World bank says economic stabilization ‘taking hold’ in Pakistan

World bank says economic stabilization ‘taking hold’ in Pakistan
A man walks past the World Bank building in Washington, DC on April 21, 2022. (AFP/File)
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Updated 28 February 2025
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World bank says economic stabilization ‘taking hold’ in Pakistan

World bank says economic stabilization ‘taking hold’ in Pakistan
  • Pakistan and World Bank last month signed an agreement for a ten-year plan for $20 billion in development loans
  • Pakistan currently under IMF bailout that requires it to boost government revenues, external sources of financing

ISLAMABAD: The World Bank said on Friday economic stabilization was “taking hold” in Pakistan, making this an opportune moment for the group to sign an agreement for a ten-year plan to focus $20 billion in development lending in the cash-strapped country.

The new plan, known as the Country Partnership Framework, was announced by the World Bank last month and will focus the global institution’s pledge of $20 billion in areas including clean energy and climate resilience in the ten years from 2026.

The country has teetered on the brink of economic crisis for several years and economists and international financial institutions have called for major economic reforms. Pakistan is currently under a $7 billion International Monetary Fund bailout program, which requires the country to boost government revenues and shore up external sources of financing, much of which comes from loans from China and Gulf nations.

“This is an important moment for the partnership between the World Bank Group and Pakistan as we engage on this journey at a particular moment for Pakistan where stabilization is taking hold and there are new ambitions and new plans for development on the long term that are very aligned with the prioritizes of the World Bank Group in the country,” WB Country Director for Pakistan, Najy Benhassine, said in a video message on X.

“This is a groundbreaking joint commitment with the government of Pakistan both at the federal and provincial level to commit to focus on six of the most acute development challenges that the country is facing.”

The World Bank’s lending for Pakistan will start in 2026 and focus on six outcomes: improving education quality, tackling child stunting, boosting climate resilience, enhancing energy efficiency, fostering inclusive development and increasing private investment.

The finance ministry’s monthly outlook report said this week Pakistan’s consumer inflation was expected to remain stable in February and maintain a downward trajectory compared to the previous year. Inflation has eased since last year with CPI coming in at 2.4 percent in January compared to 24 percent in the same period last year. Authorities have credited the downward trend to economic stabilization under the IMF program secured last summer.

An IMF mission is due to arrive in Islamabad next week for the first review of the global lender’s facility.

“The primary surplus is expected to improve further in the coming months,” the finance ministry said, pointing to one of the benchmarks identified by the IMF.

The report also said that foreign remittances, a crucial lifeline for Pakistan’s economy, were expected to rise.

“Workers’ remittances recorded robust inflows of $20.8 billion during July-Jan FY2025, marking a 31.7 percent increase over $15.8 billion last year,” the ministry said.


Bodies of 12 Pakistani migrants who died in boat sinking have been repatriated

Bodies of 12 Pakistani migrants who died in boat sinking have been repatriated
Updated 28 February 2025
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Bodies of 12 Pakistani migrants who died in boat sinking have been repatriated

Bodies of 12 Pakistani migrants who died in boat sinking have been repatriated
  • The boat was carrying Europe-bound migrants with more than 60 Pakistani nationals
  • Officials say 37 Pakistani were rescued while 16 died and 10 remain unaccounted for

PARACHINAR: The bodies of 12 out of at least 16 Pakistanis who died this month when a boat carrying dozens of Europe-bound migrants sank off Libya’s coast have been repatriated to Pakistan, officials said Friday.
Most of the victims who died in the capsizing were from Kurram, a district in northwestern Khyber Pakhtunkhwa province.
The boat was carrying more than 60 Pakistani nationals, and out of them 37 people were rescued, the Ministry of Foreign Affairs said. Ten people remained unaccounted for.
Ashfaq Ahmed, a government administrator, said nine of the 12 bodies were sent to Kurram by helicopters on Thursday and Friday. He said the bodies of the four remaining victims will be brought home soon.
Libya, which shares borders with six nations and has a long coastline along the Mediterranean, is a main transit point for migrants escaping war and poverty in Africa and the Middle East to seek better lives in Europe.
Every year, hundreds of Pakistanis die while attempting to reach Europe via perilous land and sea routes, often facilitated by human smugglers. In January, authorities said dozens of Pakistanis died when a boat capsized off West Africa.


