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NORMALISATION: PAKISTAN AND IRAN ANNOUNCE RETURN OF AMBASSADORS

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Tuesday, 23 January, 2024 I 11 Rajab, 1445

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IRANIAN FM HOSSEIN AMIRABDOLLAHIAN TO VISIT PAKISTAN ON JAN 29

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ISLAMABAD STAFF REPORT

N a major breakthrough, Pakistan and Iran on Monday announced measures for normalisation in ties as both the countries said that their respective ambassadors could return to their offices by January 26.

A joint statement of the countries stated that diplomatic relations of Pakistan and Islamic Republic of Iran have been restored. The Foreign Office of Pakistan saidthat the Iranian Foreign Minister Hossein Amirabdollahian was due to arrive in Pakistan on January 29.

Iranian Foreign Minister Hossein Amirabdollahian was visiting Pakistan on Jan 29, on invitation of his Pakistani counterpart Jalil Abbas Jillani.

“Following the telephone conversation between the Foreign Ministers of Pakistan and the Islamic Republic of Iran, it has been mutually agreed that ambassadors of

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ENVOYS OF BOTH COUNTRIES TO RETURN TO JOB BY JANUARY 26

both countries may return to their respective posts by 26 January 2024,” said a joint statement simultaneously issued by Tehran and Islamabad.

During a telephonic conversation, Foreign Minister Jalil Abbas Jilani and his Iranian counterpart Hossein Amirabdollahian discussed return of the ambassadors back to their offices in respective capitals.

Pakistan and Iran also agreed to restore diplomatic ties and sending back to ambassadors to their postings after a standoff, the statement added.

The two foreign ministers stressed over brotherly ties and bilateral cooperation, said the foreign office in Islamabad.

Pakistan’s caretaker foreign minister urged that the respect of national solidarity and sovereignty should be the basis of cooperation. The sides also agreed to deescalate tensions.

The foreign ministers talked after both countries exchanged drone and missile strikes in each

Nawaz Sharif criticizes opponents for ruining Pakistan’s economy

MANSEHRA STAFF REPORT

Pakistan Muslim League-Nawaz supremo and former prime minister Nawaz Sharif on Monday criticized political opponents for ruining the country’s economy.

“Nawaz Sharif left better Pakistan but now it is detracted”, the PML-N supremo said while addressing a public gathering in Mansehra, KP ahead of the February 8 general elections. The ex-prime minister said that had he not been removed from power in 2017, the people of

Mansehra would have been gifted an airport and a metro project. He regretted that development work on the Sukkur-Hyderabad Motorway was stopped by the past government of Pakistan Tehreek-e-Insaf. He vowed to bring Pakistan back on the path of prosperity after coming into power.

Pakistan Muslim LeagueNawaz will again provide fuel, vegetables and other things at cheaper rates after coming into power, Nawaz Sharif claimed and added the issue of water will also be settled.

Sharif, who returned from selfexile in London late last year, has pledged to rebuild the country’s $350 billion economy, which is battling high inflation, an unstable currency and low foreign exchange reserves, despite averting a debt default with an IMF bailout last summer. The former prime minister kicked off his election campaign from Hafizabad, Punjab, on January 18.

information technology, and science and technology, ensuring tangible socio-economic benefits for the people.

The meeting, which was cochaired by Foreign Secretary Muhammad Syrus Sajjad Qazi and Vice Minister for Foreign Affairs of China Sun Weidong, also underscored CPEC’s pioneering role in strengthening international and regional connectivity while appreciating the open and inclusive nature of this flagship project.

Noting that the two countries were all-weather strategic partners, the foreign secretary reaffirmed the importance of CPEC in promoting

cooperation and sustainable development. He further emphasised welcoming interested third parties to explore mutually beneficial avenues of cooperation Recognizing the evolution of CPEC, the two sides rejected the disinformation campaigns and distorted reporting on CPEC and stressed the need to counter fallacious narratives and misinformation.

Islamabad and Beijing also agreed on sharing best practices and generating an intellectual knowledge pool of CPEC and BRI development through enhanced international communication and cooperation.

COAS, Chinese vice FM discuss further cementing Sino, Pakistan ties RAWALPINDI

STAFF REPORT

Mr Sun Weidong, Vice Foreign Minister of the People’s Republic of China on Monday called on General Syed Asim Munir, NI (M), Chief of Army Staff (COAS), here at GHQ. During the meeting matters of mutual interest and measures to further enhance bilateral defence cooperation were discussed.

Chinese Vice Foreign Minister said that Pakistan and China are all weather strategic partners. He acknowledged Pakistan’s efforts towards regional peace and stability and also conveyed China’s satisfaction on security arrangements for CPEC projects.

COAS thanked the visiting dignitary for his warm remarks and said that relations between Pakistan and China are founded on a common understanding of regional peace, stability and prosperity for the people of both countries.

Pakistan, China hold fourth meeting of CPEC working group Pakistan and China held on Monday the fourth meeting of the CPEC Joint Working Group International Cooperation and Coordination (JWG-ICC).

The two countries agreed to enhance focus on high-quality advancements in industry, agriculture,

Rs 50.00 | Vol XIV No 205 I 40 Pages I Islamabad Edition

Pakistan fully committed to timely completion of CPEC projects: PM Kakar

ISLAMABAD: Caretaker Prime Minister Anwaar-ul-Haq Kakar on Monday said Pakistan was fully committed to the success of the ChinaPakistan Economic Corridor (CPEC) and stressed the need for both sides to continue to work closely to ensure timely completion of ongoing projects. The PM expressed these views as Chinese Vice Foreign Minister Sun Weidong paid a courtesy call Mr Kakar. In addition to PakistanChina relations, the regional situation also came under discussion. The Prime Minister welcomed the Chinese Vice Foreign Minister as well as members of his delegation and said Pakistan deeply valued its allweather, strategic, cooperative partnership with China. Recalling his visit to Beijing for the 3rd Belt and Road Forum in October 2023, the Prime Minister said he was deeply touched by the warm sentiments of President Xi Jinping and Premier Li Qiang towards Pakistan. STAFF REPORT

other’s territory.

The tit-for-tat strikes by the two countries were the highest-profile cross-border intrusions in recent years and have raised alarm about wider instability in the region since the war between Israel and Hamas erupted on October 7, 2023.

Pakistan and Iran may often boast about the “friendly and brotherly” relations but underneath does exist certain issues that cause suspicion in both the capitals.

At the heart of the problem are the concerns both sides often expressed privately about the use of each other’s soil by certain terrorist groups.

Pakistan has longstanding concerns that Baloch terrorist outfits find refuge across the border in the SistanBalochistan province of Iran. Tehran on the other hand pointed a finger at anti-Iran militant groups such as Jaish al-Adl having hideouts in Balochistan province in Pakistan. Iran gave the same justification for carrying out cross-border missile strikes under the pretext that it was aimed at Jaish al-Adl hideouts.

Pakistan, in retaliation, conducted strikes and pounded with bombs what it said were the sanctuaries of Baloch terrorists. Iran admitted that those killed in Pakistani strikes were not Iranians.

In the aftermath of the tit-for-tat attacks, Pakistan is keen to work with Iran on a new arrangement that prevents such incidents in the future. One proposal is to strengthen the existing mechanisms to enhance cooperation in the fight against terrorism. Instead of violating each other’s sovereignty, the two countries may deepen intelligence cooperation, according to sources.

These proposals would be discussed during the engagements between the two countries. Foreign ministers of Iran and Pakistan spoke twice since the tit-for-tat attacks and agreed to work closely to deal with the matter.

Pakistan, on its part, has no intention to escalate tensions. The National Security Committee (NSC) in its meeting on Friday carefully used language to send a message of conciliation and cooperation.

The high-powered civil military forum termed the tit-for-tat attacks as “minor irritants.”

Iran too, after Pakistan’s retaliatory strikes, toned down its rhetoric. Tehran stressed that it was adhering to the policy of friendly ties with Islamabad and that no external enemies could strain their cooperation.

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Recent internet outages due to ‘technical issues, system installations’: Solangi irfan.farooq@pakistantoday.com.pk

ISLAMABAD

STAFF REPORT

The caretaker government on Monday blamed “technical” issues and system installations for recent internet outages across the country, saying that there was “no guarantee” that such incidents won’t occur in the future. “The economy, businesses and prestige of the country are more important for us […] it is important for us to take care of them,” interim Information Minister Murtaza Solangi said at a press conference in Islamabad.

However, he said one could wish that internet outages didn’t take place but there was no guarantee for that.

The minister’s remarks came in response to a question regarding recurring interruptions on social media platforms during the PTI’s online events. In the most recent occurrence, internet services were interrupted an hour before the PTI’s “virtual power show” on Saturday. Netblocks, a global internet monitor, had tweeted that live metrics showed “a nation-scale disruption to social media platforms across Pakistan, including X/Twitter, Facebook, Instagram and YouTube”.

Meanwhile, the Pakistan Telecommunication Authority (PTA) had said the internet was disrupted due to a “technical fault”.

During a press conference alongside PTA Director General Ahmed Shamim Pirzada and FIA Cybercrime Director Operations Waqaruddin Syed today, Solangi was asked about internet outages and whether the government would resolve to prevent such instances during the February 8 general election.

02 NEWS

IMF CUTS PAKISTAN’S EXTERNAL FINANCING ESTIMATE FOR FY 2023-24

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News Desk

HE International Monetary Fund (IMF) has revised its projection for Pakistan’s external financing needs for the fiscal year 2023-24. According to the IMF’s “First Review under the Stand-By Arrangement,” the revised figure stands at $24.965 billion, which is about 7.1% of Pakistan’s GDP. This marks a decrease from the earlier estimate of $28.361 billion or 8.1% of the GDP. This adjustment indicates that the StandBy Arrangement (SBA) program, aimed at supporting Pakistan’s economy, is on track

PAKISTAN'S ECONOMIC OUTLOOK BRIGHTENS AS IMF REDUCES FINANCING REQUIREMENT

with adequate funding. The IMF notes that Pakistan’s reserve levels at the end of fiscal year 2024 are expected to align with the program’s objectives.

In terms of financial support, the IMF has already provided over $3 billion. An additional $1 billion from various multilateral sources is anticipated by the end of 2023.

However, the expected contribution from the Islamic Development Bank is likely to be less than the initially promised $1 billion.

Fertiliser sector’s profits skyrocket, 104% growth expected in Q4 FY2023: report

Bilateral support remains firm, with $0.7 billion already confirmed.

A significant development in Pakistan’s debt management is the restructuring of debt with a major bilateral creditor, projected to save about $1.2 billion in fiscal years 2024 and 2025. Despite these positive steps, the IMF report highlights ongoing risks such as high public sector debt rollover needs, a consistent current account deficit, challenges in external market borrowing, and

limited reserve buffers.

Pakistani authorities maintain that they have secured international support for their economic reforms. The gross external financing needs for fiscal year 2024 are estimated to be around $25 billion, including the current account deficit. Public sector debt repayments are a major portion of this, amounting to about $13.8 billion.

Since the SBA was approved, Pakistan has secured an additional $5.6 billion in financing, with over $3 billion already received. These funds are earmarked for various financial obligations, including debt rollovers, refinancing, and amortization savings.

Merit Packaging plans selling assets of Rs1.55b to related party lender g

PROFIT

POTENTIAL PROCEEDS HELP IN REPAY OUTSTANDING LOAN OF RS 1.45 BILLION, GENERATING SAVINGS BEFORE TAX OF RS 0.32 BILLION PROFIT

News Desk

News Desk

Pakistan’s listed fertiliser companies are set to experience an impressive 104% increase in profits, soaring to Rs 25 billion for the fourth quarter of FY2023, as forecasted by Topline Securities.

This substantial growth is primarily driven by higher retention prices, boosting the sector’s gross margins. The comprehensive analysis by the brokerage firm projects an escalation in the fertiliser sector’s after-tax earnings for the entire year 2023. These earnings are expected to rise by 63% compared to the previous year, reaching Rs 63 billion. The underlying factors for this surge include increased prices and a significant jump in Diammonium Phosphate (DAP) sales. Sales volume, however, presents a mixed scenario. The report predicts a decrease in Urea sales by 8% in both year-on-year and quarter-onquarter terms, totaling 1.7 million tons in the last quarter of 2023. In contrast, DAP sales are expected to rise by 24% year-onyear and 20% quarter-on-quarter, with 576,000 tons anticipated in Q4 2023.

Overall, the year 2023 is expected to close with Urea and DAP sales volumes of 6.64 million tons and 1.57 million tons, respectively. A rise in the average Maximum Retail Price (MRP) of Urea is also noted, increasing by 35% year-onyear to Rs. 3,349 per bag. DAP prices similarly increased, aligning with global market trends and currency devaluations.

The report also references the government’s decision to raise gas prices for fertiliser plants from October 2023, influencing the sector’s profitability. The gross margin for the sector in Q4 2023 is expected to increase to 28%, up from 20% in the same quarter of the previous year.

The full year’s gross margin for 2023 is projected at 27%, slightly higher than the 26% in 2022. A notable positive trend is the anticipated decrease in finance costs for the sector by 45% year-on-year in Q4 2023, mainly due to reduced borrowing.

