Pakistan's AI-Powered News
A Pakistani olive oil company, Khaity Technologies (Pvt.) Ltd., operating under the Loralai Olives brand, is planning to enter the US, Gulf, and Japan export markets starting this October–November. This strategic move aims to capitalize on the declining olive oil output from leading producers like Italy and Spain, primarily due to climate change impacts. The company has gained international recognition, winning a silver award at the 2025 New York International Olive Oil Competition for its quality. Pakistan, with vast land suitable for olive cultivation, envisions becoming a significant global player with a potential to export up to $2 billion worth of olive oil annually. Khaity Technologies itself targets exporting over 200 tons of Pakistani olive oil annually within the next five years, aiming to bridge the global supply gap.
Oil prices are rising and Asian stocks are falling due to mounting concerns over the fragile ceasefire deal in the Middle East. Mohit Kumar of Jefferies highlights that the truce is showing cracks, with Iran accusing the US and Israel of violating terms through attacks on Lebanon. Despite this, Kumar believes the truce will hold, attributing its endurance to the principle of mutually assured destruction (MAD) rather than a genuine solution. Both the US/Israel perceive a war as unwinnable without solutions for cheap drone interceptors and bypassing the Strait of Hormuz, while Iran's IRGC needs time to consolidate power amidst a struggling economy and leadership losses. The article also includes an aggressive, capitalized statement, seemingly from a US perspective, asserting that US military forces will remain in the region and threatening severe action if a "REAL AGREEMENT" on no nuclear weapons and an open Strait of Hormuz is not met, proclaiming "AMERICA IS BACK!". This complex situation suggests an uneasy but potentially enduring truce driven by mutual strategic interests and threats.
A Pakistani delegation, led by Finance Minister Muhammad Aurangzeb, is set to attend the International Monetary Fund (IMF) and World Bank Spring Meetings in Washington, D.C., from April 13 to 18. The delegation, also comprising the Governor of the State Bank of Pakistan and the Federal Secretary of Finance, aims to hold sideline meetings with international delegations and engage with U.S. investors. The objective is to highlight Pakistan’s economic priorities and attract investment, strengthening international financial relations and exploring avenues for collaboration. This participation occurs amidst demands from the IMF for Pakistan to significantly reduce power subsidies to Rs 830 billion in the next budget and eliminate circular debt in the power sector by 2031.
The Pakistan Stock Exchange (PSX) experienced a mixed trading session by midday on Thursday, with the benchmark KSE-100 Index hovering near 166,000 points, reflecting a marginal decline of 74 points or 0.04% from its previous close. This follows a historic surge on Wednesday, when the KSE-100 recorded its highest single-day gain ever, skyrocketing over 14,000 points or 9.32% to settle at 165,811.01. Yesterday's rally, which even triggered a temporary market halt, was fueled by investor optimism over easing Middle East tensions and a Pakistan-brokered ceasefire between the United States and Iran, leading to a significant drop in global oil prices. Today, despite robust trading volumes, market breadth leaned negative, with fertilizer and banking stocks seeing profit-booking. However, selective buying continued in cement, energy, and textile sectors, indicating a cautious yet active market following the previous day's exceptional gains.
Customs officials at Jinnah International Airport in Karachi, Pakistan, confiscated over 300 tolas of gold—comprising 281 tolas of jewellery and 20 tolas of gold bars—along with $33,100 USD and 366,000 UAE dirhams from a passenger and his family arriving from Abu Dhabi. The passengers failed to provide legal documentation for the valuables, which were discovered during luggage scanning and a subsequent search. A case has been registered against the passenger for attempting to smuggle the gold and foreign currency. Separately, Federal Minister Qaiser Ahmed Sheikh claimed significant investment is expected to flow into Pakistan within 15 days due to regional instability. He believes the Iran conflict will end soon, making Pakistan a stable investment destination and encouraging capital repatriation from Pakistanis who invested in the Gulf. Sheikh emphasized the need for proper incentives and reduced taxes to attract investors.
