Asian Headlines: Quick Recap
On Friday, it was announced that Southeast Asian nations, part of the Association of Southeast Asian Nations (ASEAN), have agreed to prioritise aiding each other in overcoming rice supply shortages and food-related issues, according to Malaysia’s agricultural minister. In response to challenges caused by restrictions from top rice exporters like India, countries including Vietnam, Cambodia, and Thailand are considering additional imports to support nations within ASEAN facing rice-related problems.
Read more: The Business Standard
On Saturday, Hamas launched an unprecedented attack on Israel, prompting Israel to declare war. The Gaza-based group breached Israeli security, killing hundreds and injuring thousands. International tensions have risen as nations urge de-escalation.
Read more: Vox
On Saturday, a series of powerful earthquakes struck Afghanistan, killing over 2,400 people in the country’s deadliest tremors in years. The 6.3 magnitude earthquakes struck 35 kilometres northwest of Herat. The disaster damaged or destroyed 1,320 homes and injured thousands.
Read more: Money Control
On Sunday, Australia’s Prime Minister Anthony Albanese expressed optimism about the success of a referendum to recognise Indigenous people in the country’s constitution, despite lagging poll numbers. The referendum, scheduled for October 14, aims to establish a “Voice to Parliament,” constitutionally enshrining Indigenous representation and creating an advisory body for policies affecting them.
Read more: US News
According to a report from a US think tank, rail traffic along the North Korea-Russia border has increased, indicating possible arms supply from Pyongyang to Moscow. Satellite imagery revealed an “unprecedented” increase in goods cars at Tumangang Rail Station, implying North Korea’s supply of arms and munitions to Russia following military cooperation talks between North Korean leader Kim Jong Un and Russian President Vladimir Putin.
Read more: The Week
Af-Pak De/Cypher
9 Oct, 2023
Top Stories from the week: Af-Pak
Pakistan’s government has announced that all undocumented migrants and refugees must leave Pakistan by the beginning of next month, either voluntarily or by force. Hundreds of thousands of them are Afghans. This decision has created a new split in Pakistan Afghanistan relations. The Afghan Taliban criticized Pakistan’s decision. They urged Pakistan’s authorities to revisit the policy. Pakistan has claimed that the decision to evict illegal residents is not only aimed at Afghan citizens but against all those immigrants residing illegally in the country without having valid visa documents. The decision was taken in an apex committee meeting headed by Pakistan’s Prime Minister Anwaarul Haq Kakar and attended by Pakistan’s army chief. Around 1.3 million Afghans are registered refugees in Pakistan and 880,000 more have legal status to remain, according to the latest United Nations figures. However, Pakistan’s government claims that a further 1.7 million Afghans are in Pakistan illegally. Read More: The News International. AlJazeera. Dawn
The Wadh town of Khuzdar district in Baluchistan, continues to be a hotspot for violent confrontations between two factions of the Mengal tribe for months, as armed men from both sides remain in trenches equipped with heavy automatic weapons. Till 8th October, at least 10 people were killed, and several were injured. The casualties also include truck drivers and other travelers who were passing through the troubled area on the Quetta-Karachi National Highway. The violence is forcing prolonged closures of the highway and the suspension of all types of traffic. a delegation of religious leaders and tribal elders, led by Maulana Muhammad Khan Sherani, has arrived in Wadh to make efforts to agree both sides for a permanent ceasefire and initiate negotiations to resolve the issue according to the religious and tribal traditions and values. Read More: DAWN
Regional Security
According to the Provincial Chief of Police of Khyber Pakhtunkhwa, Afghan nationals were found involved in 75% of suicide attacks that took place in the region in the recent wave of terrorism. He stated that fingerprints of the suicide bombers involved in the Ali Masjid, Bara, Hangu, Bajaur and police lines suicide attacks, revealed that they were Afghan citizens. Read More: The News International