The sector’s total debt decreased significantly from Rs. 152 billion in December 2022 to Rs. 58 billion by September 2023. Focusing on individual companies, Fauji Fertilizer Company (FFC) is expected to report a 100% increase in unconsolidated EPS to Rs. 8.2 in Q4 2023. Engro Fertilizers (EFERT) is projected to show a 51% increase in consolidated EPS to Rs. 7.2 for the same period. Fauji Fertilizer Bin Qasim (FFBL) is anticipated to report an unconsolidated EPS of Rs. 3.8 in Q4 2023, a dramatic increase from the EPS of Rs. 0.5 in Q4 2022. In summary, the latter part of 2023 is set to mark a significant profitability boost for Pakistan’s fertilizer sector, driven by strategic pricing and operational efficiencies.

Merit Packaging Limited, a leading manufacturer of packaging materials, has announced that it will sell its land and factory building in Korangi Industrial Township, Karachi, to its related party SIZA Services (Private) Limited, for Rs 1.55 billion, amid shareholders approval.

An extraordinary General Meeting (EOGM) of Merit Packaging will be held on Thursday, February 15, 2024, to seek approval of members to dispose off the Land and Factory Building.

The company said that the proceeds from the sale would be used to settle the loan outstanding of Rs 1.45bn towards the lenders namely SIZA (Private) Limited, SIZA Commodities (Private) Limited and Premier Fashions (Private) Limited, which are projected to mature within the next two quarters.

Despite the positive operating profit in 2022 and 2023, the company reported net losses in both years after interest and tax expenses were deducted from operating profits.

More specifically, the company made an operating profit of Rs 0.28 billion in 2023, which was completely wiped off by Rs 0.34 million of finan-

cial charges, leading to a net loss of Rs 0.14 billion.

The primary reason for generating net losses in recent years is higher finance costs. In 2023 alone, the reported finance costs were Rs 0.34 billion.

Read This: Merit Packaging is selling off its land and building. Why? The company forecasts that if proceeds from the sale of the building and land are used to pay Rs 1.5bn loan, then an amount of Rs 0.34 billion will be reduced in finance cost, leading to annual savings before tax of Rs 0.32 billion – all these financial figures are anticipated by the company, if shareholders approve the lease model.

The company will potentially save Rs 0.23 billion after tax per year after selling its land and factory building,

leading to savings per share of Rs 1.14.

The proceeds from the land and building will also provide additional liquidity to the Company for the utilization in running and managing the working capital requirement and investment in the profitable business avenues.

The company also said that the purpose of leasing back the land and factory building was to ensure the uninterrupted continuation of the company business and that the directors had no interest in this matter except to the extent of their directorship in the company and payment of remuneration.

Therefore, if the shareholders approve the disposal of land and buildings, then potentially this option can help the company save 0.32bn as compared to owing the assets.

Particulars of assets cost, revalued amount, book value, and expected market price:

Borrowing costs versus Rental Costs to be borne by the Company:

Food exports from Pakistan climb 112% in December, fueling domestic price increases g

EXPORT OF FOOD PRODUCTS HAS BEEN ON AN UPWARD TRAJECTORY SINCE OCTOBER 2023, REACHING $3.48 BILLION, UP FROM $2.32 BILLION IN THE FIRST HALF OF THE FISCAL YEAR 2023-24 PROFIT

News Desk

In December, Pakistan witnessed a significant 111.63 percent increase in the export of raw food products, a development that has led to higher domestic prices for consumers.

According to data from the Pakistan Bureau of Statistics (PBS), this rise in exports contributed to a sharp 28.8 percent spike in food inflation in December 2023, impacting the affordability of basic items like wheat flour, rice, sugar, meat, and vegetables.

The export of food products has been on an upward trajectory since October 2023, with a notable 49.84 percent growth in the first half of the fiscal year 2023-24, reaching $3.48 billion, up from $2.32 billion in the same period last year.

This surge is partly attributed to the

significant depreciation of the Pakistani rupee and increased international demand due to supply chain disruptions and higher global market prices.

Rice exports have been a major contributor to this trend, showing a 76.53 percent increase in the July-December period of FY24, driven primarily by a rise in basmati rice exports, which jumped 30.03 percent to $367.39 million from $282.53 million in the previous year. The export of non-basmati rice also saw a substantial increase of 96.88 percent to $1.64 billion. India’s recent ban on rice exports is seen as a key factor behind this increase.

Domestically, the surge in exports has led to a significant rise in the price of basmati rice, now at Rs380 per kg, up from Rs150 two years ago, limiting its affordability for local consumers.

Meat exports have also grown by

24.90 percent to $239.71 million in the first half of FY24, with Pakistan exploring new markets like Jordan, Egypt, and Uzbekistan, and gaining new export opportunities to China, Malaysia, the UAE, Saudi Arabia, and other Gulf countries.

This export growth has had a noticeable impact on domestic meat prices. In two years, the price of buffalo meat has escalated from Rs700 per kg to Rs1,250 per kg, with chicken prices also reaching record highs.

Fruit exports increased by 9.31 percent to $171.28 million in the first half of FY24, while the export of all other food products rose by 22.62 percent to $616.81 million.

However, fish and fish product exports experienced a decline of 11.63 percent, totaling $199.02 million in the same period.

Pakistan engages in diplomatic efforts for $10b green refinery project with KSA, Sinopec PROFIT

News Desk

Pakistan has embarked on a diplomatic mission to secure collaboration with the Kingdom of Saudi Arabia (KSA) and Sinopec, a major Chinese corporation specializing in refinery construction, for a $10 billion deep conversion refinery. This project aims to refine 300,000 barrels of crude oil per day.

The Pakistani ambassador in Saudi Arabia has been instructed to approach KSA authorities, while the Foreign Office has been directed to use diplomatic channels to engage Sinopec in China for their participation in the project.

This initiative follows unsuccessful attempts by Pakistan State Oil (PSO) and the Petroleum Division to secure agreements with Saudi Aramco and Sinopec.

The new green refinery policy, announced and notified by the Pakistan government, offers incentives including a 7.5 percent deemed duty for 25 years and a 20-year tax holiday, aligning with KSA’s preferences. However, further progress requires additional effort.

Saudi Aramco previously suggested that Pakistan award engineering, procurement, and construction (EPC) contracts to Sinopec. In response, PSO, representing

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PROPOSED FINANCIAL STRUCTURE FOR REFINERY IS BASED ON A 30:70 EQUITY-TO-LOAN RATIO, WITH $3 BILLION IN EQUITY AND $7 BILLION IN LOANS

the Pakistani government, has been coordinating with the Bank of China and Sinopec.

Despite Sinopec’s established reputation from providing various services in Saudi Arabia, a response from Aramco regarding Sinopec’s involvement in the project has not been received.

Aramco’s management, having gained a degree of deregulation from the Saudi government, expressed reluctance to invest in global refinery businesses, citing reduced profitability in the sector.

Instead, Saudi Aramco has shown interest in developing a crude-to-chemical petrochemical complex in Pakistan.

In light of these developments, Pakistani authorities are now pursuing diplomatic channels as a last resort to actualize the green refinery project.

Discussions and information exchange about the project with Sinopec have already begun through these channels.

The proposed financial structure for the refinery is based on a 30:70 equity-toloan ratio, with $3 billion in equity and $7 billion in loans.

Saudi Aramco is expected to contribute 50 percent of the equity, while the remaining will be shared by Pakistan. The loan component will be arranged by Aramco through international financial institutions.

Additionally, the China Road and Bridge Corporation (CRBC) will secure loans from Chinese banks under an EPCF model. PSO, along with other Pakistani companies, will hold shares in the Pakistani equity contribution.

Aramco has completed a pre-feasibility study and marketing assessment and will proceed with a detailed feasibility study before launching the project.

The refinery will meet at least Euro 5 specifications for petroleum products and will have the liberty to sell domestically or export surplus products, subject to regulatory approvals.

Tuesday, 23 January, 2024 | ISLAMABAD

The IMF report stresses that Pakistan’s ability to repay the IMF is critically dependent on the effective implementation of economic policies and the timely reception of external funds. The Fund’s significant financial involvement with Pakistan carries risks, such as possible delays in reforms, high public debt, low reserve levels, and sociopolitical challenges that could affect policy implementation and debt sustainability.

Global economic uncertainties and recurrent economic shocks further complicate the situation. The IMF underscores the importance of prompt and full implementation of financing assurances from official creditors to overcome these challenges.

The report also mentions risks related to the Stand-By Arrangement, highlighting Pakistan as a significant credit exposure for the IMF. However, it notes that there are mitigating factors, including specific conditionalities, staged fund access, shared financial burdens, and commitments from major multilateral and bilateral creditors. Political and social tensions are acknowledged as potential obstacles to the program’s success.

Govt unveils National Digital Wallet initiative for cashless transactions

PROFIT

News Desk

The government is set to roll out the National Digital Wallet, an innovative digital rewards platform conceived by the National Database and Registration Authority (NADRA). This initiative is part of a broader strategy to encourage a cashless economy in Pakistan. As part of the initiative, the government is considering linking a 1% reward to electricity, gas, and fuel bill payments made digitally. Furthermore, for every airtime credit purchase of Rs1,000, a 10% reward, equivalent to Rs100, will be credited to the user’s digital wallet. The scheme also includes incentives for fuel and utility bill payments. The National Digital Wallet is designed to offer multiple conveniences to citizens. It will enable them to digitally store and access their national ID on smartphones, alongside benefiting from rewards for various payments made through the platform. The Ministry of Information Technology, which proposed this plan, states that implementation will follow guidelines developed in collaboration with all relevant stakeholders. The proposal is awaiting formal approval, which will be sought through a summary to be submitted to the Economic Coordination Committee (ECC) and the cabinet. In an innovative move, the balance in the digital wallet will be accessible via OpenAI for integration with various fintech applications and services.

Maintenance and usage charges for the wallet will be determined by NADRA, with Karandaaz, a non-profit organization focused on digital financial inclusion in Pakistan, providing support. This initiative is among several undertaken by the caretaker government to promote cashless transactions and financial inclusivity in Pakistan, leveraging the potential of digital identity and biometric technology.

Shanghai Electric extends timeline to acquire 66.4% of K-Electric shareholding PROFIT

News Desk

K-Electic Limited has received an intimation for an extension in the timeline for the public announcement of the offer to acquire 66.4% of the total issued and paid capital by Shanghai Electric Power Company Limited, as per a notice sent to the Pakistan Stock Exchange (PSX).

Arif Habib Limited is the manager of the offer. The deadline for making the public announcement of the offer was January 21, 2024. However, the acquirer, Shanghai Electric decided to extend the date of the public announcement of the offer by 90 days.

The potential reason for the extension is that all parties involved in the transaction are trying their best efforts in getting regulatory approvals from the Government of Pakistan and the People’s Republic of China.

Some of the approvals are yet to be given; therefore, Shanghai Electric has extended the timeline of the offer. Earlier on January 19, National Electric Power Regulatory Authority (NEPRA) granted a distribution licence as well as a supplier licence to KElectric Limited (KEL) for 20 years.

K-Electric (KE) is a publicly listed company incorporated in Pakistan in 1913 as KESC. Privatized in 2005, KE is the only vertically integrated utility in Pakistan supplying electricity within a 6500 square kilometers territory including Karachi and its adjoining areas. The majority shares (66.4%) of the company are listed in the PSX owned by KES Power, a consortium of investors including Aljomaih Power Limited of Saudi Arabia, National Industries Group (Holding), Kuwait, and the Infrastructure and Growth Capital Fund (IGCF). The Government of Pakistan is also a minority shareholder (24.36%) in the company.

NEWS 03

SIFC ORDERS TAX AUDIT OF FERTILIZER COMPANIES AMID PRICE SURGE, SUBSIDY CONCERNS

Tuesday, 23 January, 2024 | ISLAMABAD

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DESPITE GOVERNMENT SUBSIDIZING TWO-THIRDS OF FERTILIZER MANUFACTURERS, BENEFITS ARE REPORTEDLY NOT REACHING FARMERS PROFIT

news Desk

HE Special Investment Facilitation Council (SIFC) has directed the Federal Board of Revenue (FBR) to conduct a comprehensive tax audit of urea and fertilizer companies.

This move aims to scrutinize the income tax returns about the quantity of urea sold or distributed, particularly focusing on the profits earned by urea sellers and dealers.

The decision comes at a time when urea prices have significantly increased nationwide, raising suspicions of collusion between dealers and local urea manufacturers. A report by Muhammad Ali, the caretaker Minister for Power and Petroleum, highlighted that fertilizer companies are witnessing substantial profits due to constant gas prices.

For instance, the report projects Fauji

IHC issues arrest warrants of officials over absence in contempt case ISLAMABAD

stAff RepoRt

The Islamabad High Court issued non-bailable arrest warrants over absence of the recordkeepers of DC Rawalpindi office and Adiala Jail on Monday. The high court was hearing contempt case against the DC and others over arrest of PTI leader Shaharyar Khan Afridi.

The court summoned deputy commissioner Rawalpindi and Superintendent Adiala Jail in personal capacity. “The officers should appear before the court and inform, why the court’s order was not enforced,” Justice Babar Sattar said. Advocate Shah Khawar appeared in court on behalf of SP Jameel Zafar and requested to put off the case hearing till February’s second week. “The court intends to hear the case on daily basis,” Justice Sattar said to Shah Khawar Advocate. “The court will hear the case this week, it is the case of documents, you prepare for the case, the case will be concluded in this week,” Justice Babar Sattar observed. The court also issued notices to DC Rawalpindi and Superintendent Adiala Jail. “I know the law and the legal procedure, you can go in appeal,” Justice Sattar said.

