PM suspends EPA chief for 4 months
Environmental Protection Agency (EPA) Director General Dr Farzana Altaf has been suspended from her position for 120 days following the approval of Prime Minister Shehbaz Sharif.
The EPA director general was removed under the Civil Servants Efficiency and Discipline Act, 2020. The Ministry of Climate Change has also issued a notification regarding her suspension.
According to the notification, the Grade-20 officer has been suspended for an initial period of four months. Dr Farzana Altaf was appointed to the position in 2016. The reason for her suspension was not disclosed in the notification.
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Express Tribune
5 hours ago
- Express Tribune
Reconstruction work stalls over land dispute
For a city as big as Karachi, a citywide transit network is crucial for addressing the transportation needs of the low-income masses and reducing the atmospheric pollution plaguing the industrial hub. Yet progress on public transport projects like the Karachi Circular Railway (KCR) has remained minimal due to persistent land disagreements between state bodies. According to information received by The Express Tribune, in 2021, on the directions of the Supreme Court, Pakistan Railways had started development work on underpasses and flyovers at various places in the city to eliminate the KCR gates. "The revival of the Karachi Circular Railway was planned to be done in two phases. The first phase, costing Rs20 billion, involved the elimination of 24 railway crossings while the second project concerned the revival of the Circular Railway, including the construction of double tracks, reconstruction of stations and purchase of light rail. This phase was estimated to cost Rs200 billion under a public-private partnership. The entire project was to be completed in two years," said an official from Pakistan Railways, speaking on the condition of anonymity. The official further revealed that in 2022, caretaker Prime Minister Shehbaz Sharif had approved the request of Sindh Chief Minister Murad Ali Shah, directing Pakistan Railways to immediately hand over all the assets and land of the Karachi Circular Railway to the Sindh government. However, senior officials of Pakistan Railways were skeptical on the grounds that the construction, repair and operation of the railway system was a highly technical task requiring ample experience, which the Sindh government lacked. Since the federal government rejected the concerns of Pakistan Railways, development work on the railway crossings of the KCR was halted three years ago. According to the concerned officer, underpasses, flyovers and elevated rail tracks were to be constructed at seven locations along the 44 kilometre loop of the Karachi Circular Railway. Work on two underpasses at Gulshan-e-Iqbal 13D had started three years ago, 70 per cent of which had been completed. In addition, a railway overhead bridge at Hussainabad, a 3.5 kilometre elevated track from Musa Colony to Manghopir and a 6.5 kilometre elevated rail track from Gulbai Phatak to West Wharf were also under construction. Moreover, an underpass was to be constructed on University Road and a flyover at Ahmed Shah Bukhari, Machar Colony. Unfortunately, none of this could be completed. Dr Syed Nawaz Al-Huda, a regional planner, was of the opinion that had the Karachi Circular Railway project been completed in time, the people of Karachi would not have been victims of so many road accidents today. "In principle, this project should remain with Pakistan Railways because the Sindh government has no experience in railway construction and operations. It has been 36 years since the closure of the KCR, but this project is still plagued by the red tape," highlighted Dr Al-Huda, who implored the government to complete this project on a priority basis. Addressing the criticism, Managing Director of the Sindh Mass Transit Authority (SMTA) Kamal Hakim Daio told The Express Tribune that the Sindh government had not yet taken over the Karachi Circular Railway project. "Pakistan Railways has not yet handed over the land and assets of the Circular Railway to the Sindh government since it is seeking land or compensation in exchange. The Sindh government is still in the process of negotiating for the land for the KCR project, which will cost 2 billion US dollars," said Daio. On the other hand, a spokesperson for Pakistan Railways assured that progress was being made on land-related matters in connection with the KCR project. "Details of the land of KCR have been shared by Pakistan Railways with the SMTA while discussions are also underway with the Board of Revenue, Sindh Management and Budgetary Reforms (SMBR) and the provincial government. No final decision has been made yet," claimed the official.
