PSX records lackluster movement

Pakistan Stock Exchange (PSX) witnessed lackluster sentiments during the week ended on March 14, 2025.Trading activity remained subdued due to Ramadan, with average daily traded volumes plunging to 337 million shares. 

The week started on a negative note as the State Bank of Pakistan (SBP) decided to leave the interest rate unchanged, coupled with the IMF raising concern over government’s plan for resolving PKR1.25 trillion circular debt through commercial bank borrowing, kept investors cautious.

However, positive developments in ongoing policy-level discussions with IMF improved sentiment during the last two trading sessions, enabling the benchmark index to close on Friday at 115,536 points, with weekly gains of 1,137 points or up 1.0%WoW.

As per news flows, IMF has agreed to cut the FBR tax target by PKR620 billion, lowering total revenue target to PKR12.35 trillion, while assuring readjustments in expenditure by authorities to maintain a primary surplus of PKR2.4 trillion.

Notably, FBR tax collection during 8MFY25 missed the target by PKR600 billion.

The IMF revised Pakistan’s GDP growth forecast to range between 2.0 to 2.25% from 3.6% earlier, while also lowering its inflation projection to 7.0% from 12.5%.

Meanwhile, Moody’s upgraded Pakistan’s banking sector outlook to positive from stable, along with upward revision in GDP projection.

Worker remittance increased by 39%YoY to US$3.1 billion during February 2025.

Foreign exchange reserves held by SBP eroded by US$152 million to US$11.1 billion as of March 07, 2025.

Other major news flow during the week included: 1) China rolls over US$2 billion loan to Pakistan for one more year, 2) GoP mulls higher petrol levy amid revenue shortfalls 3) Passenger car sales increased by 44.6%YoY to 67,135 units during first eight months of the current financial year, 4) GoP hikes gas tariff for captive power plants on IMF prodding, and 5) ECC approves amendments to net-metering regulations, cuts buyback rate to PKR10/unit.

Miscellaneous, and Inv. Banks/ Cos. were amongst the top performing sectors, while Jute, Synthetic & Rayon, and Glass & ceramics remained laggards.

Major selling was recorded by Mutual Funds with a net sell of US$7.6 million. Banks absorbed most of the selling with a net buy of US$7.6 million.

Top performing scrips of the week were: PABC, PSO, MARI, JDWS, and DGKC, while laggards included: IBFL, ISL, TGL, INIL, and PGLC.

According to AKD Securities, the market is expected to remain positive with the potential announcement of a staff-level agreement on the first review over the weekend acting as a key trigger for momentum.

The market is anticipated to sustain its upward trajectory, 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 pick of the brokerage house include: MEBL, MCB, HBL, FFC, ENGROH, OGDC, PPL, PSO, LUCK, FCCL, INDU, ILP, and SYS.

 

 

 

                                                                                           

West Asia can ensure its security, claims Iranian commander

Iran's Navy Commander, Rear Admiral Shahram Irani, stated that countries in West Asia are capable of handling their own security and urged external actors to rethink their involvement in the region. 

Speaking to Al Jazeera, he emphasized that regional nations are no longer as vulnerable as they once were and possess the means to protect themselves.

“The region is no longer what it used to be, and its countries are equipped to ensure their safety; therefore, foes must change their policies and respect regional nations,” The commander stressed.

Admiral Irani also asserted that Iran rejects isolation and will operate within international legal frameworks.

“The behavior of Iranians, particularly in the current regional context, aligns with international laws,” he noted. 

“Regional instability will harm the global economy,” Admiral Iravani said, adding that Iran is offering expertise to West Asian regional countries. 

The statement came as Iran, Russia, and China wrapped up a joint maritime exercise dubbed “Maritime Security Belt 2025” in the Indian Ocean on Wednesday, alongside observers from several other nations.

In related remarks on Tuesday, Foreign Minister Abbas Araghchi congratulated Admiral Irani on the successful execution of the exercises, emphasizing the Navy's strength and international dominance.

The top diplomat said the drills, beginning on March 10, demonstrated the Navy's decisive attitude and global operational capabilities.

He also stressed the importance of an assertive presence in expansive oceanic areas for maritime security and development.

“Iran has an unwavering determination to maintain and enhance the security of the strategic and sensitive Persian Gulf region, the strategically crucial Strait of Hormuz within it, the Sea of Oman, and beyond. These exercises were a reflection of that resolve.” Araghchi noted. 

