Pakistan’s Prime Minister Shehbaz Sharif.
| Photo Credit: REUTERS

Pakistan is expected to get an investment of $5 billion over the next three years from local and international firms for the exploration and development of petroleum and gas reserves that will save the cash-strapped country’s valuable foreign exchange and provide relief to the common man bearing the brunt of high fuel prices.

The announcement was made in a meeting presided over by Prime Minister Shehbaz Sharif on Saturday during a meeting with a delegation of oil and gas exploration and production sector companies.

According to the state-run Associated Pressof Pakistan, the meeting was informed that during three years, around 240 places would be excavated with an investment of $5 billion to explore petroleum and gas in Pakistan.

The meeting was informed that currently, Pakistan’s domestic production stood at 70,998 barrels and 3,131 MMSCFD (million standard cubic feet) gas per day.

The Prime Minister invited petroleum and gas exploration and production companies to also find offshore reserves.

“Exploring the oil and gas reserves at the local level in Pakistan is our top priority,” Prime Minister Sharif said, adding that Pakistan spent billions of dollars every year on importing oil and gas.

“Production from local reserves will save Pakistan’s valuable foreign exchange and fuel and gas will become affordable for the common man,” he added and directed the concerned authorities to provide solutions to all the problems of the sector on a priority basis.

Currently, the price of petrol in Pakistan is Rs. 265.61/Ltr, high-speed diesel is Rs. 277.45/Ltr and light-speed diesel is Rs 166.86/Ltr.

The Prime Minister constituted a committee under the chairmanship of Deputy Prime Minister Ishaq Dar that would include experts, secretaries and the relevant authorities.

The committee, after consultation with the representatives of the sector, would formulate proposals to create an attractive policy for the exploration and development of petroleum and gas reserves in Pakistan.

Mr. Sharif directed the relevant authorities to solve all the problems of the sector and submit policy proposals to the constituted committee on priority.

The delegation thanked the Prime Minister for making the petroleum and gas exploration and production sector a part of the consultation process, listening to their problems and finding serious solutions to them.

Islamabad:

Pakistan Prime Minister Shehbaz Sharif on Wednesday extended an olive branch to his predecessor and political rival Imran Khan, offering to hold talks with him if was facing “troubles” in jail.

Mr Khan, the founder of his Pakistan Tehreek-e-Insaf party, has been in jail since August last year after being convicted in some of the nearly 200 cases slapped on the 71-year-old cricketer-turned-politician since his ouster from power in April 2022.

“If their [PTI] founder is facing troubles [in jail], then I reiterate: come, let’s sit down and talk,” Mr Sharif said while addressing the National Assembly.

“Let us sit together to take the country ahead. Let us talk for the betterment of the country. There is no other way forward,” he said.

The Nawaz Sharif-led Pakistan Muslim League-Nawaz (PML-N) and Khan’s Pakistan Tehreek-e-Insaf have been at loggerheads for years, particularly after the February 8 elections, which Mr Khan’s party claims it had won.

Commenting on the 2018 elections won by Mr Khan’s PTI, Mr Sharif said: “We joined Parliament despite the [rigged] polls. The sort of slogans that were raised during my first speech will always be remembered as a dark chapter in the history books.”

“If someone is facing any injustice, then I believe that the scales of justice should be in favour of those [being victimised], there is no difference over it — whether it be any politician or anyone from any walk of life,” Geo News quoted Sharif as saying.

Mr Sharif lamented that he had once again, while he was in the opposition, proposed to Mr Khan to sit for a dialogue but such slogans were raised again.

“So who is responsible for this bitterness [between politicians]. We don’t even shake hands now,” he said.

Mr Sharif, 72, also recounted his ordeal of facing victimisation by Mr Khan’s government and that he was in jail when his mother passed away. He said that despite being a cancer survivor and with a backbone issue, he used to be taken to courts on the ordinary prison van just to exacerbate the condition, but he never complained.

In response to Prime Minister Sharif’s remarks, Leader of the Opposition in the National Assembly Omar Ayub reiterated that the PTI would talk with the government only when Mr Khan and other incarcerated leaders and workers are released from jail.

“This should be in your minds: you torture our workers, you’ve kept our lady workers in prison vans at 45°C. My prime minister Imran Khan was kept in a death cell, there’s an oven-like environment over there,” he said, amidst sloganeering from the treasury benches.

(Except for the headline, this story has not been edited by NDTV staff and is published from a syndicated feed.)

