Israel kills Al Jazeera journalists in Gaza

According to Reuters, a prominent Al Jazeera journalist, who had previously been threatened by Israel, was killed along with four colleagues in an Israeli airstrike on Sunday in an attack condemned by journalists and rights groups.

Israeli military said it targeted and killed Anas Al Sharif, alleging he had headed a Hamas militant cell and was involved in rocket attacks on Israel.

Al Jazeera, which is funded by the Qatari government, rejected the assertion, and before his death, Al Sharif had also rejected such claims by Israel.

"Anas Al Sharif and his colleagues were among the last remaining voices in Gaza conveying the tragic reality to the world," Al Jazeera said.

Al Sharif, 28, was among a group of four Al Jazeera journalists and an assistant who died in an airstrike on a tent near Al Shifa Hospital in eastern Gaza City, Gaza officials and Al Jazeera said. An official at the hospital said two other people were killed in the strike.

A sixth journalist, Mohammad Al-Khaldi, a local freelance reporter, was also killed in the strike, medics at Al Shifa Hospital said on Monday.

Calling Al Sharif "one of Gaza's bravest journalists," Al Jazeera said the attack was a "desperate attempt to silence voices in anticipation of the occupation of Gaza."

The other journalists killed were Mohammed Qreiqeh, Ibrahim Zaher and Mohammed Noufal, Al Jazeera said.

"The deliberate targeting of journalists by Israel in the Gaza Strip reveals how these crimes are beyond imagination," Qatari Prime Minister, Sheikh Mohammed bin Abdulrahman Al-Thani, said on X.

The UN human rights office condemned the killing of the journalists, saying the actions by Israel's military represented a "grave breach of international humanitarian law" as Palestinians reported the heaviest bombardments in weeks.

Its post on social media platform X was accompanied by a photograph of flattened blue tents next to a bullet-ridden wall in Gaza City.

British Prime Minister Keir Starmer is "gravely concerned" about the repeated targeting of journalists in Gaza, his spokesperson said.

Israel denies deliberately targeting journalists. It says many of those killed in Israeli airstrikes were members of Islamist militant groups, working under the guise of the press.

 

Trump threats to India may prove hoax calls

The crude oil market's rather sanguine reaction to the US threats to India over its continued purchases of Russian oil is effectively a bet that very little will actually happen, reports Reuters.

President Donald Trump cited India's imports of Russian crude when imposing an additional 25% tariff on imports from India on August 06, which is due to take effect on August 28.

If the new tariff rate does come into place, it will take the rate for some Indian goods to as much as 50%, a level high enough to effectively end US imports from India, which totalled nearly US$87 billion in 2024.

As with everything related to Trump, it pays to be cautious given his track record of backflips and pivots.

It's also not exactly clear what Trump is ultimately seeking, although it does seem that in the short term he wants to increase his leverage with Russian President Vladimir Putin ahead of their planned meeting in Alaska this week, and he's using India to achieve this.

Whether Trump follows through on his additional tariffs on India remains uncertain, although the chances of a peace deal in Ukraine seem remote, which means the best path for India to avoid the tariffs would be to acquiesce and stop buying Russian oil.

But this is an outcome that simply isn't being reflected in current crude oil prices.

Global benchmark Brent futures have weakened since Trump's announcement of higher tariffs on India, dropping as low as US$65.81 a barrel in early Asian trade on Monday, the lowest level in two months.

This is a price that entirely discounts any threat to global supplies, and assumes that India will either continue buying Russian crude at current volumes, or be able to easily source suitable replacements without tightening the global market.

The track record of the crude oil market is somewhat remarkable in that it quickly adapts to new geopolitical realities and any price spikes tend to be short-lived.

The Russian invasion of Ukraine in February 2022 sent crude prices hurtling toward US$150 a barrel as European and other Western countries pulled back from buying Russian crude.

But what Trump is proposing now is somewhat different. It appears he wants to cut Russian barrels out of the market in order to put financial pressure on Moscow to cut a deal over Ukraine.

There are effectively only two major buyers for Russian crude, India and China.

China, the world's biggest crude importer, has more leverage with Trump given US and Western reliance on its refined critical and other minerals, and therefore is less able to be coerced into ending its imports of Russian oil.

India is in a less strong position, especially private refiners like Reliance Industries which will want to keep business relationships and access to Western economies.

India imported about 1.8 million barrels per day of Russian crude in the first half of the year, or about 37% of its total, according to data compiled by commodity analysts Kpler.

About 90% of its Russian imports came from Russia's European ports and was mainly Urals grade.

This is a medium sour crude and it would raise challenges for Indian refiners if they sought to replace all their Urals imports with similar grades from other suppliers.

There are some Middle Eastern grades of similar quality, such as Saudi Arabia's Arab Light and Iraq's Basrah Light, but it would likely boost prices if India were to seek more of these crudes.

If Chinese refiners were able to take the bulk of Russian crude given up by India, it may allow for a re-shuffling of flows, but that would not appear to be what Trump wants.

Trump and his advisers may believe there is enough spare crude production capacity in the United States and elsewhere to handle the loss of up to 2 million bpd of Russian supplies.

But testing that theory may well lead to higher prices, especially for certain types of medium crudes which would be in short supply.

It's simplistic to say that higher US output can supply India's refiners, as this would mean those refiners would have to be willing to accept a different mix of refined products, including producing less diesel, as US light crudes tend to make more products such as gasoline.

For now the crude oil market is assuming that the Trump/ India/ Russia situation will end as another TACO, the acronym for Trump Always Chickens Out.

But the reality is likely to be slightly messier, as some Indian refiners pull back from importing from Russia, some Chinese refiners may buy more and once again the oil market goes on a geopolitical merry-go-round.

  

Rally against Netanyahu's new Gaza plan

According to Reuters thousands of protesters took to the streets of Tel Aviv on Saturday night to oppose Prime Minister Benjamin Netanyahu's plan to escalate the nearly two-year Gaza war, demanding an immediate end to the campaign and for the release of the hostages.

A day earlier, the prime minister’s office said the security cabinet, a small group of senior ministers, had decided to seize Gaza City, expanding military operations in the devastated Palestinian territory despite widespread public opposition and warnings from the military the move could endanger the hostages.

"This isn't just a military decision. It could be a death sentence for the people we love most," Lishay Miran Lavi, the wife of hostage Omri Miran told the rally, pleading to US President Donald Trump to intervene to immediately end the war.

Public opinion polls show an overwhelming majority of Israelis favour an immediate end to the war to secure the release of the remaining 50 hostages held by militants in Gaza. Israeli officials believe about 20 hostages are still alive.

The Israeli government has faced sharp criticism at home and abroad, including from some of its closest European allies, over the announcement that the military would expand the war. The full cabinet is expected to give its approval as soon as Sunday.

Most of the hostages who have been freed so far emerged as a result of diplomatic negotiations. Talks toward a ceasefire that could have seen more hostages released collapsed in July.