On 8th October, the Pakistan Air Force (PAF) launched Indus Shield 2023, a 14-nation exercise, at one of its operational bases in Pakistan, bring together aviation experts from several Middle Eastern countries including Saudi Arabia, the United Arab Emirates and Qatar. The exercise seeks to deepen mutual understanding between the participating contingents and promote interoperability. A top air force official says it will help participants achieve common objectives in the face of evolving air warfare dynamics. Other nations participating in the event include Turkiye, Egypt, Oman, Bahrain, Azerbaijan, Indonesia, Morocco, Uzbekistan, China, and Hungary. Read More: Arab News
Foreign Affairs
The United Arab Emirates will invest $102 million in Pakistan, over a period of five years to develop and operate a bulk and general cargo terminal at Karachi port. UAE’s Abu Dhabi Ports (AD Ports), a leading port operator, signed a 50-year concession agreement with the Karachi Port Trust (KPT) in June for the handling of one of its port terminals in Karachi. The port deal comes at a time when Pakistan, reeling from an economic crisis, is desperately looking for external financing. Read More: Arab News
China & Pakistan
Pakistan and China have agreed to invite third parties to participate in China-Pakistan Economic Corridor (CPEC) initiative. There is already a process under way to extend it to Afghanistan, the neighboring country. This was revealed by Pakistan’s Ambassador to China Moinul Haque on 8thOctober, a week ahead of maiden visit of Caretaker Prime Minister Anwaarul Haq Kakar to China and initiation of the third BRI [Belt and Road Initiative] international conference to be held in Beijing. Read More: The News International
Politics
Pakistan’s army is taking over vast swaths of government-owned land to grow food, but the moves are fanning concerns about the powerful military’s pervasive presence in a country facing economic collapse. Launched earlier this year by a joint civil-military investment body, the new food security plan aims to boost production through army-run farms on leased state land. Land is routinely given to serving and retired military personnel for private use, but the latest transfer could cement Pakistan’s military as the country’s single-biggest landowner. Read More: Nikkei Asia
As Pakistan approaches the January general elections, concerns about political engineering are mounting with PTI leaders’ scripted interviews, their post-release re-arrests, almost one-sided media trials and a TV ban on mentioning deposed premier Imran Khan’s name as they all contribute to growing doubts over the fairness of the upcoming polls. Political experts believe that contemporary political manipulation is casting a long shadow over the fairness of the electoral process. Read More: The Express Tribune
Economy
On 4th October, the caretaker government of Pakistan decided to hand over power distribution companies to the private sector through ‘long-term concessions’ and implement eight hours of gas load-shedding for domestic consumers during the winter months. These decisions were made during the sixth meeting of the Apex Committee of the Special Investment Facilitation Council (SIFC), chaired by caretaker Prime Minister Anwaarul Haq Kakar. The nine-hour meeting was also attended by Chief of Army Staff (COAS) Gen Syed Asim Munir. The committee reviewed major macroeconomic issues affecting the investment climate, including inordinate delays in restructuring/privatization of cash bleeding state-owned enterprises (SOEs). The committee resolved to fast-track the privatization process and reduce recurring losses to the national exchequer. Read More: DAWN
Pakistan remains hopeful of clearing the International Monetary Fund’s (IMF) inaugural economic review for its short-term loan program next month. The country has increased electricity and fuel prices to comply with the IMF conditions ahead of next month’s review. Pakistan will get $700 million disbursement after the successful completion of the IMF evaluation under July agreement.
