Jirga brokers deal on Torkham reopening
Members of Pakistani delegation arrive after holding talks with the Afghan side on the opening of the Torkham border crossing. Photo: Express
The Torkham border between Pakistan and Afghanistan is set to reopen on Tuesday (today) after successful talks during a jirga between designated religious, political, and tribal elders from both sides, the head of the Pakistani delegation announced on Monday.
Pakistan delegation head Syed Jawad Hussain Kazmi told The Express Tribune that the Afghan side also agreed to halt illegal construction, and both parties decided that any future construction at the disputed border point would only proceed with mutual consensus.
The Torkham border was closed on February 21 following rising tensions between the border forces of the two neighbouring countries due to unauthorized construction by Afghan authorities near the border, violating a prior agreement.
The situation escalated on March 4 when talks for reopening the crossing failed, leading to an exchange of fire between Pakistani security forces and the Afghan Taliban fighters. The clash resulted in the death of one Afghan border guard and injuries to two others.
The 24-day closure of the border had resulted in the suspension of all movements, affecting trade and travel. However, with the latest agreement, both sides appeared committed to resolving their differences and reopening the border for mutual benefit.
The latest round of talks was held at the Commissionery building on the Afghan side of the border. At the talks, the Pakistan side was led by Kazmi. "The two sides have agreed to the resumption of trade and people's crossing," Kazmi said.
"The Afghan side also agreed that illegal construction would also be halted on Afghan side, and the message of Islamabad would also be delivered to the authorities. The [Pak-Afghan] Joint Chamber of Commerce [JCC] has also agreed that the two sides would also stick to the ceasefire," he added.
The Afghan media also confirmed the reopening of the border from Tuesday (today). TOLO news reported on its website that the Afghanistan Chamber of Commerce and Investment (ACCI) had announced the agreement on the reopening of the Torkham crossing.
"A meeting was held today in Torkham between both sides. The decisions made were positive, and it is likely that the crossing will reopen today or tomorrow," TOLOnews quotd a trader, Zalmai Azimi, as saying. "Torkham will reopen tomorrow [today] for all types of movement under this agreement."
Khaamapress, another Afghan media outlet, quoted officials from the Chamber of Commerce and Investment in Nangarhar as saying that traders and tribal elders from both countries had reached an agreement to reopen the Torkham border crossing on Tuesday (today).
"Following today's meeting, the Torkham border will officially reopen for transit tomorrow. This will allow free movement of goods and people across the border, bringing much-needed relief to the people who rely on this crossing for trade and travel," the report stated.
The Pakistani officials told The Express Tribune that all sorts of trade, including the transit trade, remained halted during the 24-day closure of the border. The cumulative losses to the national kitty because of the closure amounted to $72 million, an official said speaking on condition of anonymity.
The reopening of the border would be welcome news for approximately 2 million people on both sides who wanted to cross over ahead of the Eidul Fitr. According to the officials, 10,000 people cross the Torkham border point every day.
(WITH INPUT FROM NEWS DESK)
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Business Recorder
28 minutes ago
- Business Recorder
Pakistan leaders unite in grief as condolences pour in after deadly Air India crash
News of a horrific Air India crash near Ahmedabad on Thursday shocked the world, killing over 100 passengers. The flight to London's Gatwick Airport with 242 people aboard crashed minutes after takeoff, leaving India in mourning. As rescue teams pulled charred remains from the wreckage in a nearby residential area, an outpouring of grief swept the globe. Nawaz Sharif, former Pakistani Prime Minister, emphasized shared humanity in his message. 'My heartfelt condolences to the families of the precious lives lost in the tragic Air India plane crash in Ahmedabad. This devastating loss transcends borders and reminds us of our shared humanity. My deepest sympathies to Prime Minister Modi and the people of India.' Bilawal Bhutto Zardari, former Pakistani Foreign Minister, conveyed his sorrow about the incident. 'Saddened to hear a tragic incident occurred earlier today, where an Air India flight with approximately 240 passengers crashed shortly after takeoff near Ahmedabad, India. I express my profound condolences to the people of India.' Ishaq Dar, Pakistan's Deputy Prime Minister and Foreign Minister, expressed sorrow over the aviation tragedy: 'Saddened at the crash of Air India flight in Ahmedabad, Gujarat. Condolences over the loss of precious lives in this tragic incident. Our sympathies are with the families of the victims in this hour of grief.'
