Pakistan Archives - Page 39 of 121

Pakistan Economy Shows Stability but ADB Warns of Significant Downside Risks Ahead

Web Desk / April 10, 2026

The Asian Development Bank (ADB) said on Friday that Pakistan’s economy has stabilised and begun to show stronger momentum, but warned that “downside risks are significant”. The ADB stated that recent improvements in growth and a decline in inflation reflect progress supported by tight macroeconomic policies and ongoing economic reforms. However, it cautioned that external and fiscal pressures continue to pose challenges to long-term stability. Read More: https://theboardroompk.com/chery-master-pakistan-starts-early-deliveries-of-tiggo-8-phev/ The Asian Development Bank states that Pakistan economy recovers during fiscal year 2025 as growth improves and inflation declines. This improvement links with tight macroeconomic policies and ongoing economic reforms. The report highlights that Pakistan economy outlook ADB report reflects both progress and vulnerability at the same time. Growth strengthens as inflation slows The Asian Development Bank notes that Pakistan economy shows recovery supported by falling inflation and better fiscal control. Economic activity improves during FY2025, which ends on June 30. According to the report, structural reforms help stabilize macroeconomic conditions. These reforms also support investor confidence and external balance. ADB Country Director for Pakistan Emma Fan says Pakistan economy shows stronger momentum. She notes that reforms remain critical for long-term stability. GDP growth forecast shows gradual improvement The Asian Development Outlook April 2026 projects steady growth for Pakistan economy in coming years. Real GDP growth is expected to reach 3.5 percent in FY2026. It further increases to 4.5 percent in FY2027. This compares with 3.1 percent growth recorded in FY2025. The report suggests that manufacturing recovery and higher investment drive this growth trend. Private sector activity also supports expansion. Pakistan economy outlook ADB report emphasizes that sustained reform remains key for maintaining this momentum. Inflation expected to rise in coming years The report also warns that inflation may increase in future fiscal years. Average inflation may reach 6.4 percent in FY2026 and 6.5 percent in FY2027. Rising oil prices and global supply disruptions contribute to this pressure. Trade route instability linked to geopolitical tensions also adds risk. ADB states that inflation control depends on careful monetary policy and external stability. Monetary policy expected to remain cautious The central bank is expected to follow a cautious monetary policy approach. The goal remains to stabilize inflation within a 5 to 7 percent target range. Policy easing may support growth, but authorities must balance it with inflation risks. The report suggests that monetary decisions will play a key role in shaping Pakistan economy outlook ADB report results in coming years. Investment and reform drive future growth The report highlights that future growth depends on private sector investment. Recent reforms improve investor confidence and stabilize foreign exchange conditions. Construction activity is expected to rise due to fiscal incentives introduced in the FY2026 budget. Reconstruction efforts after floods also support economic activity. Industry and services sectors both benefit from improved monetary conditions. ADB notes that reform implementation is essential for long-term sustainability. External risks remain a major concern Despite improvement, Pakistan economy faces significant external risks. Global uncertainty remains a key challenge for stability. A prolonged Middle East conflict could increase energy and fertilizer costs. This may reduce agricultural and industrial output. It may also reduce remittance inflows and widen current account deficit. ADB warns that Pakistan must continue adjustment programs to strengthen resilience. Pakistan economy outlook ADB report stresses that external shocks remain a serious threat. Fiscal pressure and structural challenges continue Fiscal stability remains another concern for Pakistan economy. External borrowing requirements and import costs may increase pressure. Structural barriers also slow down long-term growth potential. These include energy inefficiencies and limited industrial productivity. ADB highlights that policy consistency and reform continuity remain essential. Without reforms, economic gains may weaken quickly under global pressure. Construction and services sector show improvement Despite risks, some sectors show positive movement. Construction activity increases due to fiscal incentives and rebuilding projects. Services sector also benefits from improved liquidity and consumer activity. These sectors contribute to overall improvement in Pakistan economy outlook ADB report findings. However, it also warns that risks remain significant. Global uncertainty, inflation pressure, and fiscal challenges continue to threaten long-term stability.