According to a research report by Topline Securities, the IMF’s upcoming review for Pakistan includes a comprehensive set of performance markers, comprising two continuous criteria, four indicative targets, and 10 structural benchmarks. Out of these benchmarks, three are continuous, while the remaining seven are scheduled for completion post-September 2023. Read More: Arab News
A recent study conducted by the Pakistan Institute of Development Economics (PIDE) has unveiled startling findings concerning the economic consequences of internet shutdowns in Pakistan. According to the findings, a 24-hour suspension of internet services leads to a substantial financial setback of Rs1.3 billion, equivalent to a remarkable 0.57 per cent of the nation’s daily GDP average. This eye-opening revelation is part of PIDE’s research infographic titled “The Economic Cost of Internet Closure” and highlights the severe consequences of internet shutdowns on the Pakistani economy. Read More: The Express Tribune
On 3rd October the World Bank advocated Pakistan for a sharp fiscal adjustment of about 4% of GDP due to projection of sluggish growth rate and high inflationary trends with significant downside risks. The World bank also advocated decisive implementation of broad-based reforms committed to the International Monetary Fund (IMF) to get out of the fiscal and macroeconomic quagmire. One problematic suggestion by world bank in the proposal was increasing revenue by raising taxes on the salaried class which has invoked the ire of Pakistan’s professional class, who are already reeling from high inflation. Read More: DAWN. DAWN
Views & Analysis
When should a country become aware that its foreign policy is past its shelf life and change is long overdue? According to Touqir Hussain, a former Pakistani Ambassador, Pakistan’s foreign policy is increasingly being made less out of concern for national interest and more by the leadership’s own priorities and pursuit of political power. Pakistan needs a new approach towards foreign affairs which is currently absent as it continues to be consumed by ideology and internal struggles for power.
Touqir Hussain is also adjunct professor at Georgetown University and Visiting Senior Research Fellow at the Institute of South Asian Studies, National University of Singapore. Read More: Pakistan’s foreign policy is well past its shelf life. Here’s why it needs a paradigm shift
A sectarian shift has happened in the militant groups of Baluchistan. Islamic State has found roots in the region. Mastung district in Baluchistan has recently witnessed a spate of terror incidents linked to the militant IS’s two local affiliates — the Islamic State in Khorasan Province (ISKP) and the Islamic State in Pakistan Province (ISPP). Both groups are targeting Shia communities. They also attack those belonging to the Barelvi school of thought, besides leaders and supporters of the JUI-F, Jamaat-i-Islami, government and law enforcement officials, and practitioners of mystical traditions such as the Zikri community. Zia ur Rehman a journalist and researcher analysis a new development in the militancy in Pakistan. Read More: Inside Balochistan’s sectarian shift — the rise of IS from Lashkar-i-Jhangvi
Infographic
The total trade deficit of Pakistan narrowed by 44.7 percent from US$44.9 billion in FY22 to US$24.8 billion in FY23 because of lower exports caused by lower agriculture output due to the floods and slower global growth.
Bangladesh De/Cypher
9 Oct, 2023
Top Stories from the week: Bangladesh
International Outlook
On Monday, US State Department spokesperson Matthew Miller said, the US does not intend to influence the outcome of Bangladesh’s election. He emphasised the US’s neutral stance, claiming that they support a free and fair election process that allows Bangladeshis to freely choose their leaders. Read more: Bangla News 24
On Wednesday, Prime Minister Sheikh Hasina returned to Bangladesh after a 16-day official tour of the USA and the UK. In the UK, she met with the expatriate Bangladeshi community and had courtesy meetings with dignitaries, including a delegation of the All-Party Parliamentary Group. In the USA, she attended the 78th United Nations General Assembly session and other high-level events, concluding her trip with a reception by Bangladeshi expatriates in Washington DC. Read more: Prothom Alo
On Thursday, Bangladesh celebrated a historic moment when it became the 33rd country to use nuclear fuel. Russian President Vladimir Putin described the Rooppur power plant as a symbol of strong bilateral ties, emphasising its importance to Bangladesh’s energy and economic security. The Rooppur Nuclear Power Plant, built by Russia’s Rosatom, is designed to generate 2,400MW, with the first 1,200MW unit coming online next year. Read more: The Daily Star
On Thursday, a contingent of 67 Bangladesh Navy personnel left for South Sudan to support UN peacekeeping efforts. Bangladesh Navy has a long history of successful participation in international peacekeeping missions, significantly contributing to the establishment of peace and the protection of human rights in conflict zones around the world. Read more: New Age