Japan is considering a new release of approximately 20 days' worth of oil from its national reserves as early as May, according to Kyodo. This decision stems from continued uncertainty over the reopening of the vital Strait of Hormuz, despite a recent US-Iran ceasefire agreement. Japan, which depends on the Middle East for about 95% of its oil, has already released 50 days' worth of oil since March 16 and still maintains 230 days' supply. The move aims to stabilize energy supply, as the Strait of Hormuz's closure has led to Japanese refineries cutting utilization rates and the country actively seeking non-Middle Eastern oil, rolling out subsidies, and increasing coal-fired generation to cope with an energy crisis and address supply imbalances.
The International Monetary Fund (IMF) is scheduled to send a mission to Pakistan next month to assist in finalizing the federal budget for FY2026-27, with a strong emphasis on achieving ambitious revenue targets and implementing tax reforms. The IMF is considering a tax collection target of Rs. 15.564 trillion for the Federal Board of Revenue (FBR), though Pakistani officials prefer a lower target of Rs. 15.232 trillion due to concerns about the FBR's capacity to meet existing goals. Finance Minister Muhammad Aurangzeb has already initiated consultations with business communities and foreign investors, while other government officials have addressed textile industry concerns regarding rising logistics costs. The FBR is advocating for tax relief measures, including reductions in Super Tax and lower burdens for the salaried class. Furthermore, the government plans to request the IMF to withdraw certain withholding taxes to alleviate cash flow pressures on businesses and improve tax administration.
A man has been successfully rescued by military divers after being trapped for nearly two weeks in a collapsed gold mine. The incident occurred in Sinaloa, Mexico, where the mine had become severely flooded. The individual's prolonged entrapment presented significant survival challenges, making the rescue operation a remarkable feat of human endurance and technical skill. Military personnel executed a complex and dangerous operation to extract the individual from the hazardous subterranean environment. This event highlights the inherent dangers faced by workers in the mining industry and celebrates the successful outcome of dedicated rescue efforts to preserve human life.
Pakistan's remittances defied the ongoing Middle East conflict, with inflows increasing by 17 percent to $3.8 billion in March, marking the highest monthly figure this fiscal year, as announced by the State Bank of Pakistan. This surge, partly attributed to Ramazan and an increase in UAE visa applications, showed positive growth from most Middle Eastern countries, though the March figure was 5 percent lower than the previous year. Overall remittances for July-March FY26 reached $30.321 billion, an 8.2 percent increase, highlighting their critical role in Pakistan's economy for managing trade deficits, servicing debt, and bolstering foreign exchange reserves. However, Pakistan anticipates substantial upcoming outflows totaling $4.9 billion for Eurobonds and the UAE, which will significantly reduce the SBP's current reserves of approximately $16.5 billion. Financial experts note difficulties in international borrowing and suggest that a regional ceasefire could improve Pakistan's economic situation, with Saudi Arabia, UAE, and the UK remaining key remittance sources, while US inflows have declined.
On Wednesday, the cost of crude oil experienced a significant plunge following the announcement of a new deal. This agreement notably includes the reopening of the crucial Strait of Hormuz, a key shipping route for global oil supplies. The deal likely aims to de-escalate broader geopolitical tensions, possibly between the US and Iran, which had been previously eyed by traders. The renewed accessibility of the Strait is expected to alleviate concerns regarding oil supply disruptions. This development has a direct impact on global energy markets, contributing to lower oil prices.
The National Electric Power Regulatory Authority (Nepra) has sanctioned a Rs1.42 per unit increase in fuel cost adjustment (FCA), imposing an additional Rs10.57 billion burden on electricity consumers for their April bills. Although this replaces a higher charge from March, leading to a net average decrease of 21 paise per unit, the Federation of Pakistan Chambers of Commerce and Industry (FPCCI) raised significant concerns. The FPCCI warned that the industrial sector has already borne a Rs564.7 billion burden over three years and that further increases threaten industrial viability. Nepra clarified the adjustment applies to most consumer categories, excluding lifeline users, and stated that national grid supply to K-Electric mitigated an even larger increase. The Ministry of Energy defended tariff determinations as reflecting prudent and efficient electricity supply costs.