Express Tribune
6 hours ago
- Express Tribune
Development budget likely to top Rs4tr
Listen to article The government is set to approve a record Rs4.1 trillion national development budget for the Centre and provinces amid scarcity of resources that has compelled it to ban small-scale projects and not to include federally-funded province-specific new schemes for next year. Despite the threat of blocking water by India, the government has proposed to reduce the water sector allocation by 45% or Rs119 billion to just Rs140 billion for the fiscal year 2025-26 against the originally approved budget. Yet, the proposed federal Public Sector Development Programme (PSDP) reflects the coalition government's political priorities, with hefty allocations for road infrastructure, while funding for education, health, and water has been significantly slashed for the fiscal year 2025-26. The Annual Plan Coordination Committee (APCC) will today (Monday) approve the national development budget outlays for the federal government, four provincial governments and the special areas of Pakistan. Planning Minister Ahsan Iqbal will chair the meeting, which will also recommend 4.2% economic growth and 7.5% inflation targets for the next fiscal year. The federal PSDP has been finalised by a committee constituted by Prime Minister Shehbaz Sharif aimed at accommodating the needs of the coalition partners. The APCC will approve a cumulative Rs4.1 trillion outlay for development, which will be Rs300 billion or 8% higher than this fiscal year's original budgets approved by the National and four provincial assemblies. There has been a reduction in the federal PSDP, but the four provincial governments will cumulatively spend 28% higher than this year's budget from their own resources. Provinces are rich, thanks to the ill-planned National Finance Commission award of 2010. The APCC will approve Rs1 trillion federal PSDP, down by Rs400 billion compared to this fiscal year's original budget approved in June last year. The federal government will borrow Rs270 billion from abroad to fund this Rs1 trillion spending. The four governments plan to spend Rs2.8 trillion, higher by Rs609 billion or 28% over this year's original budgets. The provincial governments will also borrow Rs802 billion from abroad to fund their projects. Another Rs288 billion will be spent by the government-owned companies outside the federal budget. Punjab is on a spending spree, as it plans to spend Rs1.19 trillion, which is higher by Rs346 billion or 41% over this fiscal year's budget. Khyber-Pakhtunkhwa will follow Punjab with Rs440 billion spending, also higher by 63%. Sindh government plans to spend Rs887 billion, higher by Rs60 billion or 7%. The Balochistan government is proposing Rs280 billion for development, which is higher by Rs32 billion over the originally approved budget. No fiscal space The federal and provincial governments are loosening their purses despite the country facing challenging economic conditions. The federal government, constrained by limited fiscal space, is once again allocating Rs1 trillion, even though it managed to spend only Rs600 billion during the first 11 months of the current fiscal year. The APCC will approve not to include any new provincial nature project in the PSDP due to fiscal constraints. It will also approve a moratorium on approval of up to Rs1 billion projects till completion of the IMF programme. However, an exception is also being proposed from the moratorium in case of "compelling conditions". Despite fiscal constraints, projects pertaining to devolved subjects and provincial in nature are still being financed under the federal PSDP. About 30-40% of PSDP goes to the provincial nature projects, which have seriously undermined the progress of mega and core projects of national significance, according to the planning ministry. The projects of national importance are delayed due to thin spread funding, and around 90% ongoing projects have been revised with cost increase and time overrun, it added. The APCC may also issue directions that the development funds should not be diverted to non-development purposes during the currency of the fiscal year. The APCC will review whether projects with high impact, focused on completion within 3-4 years, will be funded. The proposed PSDP gives priority to foreign-funded and core, and high-impact projects. However, a cursory look at the proposed PSDP suggests that despite tough economic conditions, the government has given importance to politically nature projects by increasing allocations for the National Highway Authority and the provincial nature projects. The allocation for the provincial projects has been proposed to be increased from Rs19 billion to Rs93.4 billion. Likewise, the NHA budget has been proposed to be increased to a whopping Rs229 billion, up by Rs49 billion or 27%. To make room for higher spending on political priorities of the coalition partners, the government has proposed to drastically reduce the funding of the water and power sector projects. The power sector budget is proposed to be reduced by Rs72 billion or 41% to Rs104 billion. The water sector allocation is proposed to be cut by Rs119 billion to just Rs140 billion. Diamer Basha dam project will get Rs35 billion in the next fiscal year compared to Rs40 billion this year, according to the sources. The federal ministry of education's budget has been proposed to be cut by 27% to Rs20 billion, while the Higher Education Commission's budget is proposed to be reduced by Rs21 billion or 32% to Rs45 billion. Despite challenges, the government has also retained a Rs50 billion allocation for the parliamentarians' schemes under the umbrella of the Sustainable Development Goals Achievement Programme. Around 1,071 development projects with a cumulative cost of Rs13.4 trillion are currently under implementation. They need another Rs10.2 trillion for completion, which the Planning Ministry states would take more than 10 years to complete. Compared to the original Rs1.4 trillion approved federal PSDP in the budget, the actual spending as of the end of May remained at Rs596 billion, which is hardly 43% of the parliament's approved budget. 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Business Recorder