"They (the government) are fanatic. They are doing things against the interests of the country," said Rami Dar, 69-year-old retiree, who traveled from a nearby suburb outside of Tel Aviv, echoing calls for Trump to force a deal for the hostages.

Tel Aviv has seen frequent rallies urging the government to reach a ceasefire and hostage deal with Hamas, who ignited the war with their October 2023 attack. Saturday's demonstration attracted over 100,000 protesters, according to organizers.

"Frankly, I'm not an expert or anything, but I feel that after two years of fighting there has been no success," said Yana, 45, who attended the rally with her husband and two children. "I wonder whether additional lives for both sides, not just the Israelis but also Gazans, will make any difference."

India faces US sanction in disguise

The United States has increased its tariff on certain Indian imports from 25% to 50%. President Donald Trump has called this new measure a “secondary” tariff, a term that is not formally used in trade policy but is similar to what is known in sanctions law.

Secondary sanctions are penalties placed on third parties that are seen as supporting actions the sanctioning country opposes. For example, if a US bank, port, shipping company, or other business is prohibited from dealing with the Russian financial system, a secondary sanction could make it illegal for non-US entities to engage in similar transactions as well, reports Bloomberg.

India is affected because the tariff is linked to its purchases of Russian oil. The stated goal of the measure is to pressure Russia to end the war in Ukraine. If that goal is not achieved, it is uncertain what additional steps the US might take toward India, which is currently the largest buyer of Russian seaborne crude oil.

The idea of calling the tariff “secondary” is unusual, but the US also has more conventional tools for sanctions, such as the Specially Designated Nationals list managed by the Office of Foreign Assets Control in the Treasury Department.

State-owned Indian refiners are already pulling back from the Russian trade. If they start showing up on the SDN list, it would become difficult for others to do business with them. No amount of nationalistic bluster can mitigate the seriousness of that threat. To lose access to the US currency or the Western-controlled banking system would be a far bigger setback than a 50% tariff. Even large Indian tycoons will not want to needle Trump. Russian crude has been the biggest source of oil for Mukesh Ambani’s refinery this year. His rival billionaire Gautam Adani doesn’t have any exposure to oil, but he has existing legal trouble with the US government. He also has a vast port network to protect, reports Bloomberg.

What’s the way out then? In an interview with Reuters, Brazilian President Luiz Inacio Lula da Silva, who’s also been handed penal tariffs of 50%, floated a trial balloon: a joint response by BRICS. Modi, who spoke on the phone with Lula for nearly an hour Thursday, is expected to head to China this month — for the first time in seven years. Marshaling a unified front to challenge Trump’s overreach might make sense to Lula, but ratcheting up the confrontation with Washington should hold no appeal for Modi.

Brazil’s biggest export market is China, with whom it has a US$49 billion trade surplus. India, on the other hand, sells just about $32 billion annually to Brazil, Russia and China — combined. The US buys nearly three times as much from it, in addition to providing tens of thousands of work visas each year to Indian techies. Washington also controls the student-visa pipeline for — amongst others — children of local politicians, bureaucrats, tycoons and bankers. Even if Modi wants to go on a collision course with Trump, the elite wouldn’t let him, reports Bloomberg.

Team Modi must switch its focus. What started off as a US-China trade and technology war has turned into a much bigger play for absolute American dominance. There is no point now in negotiating a discount on the 25% reciprocal tariff. Let that be handled as part of a broader trade deal. Getting the secondary tax cancelled in Trump’s three-week grace period has to be the more immediate goal.

Even if Modi succeeds in that limited objective, his political opponents won’t let him run a victory lap. “India, please understand: The reason Modi cannot stand up to President Trump despite his repeated threats is the ongoing US investigation into Adani,” Rahul Gandhi, leader of the opposition in parliament, wrote in a post on X. He went on to say that Modi’s hands are tied by AA. Gandhi, who often questions the outsize economic dominance of Ambani and Adani, refers to them in shorthand as AA — or A1 and A2.

Adani, the infrastructure czar, is facing criminal charges in the US for his alleged role in what the Department of Justice has described as a US$250 million bribery scheme involving a solar-energy contract. The Adani Group has refuted the allegations as baseless and said it’s fully compliant with all laws. It also denied a Wall Street Journal article in June that said that US prosecutors are investigating whether Adani’s companies imported Iranian liquefied petroleum gas, or LPG, into India through his flagship Mundra port, violating sanctions.

The businessman from Modi’s home state of Gujarat also denies receiving any favors from the government because of his long association with the prime minister. During his visit to the White House in February, Modi, who doesn’t comment on Adani at home, described the tycoon’s legal troubles as a “personal matter” that doesn’t belong to discussions between national leaders. This week, Adani stepped back from his role as executive chairman of the port business, which controls Israel’s Haifa terminal and is looking to expand in Europe. The company said the transition to a non-executive role, in which Adani will no longer count among key management personnel, was to ensure compliance with corporate governance norms. It “was long planned.”

The secondary tariff is just Trump-speak for a display of America’s power over non-Americans. Ambani’s oil-refining business is trying to diversify away from Russia, One of his units has paid a US$10 million “development fee” to the president’s real-estate firm, licensing the Trump name in Mumbai, according to the WSJ.

There is no other option. Trade disputes can still be taken to the World Trade Organization. In the realm of sanctions, might is the only rule — and the dollar the only currency. The likes of Lula and Modi can protest the former as much as they want, but no savvy businessman in their countries can do without the latter.

 

Iran completes overhaul of South Pars refinery

Overhaul of the fifth refinery of Iran’s South Pars gas field has been successfully completed, said Kambiz Sefati, manager of the refinery. The work was successfully completed without any incidents, thanks to the round the clock efforts of the staff and strict adherence to safety standards.

He added, "This remarkable achievement reflects the deep commitment of the refinery’s personnel to upholding the highest safety and operational standards."

The manager of the fifth refinery at the South Pars Gas Complex stated that "the issuance of over 5,700 work permits during the maintenance period reflects the extensive scope of activities and our strict adherence to safety procedures in authorizing necessary operations." 

He added, "Thanks to the round-the-clock efforts of all colleagues, particularly the HSE (Health, Safety, and Environment) team, we successfully navigated this critical period without a single incident."

Emphasizing the key factors behind this achievement, the manager said, "Conducting high-quality safety training for specialized maintenance personnel, holding briefing sessions to learn from past incidents in the oil industry, enforcing 24/7 monitoring at the site entrance to prevent unauthorized items, and continuous verification of all issued permits—especially hot work permits by the HSE team—were among our key measures."

Safati noted, "This major maintenance overhaul was meticulously planned and executed to ensure the refinery's full readiness for safe and stable production during the winter season." 

He emphasized, "In this regard, we leveraged the expertise of specialized maintenance teams and utilized the products and technical knowledge of Iranian knowledge-based companies."

