International monetary fund urges removal of non-tariff curbs
Pakistan has assured the International Monetary Fund (IMF) that it would review more than 2,660 non-tariff barriers that discourage imports, and many of these will be removed soon, including those restricting the import of mobile phones and cars.
In yet another major concession agreed with the IMF under the $7 billion bailout package without much internal consultation, the government has assured the fund that it would start ending these restrictions from June this year, sources told .
Barriers such as low priority in giving foreign exchange for car imports and linking mobile phone functionality to approval by the Pakistan Telecommunication Authority may be removed in June, said the sources. Once implemented, it may also become easier to import dairy products, textiles, steel bars and medicines, as existing non-tariff barriers are making it difficult to import these goods.
Pakistan: microfinance pivots to risk-protected lending
Pakistan’s microfinance sector is moving beyond its traditional focus on credit disbursement by embedding insurance into loan products, signalling a shift towards “risk-protected lending” in a country with one of the lowest insurance coverage rates globally.
The emerging model, enabled by the increased presence of fintechs in the country, integrates basic insurance coverage, covering risks such as illness, accidents or death, directly into microloans. This aims to protect borrowers from financial shocks that often trigger defaults or push households back into poverty. Analysts say this marks a gradual transition from credit-led financial inclusion to a more comprehensive framework that combines access to finance with risk mitigation, contributing to the nation’s financial inclusion goals. The shift comes at a time when Pakistan’s insurance landscape remains significantly underdeveloped. Insurance penetration stands at about 0.9 percent of GDP, far below regional benchmarks, while only about 3-4 percent of the population holds life insurance policies. Despite improvements in bank account access under financial inclusion drives, uptake of insurance products has remained limited due to affordability concerns, low awareness and trust deficits.
Oil supply restored after transport disruption
The movement of crude oil and petroleum products to and from Attock Refinery Limited resumed late Wednesday night after authorities stepped in to ease disruptions, the refinery’s management said. The restoration was facilitated through the intervention of Petroleum Minister Ali Pervaiz Malik enabling road transport to return to normal.
A day earlier, in a mandatory regulatory filing to the Pakistan Stock Exchange and the Securities and Exchange Commission of Pakistan, the company said its main crude distillation unit has been shut down after disruptions in oil supply and product dispatch caused by traffic restrictions in the federal capital.
The unit, with a capacity of around 32,400 barrels per stream day, was taken offline as the refinery could not sustain operations amid mounting logistical constraints.
The Petroleum Division, along with other relevant institutions, played a key role in restoring road transport that had been suspended due to security arrangements for foreign delegations attending the Islamabad talks. The curbs had led to a halt in oil tanker movement to and from the refinery, disrupting both crude supply and product dispatch.
The disruption resulted in a sharp decline in crude receipts while preventing the evacuation of refined products, leading to a build-up of motor spirit and high-speed diesel stocks. The sustained logistical constraints ultimately forced the shutdown of operations.
Board of investment ramps up investor outreach in UK
Federal Minister for Board of Investment Qaiser Ahmed Sheikh, during his visit to London, engaged in high-level interactions with global financial leaders and institutions, underscoring Pakistan’s commitment to strengthening international investment partnerships and enhancing professional standards in the financial sector.
The meeting, hosted at the headquarters of the Chartered Institute for Securities & Investment (CISI), brought together senior representatives from Pakistan’s government, regulatory authorities, and banking sector. Notable participants included The Bank of Punjab President Zafar Masud, officials of the Pakistan High Commission in the UK, including Naila Israr, Muhammad Afzal and Imran Khalil, and other prominent officials and stakeholders.
The discussions focused on strengthening international financial cooperation, promoting investment flows to Pakistan, and enhancing capacity building through globally recognised professional standards and certifications. Both sides emphasised the growing importance of skills development, particularly in emerging markets, to align with evolving global financial systems and technological advancements, including artificial intelligence and digital finance.
Skills, e-commerce key to growing exports
Federal Minister for Commerce Jam Kamal Khan has said that Pakistan can significantly boost its exports by combining skills development, e-commerce integration and gradual formalisation of the economy, while ensuring a level playing field for compliant businesses, according to a statement issued on Tuesday.
He expressed these views during a meeting with a delegation led by Taimur Siddique, Director of Shahi Group. The meeting was also attended by Nawabzada Mir Muhammad Zarain Khan Magsi, Parliamentary Secretary for Tourism and Culture, Balochistan, along with representatives from textile, leather and trade sectors.
The minister emphasised that Pakistan has a strong foundation for export-led growth, particularly in textiles, leather and value-added recycled products. He noted that hubs like Karachi offer natural advantages due to port connectivity, skilled labour and an established industrial ecosystem.