Oil prices, including Brent and WTI crude, rose significantly on Thursday as market participants expressed doubts over the stability of a fragile two-week Middle East ceasefire, which had initially caused prices to dip below $100. Analysts are hesitant to fully unwind geopolitical risk pricing, citing continued Israeli attacks on Lebanon and Iran's subsequent suggestion to halt peace talks, raising questions about the ceasefire's viability. The crucial Strait of Hormuz, through which 20% of global oil and gas supply typically passes, remains constrained by security fears, logistical challenges, and elevated insurance premiums, despite Iran issuing guidance for safe passage. This means limited additional energy is expected via the Strait, keeping supply risks elevated. Further exacerbating concerns, regional oil facilities, including a Saudi pipeline used to bypass Hormuz, have reportedly been struck by Iran post-ceasefire, with Kuwait, Bahrain, and the UAE also reporting missile and drone attacks.
Despite a declared ceasefire in the Iran war, the economic ramifications are projected to persist, leading to significant increases in farmers' operational costs. These elevated expenses will inevitably be transferred to consumers through higher food prices, indicating that the cessation of hostilities does not immediately alleviate accumulated wartime economic pressures. The article suggests that factors such as supply chain disruptions, energy costs, or other war-related influences will continue to impact global markets, specifically affecting the agricultural sector's ability to produce and distribute food affordably. Consequently, even with peace, households should anticipate ongoing inflationary trends on essential food items. This highlights the long-term economic toll of conflict beyond the direct fighting.
Following a significant 15% drop in global crude oil prices, Pakistan is anticipating a substantial reduction in domestic petrol and diesel prices. Industry sources indicate that petrol could become cheaper by up to 55 rupees per liter, while diesel prices might see a considerable decrease of 95 to 100 rupees. This potential price cut aims to pass on the benefits of the international market downturn to local consumers, easing the cost of fuel. The final decision regarding these petroleum product price adjustments is expected to be announced by the Prime Minister in the coming days.
Journalist Faisal Islam highlights a significant pause in the conflict involving Iran, which now permits all ships to safely navigate the crucial Strait of Hormuz. This welcome development is anticipated to have an immediate calming effect on global financial markets, which have been volatile due to the ongoing tensions. However, despite the current respite, Islam emphasizes that the underlying war has already created severe and lasting economic challenges. These deep economic scars are expected to persist, indicating that the broader impact of the conflict on the global economy will continue to be felt long after the immediate pause in hostilities. The situation presents a mixed outlook, with short-term relief overshadowed by long-term financial consequences.
Mumbai's historic Sassoon Dock, once a vibrant center of maritime activity, has fallen quiet as a severe fuel crisis paralyzes the local fishing trade. Fishing boats are now sitting idle, unable to operate due to the escalating costs of diesel. This situation has effectively crippled Mumbai's once-thriving maritime economy, impacting numerous livelihoods. The crisis highlights the vulnerability of essential industries to fluctuating fuel prices and threatens the economic stability of the city's fishing community.
The Directorate General of Customs Valuation Karachi, under the FBR, has issued new customs values for imported infant milk preparations through Valuation Ruling No. 2060 of 2026. This comprehensive revision applies to various infant formula types from multiple global origins, replacing the outdated Valuation Ruling No. 1771/2023 issued in April 2023. Stakeholders had informed the directorate that international prices had increased, necessitating updated customs values. The valuation exercise involved consultations with stakeholders and a review of import data from January to March 2026. This move, determined under Section 25(6) of the Customs Act, 1969, aims to ensure fair, transparent, and legally compliant valuation.
Iran has announced a new $1 per barrel tax on oil passing through the Strait of Hormuz, a critical global shipping lane. According to Hamid Hosseini, spokesman for the Iranian Petroleum Exporters Union, this "toll tax" will be collected from oil tankers in cryptocurrency, specifically Bitcoins. Iran's stated aim is to monitor traffic, evaluate vessels, and prevent arms transfers through the strait. Vessels will be required to email cargo details to Iranian authorities for review, receive fee notification, and then make payment in Bitcoins within seconds, while empty vessels will be exempt. This unilateral imposition of a tax on international shipping in such a vital waterway could significantly impact global oil trade and regional stability.