Expressing gratitude for the relentless efforts of operational and support teams in maintaining maximum safety and efficiency, he described this achievement as "the result of solidarity and synergy among all personnel, reflecting the paramount importance of safety at this refinery."

South Pars gas field, which Iran shares with Qatar in the Persian Gulf water, is divided into 24 standard phases of development in the first stage. Most of the phases are fully operational at the moment.

The huge offshore field covers an area of 9,700 square kilometers, 3,700 square kilometers of which are in Iran’s territorial waters in the Persian Gulf. The remaining 6,000 square kilometers, called North Dome, are situated in Qatar’s territorial waters.

The field is estimated to contain a significant amount of natural gas, accounting for about eight percent of the world’s reserves, and approximately 18 billion barrels of condensate.

 

World leaders criticize Gaza takeover by Israel

World leaders have criticized Israel’s decision to seize control of Gaza City, warning the move risks exacerbating the already catastrophic humanitarian crisis in the Gaza Strip.

The Israeli security cabinet approved the controversial plan early Friday, marking a new escalation in the country’s nearly two-year-long war against Hamas.

The announcement from Israeli Prime Minister Benjamin Netanyahu’s office came after hours of debate among senior security officials.

The decision to move into Gaza City was made in light of Netanyahu’s earlier suggestions that the military would "take control of all Gaza," but also his claim that Israel had no intention of occupying the Strip permanently.

Saudi Arabia has strongly condemned, in the strongest terms, the Israeli occupation of the Gaza Strip, denouncing what it described as deliberate acts of starvation, brutality, and ethnic cleansing against the Palestinian people. In a statement on Friday, the Ministry of Foreign Affairs said, “The inhumane ideas and decisions adopted by the Israeli occupation authorities without deterrence once again confirm their disregard for the deep emotional, historical, and legal connection of the Palestinian people to this land, and for their rightful claim to it in accordance with international laws and humanitarian principles.”

British Prime Minister Keir Starmer condemned the move in strong terms, stating, “Israel’s decision to further escalate its offensive in Gaza is wrong and we urge it to reconsider immediately.”

“This action will do nothing to bring an end to this conflict or to help secure the release of the hostages. It will only bring more bloodshed,” Starmer said in a statement.

“What we need is a ceasefire, a surge in humanitarian aid, the release of all hostages by Hamas and a negotiated solution.”

Starmer added that Hamas can play no part in the future of Gaza and must leave as well as disarm. The Britain, he said, is working with allies on a long-term strategy to establish peace in the region as part of a two-state solution.

Finland’s Foreign Minister Elina Valtonen echoed those concerns, stating she was extremely worried about the worsening humanitarian conditions in Gaza. “We hope for an immediate Gaza ceasefire and the immediate release of Israeli hostages,” she said.

Australian Foreign Minister Penny Wong called on Israel to back down, warning that permanent forced displacement is a violation of international law.

US President Donald Trump commented earlier this week that the decision was really up to Israel and blamed Hamas for stalling negotiations.

"They didn’t really want to make a deal," he said.

UN High Commissioner for Human Rights Volker Türk slammed the move saying, “The Israeli government’s plan for a complete military takeover of the occupied Gaza Strip must be immediately halted.”

“It runs contrary to the ruling of the International Court of Justice that Israel must bring its occupation to an end as soon as possible, to the realization of the agreed two-state solution and to the right of Palestinians to self-determination,” he added.

Reactions within Israel were divided. Opposition leader Yair Lapid denounced the government’s plan, saying it went against the advice of military leadership.

"The plan is completely contrary to the position of the military and the defence establishment, without taking into consideration the burnout and the exhaustion of the combat troops," he said.

Chief of the General Staff Lieutenant General Eyal Zamir warned earlier on Thursday that the plan would endanger the lives of the hostages and further stretch the military.

Zamir has repeatedly clashed with the security cabinet in recent days, notably over the Gaza proposal.

Prior to the security cabinet session on Thursday, Netanyahu denied Israel had any intentions of permanently controlling Gaza in its entirety.

"We don't want to keep it. We want to have a security perimeter," the Israeli leader told Fox News. "We don't want to govern it. We don't want to be there as a governing body."

He said that Israel intends to hand over the Strip to a coalition of Arab forces that would govern it.

The announcement comes as humanitarian organizations continue to warn of severe conditions in Gaza, where widespread hunger and displacement are mounting daily.

The ongoing Israel-Hamas war in Gaza has displaced nearly the entire population of Gaza, destroyed over 60% of the enclave’s buildings and infrastructure, and brought most of its 2 million residents to the brink of famine.

PSX benchmark index up 3.08%WoW

Pakistan Stock Exchange (PSX) sustained its bullish momentum throughout the week on anticipation of strong earnings during the ongoing results season. The benchmark index touched its all-time high closing at 145,647 points on Thursday, but closed the week at 145,383 points, up 4,348 points, up 3.08%WoW, with meager decline in the last trading session.

Market participation improved with average daily traded volume increasing by 16.3%WoW to 653 million shares, up from 561 million shares a week ago.

Trade deficit for the month of July 2025 rose to US$2.8 billion, up 44%YoY.

Workers’ remittances for July 2025 also rose to US$3.2 billion, up 7%YoY.

Foreign exchange reserves held by State Bank of Pakistan (SBP) decreased by US$72 million to US$14.2 billion as of August 01, 2025.

Key sectoral developments included robust 30%YoY growth in cement dispatches for July 2025, while OMC offtakes reached 1.2 million tons, up 2% YoY.

On the international front, the Trump administration imposed an additional 25% tariff on India, raising reciprocal tariffs to 50%.

Other major news flow during the week included: 1) Pakistan gets 19% tariff after US drives a hard bargain, 2) SBP enhances housing finance limit for microfinance borrowers to PKR5 million, 3) ExxonMobil likely to come back for offshore venture, 4) Pakistan set to initiate dialogue with Qatar on LNG supplies, and 5) Budget deficit drops to 5.4% in FY25 from 6.8% for the same period last year.

Woollen, Jute, insurance, Tobacco, and Food & Personal Care were amongst the top performing sectors, while Synthetic & Rayon, Close-end Mutual Funds, Chemical, Sugar & Allied Industries, and Textile Weaving were amongst the laggards.

Major selling was recorded by Banks/ DFI with a net sell of US$18.8 million. On the other hand, Mutual Funds absorbed most of the selling with a net buy of US$22.9 million.

Top performing scrips the week were: AGL, NESTLE, UNITY, HBL, and BNWM, while the laggards included: GADT, PKGP, FABL, LCI, and IBFL.

According to AKD Securities, the market is expected to remain positive in the coming weeks, with further developments over circular debt expected to drive the market along with upcoming corporate results remaining in the limelight.