Ishaq Dar Announces Visa on Arrival as US-Iran Delegations Land for Historic Negotiations

Web Desk / April 10, 2026

Pakistan has opened its doors to global diplomacy as Ishaq Dar announced visa-on-arrival facilities for delegates attending the highly anticipated “Islamabad Talks 2026,” a summit that could reshape geopolitical dynamics after a deadly conflict between United States and Iran. Read More: https://theboardroompk.com/pakistan-oil-gas-sector-reports-three-discoveries-in-march-2026-amid-isreal-us-war-on-iran/ In a statement shared on X, Ishaq Dar said Pakistan would facilitate all participants, including journalists and official representatives. He directed airlines to allow boarding without prior visas, assuring that immigration authorities in Pakistan would issue visas upon arrival. This move reflects Islamabad’s intent to position itself as a welcoming and neutral platform for high-stakes diplomacy at a critical global moment. Pakistan Opens Doors for Global Diplomacy The Islamabad Talks 2026 have already drawn significant international attention. Pakistan’s decision to ease entry requirements aims to ensure smooth participation from all stakeholders. Officials say the initiative highlights Pakistan’s proactive diplomatic approach. It also signals confidence in hosting one of the most consequential negotiations in recent history. By simplifying travel procedures, Islamabad is sending a strong message. The country wants dialogue to take precedence over bureaucracy. Analysts believe such facilitation could improve Pakistan’s global image as a peace broker. Moreover, the inclusion of journalists indicates a commitment to transparency. It allows global audiences to closely follow developments as they unfold. High-Level Delegations Arrive in Islamabad The talks come just days after a fragile ceasefire ended a six-week war between the United States and Iran. The conflict left thousands dead and triggered fears of a global economic slowdown. The American delegation is led by Vice President JD Vance. He is accompanied by key envoys including Steve Witkoff and Jared Kushner, both closely linked to former President Donald Trump. On the Iranian side, Parliamentary Speaker Mohammad Bagher Ghalibaf is heading the delegation. He is joined by Foreign Minister Abbas Araghchi and other senior officials. The presence of such high-ranking figures underscores the urgency of the talks. It also reflects the high stakes involved in securing lasting peace. Ceasefire on Edge as Talks Begin The Islamabad dialogue aims to convert a fragile ceasefire into a durable agreement. The truce, achieved after intense diplomatic efforts, remains vulnerable. Tensions across the Middle East continue to simmer. Any misstep could reignite hostilities, analysts warn. Global markets are also reacting cautiously. The six-week war disrupted oil supplies and raised fears of inflation and recession. Therefore, the outcome of these talks carries significant economic implications. Diplomats hope Islamabad can provide neutral ground for constructive engagement. Pakistan’s balanced relations with both countries may help bridge longstanding divides. Capital Under Tight Security Lockdown Authorities have imposed unprecedented security measures across Islamabad ahead of the talks. Key roads have been sealed, and security personnel deployed in large numbers. Surveillance systems have been enhanced to ensure maximum protection for visiting dignitaries. Officials confirmed that the negotiations will take place at a secure, undisclosed location. The lockdown has visibly reduced movement in the capital. Residents have been advised to avoid unnecessary travel during the summit. Security officials say these steps are necessary. They aim to prevent any disruption and ensure the talks proceed without incident. Global Stakes and Expectations The Islamabad Talks 2026 are widely seen as a critical test of diplomacy. World leaders and policymakers are closely monitoring developments. A successful outcome could stabilise the Middle East and ease global economic pressures. It may also lead to the lifting of sanctions on Iran, opening new trade opportunities. For Pakistan, the stakes are equally high. Hosting such a major diplomatic event enhances its international standing. It positions the country as a credible mediator in global conflicts. However, failure could prolong uncertainty. It may deepen divisions and delay economic recovery worldwide. Despite the risks, optimism persists. The ceasefire has created an opportunity for dialogue. Now, all eyes are on Islamabad to see whether that opportunity can turn into lasting peace.

