World

Cabinet Ratifies Pakistan‑Kuwait Defence Pact and Approves Key Provincial and Economic Measures

By News Desk

The federal cabinet approved a defence cooperation agreement between Pakistan and Kuwait on Wednesday, according to a handout from the Prime Minister’s Office. The agreement, signed on 11 June 2023, aims to strengthen defence cooperation and institutional linkages between the armed forces of the two brotherly nations. Kuwait ratified the pact on 19 July.

The cabinet also sanctioned the transfer of powers that had been delegated to the Khyber Pakhtunkhwa (KP) chief minister to the province’s governor. These powers, granted after the Centre declared an emergency and governor’s rule in KP on 11 October, cover the conduct of day‑to‑day affairs during the emergency to facilitate smooth administration and improve governance. The KP governor will submit a monthly review report to the federal government on the exercise of these powers.

The cabinet welcomed the decision and expressed hope that the KP Advisory Council, led by Governor Faisal Karim Kundi, would work for the welfare, prosperity, peace and security of the province’s people.

On economic matters, the cabinet, following a recommendation from the Ministry of Finance, approved the design of new currency notes. A cabinet committee, chaired by the prime minister, consulted artists and designers nationwide. The new notes will feature enhanced security features to prevent counterfeiting and use modern materials to extend their lifespan.

The cabinet also approved the introduction of a Rs10 coin to replace the Rs10 banknote.

Prime Minister Shehbaz Sharif addressed the cabinet in televised remarks, noting that global oil prices had "skyrocketed" due to instability in the region. He said Pakistan continues to play a role in restoring peace in the Middle East, recalling recent engagements with Tehran and other regional actors, as well as cooperation under the Makkah Joint Defence Agreement with Saudi Arabia and Turkey. He highlighted visits by Chief of Defence Forces Field Marshal Asim Munir and Interior Minister Mohsin Naqvi to Iran, and meetings under the Makkah Agreement with Saudi and Turkish officials in Tehran.

The prime minister also mentioned that the government planned to raise fuel prices by Rs15 on Friday, but that Petroleum Minister Ali Pervaiz Malik had asked refineries to absorb the cost in their windfall profits so that the common man would not bear the burden.

Regarding the fuel subsidy scheme launched in September, PM Shehbaz said it would run until the end of December, with Rs28 billion spent so far. He described the scheme as running "successfully and transparently" and noted that the Intelligence Bureau continues to monitor it.

On liquefied petroleum gas (LPG), the prime minister said the "era of mafiaa" was over and that imports would now be arranged transparently, with competition promoted and auctions conducted in lots. The government would take the profits and subsidise LPG for the common man. He also stressed that the federal government was holding continuous meetings to secure LPG, LNG, petrol and gas supplies ahead of winter, despite challenges from the closure of maritime routes.

PM Shehbaz announced that the federal government had finalised a proposed Rs160 billion package for Khyber Pakhtunkhwa. He reiterated that security is the top priority in KP and that counter‑terrorism efforts would continue, with law enforcement agencies, the new KP government and federal support working together to crush terrorism.