The benchmark index is anticipated to sustain its upward trajectory, with a target of 165,215 points by end December 2025, primarily driven by strong earnings in Fertilizers, sustained ROEs in Banks, and improving cash flows of E&Ps and OMCs, benefiting from falling interest rates and economic stability.

The top picks of the brokerage house include OGDC, PPL, PSO, FFC, ENGROH, MCB, FCCL, KOHC, INDU, and SYS.

Pleasing Trump may annoy Saudi Arabia

Energy diversification is smart, but foreign policy tact is essential.

Importing US crude oil may please US President Donald Trump, but it could also annoy Saudi Arabia, especially given the special relationship between Pakistan and the Kingdom, which includes:

Long standing energy ties
Saudi Arabia is Pakistan’s largest crude oil supplier, often providing oil on deferred payment (US$3 billion oil credit facility renewed multiple times).

Financial assistance
Saudi Arabia has provided billions in loans, deposits, and grants to support Pakistan’s economy, particularly during IMF negotiations.

Strategic alignment
The Saudi-Pakistan relationship is not just economic but also political and military, including defense cooperation and labor remittances.

Though, to begin with import of crude oil from United will be small, the move could strain ties between Pakistan and Saudi Arabia.

Geopolitical optics
Importing US crude might be seen as Pakistan pivoting westward, especially if framed as part of a larger US trade deal.

Loss of market share

Even a 10% reduction in demand from a long-time buyer like Pakistan might raise commercial and symbolic concerns.

Trust and alignment issues

If the decision isn't communicated diplomatically, Riyadh may perceive it as ungrateful, especially if deferred payment oil continues.

Not necessarily a rupture

Scale is limited
Pakistan is not replacing Saudi oil. The pilot phase is just 10% of imports. It's a diversification move, not a shift in allegiance.

Economic logic
The US crude provides lighter grades and higher gasoline yield, improving domestic refining output. If positioned as a technical decision, it’s easier to justify.

Diplomatic communication
Pakistan can explain this as part of energy diversification—a common practice by many countries—and reaffirm its strategic ties with Riyadh.

Pakistan should do:

Step	Why it matters
Engage Saudi leadership in advance	Avoid surprises and reassure that US crude is a supplement, not a replacement
Reaffirm oil diplomacy	Continue or even expand the deferred payment arrangement with Saudi Arabia
Highlight refining needs	Explain that lighter crude grades improve fuel mix, not reduce strategic ties
Balance optics	Avoid appearing to pivot entirely toward US or using this purely as a bargaining chip in US trade diplomacy

 

Bottom Line

Importing US crude could cause diplomatic unease in Saudi Arabia—especially if it's perceived as Pakistan drifting from its long-standing partner. But the impact can be minimized through: 1) Transparent diplomacy, 2) Economic rationale, and 3) Strategic reassurance

 

Israel using US munitions to attack Gaza schools

The Israeli military has “illegally and indiscriminately” used US munitions to attack school shelters in Gaza, killing hundreds of people, Human Rights Watch (HRW) says, reports CNN.

The US-based campaigners’ report, “Gaza: Israeli School Strikes Magnify Civilian Peril,” was published Thursday.

Israel’s campaign following the Hamas-led attacks of October 07, 2023 has made the vast majority of Gaza’s 2.1 million people homeless – forcing many to flee their neighborhoods in search of civilian infrastructure.

Israel has frequently said its strikes on school facilities in Gaza target embedded Hamas fighters. But HRW said it only found seven instances where the military published details of alleged militants killed – and highlighted two strikes, which killed nearly 50 people, where they found no evidence of any military target.

Such attacks would violate international law because schools and other educational facilities are civilian objects and protected from attack, HRW said. They lose that protection when used for military purposes or are occupied by military forces. But the use of schools to house civilians does not alter their legal status.

HRW called on the US and other governments to halt arms sales to Israel, given the “clear risk” that weapons might be used to commit or facilitate “serious violations” of international humanitarian law.” Washington’s supply of arms to Israel has made the US “complicit” in their lawful use, the group said.

“Israeli strikes on schools sheltering displaced families provide a window into the widespread carnage that Israeli forces have carried out in Gaza,” Gerry Simpson, associate crisis, conflict and arms director at HRW, said in the report. “Other governments should not tolerate this horrendous slaughter of Palestinians merely seeking safety,” added Simpson.

The Israel Defense Forces (IDF) said it “operates exclusively on the grounds of military necessity and in strict accordance with international law.”

“It must be emphasized that the report blatantly ignores Hamas’ systematic pattern of unlawfully embedding its’ military assets, including weapons and ammunition in, beneath, and in proximity to densely populated civilian areas, and cynically exploits civilian infrastructure for terror purposes,” the IDF added.

“Specifically, it has been well documented that Hamas exploits schools and UNRWA facilities for its military activities by building military networks beneath and within schools; establishing command-and-control centers within them, launching attacks toward IDF forces from them, and imprisoning hostages in them.”

The military said it takes “feasible precautions” to mitigate harm to civilians as much as possible and “regrets any harm caused to uninvolved civilians.”

Israeli attacks on school shelters in Gaza have killed at least 836 Palestinians and injured another 2,527 people, as of July 18, HRW reported, citing the UN’s Office for the Coordination of Humanitarian Affairs (OCHA).

HRW investigated two such attacks where it identified the use of US munitions. The agency said it reviewed satellite imagery, photos, and videos of the attacks and their aftermath, as well as social media and interviews with eyewitnesses.

CNN has previously reported on the use of US weaponry in deadly strikes and has reached out to the State Department for comment on the HRW report.

On July 27, 2024, the Israeli military launched at least three strikes on the Khadija girls’ school in Deir Al-Balah, central Gaza. At least 15 people were killed.

Then on September 21, Israel struck Al-Zeitoun school, northern Gaza. At least 34 people were killed.

“Can you imagine, a building full of displaced people leveled in the blink of an eye?” a journalist cited in the HRW report said. “I saw people with serious and more minor injuries, and then saw human remains on the ground.”

The allegations chimed with repeated human rights warnings that Israel’s 22-month bombing and siege has rendered much of the enclave uninhabitable.

HRW said attacks on school shelters have diminished access to refuge, exacerbated reconstruction challenges, and disrupted education among a pre-war population of more than 2.2 million people – where half of those are under the age of 18.

At least 97% of schools in Gaza have sustained damage, the UNICEF-led Education Cluster reported in August. Efforts to rebuild destroyed homes in Gaza could take until 2040, the UN said in May. The level of destruction is so extensive that it would require external assistance on a scale not seen since 1948, the agency added.

At least 61,158 Palestinians have been killed in Gaza, the Ministry of Health there reported on Wednesday. At least 193 people have starved to death, including 96 children, the ministry added.

One Palestinian student told CNN that days spent going to university have been replaced by a brutal struggle for survival repeated displacement, and severe hunger.

“The war came and destroyed everything,” Raghad Ezzat Hamouda, 20, told CNN on Wednesday.

