Pakistan

In a major development for Pakistan’s corporate and insurance landscape, TPL Corp Limited (PSX: TPL) has granted final board approval for Jazz International Holding Limited to acquire a controlling stake in TPL Insurance Limited, its insurance subsidiary. The approval was issued during a Board of Directors meeting held at 11:00 a.m. on December 17, 2025, marking a decisive step forward in a transaction that has been unfolding over several months. From In-Principle Approval to Final Sign-Off The transaction traces back to September 2025, when TPL Corp had granted in-principle approval for the sale and disclosed the development to the Pakistan Stock Exchange (PSX). With the latest decision, the board has now formally approved the Share Purchase Agreement with Jazz International Holding Limited, moving the deal into its execution phase. According to the company’s latest filing with the PSX, Jazz International Holding Limited has now emerged as the confirmed acquiring entity, following a formal amendment to the transaction structure. Jazz Replaces VEON as Final Acquirer A key shift in the deal structure took place this week. Arif Habib Limited, acting as Manager to the Offer, submitted an official addendum on behalf of Jazz International Holding Limited, replacing VEON Group Holding Company Ltd and its affiliates as the acquiring party. Under the revised arrangement, the acquisition will be carried out by Jazz International Holding Limited in concert with Pakistan Mobile Communications Limited, further strengthening Jazz’s position as a diversified digital and financial services player in Pakistan. The addendum was scheduled to be published in leading newspapers in line with regulatory disclosure requirements. Regulatory Disclosures Completed While VEON Group Holding Company Ltd was initially named as the prospective buyer in September, Arif Habib Limited issued the final acquirer declaration on December 16, 2025, confirming Jazz International Holding Limited as the definitive purchaser. TPL Corp has assured shareholders that further disclosures will be made as the transaction progresses toward completion, ensuring transparency throughout the regulatory and execution process. Market Reaction: TPL Shares Edge Higher Following the announcement, TPL Corp’s share price reflected a positive market response. At the time of reporting, TPL shares were trading at Rs. 11.94, up Rs. 0.19 or 1.62% on the Pakistan Stock Exchange. The acquisition is widely seen as a strategic move that could accelerate digital insurance innovation, leveraging Jazz’s scale and ecosystem alongside TPL Insurance’s existing footprint. Why This Deal Matters The Jazz-TPL Insurance transaction highlights: • Growing convergence of telecom, fintech, and insurance in Pakistan• Rising interest of large digital platforms in insurance and financial services• Continued M&A activity in Pakistan’s corporate sector despite macroeconomic challenges As Jazz deepens its presence beyond telecom into financial services, this acquisition could redefine how insurance products are distributed and consumed in Pakistan.