IGP bans public gatherings in federal capital following issuing threat alert ISLAMABAD

Fertilizer Company’s (FFC) profit after tax (PAT) to reach Rs 33.165 billion in FY 2023-24, a notable increase from the previous Rs 20.410 billion. Similarly, Engro Fertilizers (EFERT) and Fatima Fertilizer are expected to see considerable profit growth.

Muhammad Ali emphasized the need to end the practice of providing cheap gas and subsidies, citing the financial strain it places on the government and its role in facilitating smuggling and profiteering through informal channels.

This situation not only impacts the fiscal deficit but also aggravates the trade deficit.

The subsidy system is currently under scrutiny as well. Despite the government subsidizing two-thirds of fertilizer manufacturers, the benefits are reportedly not reaching the farmers.

Instead, an estimated Rs 90 billion in subsidies is being absorbed by informal

channels, leading to a revenue loss of about Rs 30 billion for the government. Additionally, approximately 200,000 tons of urea are being smuggled from Pakistan, further complicating the issue.

In response to these challenges, General Syed Asim Munir, Chief of Army Staff, has urged provincial authorities to crack down on fertilizer hoarding and unethical sales practices. This directive is part of a broader effort to ensure transparency in the fertilizer industry and support local farmers.

The fertilizer industry, on the other hand, attributes the urea shortage to reduced production and delayed imports by the government. Key production units like Fatimafert in Sheikhupura and Agritech in Mianwali faced gas supply issues, leading to a significant drop in urea production.

Furthermore, the late start in urea imports by the government has been identified

Ex-ISI chief rejects Shaukat Siddiqui’s allegations ISLAMABAD Agencies

Former Director General Inter-Services Intelligence (DG-ISI) Lt Gen (retd) Faiz Hameed on Monday submitted his reply in the Supreme Court, denying the allegations levelled by former Islamabad High Court judge Shaukat Aziz Siddiqui regarding manipulation of judicial proceedings by ISI during the Panama Papers case.

Faiz, in his reply, termed the allegations “absolutely false, frivolous, concocted and based on an afterthought.” He rejected the accusations of influencing the judiciary, stating that he never contacted Shaukat Aziz Siddiqui, met with him, or discussed appeals by Nawaz Sharif in court. The former DG ISI stated that Shaukat Aziz Siddiqui did not mention any meeting with him in his statement or to the Supreme Judicial Council.

He denied saying that “our two years of hard work would go to waste”, adding that all allegations of the top judge were baseless and unfounded.

IHC former chief justice Muhammad Anwar Khan Kasi also submitted his response to the Supreme Court. In his reply, Justice (retd) Kasi also rejected the allegations made by Siddiqui.

In addition, Brigadier (retd) Irfan Ramay’s reply has also been submitted to the top court, in which he denies the alle-

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ENHANCED WB AID TO EMPOWER PAKISTAN'S VULNERABLE POPULATIONS AND MICROFINANCE

PROFIT

news Desk

Dr. Shamshad Akhtar, Pakistan’s Caretaker Federal Minister for Finance, praised the World Bank for its steadfast support following a pivotal meeting in Islamabad on Monday. This meeting,

involving World Bank Country Director Najy Binhassine and his team, was crucial for advancing Pakistan’s financial projects supported by the World Bank.

The discussion centered on securing additional financing for two key World Bank-funded projects in Pak-

Israel hammers Gaza’s south, hostage families urge Netanyahu to seek deal KHAN YUNIS Agencies

The Israeli army bombarded Khan Yunis, the new epicentre of the war in Gaza, on Monday as the families of hostages held by Hamas urged Prime Minister Benjamin Netanyahu to reach a deal to secure their release.

Witnesses reported deadly strikes overnight in Khan Yunis, the largest city in southern Gaza, and fierce fighting between Israeli soldiers and Hamas militants. Netanyahu has vowed “complete victory” over Hamas after attacks by the Islamist movement’s fighters on October 7 that resulted in the deaths of about 1,140 people, mostly civilians.

Hamas militants also seized about 250 hostages and Israel says around 132 remain in besieged Gaza. The war has spurred fears of a wider escalation, and sirens were heard again overnight in northern Israel near the border with Lebanon, according to the Israeli military.

gations against him and meeting Siddiqui.

Last month, Shaukat Aziz Siddiqui had requested the Supreme Court to make some former servicemen including former army chief Gen Qamar Javed Bajwa and former ISI chief Lt Gen Faiz Hameed a party to a case about alleged manipulation of the IHC. The judge had also prayed that Muhammad Anwar Khan Kasi and former Supreme Court registrar Arbab Muhammad Arif may be also arrayed as respondents in the case. On October 11, 2018, the SJC had unanimously opined that while delivering a speech before the District Bar Association in Rawalpindi on July 21, 2018, Justice Shaukat Aziz Siddiqui had displayed “a conduct unbecoming of a high court judge”.

In the speech, the former judge had accused the ISI of interfering in the formation of IHC benches that were supposed to hear former prime minister Nawaz Sharif’s appeal against his conviction in one of the three corruption references that had emanated from the Panama Papers case.

Finance Minister hails World Bank’s increased financial support for Pakistan

stAff RepoRt

Following issuing a threat alert, IGP Islamabad has banned public gatherings in federal capital and also asked four universities to shut down on Monday citing security concerns and a threat alert issued by security agencies. During the early hours of Monday, security forces also conducted search operations in the suburbs of Islamabad, however, no arrests were made. The threat alert indicated an attack by a proscribed organisation. Following the closure, the students and parents were informed. It is expected that the universities will remain closed for a few more days. A video message

by Islamabad Police Inspector-General (IGP) Dr Akbar Nasir Khan stated that the situation is “under control” and peaceful in Islamabad and asked not to pay heed to rumours regarding the serious situation.

BAN ON PUBLIC GATHERINGS: IGP Islamabad has also imposed a complete ban on public gatherings and has emphasised not to conduct any such gatherings amid the situation. Moreover, the IGP stated that daily routine will not be affected.

as a contributing factor to the market imbalance and price escalation.

The Economic Coordination Committee (ECC) of the Cabinet has recently approved an increase in the basket price of imported urea fertilizer, directing the Ministry of Industries and Production, along with its attached department NFML, to finalize the implementation details.

This decision is part of a broader strat-

There have been almost daily exchanges of fire between Israeli forces and the Iran-backed Hezbollah movement in Lebanon, and several areas of southern Lebanon were hit overnight.

One such Israeli strike killed a Lebanese Hezbollah fighter, according to a source in the Hamas-aligned group.

Violence has also surged in the Israeli-occupied West Bank.

Huthi rebels in Yemen have also attacked what they deem to be Israelilinked shipping in the vital Red Sea shipping lanes, prompting retaliatory US and UK strikes, while attacks in Syria and Iraq have mostly been claimed by Iran-linked militants opposing US support for Israel. Hamas said in its first public report on the events that triggered the war there had been “some faults” on

istan. The first project is an enhancement of the existing Crisis-Resilient Social Protection Program, for which an additional $250 million has been allocated. This program plays a vital role in supporting vulnerable populations during economic challenges.

The second project is the Resilient and Accessible Microfinance Program (RAM), set to receive $175 million.

The World Bank team outlined the RAM program’s goals and funding details, emphasizing its significance for Pakistan’s financial sector.

Despite facing various global challenges, Pakistan’s microfinance sector has shown commendable growth and resilience. The RAM program aims to further strengthen this sector, making it more robust, inclusive, and expansive.

Dr. Shamshad Akhtar, appreciating the World Bank’s continuous involvement, expressed hope for ongoing and enhanced cooperation in the future. This partnership is expected to significantly contribute to Pakistan’s economic stability and growth.

its part but also called for an end to “Israeli aggression” in Gaza.

The October 7 attacks were a “necessary step” against Israeli occupation of Palestinian territories and a way to secure the release of Palestinian prisoners, it said in its 16-page report.

Israel vowed to “annihilate” Hamas after the attacks and launched a relentless offensive that has killed at least 25,105 people in Gaza, mostly women and children, according to the Hamasrun health ministry in Gaza. The Israeli campaign has killed “around 20 percent to 30 percent” of Hamas fighters and is still far from its goal of destroying the Islamist movement, according to estimates

by US intelligence agencies, the Wall Street Journal reported on Sunday.

It said the United States, Qatar and Egypt, the countries that mediated a truce in November, were trying to convince Israel and Hamas to approve a plan that would free all the hostages in exchange for an Israeli withdrawal from Gaza. Netanyahu has maintained that Israel must retain security control after the war and has rejected the possibility of “Palestinian sovereignty”.

Major ally the United States and others have recommended that a so-called two-state solution was the only way to guarantee Israel’s long-term security.

egy to address the financing costs charged by fertiliser manufacturers and the supply of gas to these industries.

The International Monetary Fund (IMF) has also recommended the government to reduce price disparities in the sector. This includes moving towards cost-recovery pricing for gas supplied to the fertilizer sector and equalizing rates between export and non-export industries.

Sargodha NA elections: ECP strikes down postponement notification SARGODHA

stAff RepoRt

The Election Commission of Pakistan (ECP) on Monday canceled the notification of postponement of elections in NA-83 and NA-85 Sargodha. ECP Chief Election Commissioner Sikandar Sultan Raja heard the case of postponement of elections in NA 83 and NA 85 Sargodha wherein Sargodha DRO and Returning Officers (ROs) appeared. The PMLN candidate told the Election Commission that he received a notice from the returning officer that a candidate had died in his constituency and the death certificate of the deceased candidate is dated January 15. He said it happened on January 2nd, the funeral prayer was held on January 3rd and there was a conspiracy to postpone the elections in two constituencies.

“DC Sargodha has also conducted an inquiry into the matter, I request that the elections should not be postponed,” he said. Sargodha DRO told the ECP CEC that he has conducted an inquiry, in which it has been proved that Sadiq Ali died on January 2—the statements of Sadiq Ali’s mother, and daughter, Imam-eMasjid were recorded. ECP’s CEC Raja inquired why the RO did not conduct an inquiry before postponing the elections. “Now it has been proved that Sadiq Ali died on January 2, we were provided with a fake death certificate,” said returning officer NA-85. Secretary Union Council (UC) said that he verified the news and issued the death certificate at the request of the son. The deceased’s village numberdaar (village head) told ECP about usage of his forged signature for issuance of the death certificate. On this occasion, the ECP Chief Election Commissioner scolded the secretary of the UC for interfering during the hearing and commented he committed wrongful act and kept on talking in the hearing as well. The ECP CEC canceled the RO notifications of postponing the elections in the two constituencies of the National Assembly and directed that elections be held in both constituencies, the election process should be continued. Mohsin Shahnawaz Ranjha reacts to ECP order PMLN candidate Mohsin Shahnawaz Ranjha said that the general elections in Constituency NA-83 and Constituency NA-85 will be held on February 8, 2024.

04 COMMENT

Injustice, poverty and conflict

Tuesday, 23 January, 2024

Righting wrongs

B

Will help everyone, regardless of how it seems now

Y the time you read this, you would have read multiple interpretations of the Supreme Court’s judgment yesterday that did away with the lifetime ban for politicians seeking to run for any legislative assembly.

With the current political climate as charged as it is, many readers, specially those supporting the down-onits-luck PTI, will allege that the decision is only to facilitate the PML(N) chief, former PM Nawaz Sharif and the leader of the PTI’s friend-turned-foe Jehangir Tareen, who heads a party of his own now. It is common in Pakistan to view developments through such a narrow lens, specially since some parties, depending on whether or not they have fallen out of favour with the powers that be.

The larger issue, of course, is that of how to deal with flimsy bits of legislation that were put in by dictators, with a clear intention of throwing a spanner in the works of the democratic process. Matter are made even more complicated by members of the judiciary who interpret an already problematic law in about the most maximalist way possible.

Rejecting a previous judgment, the apex judiciary he interpretation of Article 62(1)(f) of the Constitution in imposing a lifetime disqualification upon a person through an implied declaration of a court of civil jurisdiction while adjudicating upon some civil rights and obligations of the parties is beyond the scope of the said Article and amounts to reading into the Constitution.

We’ve a wounded constitution on our hands, amended into bloody submission by military dictators, and then this destructive spree aided by giddy, overeager members of the judiciary. That has led to situations like these, where rapists, murderers and arsonists simply serve out a sentence, after what the people have deemed is their debt to society, while representatives of the people, put away on flimsy cases like not declaring the salary they have gotten from their family members, or procedural irregularities in the buying and selling of state gifts, are declared ineligible to run for office, for life.

Need for structural revamp

H

MaliK MuhaMMaD aShraf

UMAN lives have two aspects: the internal, expressed through morals and religion and the external, guided and shaped by the influence of devices, techniques, mechanisms, instrumentalities, digitization and the advent of artificial intelligence. The modern man has built airplanes and spaceships that have squeezed distances and arrested the flight of the time. He can also deservedly boast of raising sky-scrapers, architectural marvels and behemoth bridges. He has produced thinking machines and instruments that peer into the unfathomable ranges of interstellar space. He has within his grasp infinite vistas of scientific and technological advancement. The hallmark of this external and modern life, with predominantly materialistic outlook, is that it has suppressed the internal facet of human life, which is the root cause of all the problems faced by mankind. This spiritual poverty has landed the world into intractable problems like injustice, poverty and conflict.