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Customs Seizes Over 300 Tolas of Gold at Karachi Airport Passenger Under Investigation

Web Desk / April 9, 2026

Karachi’s Jinnah International Airport became the center of a major Customs gold seizure Karachi after officials confiscated more than 300 tolas of gold from a passenger and his family. The passengers arrived from Abu Dhabi and could not provide legal documentation for carrying the gold into Pakistan. Read More: https://theboardroompk.com/global-oil-prices-rise-as-iran-tensions-shake-markets-after-ceasefire-dispute/ Authorities said the discovery occurred during routine scanning of luggage and hand-carried bags. The initial detection prompted a detailed search, which led to the recovery of a large quantity of gold jewellery, gold bars, and foreign currency. The seized items included 281 tolas of gold jewellery, consisting of bangles and rings, along with 20 tolas of gold bars. In addition, Customs officials recovered $33,100 in US dollars and 366,000 UAE dirhams from the passenger. A case has been registered against the passenger for attempting to smuggle valuables into the country. Customs authorities have confirmed that all confiscated items are now in their custody. Officials emphasized that carrying undeclared gold and foreign currency violates Pakistan’s customs laws. The seizure underlines ongoing efforts to curb smuggling and protect the country’s financial system. Investment Expected to Flow into Pakistan Soon In a related development, Federal Minister for Board of Investment Qaiser Ahmed Sheikh stated that significant investment is expected to enter Pakistan within the next 15 days. Speaking on the ARY News program “Sawal Yeh Hai,” Sheikh said the Iran conflict is likely to end within two weeks. He predicted that normalcy would return rapidly afterward. Sheikh highlighted that Pakistan has emerged as a stable country amid regional instability. He noted that many Pakistanis who invested in Gulf countries, including the UAE, might repatriate their capital due to ongoing conflicts. “After the next 15 days, a huge inflow of capital will come to Pakistan. We only need to provide the right incentives to investors. Many Pakistanis who invested in the Gulf are now regretting it,” he said. The minister described the turmoil in the Middle East as “a blessing in disguise” for Pakistan. He emphasized that proper incentives, including reduced taxes, must be offered to attract and retain investment. “We also need to prevent investors from diverting funds to other countries such as Hong Kong,” Sheikh added. The Customs gold seizure Karachi and related foreign currency recovery highlight both regulatory enforcement and the economic opportunities for Pakistan. Analysts say that repatriated Gulf investment could strengthen local markets if properly channeled. Customs authorities confirmed that smuggling cases like this one are being closely monitored. They reiterated that any attempt to import undeclared valuables will face strict action under Pakistani law. Pakistan’s authorities continue to focus on enforcing customs regulations while the government prepares to capitalize on anticipated foreign investment. The combination of law enforcement and investor incentives may play a crucial role in strengthening Pakistan’s economic outlook in the coming weeks.

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Pakistan Eyes Major Boost in Tyre Exports as Chinese-Backed JV Announces $120 Million Expansion

