective, and locally governed payment network capable of supporting Pakistan’s rapidly expanding digital economy. He added that the launch also supports SBP Vision 2028 and the federal government’s Cashless Pakistan Initiative, both of which aim to build a financial system that is more digital, inclusive, and resilient. Jameel Ahmad emphasized that digitization is not an end in itself but a means of providing individuals and businesses with faster, safer, and more efficient payment solutions. Digital Payments Continue Rapid Growth Highlighting Pakistan’s increasing adoption of digital financial services, the SBP governor revealed that retail digital transaction volumes increased from nearly 6.9 billion to almost 12 billion over the past year. He also shared that the number of active merchants accepting digital payments expanded from approximately 500,000 to more than 2 million, reflecting significant growth in Pakistan’s digital commerce ecosystem. According to the governor, mobile banking adoption has also accelerated, with nearly 137 million users now utilizing banking applications. Meanwhile, the share of overseas remittances received through digital channels has increased from around 80% to 92%, demonstrating rising public confidence in digital financial services. He said these figures indicate that Pakistan is making steady progress toward becoming a cash-lite economy. PayPak and Raast at the Core of Digital Infrastructure The SBP governor stressed that domestic payment platforms such as PayPak and Raast should remain central to Pakistan’s digital financial infrastructure as financial technology continues to evolve. He noted that the country’s payment ecosystem must remain secure, resilient, and capable of adapting to future technological developments. Jameel Ahmad suggested that PayPak should become the default payment network for all domestic debit card issuance, while co-badged cards should provide international payment capabilities whenever customers require them. Collaboration Key to Digital Financial Inclusion The governor said PayPak’s continued success would depend on ongoing innovation and stronger collaboration among banks, payment service providers, fintech companies, merchants, and other stakeholders across Pakistan’s digital payments ecosystem. He also urged financial institutions to expand digital payment acceptance, strengthen cybersecurity, improve public awareness of digital financial services, and continue delivering reliable and customer-focused payment solutions. New Card to Strengthen Pakistan’s Digital Economy Concluding his remarks, Jameel Ahmad congratulated HBL, UnionPay International, PayPak, and 1LINK for successfully launching the co-badged debit card. He said the partnership demonstrates how collaboration between domestic and international payment networks can accelerate innovation, promote financial inclusion, and support Pakistan’s transition toward a modern digital economy. Milestone for Pakistan’s Cashless Future The launch of the new co-badged debit card marks another important milestone in Pakistan’s digital transformation. By combining domestic payment infrastructure with global acceptance, the initiative is expected to strengthen Cashless Pakistan, expand financial inclusion, and support the country’s long-term vision of a secure and efficient digital payments ecosystem.

Govt Mulls Daily Oil Price Reviews to Tackle Hormuz Volatility
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Govt Mulls Daily Oil Price Reviews to Tackle Hormuz Volatility

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Pakistan Considers Daily and Weekly Oil Price Reviews Amid Global Uncertainty ISLAMABAD: Following the fresh closure of the Strait of Hormuz, the Pakistani government is considering revising oil prices on a weekly or even daily basis to manage market volatility, protect consumers and prevent fuel shortages. The proposal was discussed during the fourth meeting of the Prime Minister’s committee reviewing Pakistan’s petroleum pricing mechanism, chaired by Federal Minister for Petroleum Ali Pervaiz Malik. Petroleum Pricing Committee Reviews Market Risks The committee examined options for introducing more frequent oil price reviews in response to heightened volatility in international energy markets. Sources indicated that proposals relating to the oil price review mechanism and the Petroleum Price Stabilization Fund will be finalized during the committee’s next meeting before being submitted to Prime Minister Shehbaz Sharif. KPMG presented a study highlighting the advantages and challenges of daily or twice-weekly petroleum price revisions, warning that the continued closure of the Strait of Hormuz could trigger significant price fluctuations. The study also noted that petrol prices in Pakistan remain lower than those in Bangladesh, Sri Lanka and Türkiye, while remaining broadly comparable with neighboring India. Recent domestic fuel prices increased by nearly Rs14 per litre following the latest geopolitical developments. Petroleum Stabilization Fund to Operate Under Rule-Based Framework The committee agreed that the Petroleum Price Stabilization Fund should operate under a transparent, rule-based framework governing both the collection and utilization of financial resources. Members emphasized that clearly defined procedures would help ensure the fund functions independently of discretionary or political decisions while providing an effective mechanism to stabilize fuel prices during periods of exceptional market volatility. Petroleum Minister Ali Pervaiz Malik stressed the importance of protecting consumers without relying on ad-hoc policy decisions. The meeting also reviewed international best practices and current developments affecting global energy markets. Refinery Reforms and Transparency Measures Proposed The committee also discussed amendments to Pakistan’s Refinery Policy aimed at increasing domestic diesel production and reducing reliance on imported petroleum products. As part of efforts to improve transparency, the Oil and Gas Regulatory Authority (OGRA) will publish daily Platts benchmark pricing data on its official website, enabling consumers and businesses to better understand how domestic petroleum prices are determined. Committee members also emphasized the need to digitize Pakistan’s oil supply chain through improved monitoring, transportation, storage and distribution systems to enhance efficiency and strengthen regulatory oversight. Final Recommendations to Be Submitted to Prime Minister The next meeting of the petroleum pricing committee will serve as its final session before submitting a comprehensive set of recommendations to Prime Minister Shehbaz Sharif. The meeting was attended by Federal Minister for Economic Affairs Ahad Khan Cheema, Minister of State for Finance Bilal Azhar Kayani, OGRA Chairman Nabeel Awan, representatives of KPMG and senior officials from relevant government institutions. The government’s latest review comes after international crude oil prices experienced sharp swings, briefly climbing above $100 per barrel before retreating below $80 following the Iran-US peace agreement. Analysts warn that crude prices could surge beyond $150 per barrel if disruptions in the Strait of Hormuz continue. Pakistan’s proactive policy review aims to strengthen energy security, improve pricing transparency and shield the economy from global oil market shocks while maintaining affordability for consumers.