The global economic order erected on purely materialistic considerations is exploitative in nature and heavily tilted towards the more developed and technologically advanced nations. Similarly the predominance of the same materialistic philosophy within societies and states has created unbridgeable gulf between haves and have-nots, more so in the third world countries like Pakistan where political and economic power is in the hands of the landed aristocracy and the elite classes.

The system of governance, a legacy of the colonial era, has inbuilt avenues of corruption to serve the vested interests of elitist political class. They have created islands of affluence. They refuse to acknowledge and accept the adage that islands of affluence cannot exist in the oceans of poverty. They remain stubbornly oblivious to the fact that tensions generated by injustice and exploitation always lead to conflict and emergence of fissiparous tendencies in the society.

A conflict-ridden society fails to promote national integration besides undermining socio-economic development. The solution lies in bridging and narrowing the gap between haves and have-nots. John F Kennedy echoed a similar warning in these words “If a free and democratic society cannot help the many who are poor, it cannot save the few who are rich” The founding father of the Nation in his address to the con-

Dedicated to the legacy of late Hameed Nizami

Arif Nizami (Late) Founding Editor

Yousaf Nizami

stituent assembly on 11 June 1947 had also mentioned alleviation of poverty as top most priority of the state.

Pakistan needs to address ‘spiritual poverty’ without any further loss of time and choreograph a system of governance which is truly representative in nature and is capable of delivering justice. People are yearning for change which can only come through breaking the hold of landlords and elite on political power.

Elections are around the corner and the political parties are feverishly engaged in wheeling and dealing and forming alliances to win public franchise. Almost all the parties have issued tickets to their nominees to contest National and provincial elections. A close look at the list of their candidates reveals that all the big parties have granted a major chunk of their tickets to landlords and businessmen. Whether a single party forms the government at the centre and provinces or the results dictate formation of coalition governments, things are not going to change for better, at least for the poor segments of the society.

Under the present system, no matter how many elections are held, the results will not be different as it would bring back the same people to the assemblies; people with dubious credentials having a myriad of skeletons in their cupboards. According to Einstein, doing the same thing again and again and expecting different results is insanity. This insanity must end now.

There is no doubt that people of Pakistan want continuation and strengthening of democracy in the country but they want a system of participatory democracy which ensures fair distribution of the national wealth, guarantees social justice to all the segments of the society and also ensures sharing of political power by the middle and poor classes. There is almost a national consensus on the electoral reforms. At the time of elections the parties make lofty and unrealistic pledges to the voters including reforming the system of governance and bringing electoral reforms but none has ever made a sincere effort to change the exploitative system because it serves their vested interests. Cosmetic changes here and there are not the solution.

The real issue is the way we elect our legislators.

Joint Editor

Executive Editor

Of, for, and by

D

Dr Zafar Khan SafDar

EMOCRACY is a system that promotes responsible governance, rule of law, human rights, civic participation, and peaceful power transfers through electoral processes, fostering a stable and peaceful society. Despite much discussion and opposition over the nature of democracy, the majority of nations worldwide continue to operate under this system. Out of 167 countries worldwide, 96 have opted for democracy to govern their nations. If the figures are computed, 57% of nations have chosen democracy, 13% have chosen autocracy, and 28% displayed characteristics of both autocracy and democracy. This enormous success and the quick development of democracy over the past four decades are inextricably linked.

Pakistan was established as a Nation-State to ensure the supremacy of the people, equal rule of law, active citizen participation in politics, and protection of human rights. From the very outset, the founding father of Pakistan Muhammad Ali Jinnah emphasized the importance of equality of rights and freedom of faith. He stressed upon the need of a constitution based on consensus, aiming to achieve a high quality of democracy. Post Jinnah’s death, political polarization and strife led to delays in framing the constitution. The Objective Resolution, which remain a preamble of the 1973 constitution, outlines the principles of democracy, freedom, equality, tolerance, and social justice as enunciated by Islam. Nevertheless, democracy exists as a temporary transition between quasi or full-blown military rule in Pakistan. Over 32 out of 76 years of Pakistan’s history were plagued by martial law, with constitution abrogated or suspended, denying fundamental rights to citizens, resulting in immeasurable losses to democracy. On top of that, there has been a kind of quasi-democracy in the country since 2008, where strong but unelected and unaccountable state institutions, particularly the military and judiciary, have undermined, sabotaged, and destabilized democratic administrations.

Pakistan has experienced numerous political, economic, institutional, democratic, and social upheavals due to military intervention, political polarization, authoritarian leadership, bureaucratic red tape, constitutional crisis, feudalism, mismanagement, accountability rhetoric, and underperforming Judiciary. Economic and

social issues have arisen in Pakistan as a result of the public’s declining faith in democracy and the military. Electoral rights have suffered as a result of the political and military establishment in Pakistan being accused of interfering with the electoral process. In the line of kowtowing to the military, the elected governments have been undemocratic, where democracy is not just about elections but suppressing the opposition and hushing the media. This has led to a domination of parties with no inner party democracy, paralyzing policy-making and creating dissatisfaction. It is no sarcasm that the political opposition in Pakistan always takes a holier-than-thou stance, insists on seeing the military establishment as its harbinger into power.

Pakistan’s institutional structure has to be drastically changed in order to maintain democracy. To achieve a future for the country, the basic rights of the people to govern themselves must be unreservedly and unequivocally recognized. Democracy is often confusing, but in Pakistan’s circumstances, and the structures supporting it such as the constitution, parliament, and judiciary, have been systematically weakened. The Quaid’s ideals have been faded, making them questionable as a frame of reference. It would be a mistake to compromise further on his faith in democracy as the only course for Pakistan to follow. Pakistan’s deviations from universally accepted principles have made it an anachronism in today’s world moving towards political and social emancipation.

To develop democracy based on excellent governance, strengthening the democratic institution and implementing socio-political changes is crucial. A successful governance charter should include the rule of law, an accountability culture, institutional harmony, political stability, and effective public service delivery. Political stability, political education, involved citizens, free, fair elections, merit-prioritizing political parties, and a sense of public duty are essential for good administration. Institutional cohesiveness and responsiveness are crucial for nation growth, while a culture of accountability increases transparency and merit in national affairs. A just society em-

Lahore – Ph: 042-36300938, 042-36375965

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Karachi – Ph: 021-35381208-9

phasizes the rule of law and legal equity, and good governance requires its enforcement.

Pakistan needs a national consensus to set its direction, based on its founding principles and past 76 years of experience. The constitution needs to be overhauled to empower the people and federating units. Provincial autonomy has been a topic of political rhetoric, and even those advocating for it have not presented a realistic power division scheme. Pakistan can move towards stability and consolidation by giving constituent units a strong stake in its strength and vitality. This includes economic development in backward provinces and regions, as well as a proper devolution of powers from the center. Democracy requires participation at all levels of government, federal, provincial and local. Freedom from want for millions living in urban slums and less developed regions is essential, as is freedom for creative expression that contributes to the country’s dynamism. Pakistan must emulate democratic principles and adhere to democratic norms to ensure a more purposeful and productive future.

Despite its flaws, shortcomings, and setbacks, democracy is the only system of governance that can get Pakistan back on track. The majority of people’s freedom is best granted by democracy, which has continuously been demonstrated to be the most successful form of government. Democracy is a beneficial form of governance because it incorporates the roles and interests of many people in deciding how a nation is to be governed. Democracy is often chaotic, but if citizens are well-educated and elected leaders have the will to make tough choices, this chaos may be mitigated. All things considered, if freedom and civil rights are emphasized, it is difficult to argue that any form of governance is superior to democracy.

The writer is Ph.D in Political Science, and visiting faculty at QAU Islamabad. His area of specialization is political development and social change. He can be reached at zafarkhansafdar@yahoo.com and tweet@zafarkhansafdar.

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Malik Muhammad Ashraf is an academic. He can be contacted at: ashpak10@gmail.com.

The real issue is the way we elect our legislators. The single constituency system prevalent in the country is the real culprit which has perpetuated the archaic colonial system of governance and strengthened the hold of the landlords and elite classes on the political power. To get out of their suffocating stranglehold, the best recipe available is to switch over to the proportional representation system. Under this system the people vote for the parties and not individual candidates.

Democracy, democracy & democracy Editor Umar Aziz M. A. Niazi

The single constituency system prevalent in the country is the real culprit which has perpetuated the archaic colonial system of governance and strengthened the hold of the landlords and elite classes on the political power. To get out of their suffocating stranglehold, the best recipe available is to switch over to the proportional representation system. Under this system the people vote for the parties and not individual candidates.

The parties get representation in the assemblies on the basis of the percentage of votes obtained by them indicating their real standing among the masses. The system eliminates horse-trading and change of loyalties through coercion and bribery. It enables the party leadership to nominate really competent and deserving people to the assemblies eliminating culture of blackmail by vested interests. It also ensures representation of smaller regional parties in the national politics discouraging centrifugal tendencies. It is the best available recipe for national integration and unity. Its success decidedly depends on making the voting compulsory for every registered voter.

In addition to the switch-over to proportional representation there is also a dire and immediate need for land reforms, bringing each and every sector of the economy under the umbrella of the tax regime, introduction of universal health insurance, upgrading and expanding the social security net. Immediate installation of the local government in line with the spirit of article 140A of the constitution which says “Each province shall, by law, establish a local government system and devolve political, administrative and financial responsibility and authority to the elected representatives of the local governments” is also absolutely essential to address the disconnect between rulers and the ruled.

It is time for all the political parties to give a serious thought to reforming the system rising above their narrow political agendas and use their collective wisdom to compensate for their past follies if they desire to remain relevant to the future political landscape of the country.

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Islam and science

ISLAM is the perfect religion in all over the world. The word of Islam means “ obedience of Allah.” All of its teachings and beliefs are written out in the Holy Quran. The followers of Islam accept only one Allah Almighty. Observation and experiment is called science. Science is a word taken in Latin. Science means knowledge of study or dealing with the body facts or truths systematically arranged and showing the operation of general laws.

Islam accepts science and also science accepts Islam. Islam is the second largest religion in all over the world. The followers of Islam aim to live the whole life in submission of Allah. They believe that nothing can happen without Allah’s permission. The Quran is the major holy text of Islam. They worship Allah by praying and reciting the Holy Quran.

They believe there will be a day of judgement and life after death.

Prophet Muhammad (Peace Be Upon Him) started preaching throughout the messages of Islam. He taught that there is no other god but Allah and Muslims should devote their lives to this God. Islam has five pillars mentioned in the Holy Quran.

US condemns Houthi missile attack on Abu Dhabi 1. Shahada, 2. Salat, 3. Zakat, 4. Swam, 5. Hajj

1. Shahada: shahada means to declare one’s faith in Allah Almighty and belief in Hazrat Muhammad Peace be upon him.

2. Salat: salat means to pray five times in a day.

3. Zakat: zakat means to give those who are needy people.

4. Swam: swam means to Keep fast in Ramadan.

5. Hajj: hajj means to make a pilgrimage to Makkah at least once during a person life time if the man is able.

The roots of science can be traced to ancient Egypt. Science was a broad sense existed before the modern era and in many historical civilizations. If we talk about modern science, modern science is distinct in its approach and successful in its result. Science in its original sense was word for type of knowledge. It was type of knowledge that people can communicate to each other. For instance, knowledge about working of natural things was gathered long before recorded in history. Scientists made many things such as, calendar, techniques for making poisonous plants, dams, computers, machines, bulbs, luxury vehicles and luxury aeroplanes etc. A calendar is a chart of pages showing the days, weeks and months of a particular year. A poisonous plant is defined as a plant that when touched or in gusted in sufficient quantity can be harmful or fatal to an organism or any plant capable evoking a toxic and fatal reaction. A dam is a barrier or structure across a steam, river or waterway to confine then control the flow of water. These are usually built across naturally flowing water to manage the water for human use.

ALI GUL NAPAR SHIKARPUR

Mental health matters

THIS needs to be understood that mental health holds equal importance as physical health does. There is a close relationship between physical and mental health. Mental disturbance surely leads to physical disturbance. For instance, people suffering from depression are at a high risk of blood pressure and cardiac issues. Mental health is a topic that calls for special attention because it is affecting our youth. According to the reports, suicide is the second leading cause of death among the youth. The most important reason behind the suicide commission is mental illness. Academic, peer, family, or financial pressure results in poor mental health and this incites thoughts of committing suicide. Another point to be taken into consideration is, being mentally unwell doesn’t always mean that one is having a mental disorder. It can be a temporary disturbance that can be overcome by proper counselling. The issue is that mentally disturbed people usually don’t share their problems with others.

SYEDA RUMESAA LAHORE

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COMMENT 05

Pakistan-Iran tensions towards de-escalation Tuesday, 23 January, 2024

Better sense prevailed

T

sajjad shaukat

ENSIONS between Pakistan and Iran increased dramatically on January 16, this year after the Iranian drone and missile strikes in Baluchistan province on the alleged Jaish ul-Adl bases in a violation of a sovereignty state and total disregard of international norms.