Web Desk / April 9, 2026

Islamabad: April 9, 2026:Federal Minister for Commerce Jam Kamal Khan held a detailed meeting with Jin Yongsheng, Chairman of Service Long March Tyres (Private) Limited, and his delegation to discuss investment expansion, export growth, and tariff policy support for Pakistan’s tyre industry. Federal Secretary Commerce Jawad Paul and senior officials also attended the meeting. During the discussion, the company announced an additional investment of $120 million in Pakistan, reaffirming its confidence in the country’s industrial and economic potential. The delegation shared that the company is on track to achieve exports of $70 million by June 2026 and is aiming to cross $100 million in exports in the following financial year, a milestone that would place it among Pakistan’s leading non-textile exporters within a short span of operations. The meeting was informed that Pakistan has made significant progress in global tyre markets, with exports to the United States and Brazil increasing rapidly. Pakistan has emerged as the fifth-largest exporter of tyres to the United States and the seventh-largest to Brazil, marking a notable shift from virtually no presence in these markets just a few years ago. This growth has largely been attributed to the transfer of technology and expertise through collaboration with Chinese partners, which has enabled local manufacturing to meet international standards and compete globally. Federal Minister Jam Kamal Khan acknowledged the concerns raised by the industry and reiterated the government’s commitment to supporting sectors that demonstrate strong performance and export potential. He emphasized the importance of maintaining a balanced tariff policy that encourages local production while ensuring competitiveness. The minister noted that the government is working towards diversifying Pakistan’s industrial base by promoting emerging industries with high growth potential. The delegation also highlighted the importance of the Pakistan-China industrial partnership, describing it as a key driver behind the rapid growth of the tyre sector. The company’s manufacturing facility in Nooriabad was cited as a modern and efficient industrial unit employing around 2,000 workers and incorporating renewable energy solutions, making it one of the more sustainable production facilities in the region. Both sides agreed on the need to strengthen collaboration between the government and industry to support export-oriented growth and industrial expansion. The minister underscored that Pakistan must focus on diversification and leverage international partnerships to enhance its manufacturing capabilities and global competitiveness. The investors expressed confidence in Pakistan’s economic outlook despite current global challenges and appreciated the government’s continued engagement with the business community. The meeting concluded with a shared resolve to promote policy stability, encourage investment, and position Pakistan as a competitive hub for manufacturing and exports in emerging sectors such as tyres.

Pakistan

Pak Suzuki Inaugurates 100 m³ Biogas Plant and 920 kWh Solar Power Project

Web Desk / April 9, 2026

Karachi: Pak Suzuki Motor Company Limited formally inaugurated its 100m³ Biogas Plant and 920 kWh Solar Power Project today, reaffirming the company’s commitment to sustainable and environment-friendly energy integration into its manufacturing operations. Read More: https://theboardroompk.com/pia-fleet-to-expand-to-60-aircraft-says-arif-habib/ The inauguration ceremony was attended by Senator Saleem H. Mandviwala, Chairman of the Senate Standing Committee on Finance & Revenue, as the Chief Guest. The newly inaugurated 100 m³ biogas facility converts organic waste into renewable energy, while the 920-kWh solar power project supplements clean electricity for plant operations. Together, these installations contribute to reduced greenhouse-gas emissions, optimize energy costs, and enhance overall resource efficiency within the plant. Senator Saleem H. Mandviwala commended Pak Suzuki’s leadership in implementing environmentally sustainable practices. He said, “I would like to sincerely appreciate Pak Suzuki for organizing this event” and expressed gratitude to Suzuki Motor Corporation for “continued trust and investment in Pakistan,” noting that “Pakistan was the first overseas investment of Suzuki Motors outside Japan.” He called the biogas and solar projects “a strong step towards a cleaner, more sustainable future for Pakistan” and praised Pak Suzuki for “taking proactive measures to adopt renewable energy solutions into its operations”. He emphasized that “sustainability is no longer a choice; it is a necessity”. He stressed that such initiatives show economic growth and environmental responsibility can go hand in hand. Hiroshi Kawamura, Managing Director, Pak Suzuki Motor Company Limited, thanked Mr. Saleem Mandviwala for gracing the occasion and making this event memorable. Speaking at the ceremony, Mr. Hiroshi Kawamura highlighted the strategic importance of these initiatives. He remarked, “Today represents an important milestone in Pak Suzuki’s environmental-sustainability journey. The commissioning of our biogas plant and solar power facility demonstrates our commitment to integrate clean energy into our operations and contribute meaningfully to Pakistan’s environmental priorities. We remain committed to adopting environment-friendly manufacturing practices and will continue to invest in technologies that support a greener future.” Pak Suzuki remains dedicated to supporting the Government of Pakistan’s sustainability goals and advancing eco-friendly industrial practices across the automotive sector.