Pakistan’s energy sector sent mixed signals in November 2025. While overall power generation declined sharply on a month-on-month basis, the underlying story is far more nuanced one of improving efficiency, falling fuel costs, and a gradual transition toward nuclear and renewable energy. According to data compiled by Arif Habib Limited, total electricity generation stood at 8,050 GWh in November, reflecting a 19% decline compared to October. However, on a year-on-year basis, output remained broadly stable, highlighting seasonal demand patterns rather than structural weakness. Fuel Costs Drop Sharply, Offering Relief to the Power Sector One of the most significant developments was the 15% year-on-year reduction in average fuel costs, which fell to Rs6.22 per unit, compared to Rs7.28 per unit in November 2024. Even more striking was the 27% decline month-on-month, driven by lower reliance on expensive fuel sources and a better generation mix. This decline in fuel cost reflects: • Increased contribution from hydel and nuclear power• Reduced dependence on RLNG and furnace oil• Improved operational efficiency across the grid For consumers and policymakers alike, this trend provides much-needed relief amid inflationary pressures and fiscal constraints. Nuclear and Hydel Power Lead the Generation Mix Nuclear Power Gains Momentum: Nuclear energy emerged as a standout performer. In November: • Nuclear generation surged 23% YoY to 2,031 GWh• Its share in the total energy mix rose to 25.2%, up from 20.6% last year For the first five months of FY26, nuclear power has generated 9,996 GWh, marking a 13% increase year-on-year and now accounting for 17% of total power generation. This reinforces nuclear energy’s growing role as a stable and cost-efficient base-load source. Hydel Power Makes a Seasonal Comeback: Hydroelectric power also showed strong recovery: • 3,153 GWh generated in November, up 10% YoY• Share of the energy mix increased to 39.2%, compared to 35.6% last year After seasonal constraints in October, hydel output rebounded, strengthening Pakistan’s reliance on indigenous and low-cost energy. Thermal Power Continues to Lose Ground RLNG and Gas Under Pressure: High fuel prices and supply constraints weighed on thermal generation: • RLNG-based generation dropped 23% YoY to 696 GWh• Natural gas generation fell 21% YoY to 680 GWh As a result, RLNG’s share in the generation mix declined to 8.6%, while gas fell to 8.4%, underscoring a structural shift away from imported fuels. Coal Generation Declines: Coal-based power also lost momentum: • Local coal generation declined 26% YoY• Imported coal output dropped 15% YoY Coal’s overall share fell to 14.4%, down sharply from 18.6% a year ago. On a fiscal year-to-date basis, both local and imported coal generation remained lower than last year. Renewables Show Strong Growth, Despite Small Base While still a small contributor, renewable energy continues to gain traction: • Solar power generation increased 25% YoY to 86 GWh• Wind power surged 39% YoY to 136 GWh Cumulatively, wind generation for 5MFY26 rose 16%, while solar output increased 4%, signaling steady progress toward diversification and sustainability. What This Means for Pakistan’s Energy Outlook November’s data highlights a critical transition phase for Pakistan’s power sector:• Lower generation volumes, but• Better fuel efficiency• Higher share of clean and indigenous energy• Reduced exposure to imported fuels If current trends continue, Pakistan could achieve greater cost stability and energy security, especially through nuclear, hydel, wind, and solar expansion. The challenge ahead lies in sustaining this momentum while managing seasonal demand fluctuations and ensuring long-term investment in clean infrastructure.

Pakistan’s balance of payments for November 2025 shows a small current account surplus of $100 million, a notable improvement from the $291 million deficit in October 2025 and marking the first monthly surplus in the early months of FY26. This brings the July-November FY26 current account deficit to -$812 million, significantly narrower than the $503 million surplus recorded in the same period of FY25.The turnaround in November was driven primarily by strong secondary income inflows, particularly workers’ remittances, which reached $3.189 billion for the month. Cumulative remittances for Jul-Nov FY26 stand at $16.145 billion, up solidly from $14.767 billion in the corresponding period last year.However, this positive headline masks deepening concerns on the trade front: Read More: https://theboardroompk.com/china-exports-smash-forecasts-despite-trumps-60-tariffs-non-us-shipments-surge-18-beijings-trade-rerouting-pays-off-in-november/ Goods exports plunged 18.5% YoY in November to $2.273 billion, dragging Jul-Nov FY26 exports down 3.2% to $12.790 billion. Goods imports rose 15.0% YoY in November, pushing cumulative imports up 11.1% to $25.559 billion. The trade deficit in goods widened sharply to $2.454 billion in November, contributing to a Jul-Nov trade deficit of $12.769 billion (versus $9.799 billion last year).Services trade also remained in deficit, though marginally improved. Foreign direct investment continued to disappoint, with net FDI inflow of only $180 million in November, bringing Jul-Nov total to $928 million (down from $1.242 billion last year).Reserve position strengthened slightly, with SBP gross reserves (incl. CFC less RBI claims) reaching $15.862 billion by end-November, supported by the monthly overall balance near zero.Overall, while remittances continue to provide crucial support and enabled a rare monthly surplus, the sharp deterioration in goods exports signals weakening external competitiveness and raises risks to the current account outlook for the remainder of FY26 if export trends do not reverse.