This is the first air freight route linking the province with a Belt and Road Initiative (BRI) country.
| Photo Credit: Emmanual Yogini

A new air cargo route has been launched between Pakistan and China to further enhance trade ties between the two all-weather allies, ahead of Prime Minister Shehbaz Sharif’s visit to Beijing next week.

According to the state-run Associated Press of Pakistan news agency, the new air cargo route inaugurated on May 28 linked Guizhou, China with Karachi, Pakistan.

The route was launched with the departure of an all-cargo plane carrying six tonnes of freight, including clothing, electronics, and various commodities, from Guiyang, the capital of Guizhou, China Economic Net (CEN) reported.

After nearly six hours of flight time, the plane arrived in Karachi. It was to return to Guiyang loaded with blue crabs from Pakistan, according to Guiyang Customs.

The flights on the route were planned to be operated three times a week, carrying goods including hardware accessories, clothing fabrics, and electronic accessories.

This air route is significant as it marks the first direct connection between Guizhou and Pakistan, as well as the first air freight route linking the province with a Belt and Road Initiative (BRI) country.

Officials believe that this new route will help establish Guiyang as a cargo distribution centre in southwest China and reduce the time for Pakistan’s quality fresh products to reach Guizhou.

The inauguration of the Guiyang-Karachi air cargo route is expected to facilitate trade between the two regions, according to the APP report.

In January, the two countries launched an air cargo route connecting Ezhou Huahu Airport in central China’s Hubei province with Pakistan’s eastern city of Lahore.

The air cargo link comes ahead of the five-day official visit of Prime Minister Shehbaz Sharif from June 4. He will meet the top Chinese businessmen to seek more investments in the second phase of the Pak-China Economic Corridor (CPEC) projects.

Mr. Sharif is expected to hold talks with Chinese President Xi Jinping and Premier Li Qiang and other leaders to draw a blueprint to strengthen bilateral ties further, as the all-weather allies seek to upgrade cooperation under the multi-billion dollar CPEC.

Pakistan’s Prime Minister Shehbaz Sharif. File
| Photo Credit: Reuters

“Pakistan Prime Minister Shehbaz Sharif will embark on a five-day visit to China on June 4 to further strengthen bilateral ties,” the Foreign Office announced on May 31, as the all-weather allies seek to upgrade cooperation under the multi-billion dollar China-Pakistan Economic Corridor (CPEC).

“Sharif will be in China from June 4 to 8 on the invitation of Chinese President Xi Jinping,” Foreign Office spokesperson Mumtaz Zahra Baloch said at her weekly briefing.

China refuses to further expand cooperation with Pak in energy, water, climate under CPEC

The visit aims to increase cooperation under the CPEC project, as the two sides look forward to launching the second phase of the project. The CPEC was launched a decade ago and several projects related to energy and infrastructure had been already completed.

The Prime Minister chaired a meeting in Islamabad on Friday on his upcoming China visit directed to prepare an action plan to encourage Chinese companies to set up industries in Pakistan, assuring that Pakistan will provide all possible facilities to Chinese industrialists and investors.

Radio Pakistan reported that a detailed briefing was given to the Prime Minister on the preparations for his visit to China, during which a delegation of industrialists, investors and entrepreneurs from Pakistan will also accompany him during his visit to Chinese city Shenzhen.

The delegation will meet the Chinese business community and discuss the promotion of business-to-business relations between the two countries.

The Prime Minister directed to formulate a comprehensive plan regarding productive business-to-business meetings between the two countries during his visit to China. He also directed the Pakistani Ambassador to China to provide all possible facilities to the Pakistani business delegation in China.

Meanwhile, The Express Tribune reported that the government approved the construction of another road project under the CPEC at a cost of $2 billion, paving the way for the signing of its framework agreement during Prime Minister Sharif’s visit to Beijing.

The Central Development Working Party (CDWP), the body mandated to recommend mega schemes for higher forum approval, sanctioned the construction of the Thakot-Raikot 241-kilometre section of the Karakoram Highway, according to an announcement by the Ministry of Planning after the meeting.

The CDWP approved the project at a cost of Rs.567.5 billion (Pakistani Rupee) ($2 billion), with the direction that the price tag should be further reduced by rationalising overhead expenses.

The Karakoram Highway was originally built with the help of China about 50 years ago, and due to the difficult terrain, scores of people died during the construction phase.

