Skip to content 
Search

Latest Stories

Pakistan cabinet tasked with ending economic crisis

Pakistan’s economy is dependent on International Monetary Fund loans to service its repayments – a programme that comes with a number of conditions

Pakistan cabinet tasked with ending economic crisis

Pakistan Prime Minister Shehbaz Sharif announced the key members of his cabinet, tasking them with leading the country out of a crippling economic crisis fuelled by debt, spiralling inflation and a feeble rupee.

Pakistan's 19 new ministers took their oath of office Monday, after an election marred by allegations of vote rigging.


Finance Minister Muhammad Aurangzeb - chief of a leading Pakistan bank, with a background in international finance - was one of the only technocrats to be appointed among a group of Sharif loyalists.

Aurangzeb has stepped down as chief executive officer of Habib Bank Ltd. Earlier he was the CEO with JP Morgan’s Global Corporate Bank in Singapore.

In a statement from Habib Bank, Aurangzeb said, "I am excited about the opportunity to serve our country in this new capacity and contribute to the economic growth and development of Pakistan.”

Habib Bank called Aurangzeb's stepping down from his position a "remarkable act of national service".

Second-time-PM Sharif heads a fragile alliance backed by his Pakistan Muslim League-Nawaz party's long-term rivals, the Pakistan Peoples Party (PPP).

Pakistan's economy is dependent on International Monetary Fund (IMF) loans to service its repayments - a programme that comes with a number of conditions.

Sharif told his cabinet on Monday they would need to perform "deep surgery" on the nation's finances, adding that: "The foremost challenge our nation confronts is inflation."

PPP refused to assume any ministerial positions, instead taking only the president's role for party leader Asif Ali Zardari, the widower of assassinated former prime minister Benazir Bhutto.

The two family dynasties combined to keep lawmakers loyal to jailed ex-prime minister Imran Khan from power after they won the most seats in the February general election.

The Sharif family have ruled Pakistan for lengthy stints, with Shehbaz's eldest brother Nawaz Sharif also serving as prime minister on three separate occasions.

PM Sharif is expected to make further appointments in the coming months.

Inflation, debt

Seventy-three-year-old Ishaq Dar, finance minister under the last Sharif government and who publicly rebuffed the IMF, was given the foreign ministry.

Dar is an ethnic Kashmiri and chartered accountant by training and is a confidant of the party head and former three-time premier Nawaz Sharif.

"It is all grey-haired men who have been brought back," Gallup Pakistan analyst Bilal Gilani told AFP.

"It's a disappointment that the government, which is facing huge opposition from a party that talks about young people and change has - even to the extent of cabinet composition - not bothered to bring in any new faces, let alone new ideas."

Inflation is soaring at 23 per cent, with water, electricity and gas price increases at 36 per cent, as the predominantly Muslim country marked the start of Ramadan on Tuesday.

In the coming weeks, Pakistan must negotiate the latest tranche of a $3 billion loan with the IMF.

"We have to save until the last moment to shop for Ramadan, and could hardly buy anything," said Zainab Bibi, a domestic worker in Karachi. "Let's pray that this Ramadan passes with ease for us."

The new interior minister, Syed Mohsin Raza Naqvi, was previously Punjab chief minister, and oversaw a major crackdown against Khan's party.

Of the first 19 cabinet members announced, all but one were men.

Shaza Fatima Khawaja, the niece of the defence minister, was awarded the junior title of state minister.

Only 12 women were directly elected into parliament out of 266 seats in last month's election. A further 60 seats are reserved for unelected women parliamentarians. (Agencies)

More For You

Modi courts Latin nations to expand trade relations

Christine Kangaloo awards Narendra Modi with the Order of the Republic of Trinidad and Tobago last Friday (4)

Modi courts Latin nations to expand trade relations

INDIA’S prime minister, Narendra Modi met Argentine president Javier Milei in Buenos Aires last Saturday (5), urging the expansion of New Delhi’s preferential trade deal with South America’s Mercosur bloc.

The bilateral talks with Milei were the latest in Modi’s whistle-stop diplomatic tour culminating in the summit of Brics emerging economies which began last Sunday (6) in Brazil.

Keep ReadingShow less
Minister 'open to talks' on British Sikh regiment

Lord Coaker (Photo: UK Parliament)

Minister 'open to talks' on British Sikh regiment

A FRESH parliamentary initiative to establish a dedicated Sikh regiment within the British Army has gained momentum in the House of Lords, with defence minister Lord Coaker expressing willingness to engage in further discussions about the long-debated proposal.

The issue was raised in the House of Lords on Monday (7) by Labour peer Lord Sahota, who asked whether there had been any progress on long-standing calls for a Sikh regiment.

Keep ReadingShow less
Heatwave Alert: Don’t Leave Contraceptives or Medication in Cars

Heat can also damage everyday items like sunglasses, suncream and vape devices

iStock

Drivers warned to remove contraceptives and medication from cars during UK heatwave

Highlights:

  • Experts urge motorists to avoid leaving certain items in vehicles during upcoming heatwave
  • Temperatures expected to rise above 30°C across large parts of the UK
  • Contraceptives and common medications can lose effectiveness in high heat
  • Heat can also damage everyday items like sunglasses, suncream and vape devices

Drivers urged to act as UK braces for extended heatwave

Drivers across the UK are being urged to remove a range of everyday items from their cars ahead of a predicted heatwave, with experts warning that the rising temperatures could pose both safety and health risks.

The Met Office has forecast a prolonged spell of hot weather, with temperatures expected to soar into the low 30s on Thursday and Friday. Much of the UK is likely to hit its regional heatwave threshold by the weekend, with this episode potentially affecting a wider area and lasting longer than previous hot spells.

Keep ReadingShow less
Royal Mail

The Royal Mail logo is seen on the side of a van as the UK government clear a 3.57 billion pound takeover offer by Czech billionaire Daniel Kretinsky in London, December 16, 2024. (Photo: Reuters)

Reuters

Ofcom updates Royal Mail delivery targets, starts pricing review

MEDIA regulator Ofcom has set new minimum delivery standards for Royal Mail and revised existing targets in an effort to reduce delays. It also announced a review into pricing and affordability, amid concerns over rising stamp prices.

Royal Mail, which has faced fines of around $20 million over the past two years for not meeting delivery targets, is currently trying to modernise operations and focus more on parcel deliveries.

Keep ReadingShow less
Sheikh Hasina

Hasina left for India at the end of the student-led protests and has not returned to Dhaka, where her trial for alleged crimes against humanity began on June 1. (Photo: Getty Images)

Getty Images

Leaked audio suggests Hasina ordered use of force during 2024 protests

SOME leaked audio recordings suggest Bangladesh’s former prime minister Sheikh Hasina, who is currently on trial in absentia, ordered a deadly crackdown on protests last year.

According to the United Nations, up to 1,400 people were killed between July and August 2024 when Hasina's government cracked down on demonstrators during an attempt to stay in power.

Keep ReadingShow less