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NEPRA Electricity Price Increase Announced as Rs1.42 Per Unit Added to April Bills

Web Desk / April 9, 2026

Pakistan’s power sector faces fresh pressure as the NEPRA electricity price increase takes effect, with the National Electric Power Regulatory Authority approving a Rs1.42 per unit hike under the monthly fuel cost adjustment. The decision reflects rising fuel prices and ongoing instability in the energy market. Consumers across the country will feel the impact in April 2026 electricity bills. FCA Hike to Impact April Bills NEPRA confirmed that the increase will appear in April bills. The adjustment links directly to fuel charges recorded in February 2026. Authorities calculate the surcharge based on actual electricity consumption during that period. The regulator stated that the increase will apply to customers of both ex-WAPDA distribution companies and K-Electric. The move follows federal guidelines aimed at maintaining uniformity in fuel cost adjustments across Pakistan. Officials clarified that the charge will appear as a separate line item in electricity bills. This ensures transparency for consumers. However, it also highlights the rising burden on households already dealing with inflation. Who Will Pay and Who Is Exempt The new tariff will affect most electricity consumers. It will include domestic, commercial, and industrial users. Even those benefiting from incremental consumption packages will face the hike. However, NEPRA has provided limited relief to certain groups. Lifeline consumers will remain exempt from the increase. These include low-income households that use minimal electricity. Electric vehicle charging stations will also not face the additional charge. Similarly, prepaid electricity users who have opted for prepaid tariffs will not be affected. Despite these exemptions, the majority of consumers will see higher bills. This comes at a time when energy costs already strain household budgets. Rising Fuel Costs Drive Tariff Increase The NEPRA electricity price increase stems from fluctuations in global and local fuel prices. Pakistan relies heavily on imported fuels for power generation. Any change in international markets directly affects domestic electricity tariffs. Over the past few months, fuel costs have remained volatile. Oil and LNG prices have shown irregular trends due to geopolitical tensions. This has increased the cost of electricity production. NEPRA uses the monthly fuel cost adjustment mechanism to pass these changes to consumers. The system aims to prevent long-term financial losses in the power sector. However, it also leads to frequent changes in electricity bills. Officials argue that this method ensures financial sustainability. Critics say it places an unfair burden on the public. Recent Power Tariff Trends in Pakistan This latest increase follows a series of adjustments in recent weeks. Earlier this month, authorities hinted at rising energy costs due to higher generation expenses. Reports suggested that fuel imports had become more expensive due to currency depreciation and global supply issues. In recent days, Pakistan has also faced pressure on its energy infrastructure. Demand has increased with seasonal changes. At the same time, supply constraints have created additional stress on the system. The government has tried to manage the situation through policy measures. These include subsidy adjustments and efforts to improve efficiency in distribution companies. However, the impact remains limited. The NEPRA electricity price increase highlights a broader issue. Pakistan’s power sector continues to depend on costly fuel imports. Without structural reforms, such adjustments are likely to continue. Impact on Inflation and Economy The new electricity hike is expected to add to inflation. Higher energy costs often lead to increased prices for goods and services. Businesses pass on additional expenses to consumers. Industrial users may face higher production costs. This could affect exports and economic growth. Small businesses, already struggling with rising expenses, may find it difficult to cope. For households, the increase will reduce disposable income. Many families already face high costs for food, fuel, and utilities. The additional burden could worsen financial stress. Economic experts warn that repeated tariff hikes could slow down recovery. They stress the need for long-term solutions in the energy sector. Government’s Push for Uniform FCA Policy The federal government has pushed for a standardized FCA system across the country. This ensures that all consumers face similar adjustments, regardless of their electricity provider. Previously, different regions experienced varying fuel cost adjustments. This created disparities in billing. The new policy aims to eliminate such differences. By including K-Electric in the same framework, authorities hope to ensure fairness. However, consumers in urban areas like Karachi may still feel a significant impact due to higher consumption levels. Calls for Energy Sector Reforms The latest price hike has renewed calls for reforms in Pakistan’s energy sector. Experts emphasize the need to reduce reliance on imported fuels. They suggest investing in renewable energy sources such as solar and wind. Improving efficiency in transmission and distribution also remains critical. Power losses and theft continue to cost billions annually. Addressing these issues could reduce the need for frequent tariff increases. Policymakers also face pressure to protect vulnerable consumers. While lifeline users remain exempt, many middle-income households receive no relief. Public Reaction and Concerns Public reaction to the NEPRA electricity price increase has been largely negative. Consumers have expressed frustration over rising utility bills. Social media platforms show growing concern about affordability. Many citizens question the transparency of fuel cost adjustments. Others demand accountability from power companies and regulators. The government has yet to announce any major relief measures. This has added to public anxiety. More Pressure on Consumers Ahead The approval of a Rs1.42 per unit increase marks another challenge for Pakistan’s energy consumers. The NEPRA electricity price increase reflects deeper structural issues in the power sector. While the adjustment aims to balance costs, it adds to the financial burden on households and businesses. Without long-term reforms, such increases may continue.