“I lost my ambitions and dreams,” added Hamouda, who is displaced with nine family members in Tal Al-Hawa, central Gaza. “Gaza has become uninhabitable. (There are) no homes, no schools, no universities, no infrastructure... Just ashes.”

 

 

 

Israeli command centers come under attack in Gaza

According to Tehran Times, the Al-Qassam Brigades, the armed wing of Hamas, announced they have shelled an Israeli command and control site near Dar al-Arqam School in the al-Tuffah neighborhood, eastern Gaza City, using multiple mortar shells.

In southern Gaza, near Khan Younis, the al-Qassam Brigades targeted another occupation regime’s command site in the Morag axis, using heavy-caliber mortar shells.

The resistance continues to confront Israeli occupation forces (IOF) that have invaded various parts of Gaza, launching strategic operations that have resulted in both human and material losses for the regime. 

In the al-Zannah area northeast of Khan Younis, al-Qassam forces attacked an IOF armored personnel carrier with a powerful barrel bomb, reportedly killing and injuring its crew.

The IOF has acknowledged injuries to soldiers including one in serious condition. 

Al-Qassam stated that, in coordination with the al-Quds Brigades, (the armed wing of Palestinian Islamic Jihad) and al-Nasser Salah al-Din Brigades (the armed wing of the Popular Resistance Committees), they jointly shelled a gathering of IOF soldiers and military vehicles north of Khan Younis, using heavy mortar fire.

The al-Quds Brigades, in collaboration with the Abu Ali Mustafa Brigades (armed wing of the Popular Front for the Liberation of Palestine), released footage of a joint operation that destroyed an IOF military vehicle. 

They also shared video of an attack targeting IOF soldiers with mortar fire, carried out in cooperation with the Ansar Brigades in the eastern Shujaiya neighborhood near Gaza City.

In a separate announcement, the Abu Ali Mustafa Brigades confirmed that one of their units successfully destroyed an IOF military vehicle using a pre-planted anti-armor explosive device. The operation took place in eastern Shujaiya and reportedly caused casualties among the IOF crew.

Meanwhile, the al-Aqsa Martyrs Brigades claimed responsibility for targeting a group of IOF soldiers and military vehicles with mortar shells east of al-Qarara, northeast of Khan Younis.

In response to these developments, the Israeli military confirmed that one of its officers was also wounded in southern Gaza.

This escalation comes amid reports of an impending IOF military plan for a full-scale invasion of Gaza again. The proposal is expected to be discussed in a cabinet session on Thursday, although the Israeli military has reportedly expressed opposition to the plan, warning of the significant risks involved.

The Hebrew newspaper Yedioth Ahronoth has reported that the Israeli government’s rehabilitation department is currently treating around 80,000 wounded soldiers.

Among them, approximately 26,000 are suffering from psychological disorders. The report highlights a growing mental health crisis within the Israeli military, noting a noticeable rise in suicide cases among soldiers.

 

Should Pakistan Import US Crude Oil?

Deciding whether Pakistan should import crude oil from the United States depends on multiple strategic, economic, and diplomatic factors. Here’s a balanced assessment based on the latest data and projections:

Pakistan is slated to take delivery of its first-ever US crude oil, one million barrel cargo of light WTI crude from Vitol, expected to arrive in October 2025 at Cnergyico’s refinery in Karachi. This marks a pilot spot cargo—if successful, Cnergyico may import one cargo per month thereafter

The move is part of a broader US–Pakistan trade agreement focused on oil and energy cooperation, and to mitigate threatened 29% tariffs on Pakistani exports.

Advantages of US Crude Imports

Energy source diversification
Breaking reliance on Middle Eastern suppliers - Saudi Arabia and UAE)—who currently account for nearly all of Pakistan’s crude oil imports—enhances energy security and geopolitical flexibility.

Refinery compatibility
Pakistan's largest refinery can process WTI Midland and cactus grades without blending adjustments and may boost gasoline/ middle distillate production, easing import reliance on refined products.

Trade diplomacy tool
Importing US crude may be used strategically in tariff negotiation, potentially lowering or avoiding the 29% US duty on Pakistani exports by helping balance trade flows.

Challenges and Risks

Higher logistics cost
Freight, insurance, and handling add around US$3 per barrel compared to regional supplies. This higher cost may strain forex reserves unless oil price spreads narrow.

Foreign exchange pressure and inflation

Larger import bill could put pressure on currency reserves and stoke inflation, especially if fuel prices are subsidized domestically.

Limited climate if not managed well
US imports should be a strategic supplement rather than a primary sourcing route, since over-dependence on long-distance crude can worsen trade and fiscal balances.

Key Considerations

Factor	Rationale
Volume	Target of 10% of total crude imports, around US$ one billion annually
Pricing Arbitrage	WTI's lighter quality and higher gasoline yield might offset additional logistics cost, assuming favourable price spreads
Refinery Capacity	Cnergyico’s SPM-equipped 156,000 bpd plant is record-compatible; no major technical hurdles noted
Strategic Diplomacy	The imports offer Pakistan leverage in US tariff negotiations and broader market access

The logical reply is that as part of a broader strategy Pakistan should import US crude oil. Use it to boost export negotiation leverage with the US. Diversify sources to improve energy resilience. Leverage light US crude to enhance domestic fuel yields.

Tread carefully

Limiting imports to a test/ pilot phase to assess cost, logistics, and yield economics. Monitoring global price differentials—if WTI premiums shrink relative to Gulf crude, US imports may become more viable long-term. Avoiding overreliance—continue importing most crude from Gulf suppliers with more favorable logistics and financing terms.

Moral of the story

Pakistan is entering a strategic test phase, set to receive one million barrels of US WTI oil in October 2025. If successful, limited monthly imports (10%) can support export negotiations, diversify supply, and potentially improve gasoline yields—even at some added logistical cost. However, unless price arbitrage improves, US crude should remain a tactical supplement, not replace traditional Gulf suppliers.

Significance of Iranian President's visit to Pakistan

The world knows that Iran was the first country to recognize Pakistan’s independence in 1947 and open its embassy in Karachi, which was then the capital of Pakistan. Likewise, Pakistanis were the first to officially recognize the victory of the Islamic Revolution in Iran in 1979.

The people of both countries share cultural, linguistic, historical, and religious ties, and have supported each other in both bitter and sweet moments throughout history. The cultural commonalities between the two nations are such that citizens of either country do not feel estranged or alien when traveling to the neighboring country.

In Tehran, prominent places such as Mohammad Ali Jinnah Highway and Pakistan Street exist. Likewise, in major Pakistani cities, including Karachi, street signs bearing names like Iran Avenue and streets named after Iranian poets like Ferdowsi, Saadi, Hafez, Khayyam, and others can be found.

Islamabad, the capital of the Islamic Republic of Pakistan, hosted Dr. Pezeshkian, President of Iran, and his accompanying delegation from August 02 to 03, 2025. This was, in fact, Pezeshkian’s first official visit to Pakistan since winning Iran’s 14th presidential election.