A fully functional all-weather Karakoram Highway is critical for China-Pakistan economic and commercial relations. This is the third major road infrastructure project both nations aim to build under CPEC, following the Multan-Sukkur motorway and the Havelian-Thakot section of the Karakoram Highway.

The Deputy Chairman of the Planning Commission, Jehanzeb Khan, chaired the CDWP meeting. Mr. Khan’s position in the government may further be strengthened after the budget due to certain administrative changes that Prime Minister Sharif’s government is considering implementing.

Pakistan and China have already agreed to complete the remaining missing link of more than 800 kilometres of the Karakoram Highway during the 10th Joint Cooperation Committee meeting. “The 241-kilometre missing link is planned to be constructed with a Chinese soft loan,” according to Ministry of Planning officials.

Out of the $28 billion investment under CPEC, so far, $6.7 billion has been made in infrastructure projects. Last week, Pakistan requested Beijing to fund nine more projects under CPEC worth $17 billion, including the road missing link.

If China agrees to finance the project, it will be completed on an engineering procurement and construction modality, and the approval of the federal Cabinet will also be required. There were also issues with financing the project from the Public Sector Development Programme (PSDP), as the National Highway Authority’s financing requirements for ongoing projects have already gone up to Rs.1.7 trillion.

The country also needs Rs.250 billion annually if it wishes to complete the Mainline-I project of CPEC in the next eight years.

File picture of Pakistan’s Prime Minister Shehbaz Sharif.
| Photo Credit: Reuters

Commemorating the 26th anniversary of Pakistan’s first successful nuclear tests, Prime Minister Shehbaz Sharif on Tuesday said it encapsulates the arduous yet remarkable path of the country towards establishing a “credible minimum deterrence.”

Pakistan conducted six nuclear tests on May 28, 1998, inside a deeply dug tunnel in the remote Chaghi mountain of Balochistan province, as a tit-for-tat response to India’s nuclear tests in the same month at the Indian Army’s Pokhran Test Range.

Pakistan’s nuclear tests, state-run Radio Pakistan, said was conducted in response to the regional security dynamics and one that ensured that Pakistan’s defence capabilities were robust and credible.

Pakistan became the seventh nuclear nation in the world and the first Muslim state in 1998 having the nuclear arsenal in its defence stockpile to exercise deterrence.

Designated as Youm-e-Takbeer, translated as ‘the day of greatness’ or ‘the day of God’s greatness’, and observed annually with national zeal and fervour, Sharif has declared Tuesday as a public holiday, for the first time in the recent past.

Congratulating the nation in his message on social media platform X, Mr. Sharif said the day symbolises the collective effort of all facets of national power.

“May 28 signifies more than just a mere commemoration of a day; it encapsulates the narrative of our nation’s arduous yet remarkable path towards establishing a credible minimum deterrence,” he said, adding, “On this historic day, in 1998, PM Nawaz Sharif demonstrated bold leadership by rejecting nerve-wracking pressures and inducements to make Pakistan a nuclear-armed nation.”

Mr. Sharif also paid tribute to Prime Minister Zulfikar Ali Bhutto, the founder of Pakistan’s nuclear programme for his “strategic foresight and unwavering commitment to the cause.”

However, Mr. Sharif’s statement did not mention the name of Dr. Abdul Qadeer Khan, a nuclear scientist who played a major role in the programme after being in protective custody for almost two decades.

Mr. Sharif said the nation should resolve to work tirelessly to ensure economic security with the same spirit it made the defence invincible on May 28, 1998.

In his message, acting President Yusuf Raza Gilani reiterated the resolve to continue working towards a peaceful and stable world. “We successfully demonstrated our nuclear capabilities and joined the ranks of nuclear powers,” he said and added that Youm-e-Takbeer serves as a testament to our nation’s resilience, unwavering determination, and commitment to maintaining regional peace and stability.

The Pakistan Army, in a statement, said that the Armed Forces pay tribute to the unwavering dedication and selfless sacrifices of all those who contributed to this remarkable feat, achieved against overwhelming odds.

The Armed Forces reaffirm their unwavering resolve to defend the motherland, protect its sovereignty and territorial integrity, and ensure the nation’s security at all times and at any cost, the statement added.

Pakistan’s Prime Minister Shehbaz Sharif. File
| Photo Credit: Reuters

Cash-strapped Pakistan will privatise all state-owned enterprises, including the loss-making Pakistan International Airlines, Prime Minister Shehbaz Sharif announced on May 14, broadening the government’s initial plans to make only loss-making state firms private.