Pakistan Foreign Currency Deposits increased to $6.779 billion in June 2026 as non-resident inflows strengthened despite a yearly decline in resident deposits. Read the latest SBP data, key trends, and what they mean for Pakistan's economy.
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Pakistan Foreign Currency Deposits Rise in June 2026 as Overseas Funds Offset Domestic Decline

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Pakistan Foreign Currency Deposits recorded a modest increase in June 2026, offering a positive signal for the country’s external financing position even as annual figures continued to reflect pressure on domestic savings. The latest figures released by the State Bank of Pakistan (SBP) reveal that overseas inflows remained resilient, helping offset the continued decline in resident foreign currency holdings. While the month-on-month improvement appears encouraging, the broader trend highlights an important shift in how foreign currency is flowing into Pakistan. The growing contribution of overseas Pakistanis and non-resident investors is becoming increasingly significant at a time when the country continues to manage fiscal challenges, import financing needs, and external debt obligations. Pakistan Foreign Currency Deposits Reach $6.779 Billion According to SBP data, Pakistan Foreign Currency Deposits increased by $18.09 million during June 2026, reaching $6.779 billion compared to $6.761 billion in May. Despite the monthly improvement, annual performance remained under pressure. Total foreign currency deposits were still down by $208.69 million, or nearly 3 percent, compared to $6.988 billion recorded in June 2025. This indicates that while confidence has shown signs of stabilizing in recent months, deposit levels have yet to recover fully from last year’s decline. Resident Deposits Continue to Face Pressure Resident foreign currency deposits stood at $5.759 billion during June 2026, registering only a marginal monthly increase of $9.23 million. However, the yearly comparison paints a more concerning picture. Resident deposits declined by $329.73 million, representing a fall of more than 5 percent compared to June 2025. This trend suggests that businesses and individuals remain cautious about maintaining foreign currency balances, reflecting broader economic uncertainty, changing investment preferences, and liquidity requirements. The composition of resident deposits shows a balanced distribution across banking products. Demand deposits accounted for $2.127 billion, while savings deposits totaled $1.637 billion and time deposits reached $1.995 billion, indicating that long-term deposit instruments continue to attract significant interest despite overall declines. Overseas Depositors Strengthen Pakistan Foreign Currency Deposits One of the strongest highlights of the latest SBP data was the continued growth in non-resident deposits. Foreign currency deposits held by non-residents increased to $1.020 billion during June 2026, rising by $8.86 million compared to the previous month. Even more significant was the annual performance, with non-resident deposits jumping by $121.04 million, representing a robust 13.46 percent increase over June 2025. This steady rise demonstrates continued confidence among overseas Pakistanis and foreign account holders, providing valuable foreign exchange support at a time when Pakistan is focused on strengthening its external account and improving reserve stability. Non-resident balances consisted primarily of demand deposits worth $648.62 million, followed by savings deposits of $221.19 million and time deposits totaling $150.43 million. Why Pakistan Foreign Currency Deposits Matter for the Economy Foreign currency deposits play a critical role in Pakistan’s financial system. These funds help banks finance imports, facilitate international trade, and support the country’s external financing requirements. During June 2026, approximately $766.96 million was utilized for pre-shipment financing, while $143.59 million supported post-shipment financing. Import financing remained the largest use of these resources, with $1.011 billion allocated to facilitate trade and ensure the smooth availability of imported goods. The banking system also maintained a significant portion of these deposits with the State Bank of Pakistan and commercial banks. A total of $1.447 billion was placed with SBP and domestic banks, including allocations under Cash Reserve Requirement (CRR) and Statutory Cash Reserve Requirement (SCRR) regulations, ensuring sufficient liquidity and regulatory compliance. In addition, banks maintained $781.75 million as balances abroad and retained $288.33 million as cash holdings, strengthening their ability to meet international payment obligations and customer demand. Outlook for Pakistan Foreign Currency Deposits The latest SBP figures present a mixed but cautiously optimistic outlook. While annual declines in resident deposits continue to signal economic pressure, the steady increase in non-resident inflows offers an important source of stability. If overseas remittances remain strong, investor confidence improves, and macroeconomic reforms continue, Pakistan Foreign Currency Deposits could strengthen further in the coming months. However, sustained recovery will largely depend on domestic economic stability, exchange rate confidence, inflation trends, and the country’s external financing position. For policymakers, the latest data reinforces the growing importance of attracting overseas capital while rebuilding domestic confidence in Pakistan’s financial system.