The Small and Medium Enterprises Development Authority (SMEDA), advised by Special Assistant to PM Haroon Akhtar Khan, convened a series of five meetings today with regional stakeholders and the State Bank of Pakistan to promote equitable SME financing across Pakistan. CEO Nadia Jahangir Seth highlighted SMEDA's commitment to improving the SME finance ecosystem, a directive supported by Prime Minister Shehbaz Sharif, who emphasized expanding credit access. Discussions included replicating the successful Bank of Punjab SME financing scheme, which has benefited over 110,000 people, with nearly 50% from low-income groups. SMEDA also offered to help SMEs overcome demand-side challenges like financial literacy, while urging provincial governments and financial institutions to take ownership. The State Bank of Pakistan presented current SME financing figures for various regions, with the Sindh Enterprise Development Fund's success also noted.
The Pakistan Stock Exchange (PSX) experienced its highest single-day rally in absolute terms on Wednesday, with the benchmark KSE-100 index surging by nearly 14,000 points, or 9.18 percent, to 165,598.92. This significant gain was driven by investor optimism following positive developments of a ceasefire between the United States and Iran. The rally pushed the index up by 13,925.47 points from its previous close, temporarily suspending trading earlier in the day due to the massive surge. Analysts anticipate that this de-escalation in the Middle East will stabilize market sentiment, reduce oil price pressures, and restore investor confidence, potentially leading to increased inflows and a recovery for the PSX. This comes after substantial single-day losses and high volatility experienced since the US-Israel war on Iran began, including a steep plunge after the assassination of Iran’s supreme leader.
Oil prices plunged 15% to below $100 and gas prices slid 20% following an announced US-Iran ceasefire, leading to a surge in stocks and a slump in the dollar. Government bond yields also fell sharply as expectations for rate hikes receded. However, Mohit Kumar, chief European economist at Jefferies, warned that oil prices are not expected to return to pre-war levels soon, with energy supply taking months to normalize. He viewed Iran's 10-point proposal positively as a basis for negotiations, driven by Trump's desire for a deal, but noted contentious elements like the absence of a nuclear deal and unacceptable proposed fees. Kumar anticipates Iran will continue its efforts to acquire nuclear weapons as a deterrent, necessitating a geopolitical risk premium across asset classes, indicating ongoing market uncertainty despite the ceasefire.
UK house prices are currently experiencing a decline, a trend largely attributed to the prevailing uncertainty surrounding a potential war involving Iran, which is significantly dampening demand within the housing market. Concurrently, the financial landscape for prospective homebuyers has tightened considerably. Mortgage rates have been consistently rising over the past month, making borrowing more expensive. Adding to this challenge, hundreds of the most affordable mortgage deals have disappeared from the market. This situation reflects a significant impact on the UK's economic stability and consumer confidence, driven by a confluence of international events and domestic financial shifts.
Pakistan experienced a 5% year-on-year decrease in overseas worker remittances, totaling $3.8 billion in March 2026, compared to $4 billion in March 2025, attributed to a "regional situation" likely referring to war. Despite this, month-on-month inflows surged by 17% from February 2026, and overall remittances for the first nine months of FY26 grew 8% to $30.3 billion, supported by strong contributions from Saudi Arabia, the UK, and UAE. Major sources like Saudi Arabia, UAE, UK, and US all saw year-on-year declines in March 2026. However, 9MFY26 growth was boosted by factors such as higher manpower exports and an incentive package. The State Bank of Pakistan data indicates that while some regions posted strong 9MFY26 growth, the ongoing regional conflict is projected to weigh on future remittance inflows.
Pakistan recorded a significant workers' remittance inflow of $3.8 billion in March 2026, marking a 16.5 per cent increase on a month-on-month basis from February 2026's $3.3 billion, according to data from the State Bank of Pakistan (SBP). However, this figure represents a 5.5 per cent decline compared to March of the previous year. Cumulatively, remittances for July to March 2026 reached $30.3 billion, an 8.2 per cent rise from the $28 billion received during the same period last year. The primary sources for these remittances in March 2026 were Saudi Arabia, the United Arab Emirates, the United Kingdom, and the United States of America, highlighting the crucial role of Pakistani diaspora in these regions.