Security forces kill six militants in Pakistan’s northwest

Security forces kill six militants in Pakistan’s northwest
Updated 28 February 2025
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Security forces kill six militants in Pakistan’s northwest

Security forces kill six militants in Pakistan’s northwest
  • The incident occurred in North Waziristan during an intelligence-based operation
  • Killing of militants came on the same day a suicide attack claimed six lives in KP

ISLAMABAD: Pakistani security forces killed six militants in an operation in the country’s northwest on Friday, the military’s media wing, Inter-Services Public Relations (ISPR), said in a statement.
The intelligence-based operation was conducted in Ghulam Khan Kalay, an area in North Waziristan, a district bordering Afghanistan that was once a stronghold of militant groups before Pakistan launched military offensives to reclaim the region. The area, along with the rest of Khyber Pakhtunkhwa province, has seen a surge in militant violence since a fragile ceasefire agreement collapsed between the government and the banned Tehreek-e-Taliban Pakistan (TTP) in late 2022.
Pakistan labels TTP fighters as “khwarij,” a historical reference to an extremist sect in early Islam known for rebelling against authority, declaring other Muslims apostates, and justifying their killing.
“On 28 February 2025, security forces conducted an intelligence-based operation in the general area of Ghulam Khan Kalay, North Waziristan District, on reported presence of khwarij,” ISPR said. “During the conduct of the operation, own troops effectively engaged the khwarij location, as a result of which six khwarij were sent to hell.”
The statement added that weapons and ammunition were recovered from the militants, who had been actively involved in attacks on security forces and the killing of civilians.
ISPR said a “sanitization operation” was underway to eliminate other militants in the area, reiterating that Pakistani security forces remain determined to wipe out militancy from the country.
The killing of the militants came on the same day a suicide attack at a seminary in Khyber Pakhtunkhwa claimed six lives, including that of a prominent cleric, during the Friday prayer congregation.
In another incident, an improvised explosive device blast in Quetta, the provincial capital of Balochistan, injured nine people, including a paramilitary soldier.


Pakistan to begin Ramadan on Sunday, a day after Saudi Arabia, as moon remains unseen

Pakistan to begin Ramadan on Sunday, a day after Saudi Arabia, as moon remains unseen
Updated 28 February 2025
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Pakistan to begin Ramadan on Sunday, a day after Saudi Arabia, as moon remains unseen

Pakistan to begin Ramadan on Sunday, a day after Saudi Arabia, as moon remains unseen
  • Country’s central moon sighting committee says it did not receive testimonies of Ramadan crescent
  • Pakistan’s space agency had already predicted it would be difficult to sight the moon on Friday

ISLAMABAD: The head of Pakistan’s central moon sighting committee announced on Friday the Ramadan crescent was not seen across the country, adding the first day of the Muslim fasting month will fall on Sunday, a day after the ninth month of the Islamic Hijri calendar begins in Saudi Arabia.
Ramadan is observed by Muslims worldwide through fasting from dawn to sunset, with most practicing Muslims considering it a time of spiritual reflection, self-discipline and devotion. Fasting serves as a means of strengthening faith and developing empathy for the less fortunate.
The month holds special significance as it was during one of its nights that the first verses of the Holy Qur’an were revealed to Prophet Muhammad (PBUH), in what is considered its most sacred night. Muslims mark Ramadan with increased prayer, charity and community gatherings, culminating in the festival of Eid Al-Fitr.
“There has been no reported sighting of the Ramadan moon,” Maulana Abdul Khabir Azad, chairman of the Central Ruet-i-Hilal Committee, said while speaking to the media in northwestern Peshawar city. “The first day of the holy month of Ramadan will be on Sunday, March 2, 2025.”

Maulana Abdul Khabeer Azad, Chairman of Central Ruet-e-Hilal Committee, Pakistan’s moon sighting committee, along with others members use a telescope to look for the new moon that will mark the start of the holy fasting month of Ramadan, in Peshawar on February 28, 2025. (REUTERS)

Pakistan’s national space agency had already predicted the Ramadan moon would be invisible to the human eye in Pakistan on February 28, explaining the crescent would be difficult to sight due to its low altitude and distance.
It had also said people in the South Asian country were likely to mark the beginning of the holy month from March 2.
In Pakistan, however, the moon sighting committee is tasked with determining the start of new Islamic months.
The dates for Ramadan and Eid festivals are confirmed through visual observations and testimonies from different parts of the country reporting the crescent’s sighting.