 

US imposes sanctions on Iranian oil minister

According to Reuters, the United States imposed sanctions on Thursday on Iran's Oil Minister Mohsen Paknejad and some Hong Kong-flagged vessels that are part of a shadow fleet that helps disguise Iranian oil shipments.

President Donald Trump re-imposed a maximum pressure policy on Iran in February that includes efforts to drive its oil exports to zero in order to stop Tehran from obtaining a nuclear weapon and funding militant groups.

It was alleged that Paknejad oversees the export of tens of billions of dollars’ worth of Iranian oil and has allocated billions of dollars’ worth of oil to Iran’s armed forces for export.

“The Iranian regime continues to use the proceeds from the nation’s vast oil resources to advance its narrow, alarming self-interests at the expense of the Iranian people,” Treasury Secretary Scott Bessent said in a statement.

“Treasury will fight and disrupt any attempts by the regime to fund its destabilizing activities and further its dangerous agenda.”

Treasury also designated owners or operators of vessels that have delivered Iranian oil to China or lifted it from storage there, it said. Those were in multiple jurisdictions, including India and China, it said.

Iran's military relies on a vast shadow fleet of ships to disguise shipments of oil worth billions of dollars to China.

Thursday's designated vessels include the Hong Kong-flagged Peace Hill and its owner Hong Kong Heshun Transportation Trading Limited, the Iran-flagged Polaris 1, the Seychelles-registered Fallon Shipping Company Ltd, and the Liberia-registered Itaugua Services Inc.

It also designated the Panama-flagged Corona Fun, which it said has manipulated automatic identification systems to disguise efforts to ship Iranian oil, and the San Marino-flagged Seasky, for transporting fuel oil on behalf of Iran's national oil company to China.

The sanctions block US assets of the designated entities and prohibit Americans from engaging in any transactions with them.

The US Department of State is designating three entities and three vessels as blocked property, it said.

 

Pakistan: 27 people die in rescue operation

According to CNN, nearly 350 hostages have been rescued at the end of a deadly standoff between Pakistan’s military and armed militants who hijacked a train in the southwestern Pakistani province of Baluchistan. The incident, which began Tuesday left dozens dead.

The Baloch Liberation Army (BLA), a militant separatist group active in the restive and mineral-rich Baluchistan province, claimed responsibility for the attack.

A total of 27 hostages were killed by the BLA, the security source said, as well as one soldier. At least 35 militants were killed in the rescue operation, the security source added.

Around 450 passengers were on the Jaffer Express enroute from Baluchistan’s capital Quetta to Peshawar in the north, when militants opened “intense gunfire” as the train traveled through a tunnel early in its journey, according to officials.

Pakistan’s military then launched an operation to confront the attackers who used “women and children as shields,” according to security sources not authorized to speak to CNN.

One rescued woman described scenes of chaos following the attack, likening it to the “Day of Judgement.” She told CNN she fled gunfire and walked for two hours to reach safety.

Passenger Mohammad Ashraf told CNN he saw more than 100 armed individuals on the train and that no harm was inflicted on women and children.

The security sources accused the militants of being in contact with handlers in Afghanistan.

Pakistan’s military and government have long accused Afghanistan of providing sanctuary to militant groups, something its Taliban leaders have denied.

Tuesday’s kidnapping is an audacious moment for a separatist insurgency that seeks greater political autonomy and economic development in the strategically important and mineral-rich mountainous region.

But it also highlights the ever-deteriorating security situation there – one that Pakistan’s government has been grappling with for decades.

Baluchistan’s population – made up mostly of the ethnic Baloch group – is deeply disenfranchised, impoverished, and has been growing increasingly alienated from the federal government by decades of policies widely seen as discriminatory.

An insurgency there has been ongoing for decades but has gained traction in recent years since the province’s deep-water Gwadar port was leased to China, the jewel in the crown of Beijing’s “Belt and Road” infrastructure push in Pakistan.

The port, often touted as “the next Dubai,” has become a security nightmare with persistent bombings of vehicles carrying Chinese workers, resulting in many deaths.

Some analysts said Tuesday’s attack marked an escalation in the sophistication of attacks by the insurgents.

The “larger point that the Pakistani state is not grasping ... is that it’s not business as usual anymore,” said Abdul Basit, a Senior Associate Fellow at the S. Rajaratnam School of International Studies in Singapore.

“The insurgency has evolved both in its strategy and scale,” he added, saying Pakistan’s approach to tackle the Baloch militants’ “seem to have run its course.”