Pakistan

Pakistan Steals Global Spotlight with US-Iran Ceasefire Push Leaving Indians Stunned

Web Desk / April 9, 2026

Pakistan has suddenly emerged as the unlikely hero in one of the world’s most dangerous conflicts. The country successfully helped broker a two-week ceasefire between the United States and Iran. Read More: https://theboardroompk.com/disney-to-slash-1000-job-marketing-department-faces-major-blow/ Diplomatic Triumph for Islamabad Prime Minister Shehbaz Sharif announced the immediate ceasefire on social media. Both sides, along with their allies, agreed to pause hostilities everywhere, including Lebanon. The deal also includes reopening the Strait of Hormuz. This critical waterway had been a major flashpoint threatening global oil supplies. Pakistan proposed a two-phased framework that bought precious time. Delegations from the US and Iran are now invited to Islamabad on April 10 for deeper talks. Social Media Erupts with Pride and Memes Within hours, the internet exploded with celebration. Hashtag #PakGlobalPeaceMaker trended worldwide as users shared witty memes.Many posts portrayed Pakistan as the calm referee stepping into a chaotic match. Others jokingly called it the “world’s new peacemaker” with references to Bollywood and everyday Pakistani life. The viral wave blended national pride with light humor. Pakistani celebrities and citizens alike flooded timelines with messages of gratitude and satire. Neighboring Reactions Add to the Buzz Across the border, the development left many Indians stunned and surprised. While some acknowledged the diplomatic move, others reacted with a mix of disbelief and online commentary. Indian social media saw a flood of reactions ranging from memes comparing the situation to popular shows to debates on regional influence. The spotlight on Pakistan clearly caught attention in India. Pakistan’s mediation involved high-level contacts. Army Chief Field Marshal Asim Munir reportedly stayed in touch with key US and Iranian officials throughout the night. China also played a supportive role in the backchannel efforts. The combined diplomacy helped create this fragile but significant window for peace. World leaders have praised Pakistan’s unexpected intervention. Analysts say the country’s unique position and relationships made it an effective bridge. The ceasefire remains temporary and delicate. Success of upcoming Islamabad talks will determine if it leads to a lasting resolution.

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Disney to Slash 1,000 Job, Marketing Department Faces Major Blow

Web Desk / April 9, 2026

Disney is set to eliminate as many as 1,000 positions in the coming weeks. Read More: https://theboardroompk.com/govt-borrowing-from-banks-jumps-61-private-sector-left-out/ Many of these cuts will target the company’s marketing department, according to a Wall Street Journal report. Cost-Cutting Under New Leadership The plans for these layoffs started before Josh D’Amaro took over as Disney’s chief executive officer in March. D’Amaro’s leadership now oversees a workforce of about 231,000 employees as of the end of fiscal year 2025. The upcoming reductions represent less than 1% of Disney’s total staff. Project Imagine to Streamline Marketing Newly appointed chief marketing officer Asad Ayaz is leading efforts to unite the company’s marketing groups. This initiative, code-named Project Imagine, aims to reduce expenses across the newly created company-wide marketing organization. Ayaz began overseeing these changes back in January. Disney has not yet commented officially on the reports. Reuters said it could not independently verify the details shared by the Wall Street Journal. The move comes as Disney continues focusing on efficiency. Theme parks and experiences division still employ around 80% of the workforce. Analysts see this as part of broader efforts to control costs while maintaining growth in streaming and entertainment. Observers note that such targeted cuts in marketing could help reallocate resources to core creative and consumer-facing areas.