In a significant development for Pakistan’s burgeoning cryptocurrency sector, Chairman of the Pakistan Virtual Assets Regulatory Authority (PVARA), Bilal Bin Saqib, has issued a clarification regarding the no-objection certificates (NOCs) granted to major global crypto exchanges Binance and HTX (formerly Huobi). During a televised statement on Sunday, Saqib emphasized that these NOCs do not constitute blanket approvals or full operational licenses for the platforms in Pakistan. Instead, they represent merely the “first step” in a carefully structured, risk-mitigated, phased, and supervised entry framework designed to allow foreign cryptocurrency operators to engage with the Pakistani market under strict regulatory oversight. Read More: https://theboardroompk.com/pakistan-and-binance-ink-mou-to-tokenize-2b-assets-amid-cryptos-unregulated-boom/ This announcement comes amid growing interest in digital assets within Pakistan, where authorities are balancing innovation with consumer protection and financial stability concerns. The PVARA’s approach aims to prevent risks associated with unregulated crypto activities, such as money laundering, fraud, and volatility exposure, while gradually integrating reputable international players. Saqib’s remarks are intended to manage public expectations and prevent misconceptions that the NOCs equate to unrestricted access. The phased framework will likely involve additional compliance requirements, monitoring, and potential pilot programs before any broader approvals are considered. The clarification has sparked discussions among crypto enthusiasts and investors in Pakistan, many of whom have been eagerly awaiting clearer regulations. Binance and HTX, two of the world’s largest exchanges, had previously received these preliminary NOCs, raising hopes for formalized operations. As Pakistan continues to develop its virtual assets policy, this supervised entry model could serve as a blueprint for other emerging markets navigating the complex crypto landscape. Stakeholders are now awaiting further details on subsequent phases and specific guidelines from PVARA.

Pakistan Stock Exchange (PSX) closed Tuesday’s trading session in negative territory as investors resorted to profit-taking following recent record highs, dragging the benchmark KSE-100 Index lower despite strong participation from select banking and power stocks. The KSE-100 Index settled at 170,447.30 points, registering a decline of 294.05 points (-0.17%). Trading remained highly volatile throughout the session, with the index moving within a wide range of 1,730 points. It touched an intraday high of 171,922.60 points before slipping to a low of 170,191.98 points. Total trading volume in the benchmark index stood at 475.39 million shares, reflecting sustained investor activity despite the downward close. Out of the 100 index constituents, 43 stocks closed higher, 56 ended lower, while one stock remained unchanged, highlighting broad-based selling pressure. Top Losers and Gainers of the Day Major losers on the KSE-100 included:• DHPL (-9.99%)• PIOC (-4.23%)• HUMNL (-3.31%)• MLCF (-3.05%)• NML (-2.77%) Top gainers providing limited upside support were:• KAPCO (+8.11%)• KTML (+7.13%)• BOP (+4.86%)• AICL (+4.67%)• PIBTL (+3.26%) Index Movers: Stocks That Drove the Market On a point basis, the largest drag on the KSE-100 Index came from:• FFC (-180.02 points)• Systems Limited (-111.11 points)• PPL (-110.10 points)• DHPL (-70.11 points)• OGDC (-67.46 points) Meanwhile, stocks supporting the index included:• UBL (+251.96 points)• BOP (+80.95 points)• NBP (+47.05 points)• KAPCO (+45.87 points)• KTML (+44.85 points) Sector Performance: Energy and Fertilizers Weigh Heavily Sector-wise, the market downturn was primarily driven by losses in: • Oil & Gas Exploration Companies (-207.64 points)• Fertilizer (-188.69 points)• Cement (-154.91 points)• Technology & Communication (-113.13 points)• Oil & Gas Marketing Companies (-55.56 points) On the positive side, Commercial Banks provided strong support, contributing +383.12 points, followed by gains in: • Power Generation & Distribution (+38.45 points)• Automobile Assemblers (+36.81 points)• Insurance (+36.24 points)• Pharmaceuticals (+14.89 points) Broader Market Summary The All-Share Index closed at 102,982.88 points, down 193.32 points (-0.19%). Overall market activity improved notably, with total volume rising to 1.18 billion shares, compared to 905.68 million shares in the previous session. The total traded value increased to Rs53.47 billion, up by Rs5.75 billion, indicating continued liquidity in selected stocks. A total of 520,993 trades were recorded across 482 companies, of which: • 161 stocks advanced• 290 declined• 31 remained unchanged Most Active Stocks by Volume The most actively traded stocks during the session were: • PIBTL (101.8 million shares)• BOP (88.7 million shares)• TPLP (80.4 million shares)• TPL (52.7 million shares)• WTL (52.1 million shares) Market Outlook: Strong Year-to-Date Gains Remain Intact Despite the day’s decline, the broader trend remains bullish. The KSE-100 Index has gained 44,820 points (35.68%) during the ongoing fiscal year, while it is up 55,320 points (48.05%) in calendar year 2025, underscoring strong investor confidence and sustained momentum in Pakistan’s equity market. Analysts believe short-term corrections are healthy and may provide fresh entry opportunities, particularly in fundamentally strong banking, energy, and power sector stocks as market participants recalibrate positions ahead of upcoming economic and corporate developments.