According to Pakistan’s foreign office, this audacious Iranian act claimed lives of two children, while injuring another three.

Pakistan summoned Iranian Charge de Affairs to lodge a strong protest. This was followed by Pakistan recalling its ambassador from Tehran and expelling Iranian ambassador to Pakistan, which clearly indicated Islamabad’s restraint despite public pressure.

However, Iran’s failure to render an unconditional apology necessitated Pakistan’s befitting response.

In this regard, a statement released by the military’s media wing, the Inter-Services Public Relations on January 18, 2024 said that Pakistan’s armed forces carried out effective strikes against the hideouts inside Iran’s Sistan-Balolchistan province used by terrorists responsible for recent attacks in Pakistan.

The statement further claimed that hideouts used by terrorist organisations— Balochistan Liberation Army Balochistan (BLA) and Balochistan Liberation Front (BLF), and notorious terrorists, including Dosta alias Chairman, Bajjar alias Soghat, Sahil alias Shafaq, Asghar alias Basham and Wazir alias Wazi, amongst others were successfully struck in an intelligence-based operation, codenamed ‘Marg Bar Sarmachar’.

The country’s political leadership, including President Dr Arif Alvi and represen-

tatives from various parties, and ex-servicemen commended the Iranian attacks. They lauded the response of Pakistan’s armed forces’ strikes describing them as an inevitable action for national security.

Nevertheless, after the start of Gaza war, Tehran has been increasingly forceful in its war-like posturing against its neighbouring countries. The recent attacks in Syria, Iraq and now in Pakistan are a very clear display of Iranian attitude. Such a stance is likely to lead to a wider conflict in a region which is already grappling with delicate balance in the prevailing rivalries.

Besides its support for dissenting groups in neighbouring countries, the Iranian belligerent acts have reduced the world focus on Israeli-Palestinian conflict.

It is notable that in the recent years, there had been manifold developments signifying improving relations between Islamabad and Tehran. The Mand-Pishin Border Sustenance Marketplace, one of six border markets planned for the two neighboring countries’ shared border was jointly inaugurated in 2022. The inauguration of the Polan-Gabd Electricity Transmission Line capable of carrying additional 100MW of electricity from Iran to Pakistan was another such project.

There were also plans for increasing the bilateral trade between the two countries.

These developments showed absence of any tensions between the two countries, while just hours before the Iranian strikes, Iranian Foreign Minister had met Pakistan’s Caretaker Prime Minister Anwaarul Haq Kakar on the sidelines of Davos economic summit in Switzerland, while Iran’s Special Representative for Afghanistan, Hassan Kazemo Qami, visited Islamabad and Pakistan’s Sind province governor was also visiting Tehran.

The two countries have a history of blaming each other for supporting the hostile elements, while Pakistan has always been cooperative in addressing Iranian concerns.

As a result of Pakistan’s positive attitude, it was the only country in the neighbourhood with which Iran enjoyed better ties as compared to her other neighbours. In the recent past, Pakistan had even tried for a rapprochement between Saudi Arabia and Iran. Notably, Kalbushan Yadav, an Indian Naval officer, who was captured by Pakistani intelligence agencies, was in possession of a valid Iranian passport with fake name. He was found guilty of undertaking terrorist acts inside Pakistan. In addition to Indian spies

working against Pakistan, many Baloch insurgents also took refuge on Iranian soil.

It is mentionable that the militants of BLF and BLA often target gas projects, infrastructure and security posts in Balochistan, and have begun launching terror attacks in other parts of the country.

They also target Chinese projects, and intermittently kill Chinese workers despite Pakistan’s assurances that it is doing all it can to protect the Chinese projects.

And Balochistan is a key location in China’s huge multi-billion project of ChinaPakistan Economic Corridor (CPEC) which is part of China’s OBOR or BRI. India was openly opposing the CPEC and the US also joined New Delhi.

However, there are multiple communication channels between the both countries, and Islamabad has always been willing to take action against any miscreants.

It is noteworthy that timing of Iranian attack makes Indian External Affairs minister visit to Tehran very intriguing as the visit had concluded just two days prior to this development. Hence, possibility of India prompting Iran for the act cannot be ruled out. Iranian rulers are considered to be rational and pragmatic actors in its decision making. It understands the regional dynamics and cannot afford to be antagonistic to three neighbouring countries which are going through hostile relations with the US. However, the recent moves show the possibility of hardliners taking over the decision

People’s loss of faith in elections: To what extent is the EC to blame?

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DAILY STAR

kamal ahmed

INCE the Awami League’s fourth consecutive victory in what appeared to be an essentially one-sided election, much of the discussion has centred on the future trajectory of politics and the potential impact on business and the economy. A crucial institution—the Election Commission (EC)—should not skip a closer scrutiny of its role in staging the election, which allowed the ruling party to manipulate the system adeptly and walk away unchallenged. During an event on January 18, Chief Election Commissioner (CEC) Kazi Habibul Awal, without taking any responsibility, finally acknowledged that people’s confidence in the electoral system has declined.

The CEC’s realisations that the election was not sufficiently participatory and that “the crisis still remains as the polls (have) not been acceptable to some parties” make us wonder how he could still claim that “the nation could overcome a crisis through this election”? His remarks at the thanks-giving event at the commission indicate that they are struggling to reconcile with the facts that the election they conducted fell far short of the threshold of a democratic exercise.

Putting together his admission of “not participatory enough” with his previous assertion that if one percent vote was cast, the polls would get legality but not legitimacy, one can easily deduce that this election’s legitimacy is in question.

The EC’s attempts to portray the election as participatory and fair seem to have been more focused on appearance than on genuine efforts to achieve these goals. For instance, sending an invitation letter to the deserted and locked BNP office—instead of ensuring an enabling environment—appeared to be a mere public relations stunt. The cancellation of one sitting MP’s candidature for violating electoral code served as a diversion from the EC’s inaction in numerous other violations.

The Transparency International Bangladesh’s (TIB) 12th National Parliament Election Process Tracking report, published last week, sheds light on the EC’s failures. One of the most crucial observations by TIB is, “The Election Commission, sometimes by compulsion in the name of Constitutional and legal compulsion and on occasions by design, played the role of a key catalyst for the realization of the agenda of the one-sided election. Other state institutions, especially law enforcement agencies and administration were also used to play, or played the same role in similar ways.” The report outlines the EC’s failures throughout the pre-election phase, the campaign phase, and the actual election period. The pre-election phase included voter registration, redrawing of constituencies, registration of new political parties, making changes in the Representation of the People Order (RPO), holding dialogue as part

of its confidence-building exercise, registrations of local and foreign observers, role of political parties, schedule announcement, and submission of nominations and scrutinisation of their validity. Unfortunately, each of those acts stoked new controversies and raised questions about the EC’s mandated neutrality and independence. Its handling of observers—international observers, in particular—is a pretty shocking example of its complicity with the government. It has allowed fake foreign observers despite our earlier warnings about it and reminders of instances during the 2018 election.

Though ministers have lambasted TIB by comparing it as a front of the opposition BNP, its research on 50 constituencies, spread throughout eight divisions and 41 districts, is quite extensive and covers all kinds of irregularities and violations of electoral rules and code of conduct. The findings, which align with reports from national and international media, challenge the credibility of the election.

It’s not only the mainstream media. Social media platforms, too, are awash with videos exposing irregularities, including ballot stuffing, children casting votes, creation of fake queues in the presence of foreign media and observers, and polling agents being forced out. This evidence further underscores the need for a thorough examination of the EC’s role. Had the EC installed CCTV cameras at the polling stations instead of spending so much energy on its electronic voting machine (EVM) project, which was eventually abandoned due to a lack of funding, it could have managed the polls a little better. As statements made by losing nominees of the ruling Awami League and its allies, including some top politicians, also supplemented TIBs findings, one might wonder whether Obaidul Quader would call them BNP spokespersons as well.

In the absence of real competition and given the opposition’s boycott, both the ruling party and the EC focused their attention on ensuring at least 50 percent voter turnout. The sudden and mysterious rise of turnout figures in the last hour of election day, which otherwise seems improbable, raised strong suspicion that it was yet another act by the EC to assist the ruling party to make the election appear reasonably participatory.

With election expert groups from the European Union and the IRI-NDI of the United States seeking access to detailed data on voter turnout, questions surrounding the credibility of the election persist. Despite its promise to give a turnout figure every two hours on the polling day through its Smart Election Management app, which had cost a staggering Tk 21 crore, the EC failed miserably. Later, CEC Awal was quoted by some media saying that he heard the app had been hacked. It sounds like a very convenient coincidence that further complicates the mystery of a sudden spike in voting figures.

The Election Commission is reportedly taking an initiative to have an upazila election in March. When the chief of this constitutional body admits that people’s confidence in the country’s electoral process has decreased, moving ahead with another nationwide election without addressing the deep-rooted issues with the last would invite more questions. Without a national dialogue to establish an acceptable election management mechanism, these elections may only strengthen the ruling party’s grip over the local government structure.

Kamal Ahmed is an independent journalist.

His X handle is @ahmedka1

making in Tehran. In such an eventuality, the decision making process may have relied too much on world’s focus towards Gaza and Ukraine. They may also have considered Pakistan’s focus on the forthcoming elections as well as presence of a caretaker government providing them a favourable situation. In these terms, Indian encouragement might have acted as a catalyst. And regardless of the reasons and decision making process, continuation of this trend, would lead to Iran’s isolation in the region and neighborhood. Moreover, India would like to see Pakistan embroiled in a conflict which would also serve the US interest by weakening Iran.

Nonetheless, Pakistan is neither Syria nor Iraq; its policy of restraint cannot be stretched too far. Pakistan is capable of responding in kind, and has proven record of responding effectively against a much larger and stronger adversary. Additionally, regardless of type of government and focus on elections, the nation has always remained united against an external threat.

This was once again proven by PAF’s retaliatory precision air strike against Baloch insurgents taking refuge in Iran’s Sistan-Baluchistan province.

In a recent development, UN SecretaryGeneral António Guterres has expressed profound concern over the escalating tensions between Pakistan and Iran, emphasising the urgen¬cy of the situation and urging both nations to de-escalate.

China, a close ally of both Pakistan and Iran, said that it was willing to mediate between the two countries after the military actions. Russia and Turkey also expressed similar thoughts.

Meanwhile, the National Security Committee meeting was held on January 19, this year under the Caretaker Prime Minister Anwaarul Haq Kakar, with all military services chiefs in attendance, to discuss the current crisis. National security review concluded that “the two countries would mutually be able to overcome minor irritants through dialogue and diplomacy and pave the way to further deepen their historic relations”.

It urged Iran to use existing communication channels to address security concerns.

Kakar also told a cabinet meeting following the security huddle that it was in the “interest of both countries” to return to relations as they stood before Iran’s strikes.

On January 18, 2024, Iran’s Ministry of Foreign Affairs stated that it was committed to good neighbourly relations with Pakistan, but called on Islamabad to prevent the establishment of “terrorist bases” on its soil.

Pakistan issued a similar statement with its Ministry of Foreign Affairs saying that its “sole” reason for the retaliatory attacks was “in pursuit of Pakistan’s own security and national interest, which is paramount and cannot be compromised”.

Meanwhile, Pakistan’s Foreign Minister Jalil Abbas Jilani spoke with the Foreign Minister of Iran, Hossein Amir-Abdollahian.

Underscoring the close brotherly relations between Pakistan and Iran, the Foreign Minister expressed Pakistan’s desire to work with Iran based on spirit of mutual trust and cooperation.

The Foreign Minister Jilani stressed that respect for territorial integrity and sovereignty must underpin this cooperation.

The two Foreign Ministers agreed that working level cooperation and close coordination on counter terrorism and other aspects of mutual concern should be strengthened.

They also agreed to de-escalate the situation.

The return of Ambassadors of the two countries to their respective capitals was also discussed.

Sajjad Shaukat writes on international affairs and is author of the book: US vs Islamic Militants, Invisible Balance of Power: Dangerous Shift in International Relations and can be reached at: sajjad_logic@yahoo.com

For the Indian Muslim, Ayodhya is everywhere

Never before has my generation seen such a complete capitulation of the state to religion, nor the complete invisibilisation of the Indian Muslim – evident in the fact that for the first time in independent India’s history, India today has no Muslim Chief Ministers, Cabinet Ministers or MPs in the ruling party

F

AL JAZEERA

InsIyah VahanVaty

LIPPING through the radio channels on my drive to a meeting, I notice four out of the nine pre-sets blare triumphant tunes celebrating the upcoming inauguration of the Ram Temple in Ayodhya.

As I turn onto the road that connects Delhi and Gurgaon, I am confronted by an overwhelming burst of saffron.

Illegal squatters who have long since taken over the pavements across this stretch of road have now been roped into peddling saffron flags. Larger-than-life posters depicting a muscular Ram wielding a bow and arrow dominate the streets. Street hawkers eagerly offer smaller versions of the flag adorned with Ram’s visage.

Swords, paintings of deities and cutouts of Ram punctuate every street corner.

I greet the housing society guard with a nod, he responds with a delighted “Jai Shri Ram” (Glory to Lord Rama). The mood is that of a religious carnival rather than an ordinary day of business in the city.

I learn from an enthusiastic WhatsApp message from an eager uncle in our housing society group that cinema chain INOX and Aaj Tak TV channel have tied up to livestream the triumphant inauguration of the Ram Mandir in 160 cinemas and more than 70 cities in India. Complimentary popcorn will be offered.