It is worth noting that in April 2024, the martyred Ayatollah Raisi also made a three-day visit to Pakistan, including the cities of Lahore, Karachi, and Islamabad, where he was warmly welcomed by the people and officials of that country. Following the helicopter crash and martyrdom of Ayatollah Raisi and his companions, Prime Minister Shehbaz Sharif of Pakistan, along with other officials, traveled to Tehran to pay their respects and attend the memorial ceremony.

In May of this year, Shehbaz Sharif once again visited Tehran to express his gratitude for Iran’s stance regarding the India-Pakistan war. Therefore, Dr. Pezeshkian’s recent visit was in response to Shehbaz Sharif’s invitation and, essentially, a reciprocation of his visit to Tehran.

Dr. Pezeshkian began his official visit in Lahore, the capital of Punjab province, by paying respects at the mausoleum of Allama Iqbal, the Pakistani philosopher and poet. It is said that over 8,000 verses of Iqbal’s poetry comprising 70% of his total works are written in Persian.

During the continuation of the visit in Islamabad, the Iranian delegation met with the Prime Minister, President, Foreign Minister, Army Chief, Speakers of the Senate and National Assembly, and Pakistani business community, seeking to implement the "Neighbor First" policy in practice. 

The current volume of annual trade between the two countries is about US$3 billion, yet many economic and commercial potentials remain untapped. During this recent visit, 12 cooperation agreements were signed in areas such as transportation, science and technology, tourism, and free trade, which, if implemented, could significantly boost bilateral relations.

One indicator of strong political relations is the frequent travel of officials between countries. In less than two years, top officials from Iran and Pakistan have visited each other’s countries four times, not including the meetings held on the sidelines of key regional and international summits. These frequent meetings highlight the close bond and significance of the relationship particularly now, when there is a growing need to expand cooperation.

Over the past few decades, Iran-Pakistan relations have enjoyed relative stability, and mutual visits and exchanges between officials have been a regular occurrence. What gives special importance to the recent presidential visit to Pakistan is the unique political situation and the developments that have taken place in recent months in South and West Asia and even globally.

The four-day war between India and Pakistan in May 2025, as two nuclear powers, created a highly sensitive situation in the region. Although brief, the consequences of this conflict continue to affect both countries and the broader region and world.

Additionally, the ongoing war and genocide in Gaza have significantly influenced global politics. In this context, the stances of Islamic countries such as Iran and Pakistan are of great importance. Tehran and Islamabad have consistently adopted shared, firm positions and have emphasized full support for the Palestinian cause. The 12-day imposed war by Israel on Iran drastically altered the geopolitics of the region and the Islamic world.

Pakistan’s positions as one of the largest and most influential Muslim nations and a nuclear power have been crucial, and the Iranian public and officials have always appreciated Pakistan’s brave and brotherly stance.

Islamabad's officials have expressed their appreciation, in various ways, for Iran’s goodwill and initiative in offering to mediate between the two countries, and for the highly important visit of Iran’s Foreign Minister Dr. Araghchi to Pakistan and India to reduce the tensions.

A key factor linking Iran and Pakistan’s foreign policies is the sensitivity of public opinion in both nations toward the Palestinian issue and their mutual opposition to Zionist occupation and crimes in Gaza. This shared stance is rooted in the principled policies laid down by the founding leaders of both nations, Imam Khomeini and Muhammad Ali Jinnah and continues today. Currently, there is deep concern over the joint illegal actions of the Zionist regime and the United States against Iran’s nuclear facilities, and the potential for similar scenarios to be repeated elsewhere.

The condemnation of the Zionist regime’s aggressive attack on Iran by Pakistan’s permanent representative at the UN Security Council, as a non-permanent member and rotating president, was well-received. Pakistan’s support for dialogue and negotiation and its affirmation of Iran’s right to nuclear knowledge were also reflected in the joint press conference held by Shehbaz Sharif and Dr. Pezeshkian.

Iranian and Pakistani officials have come to a shared understanding that the 900 plus km border between the two nations should transition from being a security border to an economic one. The two sides have created joint mechanisms to improve coordination in the fight against terrorism. There exists an ocean of untapped potential in both countries, which requires serious political will to activate. The travel of hundreds of thousands of Pakistani pilgrims as part of religious tourism is one such opportunity.

Currently, two land borders at Rimdan and Mirjaveh are operational, facilitating travel for tourists and traders. Strengthening infrastructure is essential for increasing travel between the two peoples. People-to-people ties and citizen interactions can play a critical role in raising awareness of each other’s capabilities. 

Meeting mutual needs given that the two economies complement each other should be a top priority for private sectors and businesspeople in both nations. Much of what Iran imports from other countries is easily accessible in Pakistan, and Pakistan exports goods that Iranians also import from various sources.

Pakistan can meet many of its needs through Iranian producers and benefit from the proximity and low logistics costs. There is an urgent need to upgrade the joint Iran-Pakistan Chamber of Commerce to play a more significant role.

An Iranian proverb says, “A good neighbor is better than a distant relative.” Pakistan is both a good neighbor and a good relative and we Iranians are grateful for this valued neighbor.

Courtesy: Tehran Times

 

Netanyahu says decision made for full occupation of Gaza

According to media reports, Israeli Prime Minister Benjamin Netanyahu has confirmed that a decision has been made for the full occupation of the Gaza Strip, including military operations in areas where hostages are believed to be held.

"We're committing to free Gaza from the tyranny of these terrorists," Netanyahu said in a video address posted on X. "Many Gazans come to us and they say 'Help us be free. Help us be free of Hamas.' and that's what we will do."

The Prime Minister's Office also said in a message to the Chief of Staff, Lieutenant General Eyal Zamir, "If this does not suit you, then you should resign."

Netanyahu and Zamir have been at odds with the way the war in Gaza is being fought, with those tensions "having reached their peak" on Monday, according to a report on Israeli Army Radio.

Netanyahu's announcement comes after months of faltering talks in Qatar between Israel and Hamas as mediators scramble to overcome hurdles from both sides and reach a ceasefire and hostage release deal as the humanitarian situation in the Strip deteriorates.

That proposal, in the form of a 32-page academic paper titled "Gaza Security and Recovery Program, How Should The Day After Look Like," was authored by the Israel Defence and Security Forum, a group of over 35,000 Israeli security force reservists and the think tank Jerusalem Centre for Security and Foreign Affairs.

The study was presented to the Israeli government at an unknown date and represents one of the future options currently under consideration by Israel for the Gaza Strip.

The proposal entails economic reconstruction, building infrastructure and, as the authors of the study say, "uprooting a murderous ideology," also labelled as a process of "de-Nazification."

"In order to prepare for the new state of affairs, even though the results of the military operation have not yet been achieved, it is necessary to prepare an orderly plan for the control of the Gaza Strip after the fall of Hamas," the document reads.