The All Pakistan Textile Mills Association (APTMA) has formally approached the Federal Board of Revenue (FBR), seeking an extension of at least three weeks for the filing and payment of sales tax returns, citing severe logistical disruptions caused by ongoing transport strikes across the country. In a letter addressed to FBR Chairman Rashid Mahmood Langrial, APTMA Chairman Kamran Arshad outlined the operational challenges being faced by textile mills due to the breakdown of supply chains and delays in the movement of goods between upcountry regions and major port cities. Transport Strikes Disrupt Compliance Timelines According to APTMA, the prevailing transport situation has significantly hampered the timely movement of goods, documents, and essential records between textile mills, clearing agents, and tax consultants. The impact has been particularly acute for mills located in upcountry regions, where access to ports and administrative hubs has been severely restricted. “The ongoing disruption has made it extremely difficult for member mills to reconcile accounts, compile required documentation, and meet statutory sales tax deadlines,” the association stated in its communication to the tax authority. Request to Avoid Penal Consequences APTMA emphasized that the delays are beyond the control of registered taxpayers and warned that failure to extend deadlines could expose compliant businesses to unnecessary penalties and financial strain. The association urged the FBR to consider a minimum three-week extension to facilitate smooth compliance and maintain business continuity. The textile body expressed confidence that the FBR would take a pragmatic and industry-friendly view of the request, given the genuine operational difficulties currently confronting the sector. APTMA also conveyed its willingness to provide any additional clarification or data required by the tax authorities. The letter was also copied to Zubair Bilal, Member Inland Revenue (Operations) at the FBR, underscoring the urgency and importance of the matter. Textile Sector Under Pressure The textile industry, one of Pakistan’s largest contributors to exports, employment, and industrial output, has repeatedly highlighted logistical bottlenecks as a key factor affecting operational efficiency and regulatory compliance. Industry stakeholders warn that without timely relief, delayed tax filings could have a cascading financial impact on mills already grappling with rising costs and supply chain uncertainties. APTMA’s request comes at a critical time, as concerns grow over documentation delays and the potential economic fallout if sales tax deadlines are not adjusted in line with ground realities.

Karachi: Industrial activity has been severely disrupted due to a goods transporters’ strike that has continued for the past nine days, causing billions of rupees in daily losses to the national economy, said President of the Korangi Association of Trade and Industry (KATI), Muhammad Ikram Rajput.Expressing grave concern over the prolonged strike, Rajput said the suspension of goods movement from major industrial zones including Korangi, Landhi and Bin Qasim has badly affected the supply of raw materials and the delivery of finished goods. As a result, production at sev Read More: https://theboardroompk.com/transport-crisis-talks-at-kcci-25-member-goods-transporters-delegation-meets-karachi-chamber-amid-ongoing-strike/

ISLAMABAD: Prime Minister Shehbaz Sharif has named retired Lieutenant General Hassan Azhar Hayat as the Managing Director of the newly established Pakistan Land Port Authority (PLPA). The appointment was formalized through a notification issued by the Cabinet Secretariat’s Establishment Division. With this development, Pakistan joins India and Bangladesh as the third South Asian nation to create a dedicated land port authority, aimed at streamlining cross-border trade and transportation. The PLPA will act as a centralized hub for coordination among various agencies, promoting smoother trade facilitation, efficient passenger movement at border points, and stronger regional connectivity. It will establish effective mechanisms for collaboration with border management entities, while ensuring compliance with international treaties and conventions. Overall, the creation of the Pakistan Land Port Authority represents a major advancement in bolstering Pakistan’s trade ties with neighbors, upgrading border infrastructure, and fostering greater economic integration in the region.

