Passengers await PIA's UK flight resumption
Although over three weeks have passed since the UK lifted its travel ban on PIA, the national carrier has yet to restart its direct flight operations.
PIA officials say all operational preparations have been finalised but the launch is now contingent on the issuance of the Third Country Operators license by the UK Civil Aviation Authoritya requirement for non-European airlines to operate within the UK.
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Business Recorder
4 hours ago
- Business Recorder
Trade ambitions and sanctions realities
EDITORIAL: It is a promising signal that Iran and Pakistan have chosen to deepen economic cooperation at a time when the region — and indeed the world — is realigning itself under shifting power equations. A USD 10 billion annual trade target is no small ambition, and President Pezeshkian's first official visit to Pakistan since taking office underlines Tehran's readiness to work with Islamabad to meet it. The warmth on display, from Lahore to Islamabad, and the repeated gestures of solidarity exchanged between the two delegations reflect encouraging maturity in bilateral ties. But ambition alone doesn't move trade. As with most things in this part of the world, the bigger story lies in what isn't being said. The last time Pakistan tried to pursue a transformative energy partnership with Iran, through the Iran-Pakistan gas pipeline, the entire project was brought to its knees by American pressure and the threat of sanctions. Today, the geopolitical temperature is even higher — and the sanctions' regime is far more aggressive. So the question is simple: how exactly do both sides plan to reach that USD 10 billion mark? The Americans have made it clear that even friends and strategic partners are not exempt from the rules. India was sharply reprimanded for engaging too openly with Russia. European states have faced secondary threats for exploring trade that could circumvent restrictions. In this environment, it is inconceivable that Washington will sit idle while two Muslim neighbours forge an expansive trade relationship with one of the world's most heavily sanctioned economies. And yet that's precisely why this initiative matters. If Pakistan and Iran can demonstrate an effective, legal framework to grow trade while navigating the sanctions' minefield, they may offer a blueprint for others in the region facing similar dilemmas. But that framework has to be clearly articulated. Otherwise, this remains yet another round of high-sounding intent with little prospect of implementation. Border markets, local currency settlements, barter mechanisms, and third-party intermediaries have all been discussed in the past. But without serious institutional design, and real political will, they haven't gone far. If this renewed push is to succeed, both capitals must show how the mechanics of trade will be shielded from punitive action, how banks and customs authorities will be protected, and how businesses will be incentivised to take part despite the obvious risk. There is also a diplomatic layer that cannot be ignored. For Pakistan, this balancing act will only become harder as it tries to maintain strategic relations with both Iran and the west. The same applies to Iran, which must decide how to engage regional players without endangering its existing partnerships. Quietly, both sides likely understand that a successful trade expansion must also include a quiet understanding with Washington; or, at the very least, the ability to convincingly demonstrate that the arrangement does not violate international obligations. It is also worth asking why there hasn't been more transparency from both governments about how these goals will be achieved. The statements from the Iranian president were full of brotherly warmth and regional vision. The Pakistani side echoed those sentiments. But beyond calls for unity and generic pledges of cooperation, there is still little detail on how a sanctions-proof architecture will be built. This silence is understandable, perhaps. But it is also dangerous. In an economic environment as fragile as Pakistan's, and as constrained as Iran's, lofty goals without credible roadmaps invite not just scepticism, but policy fatigue. Stakeholders — whether state-owned firms, private traders, or regional partners — need clarity before they can commit. Still, this moment holds promise. For once, both countries are aligned in political vision and economic intent. If they can now align on execution, the results could be transformative. But they must also be realistic. In today's world, trade isn't just about tariffs and logistics; it's about sovereignty, resilience, and the skill to navigate hostile global currents. That's the test before them now. Copyright Business Recorder, 2025
Business Recorder
4 hours ago
- Business Recorder
European shares start pivotal week lower
FRANKFURT: European shares ticked lower on Monday, as investors refrained from making big bets ahead of an eventful week packed with tariff negotiations and ending with talks between the US and Russia on the war in Ukraine. The pan-European STOXX 600 index closed 0.1% lower, retreating from gains earlier in the day, but still hovering near its highest level since July 31. Investors will be bracing for the summit on Friday in Alaska, where Kyiv fears Russian President Vladimir Putin and US President Donald Trump may try to dictate terms for ending the 3-1/2-year war. A German government spokesperson said, however, that European leaders will hold a virtual meeting with Trump ahead of the summit, after they backed Ukrainian President Volodymyr Zelenskiy to take part in the talks. Hopes of a peace deal weighed on German defence companies, with Rheinmetall dropping 4.6%, while Renk fell 1.6%. Germany's benchmark index slipped 0.4%, while the broader aerospace and defence index was off 1.1%, after hitting an over one-month low in the session. 'The provision of defence equipment has largely shifted over the last few months, Europe is now providing a lot more of the defence to Ukraine,' said Craig Cameron, portfolio manager and research analyst at Templeton Global Equity Group, on the impact of a potential peace deal on European defence firms. A 29.6% plunge in Danish wind farm developer Orsted after it unveiled a 60-billion-crown ($9.4 billion) rights issue also weighed on stocks. The stock hit a record low and was the biggest decliner on the STOXX 600. Meanwhile, the August 12 deadline for a deal between the US and China looms, with markets expecting a deadline extension and a deal that would avoid imposing triple-digit tariffs on each other's goods. Despite concerns about Trump's tariffs, a strong US earnings season driven by AI optimism, and expectations of interest rate cuts from the US Federal Reserve have pushed US stocks to record highs, dimming the appeal of European equities that were outperforming US peers in the first half of the year. 'The story (has) shifted back to, in particular, the US as tariff deals were negotiated lower and companies like Nvidia and Microsoft have really driven the market higher,' said Cameron.