The announcement to privatise state-run enterprises barring strategic ones comes a day after Pakistan started negotiations with the International Monetary Fund (IMF) for a new long-term Extended Fund Facility (EFF).

Mr. Sharif announced this while chairing a review meeting on the privatisation process of loss-making state-owned enterprises (SOEs), according to media reports.

During the meeting, he said that apart from strategic state-owned firms, all other enterprises — profitable or loss-making — will be privatised, Geo News reported.

Asserting that the government’s job is not to do business but to ensure a business and investment-friendly environment, Mr. Sharif directed all ministries to take action and cooperate with the Privatisation Commission.

Underscoring the need for the privatisation process to be transparent, he ordered the privatisation process of Pakistan International Airlines (PIA) to be televised, including the bidding and other important steps. The PIA’s privatisation is in its final stage, the report said.

Pakistan’s ailing national flag carrier stood as the country’s third-highest public sector loss-making entity, requiring Pakistani Rs. 11.5 billion per month solely for servicing its debts.

The process of privatisation of other institutions will also be broadcast live, the report said.

A roadmap of the Privatisation Programme 2024-2029 was also presented during the meeting, The Express Tribune newspaper reported.

Ministers were informed that loss-making SOEs were to be privatised on a priority basis and that a pre-qualified panel of experts was being appointed in the Privatisation Commission to speed up the sell-off process, the report said.

Prime Minister Sharif-led government has pushed for the privatisation of several state-owned enterprises to tackle the burden on the exchequer and the prevailing financial crunch.

Previously, debt-struck Pakistan had plans to privatise only loss-making state-owned enterprises, the Dawn newspaper reported.

On May 12, Finance Minister Muhammad Aurangzeb said that privatisation is necessary to achieve economic stability in the country.

“You have to move towards privatisation if you want economic stability in the country,” Mr. Aurangzeb said while speaking at the Pre-Budget Conference 2024-25 here.

Last week, Deputy Prime Minister Ishaq Dar said the government would limit its business only to strategic and essential SOEs under its domain and their number would be reduced from 40 after scrutiny.

Privatisation has long been on the Washington-based IMF’s list of recommendations for Pakistan, which is struggling with a high fiscal shortfall, the report said.

Pakistan narrowly averted default last summer, and the economy has stabilised after the completion of the last IMF programme, with inflation coming down to around 17% in April from a record high of 38% last May.

The country is still dealing with a high fiscal shortfall, and while the external account deficit has been controlled through import control mechanisms, it has come at the expense of stagnating growth, which is expected to be around 2% this year compared to negative growth last year.

At least three people were killed and six others injured when security forces opened fire on protesters during clashes with paramilitary Rangers in Pakistan-occupied Kashmir’s capital Muzaffarabad which has been rocked by protests against high prices of wheat flour and inflated electricity bills, a media report said on May 14

The paramilitary Rangers, which were called in to maintain law and order in the disputed region, came under attack while moving out of the region, the Dawn newspaper reported.

Instead of exiting via Brarkot, the village bordering Khyber Pakhtunkhwa, the 19-vehicle convoy, including five trucks, chose to exit the region from Kohala, it said.

As the convoy reached Muzaffarabad in a “charged atmosphere”, it was pelted with rocks near Shorran da Nakka village, to which they responded with teargas and firing, the report said.

After entering the city through the Western Bypass, the Rangers were welcomed with rocks again, prompting them to use teargas and bullets. The shelling was so intense that the entire neighbourhood reeled from it, the report said.

Prime Minister Shehbaz Sharif on May 13 approved a Pakistani rupee 23 billion subsidy for immediate release to the region after the negotiations between the protesters and the regional Government ended in a deadlock.

However, the Government’s decision to dole out the subsidy failed to pacify the region, the report said.

The disputed region also witnessed clashes on May 11 between the police and activists of a rights movement, leaving at least one police officer dead and injuring over 100 people, mostly Policemen. A complete strike has also been observed in the territory since May 10, bringing life to a halt.

Shortly before the violence, Prime Minister Sharif and the disputed region’s ‘Prime Minister’ Anwarul Haq after a meeting had approved the release of Pakistani Rs 23 billion for the region on account of power and wheat subsidies.

The subsidised rate for 40kg flour will be Pakistani Rs 2,000, down from Pakistani Rs 3,100. The electricity tariff was reduced to Pakistani Rs 3, Rs 5 and Rs 6 per unit for up to 100, 300, and more than 300 units, respectively, the Dawn reported.