7 hours ago
- Business Recorder
Trade barriers and cooling supply chains: Apparel sector warns of setbacks
LAHORE: Seeking an urgent meeting with Prime Minister Shehbaz Sharif ahead of the federal budget, Pakistan's apparel sector; a vital contributor of over $9 billion in export revenue has warned that the country's value-added textile industry faces serious setbacks due to continued tariff barriers and restrictive policies that are choking supply chains. In a joint statement issued by the Pakistan Readymade Garments Manufacturers and Exporters Association (PRGMEA) and the Pakistan Hosiery Manufacturers & Exporters Association (PHMA), apparel exporters stressed that global buyers now demand certified, high-performance materials that are simply not available in Pakistan. Yet, import of such essential raw materials remains hindered by duties and outdated regulations. PRGMEA Regional Chairman Dr. Ayyazuddin and PHMA Zonal Chairman Abdul Hameed jointly demanded a direct and an immediate meeting with the prime minister ahead of the budget, warning that without urgent intervention, Pakistan could lose out on the global shift in sourcing patterns that has opened fresh opportunities for new exporters. Dr. Ayyazuddin emphasized that Pakistan still relies heavily on cotton-based exports — primarily denim and fleece — while nearly 80% of global apparel trade has moved toward synthetic and functional textiles. 'We cannot expand or diversify if we don't have access to the right raw materials,' the statement said. 'We are being penalized for importing items that aren't even produced locally.' Abdul Hameed pointed out that man-made fibers, technical yarns, performance fabrics, and critical trims — many categorized under HS Chapters 54, 55, and 96 — are subject to duties despite not being manufactured in the country. 'Keeping tariffs on non-available raw materials is equivalent to taxing exports before they even happen,' he said. Former PRGMEA chairmen Ijaz Khokhar and Sajid Saleem Minhas backing the joint demand highlighted that SMEs are particularly vulnerable due to rigid policies and lack of flexibility in global compliance. 'We've sent a detailed letter to the Prime Minister Shehbaz Sharif and commerce ministry outlining how certain recent policy changes, like the shortening of the Export Facilitation Scheme (EFS) input period from 60 to just 9 months, are unrealistic for the apparel sector,' he said. PRGMEA ex-chairmen Ijaz Khokhar added that the letter, addressed to the PM as well as the Commerce Minister Jam Kamal, strongly criticizes the abrupt shift in EFS timelines. He argued that value-added exporters often operate under just-in-time and never-out-of-stock business models, requiring longer input cycles to fulfil diverse orders. He said that the current restrictions, it warns, will disrupt operations and increase compliance burdens for exporters. Sajid Saleem Minhas added that the local spinning industry has not evolved to meet the requirements of today's global fashion market. Since we don't produce the materials our buyers demand, we should at least allow their duty-free import. Otherwise, we are locking ourselves out of high-growth product categories, he said. The PRGMEA and PHMA members also called for restoration of the Final Tax Regime (FTR) for exporters, stating that the shift to the Normal Tax Regime has led to complex audits and disrupted business continuity. We need simplicity and certainty, not additional paperwork and scrutiny,' the statement noted. Ijaz Khokhar also raised another concern which is the lack of government push on trade diplomacy, particularly with the United States, where Pakistani textiles face an average import tariff of 29%, compared to lower rates for competitors like Bangladesh and Vietnam. The letter suggests Pakistan negotiate preferential terms or targeted tariff relief with the U.S., especially for eco-friendly and sustainable products that align with global ESG compliance. He said that refund delays were also highlighted as a chronic problem. Exporters are facing severe liquidity shortages due to delayed disbursement of DLTL, DDT, sales tax, and withholding tax refunds. The industry has requested an automated and time-bound mechanism for refund processing to ease working capital constraints. Additionally, both associations emphasized the need for a strong national marketing campaign for 'Made in Pakistan' garments. They urged the Ministry of Commerce to initiate global trade outreach through embassies, digital platforms, and targeted B2B events to increase visibility and improve brand image. He said that this sector has the potential to double its exports in five years and added that we need the government to first remove these structural roadblocks. Sajid Minhas said that the Pakistan's value-added textile sector is one of the largest employers and a key contributor to national exports. The country cannot afford to lose this opportunity. We request the prime minister to meet us urgently and help align policy with global market realities. Copyright Business Recorder, 2025