My news app informs me that the Chairman of the Bar Council of India has requested the Chief Justice of India to declare a holiday in the Supreme Court and High Courts as a gesture “acknowledging the cultural and national significance of the event”. Further, I read a bizarre news item about flight attendants on an Indigo flight dressed up as Ram, Lakshman, Sita and Hanuman, greeting passengers at the gate. Apparently, a Lord Ram read out the boarding announcement.

One has to wonder what truly devout Hindus feel about their beloved gods being reduced to a collection of cheap costumes at an airport or bout such blatant politicisation of religion that has lit-

tle to do with true devotion.

As an Indian Muslim who grew up in the 1990s, this is all simply bizarre to me.

In my view, the significance of a temple – or indeed, a mosque – lies in matters of personal faith and worship and should not be transformed into a political symbol of national pride in a secular country.

The purported “cultural significance” of the Ram Temple appears to be immersed in the murky waters of the polarisation we are currently navigating.

Secularism, once a proud virtue every politician embraced, tucking it safely into his political repertoire, appears to be buried so far below the mountains of saffron-tinged communalism, that I fear it may never be recovered.

Never before has my generation seen such a complete capitulation of the state to religion, nor the complete invisibilisation of the Indian Muslim – evident in the fact that for the first time in independent India’s history, India today has no Muslim Chief Ministers, Cabinet Ministers or MPs in the ruling party.

In a simpler time, the very act of a sitting prime minister inaugurating a temple in secular India would have been considered improper and inappropriate.

What is also missing is an acknowledgement of the bloody past that has led to this moment. For India’s Muslims, these celebrations are a painful demonstration of majoritarianism and polarisation.

The demolition of the Babri Mosque is still a collective memory of grief and loss. Many of us remember those killed in the riots that followed the destruction.

Despite political promises, the mosque

was never restored, and now, a grand temple is to be built over its ruins – a monument to Hindu supremacy.

Browsing Twitter in the morning, I read a tweet by a Muslim influencer, appealing to Muslims in India to practice restraint. To lie low, stay home and not become provoked by the insulting messages and visuals they are sure to encounter. Predictably, the tweet was followed by an onslaught of precisely the kind of offensive messages they had cautioned against.

Among those living abroad, some have opted to cancel their annual visits to India, gripped by the fear of potential violence. Others, living in Ayodhya speak of removing their loved ones from the town for some time. Weddings have been postponed or scaled down.

Mosques lay eerily quiet on Friday as local Muslims chose to pray in their homes. Yet, media channels are falling over themselves to report that a majority of Muslims are “happy” and “emotional” at the construction of the temple.

As Indian journalist Betwa Sharma put it: “If you celebrate while someone else is in pain, something is broken in our society.” And yet, peace is the most precious commodity, clung to desperately.

When something is too painful to endure, one simply awaits its passing, hoping for some form of closure. The Indian Muslim has become used to this. The winter has been a long and intimidating one.

Insiyah Vahanvaty is an Indian socio-political commentator, analyst, and scholar with an interest in human rights, hate politics and democracy.

06 NEWS

GAZA DEATH TOLL FROM ISRAELI STRIKES 25,000, HEALTH OFFICIALS SAY

I

GAZA

AGENCIES

SRAELI attacks and street battles raged across the Gaza Strip as Palestinian health officials said the death toll from Israeli strikes since war broke out in October had passed 25,000. Gaza’s health ministry said 178 Palestinians had been killed in the past 24 hours, one of the deadliest days of the war so far. Israel’s military said a soldier was killed in fighting.

Israeli forces and Hamas fighters clashed in several places, from Jabalia in the north to Khan Younis in the south, the focus of recent Israeli operations.

Israeli planes resumed heavy bombing on Khan Younis in the south of the Gaza Strip and explosions echoed throughout the city. Explosions lit the skies in parts of the Khan Younis refugee

camp, and Palestinian health officials said one Palestinian was killed and seven wounded in one air strike as night fell.

Israel said its troops had cleared much of northern Gaza of Hamas’ military network and more than 1 million residents of that enclave have moved south to flee the bombardments. Fighting, however, has continued in the Jabalia refugee camp and other areas around Gaza City. The Palestinian health ministry said 25,105 Palestinians – many of them women and children – had been killed and 62,681 have been wounded in Israeli strikes since October 7. United Nations Secretary-General Antonio Guterres on Sunday denounced Israel for what he called the “heartbreaking” deaths of Palestinian civilians in Gaza.

“Israel’s military operations have spread mass destruction and killed civilians on a scale unprecedented during my

time as secretary-general,” Guterres said.

Israel claims it takes steps to avoid civilian casualties, but accuses Hamas of operating in densely populated areas and using civilians as human shields, a charge the resistance group denies.

Guterres also said it was unacceptable for Israel to resist statehood for Palestinians and such a stance would indefinitely prolong a conflict.

HAMAS CONDITIONS REJECTED: His comments followed remarks by Israeli Prime Minister Benjamin Netanyahu that appeared to rule out the socalled two-state solution to the decadeslong Israel-Palestinian conflict – as urged by the US and other governments.

Netanyahu’s office said that in talks with US President Joe Biden on Friday, he “reiterated his policy that after Hamas is destroyed Israel must retain security control over Gaza to ensure that Gaza will no

longer pose a threat to Israel, a requirement that contradicts the demand for Palestinian sovereignty.” On Sunday, Netanyahu rejected conditions presented by Hamas to end the war and release captives that would include Israel’s complete withdrawal and leaving Hamas in power in Gaza.

On Monday, the Israeli and Palestinian foreign ministers are to meet their European Union counterparts in Brussels as the EU considers potential steps toward a comprehensive peace.

Hamas said Washington was ignoring Palestinian suffering and deaths while supporting Israeli actions financially and militarily. Hamas called its Oct. 7 assault a “necessary step”. “It was a defensive act in the frame of getting rid of the Israeli occupation, reclaiming the Palestinian rights and on the way for liberation and independence,” Hamas said in a statement.

China calls for more efforts in advancing South-South cooperation PTCL, Huawei conduct 50G-PON trial to pioneer Next Generation Fiber Optic Broadband in Pakistan ISLAMABAD PR

Pakistan Telecommunication Company Limited (PTCL), the country's leading broadband service provider, proudly announces the successful completion of the country’s first successful trial of 50G-PON technology, marking a historic stride towards the introduction of next-generation fiber-optic broadband services in Pakistan. This groundbreaking achievement is a result of PTCL's strategic partnership with Huawei, a global leader in information and communication technology.

50G-PON, defined by ITU-T as a next-generation Passive Optical Network-based broadband technology, is set to revolutionize Pakistan’s digital landscape. With significantly higher capabilities than the existing GPON and XG(S)GPON technologies, 50G-PON delivers an astounding 50 Gbps per PON port. The technology is poised to reshape future requirements related to Industries, Enterprises, Campuses and Home Environments, as the advancement unlocks the infinite potential for bandwidth-intensive & lowlatency next-generation services.

KAMPALA STAFF CORRESPONDENT

Chinese President Xi Jinping’s special representative Liu Guozhong attended the 3rd South Summit held Sunday in the Ugandan capital of Kampala and delivered a speech, calling for the advancement of South-South cooperation and reform of the global governance system.

This year marks the 60th anniversary of the founding of the Group of 77, and over the past six decades, the Global South has followed the right path of equality, mutual trust, mutual benefit, solidarity and mutual assistance, said Liu, also a member of the Political Bureau of the Communist Party of

China Central Committee and vice premier of the State Council.

Independence is the defining political feature of the Global South, seeking strength through unity is the glorious tradition of the Global South, development and revitalization are the historical mission of the Global South, and fairness and justice are the common propositions of the Global South, Liu noted.

Transformations of the world unseen in a century are unfolding at a faster pace, and the Global South is faced with a complex external environment, he said, calling for more efforts in exploring a path to modernization, promoting South-South cooperation at a higher level, actively participating

in the reform of the global governance system, and deepening a global partnership for development that is united, equal, balanced and beneficial to all.

Liu said that the Chinese president has put forward an important vision of building a community with a shared future for mankind, as well as the Global Development Initiative, the Global Security Initiative and the Global Civilization Initiative, and advocates the high-quality Belt and Road cooperation, aiming to mobilize global resources, promote the common development of human society, long-term stability and mutual learning among civilizations, and push the world toward a bright future of peace, security, prosperity and progress.

5 Iranian soldiers killed as fellow comrade opens fire in Kerman KERMAN

AGENCIES

In a shocking incident, an Iranian soldier unleashed a hail of gunfire on fellow comrades in the southeastern city of Kerman. The attack, which occurred at a barracks dormitory, resulted in the tragic death of five soldiers, according to reports from Iranian state TV. The assailant, whose identity remains undisclosed, is currently at large, leaving authorities scrambling to apprehend the

suspect. The motive behind the brutal assault is yet to be determined, adding an air of mystery to the unfolding situation. The city of Kerman, still reeling from the aftermath of a devastating bombing attack earlier this month that claimed the lives of 94 people, now finds itself grappling with yet another tragedy.

The earlier bombings, for which the Islamic State group claimed responsibility, targeted an anniversary ceremony commemorating the death of an Iranian general killed in a 2020 U.S.

Xi orders all-out rescue effort after landslide strikes SW China’s Yunnan, buries dozens BEIJING

STAFF CORRESPONDENT

Chinese President Xi Jinping has demanded an all-out search and rescue for those who remain missing following a landslide in Zhenxiong county, Southwest China’s Yunnan Province. Eight missing people were found dead on Monday as of press time, according to media reports.

Xi, also general secretary of the Communist Party of China (CPC) Central Committee and chairman of the Central Military Commission, gave the order after the landslide struck the county on Monday. Xi ordered prompt rescue efforts to minimize casualties. He also demanded strengthened monitoring and a scientific approach in search and rescue efforts to guard against secondary disasters, as well as ensuring appropriate measures are taken to console the families of the victims and resettle those affected. The Ministry of Finance and the Ministry of Emergency Management have immediately allocated 50 million yuan ($6.95 million) of central natural disaster relief funds to support local relief work.

A total of 47 people from 18 families were buried following a deadly.

Tuesday, 23 January, 2024 | ISLAMABAD

Israeli plan to destroy Hamas not working, peace talks needed: EU’s Borrell BRUSSELS REUTERS

Israel’s plan to destroy Islamist Palestinian group Hamas in Gaza is not working and the European Union must pursue efforts to create a “two-state solution” despite Israeli opposition, EU foreign policy chief Josep Borrell said on Monday.

Israeli Prime Minister had on Sunday reaffirmed a hard line against any Palestinian state as it would pose “an existential danger” to Israel. He said Israel would keep insisting on full security control over all territory west of the Jordan River, which would include Gaza and the Israeli-occupied West Bank.

Borrell spoke at the monthly gathering of EU foreign ministers, attended this time by counterparts from Saudi Arabia, Egypt and Jordan and the Arab League secretary-general. The talks will focus mainly on the consequences of Hamas’ Oct. 7 attack on Israel and Israel’s retaliatory offensive in Gaza.

Israeli Foreign Minister Israel Katz and Palestinian Foreign Minister Riyad al-Maliki were making separate appearances at the meeting, which was also taking stock of the war in Ukraine.

Alluding to Israel’s stated objective of annihilating Hamas in its devastating three-month-old war in the Gaza Strip, Borrell told reporters: “What are the other solutions they have in mind. Make all the Palestinians leave? Kill all of them?…The way they are destroying Hamas is not the way to do it. They are sealing the hate for generations.” Borrell said he wanted to press ahead with international efforts to create a process that would lead to a Palestinian state co-existing alongside Israel. The last talks to that end collapsed a decade ago amid mutual mistrust and intransigence.

Israel’s massive aerial and ground offensive in small, densely populated Gaza has killed more than 25,000 Palestinians, according to Hamas-run enclave’s health authorities, flattened built-up areas and left most of its 2.3 million people homeless.

Israel has said the war could go on for “many months” and it would not rest until Hamas was eradicated, all Israeli hostages freed and the Gaza Strip posed no more security threat. “We have engaged in over 30 years of process and look where that has got us,” Jordanian Foreign Minister Ayman Safadi told reporters, referring to intermittent Israeli-Palestinian peace talks since the 1990s. “A moment of truth is upon us. Do we allow a radical racist agenda to dictate the future or come together and say the path is clear, we want peace for everybody and a two-state solution is the only path, go ahead and implement it?”