The protest is led by the Jammu Kashmir Joint Awami Action Committee (JAAC), which has traders at the forefront in most parts of the region, who have been seeking the provision of electricity as per hydropower generation cost in the region, subsidised wheat flour and an end to the privileges of the elite class.

A long march led by the JAAC left for Muzaffarabad, the capital of PoK, on May 13 as the wheel-jam strike entered its fourth day.

The movement announced its march on Muzaffarabad after the talks between the JAAC core committee and Chief Secretary of the region Dawood Bareach ended in a stalemate.

Expressing deep concern over the violent clashes between the Police and the protesters, Prime Minister Sharif on May 12 said that there should be “absolutely no tolerance for taking the law into one’s own hands”.

“I urge all parties to resort to a peaceful course of action for resolution of their demands. Despite the best efforts of detractors, the matter will hopefully be settled soon,” he said.

As part of his efforts to calm down tensions, President Asif Ali Zardari urged all the stakeholders to exercise restraint and resolve the issues through dialogue and mutual consultation.

Islamabad:

Pakistan Prime Minister Shehbaz Sharif on Monday resigned as the President of Pakistan Muslim League-Nawaz (PML-N), ARY News reported, citing sources.

Shehbaz Sharif has submitted his resignation as party president to Nawaz Sharif, the PML-N supremo.

In light of the senior politician’s resignation, the PML-N has decided to call a general council meeting in Lahore on May 28 to elect a new president.

The PML-N had earlier announced to hold general council meeting on May 11, reported ARY News.

In a recent presser, Rana Sanaullah stated that the Punjab chapter of the PML-N has asked Nawaz Sharif to take up the party presidency once more, stressing the importance of his leadership to the party’s achievements.

He stated that a resolution asking Nawaz Sharif to lead the party once more through this trying time was passed during the PML-N Punjab meeting, according to ARY News.

It is important to note that, following his conviction in 2018, the former prime minister was barred from holding any public office.

However, the Islamabad High Court (IHC) acquitted him in the Avenfield and Al-Azizia references on November 29 and December 12, respectively.

After his acquittal, the former PM contested the General Elections 2024 and returned elected from NA-130 Lahore.

(Except for the headline, this story has not been edited by NDTV staff and is published from a syndicated feed.)

One police officer was killed and more than 100 people, mostly policemen, were injured in violent clashes between security forces and protesters agitating against high prices of wheat flour and electricity in Pakistan-occupied Kashmir, media reports said on May 12.

The region witnessed clashes on May 11 between the police and activists of a rights movement amid a wheel-jam and shutter-down strike across the territory, the Dawn newspaper reported.

Mirpur Senior Superintendent of Police (SSP) Kamran Ali told Dawn.com that sub-inspector Adnan Qureshi succumbed to a gunshot wound in the chest in the town of Islamgarh, where he was deployed along with other police personnel to stop a rally for Muzaffarabad via Kotli and Poonch districts under the banner of the Jammu Kashmir Joint Awami Action Committee (JAAC).

Also read: What is the outlook on the global economy? | Explained 

Protesters demand subsidised wheat flour, lower electricity rates

The JAAC, which has traders at the forefront in most parts of the State, has been seeking the provision of electricity as per hydropower generation cost in the region, subsidised wheat flour and an end to the privileges of the elite class.

The regional government called in the Rangers and a heavy contingent of policemen to stop the demonstrations.

Mobile phone and internet services were suspended in different parts of the PoK on May 12, including Bhimber and Bagh Towns, Geo News reported. In Mirpur, all the mobile networks and internet service have been suspended, it added.

PM Shehbaz Sharif “deeply concerned”

Pakistan President Asif Ali Zardari has called an emergency meeting related to the situation in the region at the President’s House on Monday, said sources.

They added that the president instructed stakeholders to bring proposals to resolve the issue. Prime Minister Shehbaz Sharif on May 12 said that he was “deeply concerned” about the situation in PoK.

“Unfortunately, in situations of chaos and dissent, there are always some who rush in to score political points. While debate, discussion and peaceful protests are the beauties of democracy, there should be absolutely no tolerance for taking the law in one’s own hands and damaging government properties,” he said in a post on X.

He said that he had spoken to PoK “prime minister” Chaudhry Anwarul Haq and directed his party’s office bearers in the region to talk to the leaders of the action committee. He called for peace and said, “Despite best efforts of detractors, the matter will hopefully be settled soon.”