Ethiopian Airlines Veteran Tewolde Named New PIA CEO
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Ethiopian Airlines Veteran Tewolde Named New PIA CEO

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Pakistan International Airlines (PIA) has selected Tewolde Gebremariam, former CEO of Ethiopian Airlines, as its new chief executive to steer the national carrier’s revival following privatisation. Seasoned Aviation Leader Joins PIA Tewolde is credited with transforming Ethiopian Airlines into Africa’s largest carrier. He expanded its international network and strengthened Addis Ababa as a major aviation hub. His appointment is pending mandatory security clearances before formal announcement. A senior PIA official and major shareholder described him as a strong choice with a proven turnaround track record. Privatisation Injects Fresh Capital The move follows the first phase of privatisation. Management control transferred to a consortium led by Arif Habib Corporation after meeting all conditions of the Share Purchase and Subscription Agreement (SPSA). The consortium paid Rs10 billion to the government as sale proceeds. It injected Rs80 billion into PIA to improve finances, modernise the fleet, expand routes, and boost operations. Strategic Revival Goals Overall, the consortium committed Rs180 billion. This includes Rs55 billion for a 75% stake and Rs125 billion in fresh investment for long-term revival. The second closing is due within 12 months, with an additional Rs45 billion injection planned. The consortium also holds an option to acquire the remaining 25% stake for another Rs45 billion. Leadership Expected to Drive PIA’s Turnaround Tewolde’s leadership is expected to drive operational efficiency and strengthen PIA’s position in regional and international markets. The appointment aligns with the new owners’ ambitious post-privatisation strategy. Industry observers view this as a significant step towards restoring PIA’s competitiveness. Success at Ethiopian Airlines offers valuable lessons for fleet modernisation and network expansion in Pakistan’s aviation sector. A New Chapter for Pakistan’s National Carrier The appointment of an experienced global aviation executive, combined with significant private investment, marks a major milestone in PIA’s transformation. Stakeholders expect the airline’s restructuring, fleet expansion, and operational improvements to enhance service quality and strengthen its presence in regional and international markets.

Massive LNG Carrier Docked in Record Monsoon Operation at Port Qasim
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Massive LNG Carrier Docked in Record Monsoon Operation at Port Qasim

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The Port Qasim Authority (PQA) successfully berthed a massive LNG carrier under severe monsoon conditions, preventing a potential national power crisis in Pakistan. Emergency Berthing Operation PQA guided the S K Resolute through a 49-kilometre navigational channel amid extreme weather on Saturday. This high-risk operation pushed the port’s capabilities to their limits. Record-Breaking Cargo Delivery The vessel carried 171,951 cubic metres of LNG, the largest single cargo at the PGPCL terminal. With a 47.8-metre beam, it marked the widest LNG carrier handled at Port Qasim during the monsoon season. The move came after two QatarEnergy shipments were cancelled under Force Majeure due to escalating tensions in the Strait of Hormuz. Pakistan LNG Limited (PLL) swiftly secured an emergency spot cargo already in transit, according to PQA Public Relations Officer Asad Altaf Hussain Warsi. This timely intervention ensured an uninterrupted gas supply to the national transmission system. It stabilised the power grid, safeguarding electricity for millions of households and industrial units during peak summer demand. Emergency LNG Procurement After Qatar Supply Disruptions Regional hostilities forced Pakistan back into the costly spot LNG market. Bloomberg reported the urgent need for alternative cargoes following disruptions from Qatar suppliers. PLL issued a tender for delivery on July 15–16 after government approval. The successful berthing demonstrates PQA’s operational excellence under pressure and highlights vulnerabilities in Pakistan’s energy supply chain. Strengthening Pakistan’s Energy Security Experts view this as a critical achievement for energy security. It underscores the importance of robust port infrastructure and rapid response capabilities in mitigating geopolitical risks affecting fuel imports. Continued Focus on Reliable Energy Imports The successful handling of the record LNG cargo highlights the strategic role of Port Qasim in ensuring Pakistan’s energy security during periods of regional uncertainty and challenging weather conditions. Efficient port operations and timely procurement remain essential to maintaining stable gas supplies and supporting uninterrupted electricity generation across the country.

The Boardroom PK delivers trusted business news, analysis, and insights from Pakistan and beyond, keeping readers informed, inspired, and ahead in the evolving world of business and leadership.

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