Business Recorder
4 hours ago
- Business Recorder
Ministers propose eCommerce tax reforms
In a bid to support Pakistan's rapidly growing eCommerce sector and support small and medium enterprises (SMEs), Federal Minister for Commerce Jam Kamal Khan and Federal Minister for IT and Telecommunication Shaza Fatima Khawaja have proposed key revisions to the government's taxation and regulatory framework. The development came during a high-level meeting held to address key issues in eCommerce sector, read a statement released by the Ministry of Commerce on Thursday. 'In line with the consultative approach of the forthcoming policy, Minister of Commerce Kamal Khan announced the formation of a joint working group, with input from the IT Ministry, to gather comprehensive recommendations on taxation, vendor compliance, and digital payments,' read the statement. Is the budget changing how government views e-commerce? The group's findings will be formally presented to Prime Minister Shehbaz Sharif for final consideration. The federal government, in its budget presentation for fiscal year 2025-26 on Tuesday, announced a 5% withholding levy on payments made to domestic and international digital vendors (e.g., Amazon, Google, Facebook, Netflix, Daraz, Temu, PakWheels) for goods or services delivered to Pakistani consumers. Moreover, an 18% standard VAT is being proposed for online marketplaces facilitating the sale of both goods and services (e.g., Daraz, OLX, Zameen, PakWheels), which aims to standardise tax treatment and close revenue gaps—especially for platforms acting as intermediaries. Meanwhile, during the meeting on Thursday, Kamal confirmed that eCommerce Policy 2.0 is in its final stages of internal review and will soon be submitted for cabinet approval. Pakistan's eCommerce sector has witnessed rapid growth, reaching a market size of $7.7 billion in 2024, with projections estimating a 17% compound annual growth rate through 2027. The ministers reiterated their commitment to fostering an inclusive, competitive, and digitally empowered trade ecosystem, and arising issues faced shall be addressed at the highest level.
Business Recorder
7 hours ago
- Business Recorder
Pakistan govt's budget steps may hinder cashless economy drive: TOAP
ISLAMABAD: As the government unveils a raft of new taxes on digital transactions and e-commerce in the federal budget, Aamir Ibrahim, chairman Telecom Operators Association of Pakistan voiced both hope and concern, warning that the measures could slow Pakistan's journey toward a cashless economy. Industry leaders, trade bodies, and associations also expressed concerns that the budget missed an important opportunity to mandate digital payment options across retail. They pointed out that many major retailers still refuse to accept digital payments in order to hide real income and evade taxes, indicating that enforcement against such practices remains insufficient. This gap, they argued, allows tax evasion to persist and undermines efforts to bring more transactions into the formal, documented economy. The Overseas Investors Chamber of Commerce and Industry (OICCI) also criticised the government for missing a crucial opportunity to broaden the tax base and document the country's vast Rs9 trillion cash-based informal economy. In a statement, the OICCI noted that while measures like the nationwide rollout of e-invoicing and expansion of POS systems are positive steps; the absence of a concrete strategy to address the informal sector and rationalise tax structures undermines efforts to create a more investment-friendly environment and advance economic formalisation. 'The budget aims to formalise online trade through digital integration and tax measures, which is a plus,' said Aamir. 'However, complexity in tax collection, the 5% levy on digital transactions with foreign vendors, and additional taxes charged by payment intermediaries risk increasing costs and discouraging digital adoption. Making digital payments more prevalent, easier, and affordable is essential for Pakistan's growth and for documenting the economy. Let's ensure policies support a truly digital Pakistan, driving transparency and compliance without undue burdens.' The new Finance Bill introduces taxes on both local and foreign e-commerce marketplaces, making online shopping costlier for Pakistani consumers. Notably, a five per cent tax will be imposed on goods purchased from foreign online marketplaces such as AliExpress and Amazon, collected by banks and payment gateways at the point of transaction. Meanwhile, local digital payments will face a tiered tax structure, ranging from one per cent to two per cent depending on the transaction amount, and courier companies will collect taxes on cash-on-delivery payments. Banks and courier services have been designated as withholding agents, required to collect and remit these taxes, and file detailed statements on all digital transactions. Online marketplaces must also ensure that all vendors are registered for sales tax, tightening compliance across the sector. Aamir acknowledged the government's intent to bring more online activity into the formal economy but cautioned that the added complexity and cost could push some businesses and consumers back toward cash and informal channels. 'We need to strike a balance between expanding the tax net and fostering digital inclusion. If digital transactions become more expensive or cumbersome, we risk undermining the very progress we've made in financial inclusion and digital transformation.' He urged policymakers to revisit the proposed levies and streamline tax collection, so that Pakistan's vision of a cashless, digitally empowered society remains within reach. 'There is still time to fix anomalies in the new budget. Let's make sure that our policies truly support a digital Pakistan, rather than create new barriers to adoption.' Copyright Business Recorder, 2025