Violent clashes rock PoK

On May 8 and May 9, around 70 JAAC activists were arrested by police during raids at their residences and those of their relatives in Muzaffarabad and Mirpur divisions, triggering serious clashes in Dadyal on May 9.

The committee had subsequently announced a shutter-down and wheel-jam strike on May 10, a day ahead of its planned long march towards Muzaffarabad Saturday.

Amid a crippling strike on May 10, violent clashes took place between police and protesters in different areas of Muzaffarabad, the capital of PoK.

On May 11, authorities placed mounds of earth on arteries leading to Muzaffarabad, apart from making more arrests, to prevent people from heading towards the city.

Witnesses said that Muzaffarabad division and Poonch division observed complete strikes.

SSP Yasin Baig said at least one police officer and a young boy were injured as police resorted to teargas shelling and aerial firing in some neighbourhoods after stones and bottles were pelted by protesters.

Kotli SSP Mir Muhammad Abid said that at least 78 policemen were injured in the district in “attacks of miscreants under the guise of protest”.

The SSP said 59 policemen, including Deputy Superintendent of Police Ilyas Janjua, and two revenue department officials were injured in Rehaan Galli while another 19 policemen were injured in Sehnsa Baroiyan.

A press release from the District Headquarters Hospital Kotli said apart from the 59 wounded policemen, nine injured protesters were also brought for treatment.

Mr. Abid said some police officials were also reportedly injured in Doliya Jattan.

 A total of 29 protesters were injured in the clashes, according to Geo News.

JAAC spokesperson Hafeez Hamdani said that the action committee had nothing to do with violence. “It seems that such elements have been purposely planted in the ranks of protesters to bring a bad name to a struggle that aims nothing but the legitimate rights of the people,” he said.

PoK’s so-called Prime Minister Haq said that the government was ready to give related relief to electricity and wheat flour prices after violent protests in Mirpur killed one officer and injured over 70 others.

“The government held negotiations with the Awami Action Committee (AAC) and we reached an agreement which we are determined to implement,” Geo News quoted Mr. Haq as saying.

Addressing a press conference on May 11, PoK Finance Minister Abdul Majid Khan said the government had exercised “maximum restraint and is ready for talks to peacefully address all contentious issues.

“Issues have to be resolved through dialogue and our doors are always open for negotiations. But the offer should not be misconstrued as a weakness of the government,” he said.

He said the government had accepted all demands of the action committee after which an agreement was signed between the committee and government negotiators, including the provision of targeted subsidy on flour and freezing the electricity tariff on June 2022 levels, but the committee later deviated from the agreement and announced a protest on new demands.

Authorities have banned public gatherings, rallies, and processions in all districts in the wake of protests, with Section 144 imposed in the entire region.

Islamabad:

Pakistan Prime Minister Shehbaz Sharif discussed a new loan programme with IMF Managing Director Kristalina Georgieva on Sunday, his office said in a statement.

Shehbaz Sharif and Kristalina Georgieva met on the sidelines of the World Economic Forum in Riyadh.

Islamabad is seeking a new, larger long-term Extended Fund Facility (EFF) agreement with the fund after a current $3 billion standby arrangement expires this month.

“Both sides also discussed Pakistan entering into another IMF program to ensure that the gains made in the past year are consolidated and its economic growth trajectory remains positive,” Shehbaz Sharif’s office said.

The IMF executive board will meet on Monday to discuss the approval of $1.1 billion of funding for Pakistan, which is the second and last tranche of the standby arrangement.

Islamabad secured the arrangement last summer, helping it to avert a sovereign default.

Pakistan’s Finance Minister, Muhammad Aurangzeb, has said Islamabad could secure a staff-level agreement on the new program by early July.

Islamabad says it is seeking a loan over at least three years to help achieve macroeconomic stability and execute long-overdue and painful structural reforms, though Aurangzeb has declined to detail what seize of programme the country seeks.

Islamabad is yet to make a formal request, but the Fund and the government are already in discussions.

If secured, it would be Pakistan’s 24th IMF bailout.

The $350 billion economy faces a chronic balance of payments crisis, with nearly $24 billion to repay in debt and interest over the next fiscal year – three-time more than its central bank’s foreign currency reserves.

Pakistan’s finance ministry expects the economy to grow by 2.6% in the fiscal year ending in June, while average inflation for the year is projected to stand at 24%, down from 29.2% the previous fiscal year.

(Except for the headline, this story has not been edited by NDTV staff and is published from a syndicated feed.)