The ongoing goods transporters’ strike in Pakistan continues to pose a serious challenge to business continuity and economic stability, with industry leaders warning of escalating losses and long-term damage to the national supply chain. According to the Karachi Chamber of Commerce and Industry (KCCI), the strike now entering its second week has brought logistics operations across the country close to a complete standstill. A 25-member delegation of goods transporters recently visited the Karachi Chamber of Commerce and Industry to discuss the crisis and its far-reaching impact on trade, manufacturing, and exports. KCCI President Rehan Hanif emphasized that the prolonged strike is not only disrupting day-to-day business activities but is also inflicting heavy losses on Pakistan’s economy, estimated to be worth billions of rupees with each passing day. Supply Chain Breakdown and Industrial Impact The goods transporters’ strike has severely disrupted the movement of raw materials and finished goods between ports, factories, warehouses, and markets. As a result, multiple industries are facing production slowdowns, while some are approaching temporary shutdowns due to the unavailability of essential inputs. Export-oriented sectors are among the worst affected, as delays in shipments are leading to missed deadlines and growing uncertainty among international buyers. Business leaders warn that the paralysis of the supply chain in Pakistan is creating a ripple effect across the economy, affecting manufacturing output, retail availability, and employment. In an already challenging economic environment, prolonged logistics disruptions are adding further pressure on businesses struggling with high costs and weak demand. Exports at Risk, Foreign Exchange Under Pressure The suspension of export shipments due to the transport strike is having a direct impact on Pakistan’s foreign exchange earnings. With exports stalled, inflows of foreign currency are declining, increasing pressure on the country’s foreign exchange reserves. Analysts caution that continued disruption could damage Pakistan’s credibility as a reliable trading partner, with long-term consequences for export growth and investment. Call for Immediate Government Intervention KCCI has urged the government to take immediate notice of the goods transporters’ strike, which began on December 8, and to initiate constructive dialogue with transporters. According to Rehan Hanif, addressing the legitimate concerns of transporters through negotiations is essential to restoring smooth logistics operations and preventing further economic losses. “In the current fragile economic situation, Pakistan cannot afford prolonged strikes,” the KCCI president stated, stressing that uninterrupted goods transportation is critical for industrial productivity, export performance, and overall economic recovery. National Interest Demands Swift Resolution Industry stakeholders agree that an immediate end to the goods transporters’ strike is now a national priority. Continued delays risk deepening supply chain disruptions, increasing business uncertainty, and undermining economic stability. A swift and mutually acceptable resolution, they argue, is essential to safeguard trade flows, protect jobs, and support sustainable economic growth.

Islamabad, December 16, 2025 – The long-awaited privatisation of Pakistan International Airlines (PIA) has gained significant momentum, with four consortia pre-qualified to bid for a controlling stake in the national carrier. The competitive bidding is scheduled for December 23, 2025, and will be broadcast live on national television to ensure maximum transparency, as announced by Prime Minister Shehbaz Sharif.The pre-qualified bidders are the Lucky Cement Consortium (including Hub Power Holdings, Kohat Cement, and Metro Ventures), the Arif Habib Corporation Consortium (with Fatima Fertiliser, City Schools, and Lake City Holdings), Fauji Fertiliser Company Limited, and private airline Air Blue Limited. Serious contenders like the Lucky and Arif Habib groups have engaged international aviation experts—Pegasus Airlines from Turkey and Sibra Aviation Partners, respectively—to refine their bids. Reports suggest both may seek partnerships with Fauji Fertiliser to strengthen their offers. Read More: https://theboardroompk.com/pm-promises-live-tv-coverage-for-pia-privatization-bids-on-december-23/ This renewed push follows a failed attempt last year, when a lone bid of just Rs10 billion from Blue World City fell far short of the Rs85 billion reserve price and was rejected. The Privatisation Commission relaunched the process in April 2025, inviting expressions of interest for 51-100% stake with management control. Key hurdles, including outstanding loans and tax issues, have been resolved, paving the way for progress.PIA has shown signs of recovery, posting Rs11 billion in pre-tax profits this financial year. The expected reserve price is now Rs90-100 billion. Post-privatisation plans include fleet expansion from 18 to 38 aircraft within four years, route growth to over 40 cities by 2029, and retaining the iconic PIA brand and national flag on planes.As the deadline approaches, PIA’s 6,500 employees express anxiety over job security. The government emphasises a transparent process to restore the airline’s former glory as “Great People to Fly With.” This marks Pakistan’s first major privatisation in nearly two decades, aligned with IMF reform commitments.