The plan explicitly excludes the sovereignty of Palestine, or more specifically the Palestinian Authority (PA), or the presence of the United Nations Relief and Works Agency for Palestine Refugees in the Near East (UNRWA) as a source for humanitarian aid.

"No less serious is the foolhardy idea of establishing a Palestinian state in Gaza," the document reads.

However, it is not said in the document whether Israel intends to annex the Strip, although it is clearly stated that Israeli military (IDF) wants to have a greater say in the overall administration of Gaza's affairs.

Netanyahu's comments on Monday contradict those of Israel's Foreign Minister, Gideon Sa'ar, who told Euronews last month that Israel doesn’t have "any intention" of controlling Gaza long term.

"We don't have any intention to do so," Sa’ar said. "With regard to the Gaza Strip, we have only security concerns."

"We will implement President Trump's plan, it is a good plan and makes a difference, and it means something very simple, that the residents of Gaza who want to leave can leave," Netanyahu said, referring to a proposal floated by Trump of resettling all of Gaza's population in other countries.

The plan was met with horror by regional countries and international humanitarian groups, who said the forced resettlement of the population would be a violation of international law.

Trump said he had plans to re-develop Gaza in the "Riviera of the Middle East" with upmarket resort hotels and shopping malls.

Global voices condemn Israeli war and starvation campaign in Gaza

Protests condemning Israel’s devastating war and deliberate starvation campaign in Gaza continue to sweep across the globe, as activists, politicians, and ordinary citizens demand an end to the violence and immediate humanitarian aid.

On Sunday, demonstrators gathered outside the US consulate in Istanbul. They held Palestinian flags and shouted slogans denouncing the Israeli blockade of Gaza, which has caused mass starvation. Their message was clear - the international community must hold Israel accountable for the ongoing atrocities.

Meanwhile, in Sydney, Australia, tens of thousands braved heavy winds and rain to march across the iconic Harbour Bridge in a massive “March for Humanity.” Protesters carried pots and pans, symbolic of the forced starvation endured by Gaza’s population, and called out for a ceasefire and unrestricted delivery of aid.

Police estimated attendance at around 90,000, while organizers said the number could be as high as 300,000.

New South Wales Senator Mehreen Faruqi addressed the crowd, demanding the “harshest sanctions on Israel” and condemning the “massacres” of Palestinians as crimes that must not go unpunished.

Author Antony Loewenstein, whose work exposes the Israeli arms industry, highlighted the Australian government’s role, accusing it of complicity through supplying fighter jets used in Gaza’s bombardment.

Loewenstein pointed out that Australia is deeply entangled in Israel’s war machine, enabling and profiting from the destruction.

The humanitarian crisis in Gaza has reached catastrophic levels. Since October 2023, over 180 people—more than half children—have died from starvation caused by Israel’s siege. Israeli forces have also killed nearly 900 people near aid distribution centers run by the Gaza Humanitarian Foundation, a US- and Israel-backed initiative criticized by Human Rights Watch as “death traps” due to repeated deadly attacks.

Tragically, hundreds more have died attempting to access UN-led food convoys, further underscoring the brutal reality of the siege.

Overall, Israel’s war has claimed the lives of more than 60,800 Palestinians in Gaza, with reports from Israeli human rights groups confirming allegations of genocide—a charge already under investigation at the International Court of Justice.

The deliberate starvation, mass killings, and systematic destruction of Gaza reveal a state policy aimed at collective punishment and ethnic cleansing. This campaign cannot be dismissed as collateral damage or an unfortunate byproduct of war. It is a calculated effort to crush Palestinian resistance by any means necessary.

The world’s silence and inaction in the face of these crimes only embolden Israel’s apartheid regime. Without decisive global intervention, Israel will continue its path of genocide, supported by complicit governments and military suppliers around the world.

Justice for Palestinians demands not only condemnation but concrete measures to end Israel’s siege, hold its leaders accountable, and ensure freedom and dignity for Gaza’s people.

The protests spreading worldwide are a powerful reminder that the fight for Palestinian rights and liberation will not be silenced — and that the struggle against Israeli aggression and oppression must intensify until peace and justice prevail.

 

Pakistan condemns Israeli ministers storming Al Aqsa mosque

Pakistan on Monday unequivocally condemned the storming of the Al-Aqsa Mosque in occupied East Jerusalem by Israeli ministers, calling Tel Aviv out for its “shameless actions which are inflaming tensions in Palestine and the wider region”.

Early on Sunday, Israel’s far-right National Security Minister Itamar Ben-Gvir, shielded by Israeli police, led a large group of illegal settlers in a provocative march and mass incursion into the Al-Aqsa Mosque compound, coinciding with the Jewish commemoration of Tisha B’Av, Anadolu Agency reported.

According to the Jerusalem Islamic Waqf, at least 1,251 illegal Israeli settlers stormed the mosque compound in the morning hours, performing Talmudic rituals, singing, and dancing under heavy police protection.

Al-Aqsa Mosque is the third holiest site in Islam after Makkah and Madina. Under a delicate decades-old “status quo” arrangement with Muslim authorities, the Al-Aqsa compound is administered by a Jordanian religious foundation, and Jews can visit but may not pray there.

“This sacrilege against one of Islam’s holiest sites is not only an affront to the faith of over a billion Muslims but also a direct assault on international law and the collective conscience of humanity,” Prime Minister Shehbaz Sharif posted on X.

He said that such systematic provocations by the occupying power, coupled with reckless calls for annexation, imperiled the prospects for peace.

The prime minister said that Israel’s “shameless actions” were deliberately inflaming tensions in Palestine and the wider region, pushing the Middle East closer to further instability and conflict.

“Pakistan reiterates its urgent call for an immediate ceasefire, an end to all acts of aggression, and the revival of a credible peace process leading to an independent and viable State of Palestine, with Al-Quds Al-Sharif as its capital, in accordance with international law and relevant UN resolutions,” Shehbaz added.

The Foreign Office also issued a separate statement to condemn the Israeli move.

“The presence and statements of senior Israeli officials, and the repugnant declaration that ‘the Temple Mount is ours,’ are a dangerous and deliberate attempt to provoke religious sentiments across the world, escalate tensions, and alter the status of Al‑Aqsa Mosque,” the statement said.

It said that Israel’s expansionist attempts were a deliberate effort to destabilize the region and sabotage any meaningful path to peace.

“These provocations risk igniting a catastrophic spiral of violence across the region.”

The world must not remain silent in the face of such systemic, illegal, inhumane, and unlawful aggression. Such actions constitute a blatant violation of international human rights and humanitarian laws, the United Nations Charter, as well as various UN and Organization of Islamic Cooperation (OIC) Resolutions.