“Instead of revising its counterproductive policies, it is persisting with them, resulting in recurrent security and intelligence failures,” Basit said.

The BLA has been responsible for the deadliest attacks in Pakistan in the past year.

A suicide bombing by the BLA at a train station in Quetta killed more than two dozen people last November. The previous month, it claimed responsibility for an attack on a convoy of Chinese engineers, resulting in two deaths.

In the wake of Tuesday’s attack, Pakistan’s Prime Minister Shehbaz Sharif vowed to “continue to fight against the monster of terrorism until it is completely eradicated from the country.”

In a statement, he said the “terrorists’ targeting of innocent passengers during the peaceful and blessed month of Ramadan is a clear reflection that these terrorists have no connection with the religion of Islam, Pakistan and Baluchistan.”

Analysts say such attacks need urgent attention from the federal government.

“Tuesday’s attack has gained global attention and it will worry China, which has its investments in the province – more than any other state,” said Basit. “A major reset of existing security paradigm is required in Baluchistan.”

India-Mauritius to enhance trade and maritime security

India and Mauritius on Wednesday elevated their relations to an enhanced strategic partnership and finalized eight agreements to step up collaboration in crucial areas such as trade and maritime security, as Prime Minister Narendra Modi announced a new vision for engagement with the Global South.

The two sides unveiled a joint vision for the enhanced strategic partnership that envisages trade settlement in local currencies to derisk bilateral commerce, closer collaboration in space, including the launch of a satellite for Mauritius, and increased defence and security cooperation, including provision of military equipment and joint maritime surveillance.

Modi, who unveiled India’s SAGAR (Security and Growth for All in the Region) vision during a visit to Mauritius exactly a decade ago, announced the vision MAHASAGAR or “Mutual and Holistic Advancement for Security and Growth Across Regions” for India’s engagement with the Global South. This will range from trade for development to mutual security and cooperation in technology sharing and concessional loan and grants.

On the final leg of his two-day visit to Port Louis, Modi participated in the country’s National Day celebrations as chief guest. An Indian military contingent joined the ceremonial parade while helicopters of the Indian Navy were part of the fly-past.

“Today, Prime Minister Navinchandra Ramgoolam and I decided to elevate the India-Mauritius partnership to an enhanced strategic partnership,” Modi said after his talks with the Mauritian leader. With an eye on China’s increased maritime activities in the Indian Ocean, he highlighted the importance of defence cooperation between the two sides in maintaining regional security.

“The Prime Minister [Ramgoolam] and I agree that defence cooperation and maritime security are key pillars of our strategic partnership. A free, open, secure and safe Indian Ocean is our common priority,” Modi said, speaking in Hindi.

Ramgoolam said Mauritius has benefited from Indian aid for its socio-economic development and the new agreements in a wide range of areas such as maritime traffic monitoring, crime investigation, infrastructure and commerce will enhance “already excellent bilateral relations”.

“Our shared vision is to increase our cooperation in existing and emerging sectors such as space research, artificial intelligence, digital health, ocean economy, pharmaceuticals, ICT, fintech and cyber-security,” Ramgoolam said.

Modi said the new MAHASAGAR vision will build on the SAGAR initiative, especially for engagement with the Global South. “It shall encompass the ideas of trade for development, capacity building for sustainable growth and mutual security for a shared future. Under this, we will extend cooperation through technology-sharing, concessional loan and grants,” he said.

In the context of his country’s negotiations with the UK for control of the Chagos Islands, Ramgoolam expressed “deep gratitude for India’s unflinching support to the long-standing struggle of Mauritius to exercise its full sovereignty over its entire territory” and thanked Modi for his “pivotal role” in this area.

Modi added: “We fully respect the sovereignty of Mauritius with regard to Chagos. We will extend our cooperation through forums such as the Colombo Security Conclave, Indian Ocean Rim Association and Indian Ocean Conference.”

Britain said last year it would cede sovereignty of the Chagos archipelago to Mauritius on the condition that the UK and the US could maintain a strategic military base on Diego Garcia. A final agreement has been delayed as the government formed by Ramgoolam after elections last November decided to revisit the matter. India has consistently backed Mauritius’s claim of sovereignty over Chagos Islands.

The two countries finalized eight agreements, including one between the Reserve Bank of India and Bank of Mauritius for a framework on using local currencies for trade settlement, and a credit facility agreement between the Mauritius government and State Bank of India for an Indian rupee-denominated credit line of 487.6 crore for improving water supply in the island nation. This is the first Indian rupee-based credit line for any country.