On Sunday, Bangladesh condemned the ongoing conflict between Israel and Palestine, expressing grave concern about civilian casualties. The country emphasised the importance of dialogue and diplomacy in reaching a long-term solution and demanded an immediate cease-fire. Read more: Dhaka Tribune
On Sunday, during his meeting with Bangladesh Prime Minister Sheikh Hasina, Japanese Parliamentary Vice-Minister for Foreign Affairs Komura Masahiro expressed Japan’s desire for the dignified return of Rohingyas to Myanmar. Masahiro also stated Japan’s intention to assist the local residents of Cox’s Bazar, which is home to a large number of Rohingya refugees. Read more: Prothom Alo
National Politics
On Saturday, Anti-Terrorism Unit (ATU) Chief and Additional Inspector General of Bangladesh Police SM Ruhul Amin warned that militants might exploit differences between political groups in the country to create instability. He emphasised the need for caution amid electoral unrest and highlighted the importance of public cooperation to suppress and eradicate militancy. Read more: The Business Standard
A joint pre-election assessment mission of the US, organised by the International Republican Institute (IRI) and National Democratic Institute (NDI), is set to meet with the delegation of Bangladesh Nationalist Party (BNP) today. The meeting aims to discuss the upcoming national elections in Bangladesh, scheduled either at the end of this year or early January next year. Read more: Dhaka Tribune
Business and Economy
Bangladesh’s external deficit widened in August, putting further strain on the country’s dwindling foreign exchange reserves. In August, the trade deficit increased to $1.01 billion, up from $0.64 billion in July. The country’s reserves stood at $21.15 billion at the end of September, down from $23.26 billion at the end of August. Due to lower remittances and slower export growth, the trade and financial account deficits widened. Imports fell by more than 22% in the first two months of the new fiscal year, reducing the trade deficit but not leading to a surplus. Read more: The Business Standard
During the January-August period of fiscal year 2023, the United States saw a 21.77% decrease in apparel imports from Bangladesh. During this time period, the US imported $5.18 billion in apparel from Bangladesh, compared to $6.62 billion in 2022. Overall apparel imports to the US from various countries, including China, Vietnam, India, and Indonesia, declined in both value and volume, indicating a broader trend of decreased imports during this period. Read more: The Business Post
Bangladesh’s banking sector is struggling to recover loans from defaulting entities through bankruptcy courts, with only Tk 4.16 billion realised in the previous 26 years up to June 2023. Since the Bankruptcy Act’s enactment in 1997, 533 cases have been filed, but only 361 have been settled, highlighting the slow progress in resolving these matters. Read more: The Financial Express
On Sunday, an IMF team met with officials from Bangladesh’s Energy and Mineral Resources Division to discuss the terms of a $4.5 billion loan to Bangladesh. The loan’s second tranche, totalling $4.7 billion, is expected to be released in November. Read more: The Business Post
Society
Dengue fever cases are on the rise in Bangladesh, with 2,23,564 cases and 1,086 fatalities reported this year. There were 135,370 cases and 401 deaths outside of Dhaka, where 66.56% of cases occurred. In the previous week, there were 17,416 hospitalisations and 46 deaths outside of Dhaka, compared to 4,360 cases and 44 deaths in the capital. Read more: The Daily Star
Nearly a million Rohingya refugees in Bangladesh’s Cox’s Bazar have been facing extreme weather conditions such as cyclones and fires, leaving their homes in constant need of maintenance and repair. Due to budget cuts, their monthly food rations have been reduced to just $8 per refugee, forcing them to rely heavily on humanitarian aid. Read more: South China Morning Post
Views and Analysis
Bangladesh’s aspiration to become an international aviation hub takes flight
With the opening of the third terminal at Hazrat Shahjalal International Airport (HSIA) in Dhaka, Bangladesh hopes to establish itself as an international aviation hub. The terminal, which will redefine Bangladesh’s global image, will offer comprehensive passenger facilities, with 90% of construction already completed. Because of its strategic location between East and West air routes, Bangladesh hopes to attract global airlines to use HSIA for refuelling, thereby enhancing its aviation ambitions. Read more: Weekly Blitz
Infographic
The Joint Response Plan (JRP) has been raising and managing funds for Rohingya refugees since 2017. Donors have already contributed more than $2.43 billion. Given the need to develop JRPs in Afghanistan and other parts of the world, funding has decreased in 2023. The graph below depicts JRP funding from 2017 to 2022.