Islamabad says eight Pakistanis deported from United States

Islamabad says eight Pakistanis deported from United States
Updated 28 February 2025
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Islamabad says eight Pakistanis deported from United States

Islamabad says eight Pakistanis deported from United States
  • Diplomat confirms this is the first such flight since President Trump returned to power
  • White House says the US president plans to carry out a mass deportation operation

ISLAMABAD: Eight Pakistan nationals residing illegally in the United States have been deported to Pakistan, Islamabad said Friday, with a diplomat calling it the first such flight since Donald Trump returned to power.
“We can confirm that eight Pakistani nationals, who were staying illegally in the US, have indeed returned yesterday,” Pakistan’s foreign ministry spokesman Shafqat Ali Khan told a press conference.
A Pakistani diplomat confirmed that this was the first such flight since Trump’s second term began in January.
“But (it is) not the first ever as in 2019, several such flights also arrived in Pakistan,” the diplomat said, speaking on condition of anonymity.
Trump promised a crackdown on illegal immigration during the election campaign and began his second term with a flurry of executive actions aimed at overhauling entry to the United States.
On his first day in office the Republican signed orders declaring a national emergency at the southern border with Mexico and announced the deployment of more troops to the area while vowing to deport “criminal aliens.”
The White House has also said Trump plans to carry out the largest mass deportation operation in US history.
In addition, Trump’s administration has halted an asylum program for people fleeing authoritarian regimes in Central and South America, leaving thousands of people stranded on the Mexican side of the border.


China’s BYD starts delivering vehicle in Pakistan, aim to roll out 100 units in 48 hours

China’s BYD starts delivering vehicle in Pakistan, aim to roll out 100 units in 48 hours
Updated 28 February 2025
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China’s BYD starts delivering vehicle in Pakistan, aim to roll out 100 units in 48 hours

China’s BYD starts delivering vehicle in Pakistan, aim to roll out 100 units in 48 hours
  • BYD partnered with Mega Motor Company last year to introduce electric vehicles in Pakistan
  • Both companies plan to establish 15 experience and care centers across Pakistan this year

KARACHI: China’s BYD, the world’s largest New Energy Vehicle (NEV) manufacturer, and Pakistan’s Mega Motor Company (MMC) started delivering vehicles in Karachi, Lahore and Islamabad on Friday, with plans to roll out 100 units within the first 48 hours, confirmed their official statement.
The milestone comes after BYD and MMC partnered last year to introduce electric vehicles (EVs) in Pakistan, aiming to accelerate the country’s transition toward sustainable mobility.
BYD, a global leader in battery-electric and plug-in hybrid vehicles, has expanded aggressively in Asia, Europe and Latin America. Mega Motor, a subsidiary of Pakistan’s Hub Power Company (HUBCO), is spearheading the local manufacturing, distribution and sales of BYD-branded vehicles.
“It is an honor to embark on this crucial development chapter in Pakistan,” said Lei Jian, BYD country head in Pakistan.
“BYD has long been dedicated to fulfilling people’s aspirations for a better life through technological innovation,” he continued. “We firmly believe that BYD’s new energy vehicles and technologies are destined to make even greater contributions to Pakistan’s green development journey.”

This handout photo, released by China’s BYD auto company on February 28, 2025, shows BYD Experience and Care Centers in Islamabad. (BYD Pakistan/Handout)

The companies have launched BYD Experience and Care Centers in Islamabad, Lahore and Karachi, offering customers access to their advanced automobiles. 
he initial rollout includes models such as SEAL and ATTO 3, with plans to establish 15 centers across Pakistan this year to expand accessibility.
“We are thrilled to begin vehicle deliveries across Pakistan,” said Danish Khaliq, VP Sales and Strategy at MMC. “This marks the beginning of an exciting journey for BYD and our customers, as we introduce world-class NEV technology to drive Pakistan toward a cleaner and more sustainable future.”
NEVs refer to alternative-fuel vehicles that rely on electric, hybrid, hydrogen, or other non-traditional power sources instead of conventional gasoline or diesel engines.