The joint vision document said a protocol on amending the bilateral Double Taxation Avoidance Agreement will be ratified “at the earliest to harmonize with international standards on treaty abuse”. India has already completed the process while it is still underway on the Mauritian side.

The two sides will also promote investments in ocean economy, pharmaceuticals, IT and fintech to support Mauritius’s efforts to diversify its economy, the document said. Ramgoolam urged Indian businesses to see Mauritius as a gateway for trade opportunities in Africa.

In the field of defence and security, the two sides signed a technical agreement on sharing of white shipping information between the Indian Navy and the Mauritius government to improve maritime domain awareness, and an MoU between the Indian National Centre for Ocean Information Services and the Mauritius Prime Minister’s Office on maritime zone management.

“We are committed to providing our full support for the security of the exclusive economic zone (EEZ) of Mauritius. In this regard, we will extend every possible assistance to meet the needs of the Coast Guard,” Modi said. India will also assist Mauritius in setting up a police academy and national maritime information sharing centre in Mauritius, he said.

The joint vision document noted that India and Mauritius will work closely to counter maritime challenges and safeguard larger strategic interests, and said Modi and Ramgoolam had agreed on the provision of defence and maritime equipment to Mauritius and increased maritime cooperation through “increased deployment of ships and aircraft for joint maritime surveillance”.

In recent years, India has provided helicopters and naval vessels to the security forces of Mauritius and the joint vision document said the two sides will also deepen cooperation for securing Mauritius’s EEZ, including through enhanced use of facilities on Agalega Island that were recently upgraded by India.

India’s Enforcement Directorate (ED) and the Financial Crimes Commission of Mauritius signed an MoU on combating financial crimes, including intelligence-sharing and technical assistance to tackle corruption and money laundering.

In the space sector, the two sides will cooperate for the development and launch of a satellite for Mauritius, including training for Mauritian scientists. They will also work on a project to help Mauritius monitor extreme weather events that will be implemented by the Indian Space Research Organization (ISRO) under the umbrella of Quad.

Modi also highlighted New Delhi’s role as a first responder to crises in the Indian Ocean region and provider of development aid as he and Ramgoolam inaugurated the Atal Bihari Vajpayee Institute of Public Service and Innovation, a health centre and 20 community projects completed with Indian funding.

After helping build the Metro Express, Supreme Court building and social housing, India will cooperate in constructing a new parliament building and launch new community projects worth 500 million Mauritian rupees, Modi said.

Over the past decade, India has provided US$1.1 billion as development assistance to Mauritius, including US$729 million through credit lines and US$427 million as grants.

 

 

 

Lebanon told to normalize relations with Israel

Following her previous provocative statement in Beirut that Hezbollah should have no share in the government, Morgan Ortagus, the deputy presidential special envoy to the Middle East, has said the outcome of current events is ultimately a “peace” agreement between Beirut and Tel Aviv.

In an exclusive interview with the Lebanese Al-Jadeed TV channel, Ortagus said the current goal is limited to launching diplomatic negotiations between three diplomatic working groups.

According to Ortagus, the goal of these negotiations is to address pressing issues such as the release of Lebanese prisoners, determining the fate of sites occupied by Israel, and demarcating the land border, which do not require diplomatic working groups and can be secured by the Supervisory Committee for the Implementation of Resolution 1701.

Regarding the Lebanese prisoners kidnapped by the Israeli enemy, there is no point in negotiation, as Lebanon has no Israeli prisoners to negotiate over.

Steve Witkoff, Donald Trump's special envoy, had previously noted Washington’s urgency in launching peace negotiations with both Lebanon and Syria. He had also expressed optimism about the possibility of Riyadh joining Abraham Accords.

Wittkoff firmly stated that the political transformations in the region could extend to Lebanon.

Prior to the election of Lebanon’s president and in the midst of the US-led Israeli aggression on Lebanon during September and November, the American “surveillance den” (embassy) in Beirut had interrogated several candidates regarding their positions on normalization with the Israeli occupation regime and weapons in possession of the Hezbollah resistance movement.

Lisa Johnson, the US ambassador to Beirut, informed prominent Lebanese figures that they must be prepared to secure a comprehensive and permanent solution with Tel Aviv.

The American witch frequently claimed that Hezbollah had – militarily and politically – collapsed and was barely able to manage its own affairs, and would therefore be unable to rebuild what her hostile country had destroyed.