“We urge the international community, particularly the United Nations, to take immediate and concrete steps to hold Israel accountable for its illegal actions and to protect the religious sanctity of Al‑Aqsa Mosque and the rights of the Palestinian people, in particular the right to self-determination.

“Pakistan reaffirms its unwavering support for the creation of a sovereign, independent, viable, and contiguous Palestinian State based on pre-June 1967 borders, with Al-Quds Al-Sharif as its capital.”

Pakistan has consistently raised its voice for the people of Palestine, calling for an immediate, unconditional and permanent ceasefire in Gaza.

Last month, Pakistan urged the UNSC not to remain “a bystander” amid the deepening humanitarian crisis in Gaza.

 

 

 

 

 

 

Germany should consider sanctions on Israel

According to Reuters, a senior lawmaker in German Chancellor Friedrich Merz's coalition on Monday said Berlin should consider sanctions on Israel including a partial suspension of weapons exports or the suspension of a European Union-wide political agreement.

The call by Siemtje Moeller, the deputy leader of the Social Democrats (SPD) parliamentary faction, reflects a sharpening of rhetoric from Berlin against Israel which has yet to yield any major policy changes.

Moeller, whose SPD joined a coalition with Merz's conservatives this year, wrote a letter to SPD lawmakers after returning from a trip to Israel with Foreign Minister Johann Wadephul last week.

"My assessment is that the Israeli government will move little without pressure. If such concrete improvements fail to materialize in the near future, there must be consequences," she said in the letter.

Recognition of a Palestinian state should not be "taboo", she said, adding that Israeli statements that there were no restrictions on aid to Gaza were not convincing.

At the same time, Moeller demanded the immediate and unconditional release of the hostages held by Hamas. She said Hamas must no longer play a role in a political future in Gaza. "It must be disarmed, its reign of terror must end."

Western nations have intensified efforts to exert pressure on Israel, with Britain, Canada and France signalling their readiness to recognize a Palestinian state in Israeli-occupied territory at the United Nations General Assembly this September.

Critics argue that Germany’s response remains overly cautious, shaped by an enduring sense of historical guilt for the Holocaust and reinforced by pro-Israel sentiment in influential media circles, weakening the West’s collective ability to apply meaningful pressure on Israel.

Israel's air and ground war in densely populated Gaza has since killed more than 60,000 Palestinians, according to enclave health officials.

A growing number of civilians are dying from starvation and malnutrition, Gaza health authorities say, with images of starving children shocking the world and intensifying criticism of Israel over its curbs on aid into the enclave.

Israel blames Hamas for the suffering in Gaza but, in response to a rising international outcry, it announced steps last week to let more aid reach the population, including pausing fighting for part of the day in some areas, approving air drops and announcing protected routes for aid convoys.

 

Pakistan and Iran term terror main hurdle to prosperity

Pakistan and Iran on Sunday agreed that peace and prosperity in their border regions hinged on effectively combating terrorism, as both countries renewed their commitment to increase annual bilateral trade to US$10 billion.

The consensus was rea­ched during a bilateral meeting at the Prime Mini­ster House in Islamabad and later emphasized at a joint press conference by Prime Minister Shehbaz Sharif and Iranian Presi­dent Masoud Pezeshkian.

“The development of economic and trade ties will be achieved through peace, stability, and tranquility,” Pezeshkian said, underscoring that terrorism remains a key obstacle to mutual prosperity.

“Given the threats from terrorist groups in border areas, both sides emphasized the need to increase cooperation to ensure border security and safeguard the peace and well-being of citizens in border cities,” the Iranian president added.

The nearly 900-kilometre border between the two countries has long faced security threats from proscribed groups, such as Jaish al-Adl and the Baluchistan Liberation Army. Persistent issues, including terrorism, smuggling, and mutual accusations of harbouring militants, have periodically strained ties.

Shehbaz acknowledged that security was paramount for progress in bilateral relations. “There will be zero tolerance for all forms of terrorism. If anyone falls victim to terrorism in Iran, it is the same as someone being affected by terrorism in Pakistan,” he said.

“For peace and development in our region, and along our hundreds of kilometres-long shared border, we must cooperate against terrorism and take effective steps to eliminate the scourge of terrorism once and for all,” Shehbaz added.

While the two leaders voiced their commitment to deepening cooperation, specific operational details were reportedly discussed in President Pezeshkian’s meeting with Chief of Army Staff Field Marshal Asim Munir.

Later in the evening, Pezeshkian met senior Pakistani military leaders, including Chairman Joint Chiefs of Staff Gen Sahir Shamshad Mirza, Air Chief Marshal Zaheer Babar Sidhu, and ISI chief Lt Gen Asim Malik at the presidency before the dinner reception hosted by President Asif Ali Zardari. A naval representative was also in attendance.

The two sides reaffirmed their commitment to raising annual bilateral trade to US$10 billion — a target first set during the late Iranian president Ebrahim Raisi’s visit to Pakistan in April 2024.

“We can easily, in a short time, increase the volume of trade from the current US$3 billion to the projected goal of US$10 billion,” Pezeshkian said during the joint media conference.

Shehbaz echoed the sentiment. “We also jointly hope that the US$10 billion trade target is achieved at the earliest,” he said.

Trade has been constrained by a range of factors, including international sanctions on Iran, security concerns along the border, inadequate infrastructure, and limited economic complementarity.

Diplomatic and political fluctuations, often shaped by broader geopolitical tensions, have also affected the implementation of trade agreements.

While neither leader offered a clear roadmap to resolve these issues, both underscored a shared political will to continue engaging on them.

“Our delegations will take these discussions forward very soon,” Shehbaz said.

Earlier, at the bilateral talks, he had emphasized the need to convene the long-delayed 22nd meeting of the Pakistan-Iran Joint Economic Commission at the earliest. The 21st meeting of the Commission was held in 2022.

Proposals discussed during the talks included facilitating barter trade, increasing export quotas for rice, fruits, and meat, operationalizing cross-border markets, and removing trade barriers.

Border market development remains a key focus. Although the two countries agreed several years ago to establish six such markets, only three have become operational so far.

“The development of transit routes – railway routes and sea routes – the expansion and equipping of border markets, the facilitation of trade, and the establishment of joint free economic zones are critical needs in the relationship between the two countries, and we had constructive discussions on these issues,” Pezeshkian said.

Pakistan and Iran signed and exchanged 12 agreements and memorandums of understanding (MoUs) to enhance cooperation across a broad spectrum of areas. The documents covered trade, transit, science and technology, tourism, agriculture, cultural exchange, maritime safety, and judicial cooperation.

The agreements include collaboration on plant quarantine, joint use of the Mirjaveh-Taftan border crossing, ICT, tourism cooperation for 2025-27, and a joint ministerial statement on finalising a Free Trade Agreement.

“We reached agreements in political, economic, commercial, and cultural fields, and signed documents to facilitate and promote cooperation in commerce, culture, tourism, transportation, and scientific and educational exchanges,” Pezeshkian said.