Tuesday, 23 January, 2024 | ISLAMABAD

CORPORATE CORNER OxfordAQA Redefines Educational Excellence in Pakistan: Official Launch Marks a New Era in Learning

KARACHI: OxfordAQA, one of the leading international examination boards along with Oxford University Press Pakistan announced the official launch of its qualifications in Pakistan through an engaging and enlightening event amongst 200 educationists including school heads, hosted at the picturesque Acton House at the British Deputy High Commission in Karachi. This expansion marks a significant milestone in OxfordAQA's commitment to providing high-quality, internationally recognized assessments to students around the world.With a rich history of delivering qualifications that are designed to bring out the very best of every learner, OxfordAQA is entering into the Pakistani education landscape with the expectation to enhance the learning experience for students and educators alike. The examination board is renowned for its rigorous standards, fair assessments, and dedication to fostering a culture of continuous improvement in education. PR

Director General of Sindh Food Authority Commends Sunridge Foods for Fortification & Exemplary

KARACHI: Agha Fakhar Hussain, the Director General of the Sindh Food Authority (SFA), and his team carried out a thorough assessment of food processing facilities during their visit to Sunridge Flour Mill and Unity Foods Edible Oil Refinery at Port Qasim. The purpose of the visit was to evaluate and applaud the hygiene, safety, and quality standards implemented by these leading entities in the food industry.Mr. Hussain, DG Sindh Food Authority, praised Sunridge Flour Mill for its outstanding commitment to hygiene policies and stringent food safety measures. He expressed, "The impressive hygiene standards and food safety measures observed at Sunridge deserve recognition.

We aim to raise awareness about the adoption of such rigorous hygiene practices and food safety measures among industries in Sindh." PR

Bank Alfalah Nigaah Art Awards 2024 held at Mohatta Palace

KARACHI: Amidst much excitement, the 3rd Nigaah Art Awards commenced on January 20, 2024. The event welcomed distinguished guests, with Mr. Ahmad Shah, President of the Arts Council of Pakistan and Caretaker Minister for Information, Minorities Affairs, and the Social Protection Department in the Government of Sindh, serving as the chief guest.

During his welcome address, Mr. Tauqeer Muhajir, the Editor and Publisher of Nigaah Art Magazine, emphasized the significance of these art awards.

The event featured various segments, including a discussion on 'pioneering advancements in the development of art in Pakistan' by Mr. Ahmad Shah and Ms. Nasira Zuberi, a renowned poet and author of Shagoon. Other highlights included performances by the PNCA troupe, live painting by experienced artist Farrukh Shahab, a live auction whose proceeds will benefit art school scholarships in Karachi and poetry recital by Anwar Shaoor. PR

Delegation from US Bureau of Diplomatic Security visits Safe City Islamabad

ISLAMABAD: According to the details, the US Secretary Bureau of Diplomatic Security along with his delegation visited Safe City Islamabad, a public relations officer said. He said that the Islamabad Capital City Police Officer (ICCPO) Dr. Akbar Nasir Khan gave an overview of the Safe City Islamabad operational duties to the delegation. At this occasion senior police officers of Islamabad Capital Police were also present. The delegation visited the command and control center, data hub unit, modern technology-equipped cameras, and the Police operations center hall. They were fully briefed about the procedures and its effectiveness.

Furthermore, the delegation was also briefed that Safe City Islamabad is playing a significant role in various sectors through modern techniques, including the Police Operations Center, Emergency Control Center, Data Hub, Dispatch Control Center, E-Challan System, and the “Pukar-15” helpline. PR

07

SONY ENDS $10BN DEAL TO MERGE INDIA ASSETS WITH ZEE, PLANS LEGAL ACTION NEWS

J

PROFIT

REUTERS

APAN’s Sony Group (6758.T), opens new tab scrapped plans on Monday for a $10 billion merger of its Indian unit with Zee Entertainment (ZEE.NS), opens new tab, ending a deal that could have created one of the South Asian nation’s biggest TV broadcasters.

The collapse of the deal in contenthungry India creates more uncertainty for TV broadcaster Zee in particular as competition heats up, with Disney (DIS.N), opens new tab also seeking to merge its Indian businesses with the media assets of billionaire Mukesh Ambani’s Reliance (RELI.NS), opens new tab.

Zee told Indian stock exchanges Sony was seeking $90 million in termination fees for alleged breaches of their merger agreement and emergency interim relief by “invoking arbitration”. Zee said it denies all claims made by Sony and would take appropriate legal action.

Sony said in a statement certain “closing conditions” to the merger were not satisfied despite “good faith discussions” with Zee, and the companies had been unable to agree upon an extension by their Jan. 21 deadline.

“After more than two years of negotiations, we are extremely disappointed … We remain committed to growing our presence in this vibrant and fast-growing market,” it added.

While neither Sony nor Zee elaborated on Monday on which conditions had been unfulfilled, a stalemate over who will lead the combined company had put the merger in danger.

Zee had proposed that CEO Punit Goenka take the helm, but Sony balked after he became the subject of an investigation by India’s market regulator. Zee said on Monday Goenka had been “agreeable to step down in the interest of the merger”. A source with direct knowledge however said Sony was not keen to proceed unless Goenka backed out before the closure of the merger,

rather than after the deal had been sealed as he had proposed.

‘A SIGN FROM THE LORD’ Last year, the Securities and Exchange Board of India barred Goenka from holding directorships at any listed company, accusing him of being involved in diverting Zee’s funds to the group’s other listed entities.

Goenka denied the allegations. An Indian tribunal lifted the ban on him in October but said he would have to cooperate with any investigation by the regulator.

The executive, who was in India’s Ayodhya city to attend the grand opening of a Lord Ram temple, wrote on X that he sees the collapse of the Sony deal as “a sign from the Lord”, adding he would move forward by strengthening his company for stakeholders.

Zee is currently contending with declines in advertising revenue and cash reserves. Its cash reserves fell to 2.48 billion rupees in the six months ended Sept. 30 from 5.88 billion rupees a year earlier.

The Indian company said it had un-

Govt to introduce ‘Tajir Doost’ fixed income tax scheme for retailers g

PRIMARY GOAL OF INITIATIVE IS TO DOCUMENT ECONOMIC ACTIVITIES RATHER THAN TO GENERATE REVENUE FROM RETAILERS PROFIT

NEWS DESK

The federal and provincial governments of Pakistan are set to launch a new fixed-income tax scheme called ‘Tajir Doost’ this month, targeting the registration of retailers, shopkeepers, and professionals.

This initiative comes with an incentive of a 50% tax reduction for those who voluntarily comply.

Sources reveal that the Federal Board of Revenue (FBR) aims to bring all retailers into the tax net as part of its documentation drive.

Currently, out of an estimated 3.5 million retailers, only about 300,000 are actively filing tax returns. The new scheme is expected to register the remaining 3.2 million retailers in major cities across the country.

The primary goal of ‘Tajir Doost’ is to document economic

activities rather than to generate revenue from retailers.

Registration will be mandatory for all professionals and retail business owners.

To facilitate this, the FBR has developed a mobile app through which new retailers can register by submitting details such as shop size, electricity meter number, and other relevant information.

Under the proposed scheme, a retailer’s tax liability will be determined based on the FBR’s property valuation and the rental value of the shop. The mobile app will automatically calculate an indicative tax based on these values. The calculated annual tax will be divided into monthly installments for advance tax payments.

In addition to the registration incentive, the FBR will offer a 50% reduction in tax payments for retailers who voluntarily register

under this new system.

Furthermore, the FBR has planned a door-to-door campaign starting January 2024 in the four provincial capitals and Islamabad to register non-filing retailers and streamline their tax filing process.

The FBR intends to use electricity meter data to identify tax evasion and conduct audits when necessary.

To ensure the integrity of the scheme, the FBR will conduct random audits to verify the accuracy of valuations and payments.

The scheme is designed to minimize discretion by field offices in altering valuations and assessments. Any advance tax payments made under the scheme will be credited against the final income tax liabilities at the year’s end during return filing, but refunds for such advance tax payments will not be issued, as per the FBR’s statement.

PPL-funded Women Vocational Training Centre in Punjab commences operations KARACHI PR

The Pakistan Petroleum Limited (PPL)-financed Women Vocational Training Centre (WVTC) in District Okara, Punjab has commenced operations.

An amount of Rs. 50 million has been allotted by PPL for the project over a five-year period with the first tranche of Rs. 10 million already handed over to Behbud Association of Pakistan (BAP), the implementing partner. The project will impart vocational training to around 3,000 women, enabling them to earn livelihood through sale of their products.

PPL, as one of the largest national corporate donors, remains steadfast in pursuing socio-economic empowerment opportunities for underprivileged women through its Corporate Social Responsibility programme.

Skills enhancement and financial independence of local

women is envisioned through this project.

BAP, a non-government, non-profit organization, established in 1967, is working for the socio-economic empowerment of women. The association imparts livelihood generation skills to women, enabling them to generate income for their families.

National Food expands its operations in UAE g

MILLVILLE OPPORTUNITIES MASTER FUND CONTROLS 10.91% OF VOTING SHARES OF NATIONAL FOODS PROFIT

NEWS DESK

National Food on Monday announced that its whollyowned subsidiary known as National Foods DMCC based in Dubai has established a new subsidiary namely National Foods (FZE), in Sharjah, UAE. As per another notice sent to the Pakistan Stock Exchange (PSX), Millville Opportunities Master Fund acquired 0.92% voting shares of National Foods on

18th January 2024.

This recent acquisition increases Millville’s shareholding in National Foods to 10.91% of the total issued voting shares.

National Foods Limited was incorporated in Pakistan on 19 February 1970 as a private limited company under the Companies Act, 1913, and subsequently converted into a public limited company under the repealed Companies Ordinance, 1984, (now Companies Act, 2017).

PSX set for Rs100bn Sukuk bond auction g

ISLAMABAD INTERNATIONAL AIRPORT, VALUED AT OVER RS203B SERVES AS ASSET BACKING THESE BONDS PROFIT

NEWS DESK

The Ministry of Finance is preparing for an auction of sovereign Sukuk bonds, totaling Rs 100 billion at the Pakistan Stock Exchange (PSX) on January 23, 2024.

There will be five types of Sukuk bonds up for auction, with durations of 1, 3, and 5 years. These bonds are attractive to both individual and large-scale investors.

The Islamabad International Airport, valued at over Rs 203 billion,

including its buildings, infrastructure, and land (spanning 26,313 Kanals and 4 Marlas), serves as the asset backing these bonds. The auction includes a one-year fixed-rate Ijarah Sukuk, three-year Ijarah Sukuks in both fixed and variable rates, and five-year Ijarah Sukuks with similar options. The one-year Sukuk will be sold at a discount, while the three and five-year Sukuks will be sold at their full face value.

The rental rate for these Sukuks will be decided based on the auction’s outcome. Meezan Bank Lim-

ited, together with Dubai Islamic Bank, Bank Alfalah Islamic, and BankIslami Pakistan Limited, is advising on both the financial and Shariah aspects of this auction.

This auction follows a one-year Sukuk auction in December 2023, where the government raised Rs 30 billion, attracting subscriptions over 12 times the initial offering. This past success allowed the government to secure funds at a rate 3% below the policy rates. As a result, the government is now offering more Sukuk bonds at PSX to reduce borrowing costs.

dertaken several steps for the Sony deal resulting in “one-time and recurring costs”, but will now “continue to evaluate organic and inorganic opportunities for growth”. With channels in segments like news and entertainment in Hindi and other languages, Zee has for years been a household name in India. It was set up in 1992 by Subhash Chandra, Goenka’s father, who is often dubbed the “Father of Indian Television”.

Sony, which too has entertainment channels in India and a streaming service, together with Zee would have had a portfolio of 90 plus channels.

“The failure of the Zee-Sony merger will be disappointing for shareholders – this merger had the potential to materially change industry dynamics,” said Hetal Dalal, president and chief operating officer of Institutional Investor Advisory Services. Sony said it did not expect any material impact from the termination to its estimates for the year ending in March, as it had not factored the deal into its outlook.

Schoolathon 2024: 900 Students Shine Bright in Unique Inter-School Sports Event

KARACHI: The Dawoodi Bohra community successfully concluded the 3rd edition of Schoolathon 2024, a three-day inter-school sports event. The sports extravaganza culminated in a vibrant closing ceremony at Al-Nadil Al-Burhani Old Queens Road, graced by His Excellency Muhammad Kamran Tessori, the Governor of Sindh, as the event’s chief guest.Schoolathon 2024 showcased a diverse range of sports, fostering camaraderie and sportsmanship. The Award Distribution Ceremony celebrated outstanding athletes, leaving behind a legacy of unity and talent development. Over 900 students from 7 schools participated in cricket, volleyball, throwball, archery, and athletics, contributing to the overall success of the event.PR

PTA takes action against VOIP Grey Setup involved in illegal termination of international traffic

ISLAMABAD: The Pakistan Telecommunication Authority (PTA) Zonal Office in Lahore, in close collaboration with the Federal Investigation Agency (FIA) Cyber Crime Circle, conducted successful raid against VOIP grey setup in Shahdara, Lahore. The VOIP setup was involved in international call termination by using illegally activated SIMs.During the raid, 796 active SIMs, 2 gateway exchanges (32 ports), 11 gateway exchanges (16 ports), 3 routers, and 4 network switches were recovered. The FIA team confiscated active SIMs along with all devices as evidence and apprehended an individual on the premises. PTA had previously filed a complaint with FIA, prompting the collaborative action, based on information about the illegal termination of international traffic bypassing legal gateway exchanges.These raids are part of PTA's ongoing efforts to curb the circumvention of the Multi-Finger Biometric Verification System (MBVS). This resolute underscores the Authority's dedication to eliminating the unlawful issuance of SIMs. PR

National level operation against non-duty paid/ counterfeit cigarettes

Designated teams of Inland Revenue Service Officers (FBR) have successfully conducted a National Level Operation on 13.01.2024 against illicit tobacco trade. A total number of 1,377 Packerites (13.77 Million cigarette sticks) of nonduty paid/ counterfeit cigarettes of local as well as of foreign brands have been seized/ confiscated.Member Inland Revenue Operations, Mir Badshah Khan Wazir supervised the whole exercise.