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Govt borrowing from banks jumps 61%, private sector left out

Web Desk / April 8, 2026

Karachi: Khurram Ijaz, General Secretary of the Businessmen Panel Progressive (BMPP) and former Vice President Federation Pakistan Chambers of Commerce & Industry (FPCCI), has sounded the alarm over the federal government’s rapidly rising borrowing from commercial banks, cautioning that it will further squeeze credit availability for the private sector. Read More: https://theboardroompk.com/fpcci-hails-pakistans-leadership-for-role-in-us-iran-ceasefire/ Citing fresh data released by the State Bank of Pakistan (SBP), Khurram Ijaz noted that government borrowing from commercial banks jumped by 61 per cent in the first nine months of FY2025–26. From July to March, borrowing climbed to Rs2.90 trillion, compared to Rs1.80 trillion in the same period last year. He said the surge, driven by Market Treasury Bills (MTBs) and Pakistan Investment Bonds (PIBs), reflects growing dependence on domestic financing to plug the widening fiscal deficit. While acknowledging the government’s repayment of Rs2.14 trillion to the central bank during the same period—consistent with the Fiscal Responsibility and Debt Limitation framework—Ijaz stressed that the shift has placed undue pressure on commercial banks, leaving limited space for businesses seeking credit. “When the government aggressively taps into commercial bank resources, it directly crowds out the private sector,” he remarked. “Industries rely on affordable and accessible financing to expand, invest, and generate employment. This trend sends a worrying signal for economic growth.” Despite a substantial decline in the policy rate—from 22% to 10.50%—private sector borrowing has shown only a marginal rise, increasing to Rs833 billion from Rs778 billion last year. According to Ijaz, the muted response highlights structural challenges created by excessive government borrowing. He warned that sustained crowding-out could dampen industrial activity, slow job creation, and stall Pakistan’s broader recovery. “The government must prioritize strengthening revenues, reducing deficits, and adopting policies that encourage private sector-led growth,” he said. “Relying on bank borrowing as a long-term strategy is neither sustainable nor productive.” Khurram Ijaz urged policymakers to adopt balanced fiscal measures that support business activity and ensure credit flows toward productive sectors of the economy.

Pakistan

FPCCI hails Pakistan’s leadership for role in US–Iran ceasefire

Web Desk / April 8, 2026

KARACHI: Saquib Fayyaz Magoon, Chairman Businessmen Panel-Progressive (BMPP) and Senior Vice President Federation Pakistan Chambers of Commerce & Industry (FPCCI), has lauded Prime Minister Shehbaz Sharif, Field Marshal Asim Munir, and Deputy Prime Minister Ishaq Dar for their pivotal role in brokering the ceasefire between the United States and Iran. Read More: https://theboardroompk.com/gold-rate-jumps-rs15700-in-pakistan-after-us-iran-tensions-ease/ In a statement, Mr. Magoon said the historic ceasefire had saved countless lives and restored hope for peace in the region. He noted that Pakistan’s leadership had not only achieved a diplomatic breakthrough but also elevated the country’s stature on the global stage. Highlighting the economic dimension, Mr. Magoon stressed that the lifting of sanctions on Iran could open significant opportunities for Pakistan. “Cheaper industrial raw materials from Iran will strengthen our manufacturing sector, while gas supplies through pipeline projects and affordable petroleum imports will ease the burden on both industry and the public,” he remarked. He urged the government to act swiftly and devise a comprehensive plan to capitalize on these opportunities. “FPCCI and the wider business community must be taken on board to ensure that decisions serve the national interest and pave the way for sustainable economic growth,” he added. Saquib Fayyaz Magoon emphasized that with prudent strategy, Pakistan could embark on a new trajectory of economic development, leveraging regional peace for prosperity at home.

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