Express Tribune
5 hours ago
- Express Tribune
IMF flags gaps in Pak corruption detection
The identification of politically exposed persons remained uneven and there were insufficient corruption-specific red-flags that could detect misuse of the public office in Pakistan, according to initial findings by a corruption diagnostic assessment mission of the International Monetary Fund (IMF). The IMF has shared the draft observations along with recommendations with the government, giving Islamabad an opportunity to review these before the Governance and Corruption Diagnostic Assessment report is released by the end of this month, sources told The Express Tribune. "The effectiveness of the politically exposed persons' identification remains uneven across sectors due to limited access to comprehensive data, absence of automated screening tools in smaller institutions, and a lack of corruption-specific red flag indicators that would help detect misuse of public office, stated the draft report. The lender has recommended issuing new guidelines by learning from the best global practices to identify the misuse of the public office and check any corruption in the government contracts. Pakistan committed to the IMF in September last year that it would fully publish the report once it is completed. Under the $7 billion deal, the IMF had dispatched the Governance and Corruption Diagnostic Assessment Mission to Pakistan this year, which met with about three-dozen government and state institutions. On the request of Pakistan, the IMF had extended the deadline to publish the report from July to the end of August this year. The politically exposed persons include the head of the state, the head of the government, politicians, bureaucrats, judiciary, military officials, and senior executives of the state-owned enterprises, ambassadors and the members of parliament. There are special checks for the opening and operations of bank accounts of the politically exposed persons. Whereas the report has identified some major gaps, it has also acknowledged the efforts that the Pakistani authorities made to put in place a basic structure to minimise the chances of corruption and the misuse of the public office by politically exposed persons. The draft report states that the identification of the politically exposed persons is guided by regulatory requirements issued by the State Bank of Pakistan (SBP), the Securities and Exchange Commission of Pakistan (SECP), and the Federal Board of Revenue (FBR) for their respective supervised entities. It added that the Financial Institutions and Designated Non-Financial Businesses and Persons (DNFBPs) are required to apply enhanced due diligence measures before dealing with the politically exposed persons. The enhanced scrutiny measures include obtaining senior management approval, establishing the source of wealth, and conducting ongoing monitoring. But smaller institutions do not effectively apply these safeguards, observed the special mission in its draft. The draft stated that the institutions are largely responsible for developing their own internal systems to identify and manage the risks beyond the official lists given by the regulators. The draft report further stated that reporting institutions to the regulators often lacked clarity on corruption-specific typologies and risk indicators. Sources said that the IMF was of the view that despite the specious transaction report guidelines and the red-flag indicators for various sectors and typologies, reporting institutions have limited access to typologies that reflect common methods of laundering corruption proceeds. As part of the safeguards, the FBR had also established an online platform through which financial institutions can screen customers against official lists of federal public officials, including senior civil servants serving in grade 17 to 22 and members of parliament. The sources said that the IMF has referred to some best international practices adopted by countries like Canada and Colombia, which helped mitigate chances of corruption through better detection of cases. Canada has published red flag indicators for transactions involving government contracts, municipal procurement, and politically exposed persons' related behaviour, use of corporate entities or consultants in public sector schemes, and layered payments, rapid contract turnover, and unexplained wealth accumulation in low-salary public roles. Likewise, Colombia's financial intelligence unit developed sectoral indicators targeting healthcare procurement during Covid pandemic, SOE-linked laundering via construction firms and extractive industries, and payments routed through regional entities to avoid detection. The sources said that Pakistan could benefit from issuing specific guidance on identifying unusual financial behaviour linked to the politically exposed persons and state contracts. The spokesman of the Ministry of Finance did not respond to the questions whether the consultations on the IMF findings have been completed and would the report be published by end of this month. The sources said that the Ministry of Finance had given last Friday a deadline to the various departments to respond to the IMF's observations and recommendations. Some of the entities have accepted a few observations while others have sought revisions by disagreeing with the IMF's findings. The sources said that due to the cumbersome process involved in going through every recommendation, there is a possibility that the government may take longer than required time to publish the document.