It was further resolved that any sort of evasion of Government's revenue shall be dealt with iron hand and culprits shall directly be liable for penal proceedings. PR

On occasion the award ceremony 2024 Chief guest of Consumer Association Pakistan IGP National Highway and Motorway Salman Chaudhry, Additional IG Karachi Khadim Hussain Rand, Consul General Malaysia Herman Hardinta Ahmed, General Manager Hande Nishat Motors, Malik Muhammad Adnan, Chairman Kokab Iqbal and others Addresing. PR

Tuesday, 23 January, 2024

PRAYER TIMINGS

MODI OPENS FLASHPOINT TEMPLE SYMBOLISING HIS CHANGING INDIA

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NDIA’s Prime Minister Narendra Modi inaugurated a temple on Monday that embodies the triumph of his muscular Hindu nationalist politics, galvanising loyalists in an unofficial start to his re-election campaign this year.

Modi, in flowing golden-coloured traditional dress, unveiled the black stone idol to the deity Ram in the heart of the 50-metre temple, built on grounds where a mosque stood for centuries before it was torn down in 1992 by Hindu zealots incited by members of his party.

That demolition triggered the worst religious riots since independence — killing 2,000 people, most of them Muslims — and shook the foundations of India’s officially secular political order.

Outside, tens of thousands of chanting and dancing devotees waving flags, honking horns and beating drums, packed the streets of the northern town of Ayodhya, as military helicop-

ters showered flower petals from the sky.

Few members of Ayodhya’s Muslim community were seen joining the jubilant street party, and opposition leaders are reported to have stayed away.

But for Modi’s ruling Bharatiya Janata Party (BJP), the opening of the Ram Mandir temple is a landmark moment in a decadeslong campaign to align the country’s governance with its majority faith.

“The Lord has made me an instrument to represent all the people of India,” Modi said ahead of the “auspicious” opening, as he prayed at the feet of the human-sized statue, garlanded in flowers and draped in jewels.

Excitement reached a fever pitch, with thousands of Hindu believers dancing in packed streets as giant loudspeakers blast out religious tunes.

Vijay Kumar, 18, took four days to reach the town after walking and hitchhiking 600 kilometres. “We just wanted to be here,” Kumar said. “We just wish to see the temple before we leave.”

About 2,500 musicians are performing

on over 100 stages for the crowds of pilgrims around the elaborate temple, built at an estimated $240 million that the project’s backers say was sourced from public donations.

The 140 kilometres between the town and Uttar Pradesh state capital Lucknow is a seemingly endless stream of billboards of blue-skinned Ram with bow and arrow — as well as of Modi and the region’s chief minister, the saffron-robed Hindu monk Yogi Adityanath.

“It’s all because of Modi,” said Prem Sharan, 35, a resident of Ayodhya.

“Some critics say that it is being turned into an election-like atmosphere; so be it. At least they are doing what they promised and one needs the power to do things for the people.”

Other attendees jetted into the newly built international airport and will stay at a crop of hotels built to cater to the millions of pilgrims expected to visit each year.

Among the celebrity guests due at the opening were Indian tycoons, former national cricket captain Virat Kohli and Bollywood titan Amitabh Bachchan.

SC bars journalists from recording videos in court premises

ISLAMABAD: In its new guidelines, the Supreme Court (SC) barred the journalists from recording a video or YouTube program inside the Supreme Court building. As per the Supreme Court’s issued new guidelines, the journalists can only enter the court’s premises by showing the Identification cards that confirm their affiliation with the relevant media houses. The court in its verdict made it prohibited for journalists to record a video or YouTube program inside the Supreme Court’s premises and directed that only one reporter from each channel will be allowed in the courtroom during the hearing of an important case. Meanwhile, the audio link will be provided to the remaining journalists in other courtroom. It is worth mentioning here that the President of the Press Association Supreme Court, Tayyab Baloch, penned down a letter to the registrar for the entry of journalists on the media card. STAFF REPORT

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Ram Temple ceremony indicative of growing majoritarianism in India: Pakistan

ISLAMABAD: Pakistan on Monday strongly condemned the consecration of the “Ram Temple” on the site which once hosted Babri mosque — a centuries-old Mosque demolished by a Hindu extremist mob in December 1992.

Islamabad’s statement comes as Indian Prime Minister Narendra Modi led the consecration ceremony for the Ram Temple in Ayodhya — which Hindus believe to be the birthplace of their god-king “Ram”. The temple has been a key electoral promise of Modi’s Hindu nationalist Bharatiya Janta Party (BJP) which, for years, had advocated for the construction of a temple in place of the 16th-century mosque built by the Mughals in 1528. For decades, the temple site was bitterly contested by Hindus and minority Muslims, leading to nationwide riots in 1992 that killed 2,000 people, mainly Muslims, after a Hindu mob destroyed the mosque that had stood there.

In 2019, the Supreme Court handed over the land to Hindus and ordered the allotment of a separate plot to Muslims where construction of a new mosque is yet to begin.

Lamenting that India’s superior judiciary not only acquitted the criminals responsible for the mosque’s demolition but also allowed the construction of a temple on the site of the demolished mosque, the Foreign Office (FO) said that today’s consecration ceremony “is indicative of growing majoritarianism in India”. “These constitute an important facet of the ongoing efforts for social, economic and political marginalisation of the Indian Muslims,” the statement said. STAFF REPORT

Imran urges followers to hold countrywide demos against ‘mother of all selection’ ISLAMABAD

Anti-judiciary campaign: Pakistan to place names of suspects on ECL ISLAMABAD

STAFF REPORT

Former prime minister and Pakistan Tehreek-e-Insaf (PTI) founder Imran Khan on Monday urged his supporters to join him in a protest against what he called the “mother of all selection” taking place in the country.

Khan, currently incarcerated in Rawalpindi’s Adiala Jail in connection with the cypher case, voiced his concerns during an informal conversation with the media over the “selected” tag being allegedly associated with Pakistan Muslim League-Nawaz (PML-N) supreme leader Nawaz Sharif.

Once labelled as “selected” by opposition parties, including Pakistan Peoples Party (PPP) Chairman Bilawal Bhutto-Zardari, Khan now contends that recent events, especially the return of Nawaz, prove that a more profound form of selection is underway in the nation.

“We were called selected for three years, but the way Nawaz Sharif was brought back is proof that now the mother of all selection is taking place in the country,” he asserted.

Referring to his “selected” label, which insinuated his alleged alignment with the military establishment during his tenure as prime minister, Khan emphasised that history had not witnessed such a level of “selection” before, highlighting the recent acquittal of Nawaz Sharif in corruption cases.

“No selection like this ever took place in the history of the country before, where all cases against a

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STAFF REPORT

certified money launderer were ended,” Khan declared.

Accusing the caretaker government and the Election Commission of Pakistan (ECP) of aiding Nawaz, Khan expressed his discontent, claiming, “Capital City Police Officer (CCPO) Lahore is even saluting this certified offender, they are making us slaves, I say to my entire party to come out on Sunday.”

According to Khan, the alleged wrongdoers would never allow the supremacy of law and justice in the country. “The meaning of democracy is freedom, not acceptance of slavery. Our struggle is for the rule of law because it guarantees freedom, but these thieves would never allow the supremacy of law and justice in this country,” Khan further said.

In a significant move, authorities have officially decided to include the names of individuals leading anti-judiciary campaigns on social media in the Exit Control List (ECL) and the Stop List, sources said.

According to the details, the authorities decided to block the accounts found involved in the antijudiciary campaigns on social media with the help of the Pakistan Telecommunication Authority (PTA).

The officials stated that a National Database and Registration Authority (NADRA) officer is also added to the JIT, while the other relevant institutions are busy in the identification process of the social media accounts involved in the campaign.

Sources suggested that the social media account holders’ names, handling from foreign countries, will also be added to the ECL and the Stop List.

However, the Federal Minister for Information and Broadcasting, along with officials from the FIA will address the media in a press conference today which aims to provide insights into the ongoing antijudiciary campaign and shed light on the government’s strategies to counteract the situation.

Tobacco industry sounds alarm as manufacturing drops by 40% g

FBR’S TRACK AND TRACE SYSTEM BLAMED FOR BEING UNABLE TO QUASH SALE OF COUNTERFEITS PROFIT

NEWS DESK

The Federal Board of Revenue’s (FBR) Track & Trace System (TTS), a highly revered and advanced system that is said to have revolutionised the way in which taxes are levied, is facing some criticism by major tobacco companies amid an alleged surge in counterfeit cigarette incidents. It was noted that the system was unable to identify counterfeits with fake stamps on packs of leading brands.

This criticism was levelled by senior officials from the tobacco industry who expressed dismay over the lack of enforcement measures, once again raising concerns about the sustainability of the sector due to an influx of smuggled and counterfeit cigarettes into Pakistani markets.

On Monday, Pakistan Tobacco Company (PTC) officials voiced their apprehensions, citing recent data from the Pakistan Bureau of Statistics indicating a 40% decline in the Large Scale Manufacturing (LSM) of the tobacco industry from July to November 2023. The decrease, as per PTC, can largely be attributed to an increase in counterfeit and smuggled cigarettes.

The Pakistani Tobacco Market: But why has this counterfeit cigarette problem gone under the government’s radar for so long? And how has PTC grown concern for the national exchequer, a company that has rampantly made the case for a decrease in taxes on big tobacco?

There are two MNCs that operate in Pakistan’s tobacco landscape. One is the Pakistan Tobacco Company Limited (PAKL), which is the Pakistani subsidiary of British American Tobacco. The other company is Philip Morris

Pakistan Ltd (PMPK).

Together, these two internationals control 60 percent of the market.

But more importantly, they also pay 98 percent of the tax that is collected from this industry. That is where a major contention exists between the MNCs and the local players.

There are an additional 52 tobacco companies in Pakistan that have 40 percent of the market share, and only pay Rs 2 billion in taxes every year (until FY22). To put this in context, this is only 2% of the total tax collected from the tobacco industry.

This means that there is stringent competition between the two sides. So much so that the MNCs actually lobby for higher taxes that are more stringently imposed on the local growers and manufacturers. They believe that because they pay so much more tax while local producers do not, they have an unfair advantage that allows them to control 40% of the market share.

To be clear, large tobacco companies are not making these demands out of any sense of duty or goodwill. No, they want more people to smoke more cigarettes and given the chance, they would splurge on advertising, marketing, and packaging the product.

Local tobacco growers sell their crops to local manufacturers, who then produce cheaper cigarettes of their own. Since they operate on a much smaller scale, they often fly under the radar and manage to market their products as well as not pay high taxes.

This is why regularly the tobacco industry tries its best to make sure that these local manufacturers have to pay their taxes, and cannot market their products since that ends up stealing a sizable chunk of the market from. It is also

important to mention that because of the very nature of how the untaxed local tobacco industry operates, it becomes difficult to gauge a market share. Over the years, experts have raised questions over the figures such as “52 companies” and “40% market share” as well.

Since the little guy has little to lose, a sizable part of the tobacco growth and cigarette sale goes under the FBR’s radar. It could be a smuggled cigarette, an unbranded or unregistered company’s cigarette, or a counterfeit in fake packaging. All these cigarettes cause harm to not only the national exchequer, but also the company or brand that they impersonate, in the case of counterfeits.

Big Tobacco’s Concerns Qasim Tariq, Senior Business Development Manager at PTC, emphasised that despite stagnant cigarette consumption, cheap smuggled, and counterfeit local brands flooded markets nationwide.

He claimed that, “Around 850 million counterfeit cigarette sticks are currently being sold across Pakistan, equivalent to 42.5 million packs with fake stamps, resulting in a substantial loss of approximately Rs5.7 billion to Pakistan.”

Tariq raised serious questions about the efficacy of the touted track and trace system, which has yet to be fully implemented across local cigarette manufacturers in Pakistan and Azad Jammu & Kashmir (AJK). PTC officials also urged Law Enforcement Agencies (LEAs) to intensify enforcement at the retail level to curb this rising menace.

Referring to an FBR report submitted to the parliamentary committee in 2019, PTC officials highlighted that illicit cigarette trade accounted for more than 36.2% of the country’s market share.

Security forces kill seven terrorists in Zhob IBO RAWALPINDI

STAFF REPORT

Seven terrorists were killed in intelligence-based operation (IBO) of security forces in Sambaza Sector area of district Zhob near Pak-Afghan border on Monday, Inter Services Public Relations (ISPR) said.

According to military’s media

wing, the Pakistan Army troops effectively surrounded and engaged the terrorists involved in hostile activities against the armed forces and innocent civilians.

An exchange of fire took place during the IBO in which seven terrorists were killed.

The killed terrorists were involved in terrorist activities against

Published by Asad Nizami at Plot # 7, Al-Baber Centre, F/8 Markaz, Islamabad, for PT Print (Pvt) Limited. Ph: 051-2204545. Email: newsroom@pakistantoday.com.pk

security forces as well as the killing of innocent civilians. Arms, ammunition, and explosives were also recovered from their possession.

The ISPR said that sanitization operation was being carried out to eliminate any other terrorists present in the area and security forces of Pakistan were determined to eliminate the menace of terrorism.