As Washington is quite sure that there are just a few independent Lebanese officials who would reject American dictates, the White House will relentlessly go ahead with its imperialist and racist agenda.

Obviously, Washington has limited the mandate of the UN’s five-member committee to monitor Israeli violations of Lebanese sovereignty, while the committee repeatedly claims that Israeli procedures are in response to the violations by Hezbollah, which has not handed over its military arsenal or the coordinates of its military installations!

Accordingly, the shameful silence of Lebanon has made it easier for Washington to immediately jump to the stage of forming diplomatic working groups, as it claims.

These diplomatic working groups require violating the Lebanese constitution, which criminalizes any direct meeting between Lebanese diplomats and those from the Israeli colonial entity!

Naturally, the Lebanese leaders in power today must learn a lesson from the disastrous consequences of normalization for Egypt, Jordan, and even the Palestinian Authority in the West Bank. At the very least, they must learn a lesson from what is happening in neighboring Syria.

Courtesy: Tehran Times

Iran showcases prowess with China and Russia

Iran has reaffirmed its pivotal role in regional security by leading the seventh iteration of the Maritime Security Belt-2025 joint naval exercises alongside China and Russia, being held March 10–13 near the strategic port of Chabahar, reports the Tehran Times.

The drills, marked by advanced tactical operations and aerial maneuvers, underscored Tehran’s commitment to safeguarding vital maritime routes while strengthening alliances with global powers in the face of shifting geopolitical dynamics.  

The exercises featured synchronized day and night aerial target shooting, tactical formations, mock rescue missions, and a grand naval parade, demonstrating heightened interoperability among the three nations.

Rear Admiral Mostafa Tajeddini, deputy operations commander of Iran’s Navy, hailed the drills as a testament to Iran’s technical sophistication and leadership.

“The execution of these operations demands precise coordination and step-by-step orders,” he stated, emphasizing the seamless integration of the Iranian Navy and Islamic Revolution Guards Corps Navy with Chinese and Russian fleets.

Notably, this year’s drills expanded operational scope, deploying helicopters and fixed-wing aircraft in deeper waters—a strategic leap from prior iterations.

Tajeddini underscored the significance of such advancements, describing them as critical to countering “external threats” and ensuring regional stability.

Rear Admiral Tajeddini also reiterated Iran’s uncompromising stance: “We will not tolerate any threats or incursions into the nation’s maritime borders.”

“Unity at sea today ensures stability onshore tomorrow,” he added.

Since their inception in 2019, the Maritime Security Belt drills have evolved in scale and complexity, mirroring Iran’s geopolitical ambitions.

The 2025 edition coincides with heightened tensions in the Red Sea and Arabian Sea, where Western-led coalitions have increased patrols.

By contrast, Iran’s collaboration with Beijing and Moscow offers an alternative security framework, prioritizing regional sovereignty over external intervention.

The choice of Chabahar as the drills’ focal point highlights its unparalleled strategic value. Situated on the Gulf of Oman, Iran’s sole oceanic port bypasses the congested Strait of Hormuz, through which 20% of global oil transits.

Chabahar’s direct access to the Indian Ocean positions it as a gateway for the International North-South Transport Corridor (INSTC), a 7,200-km trade artery linking India to Central Asia and Europe via Iran.  

Historically, US sanctions somewhat complicated Chabahar’s development, yet partnerships with Eastern allies have helped improve its outlook.

India’s initial investments in the port’s infrastructure, aimed at accessing Afghanistan and Central Asia, have been complemented by China’s Belt and Road Initiative (BRI), weaving Chabahar into broader Eurasian connectivity projects.

The port now serves as a military and economic nexus, enabling Iran to project influence while mitigating reliance on Western-dominated trade routes.

The 2025 drills signal a deepening alignment among Iran, China, and Russia, reflecting shared opposition to unilateralism.

Analysts note that the exercises, occurring near the Strait of Hormuz and Chabahar, symbolize a collective resolve to secure energy corridors and trade lanes critical to the Global South.

Some experts view these exercises as more than just defensive actions; they are seen as opportunities to create a unified vision for maritime security.

This partnership also counters Western isolation efforts. By anchoring military cooperation in the Indian Ocean, 
Furthermore, the inclusion of aerial units and night operations—a first in the tripartite drills—signals Iran’s growing confidence in asymmetric warfare capabilities, crucial in deterring adversarial naval presence.