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Pakistan Admits Mistakes in Handling Terror Groups

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khwaja asif

[vc_row][vc_column][vc_column_text]Foreign Minister suggests action to escape embarrassment

Now it is official. Pakistan government has, for the first time, admitted the presence of terror groups in territory under its control and government’s inaction against them. Foreign Minister Khwaja Asif has asked his government to set its “house in order” for avoiding embarrassment in the international community.

Pakistan’s Foreign Minister, while talking to Geo News on Wednesday said, “We need to tell our friends that we have improved our house. We need to bring our house in order to prevent facing embarrassment on the international level.”

He clearly admitted that Pakistan had made some mistakes in the past and it should have not participated in the proxy war in Afghanistan during Zia-ul-Haq presidency. He was also quoted saying, “We need to break our false image. We have no stake but there is baggage. We need to accept the history and correct ourselves.”

Khwaja Asif also referred to China’s changing stance and remarked that “countries shouldn’t put pressure on countries they share a close relationship with.” 

Pakistan foreign minister’s statement reflects the severe pressure Islamabad is currently going through. The BRICS leaders, in their declaration issued last Monday, at the end of their 9th Summit held in Xiamen, China, named Pakistan based Lashkar-e-Toiba and Jaish-e-Mohammad as terror groups. Earlier US President Donald Trump had warned Pakistan that it must stop harbouring terrorist organisations.

Earlier on Tuesday, as part of Islamabad’s damage control exercise, Khwaja Asif inaugurated a three day envoys conference in Islamabad and set the tone of the brainstorming session aimed to find answers to the multiple challenges in fast-changing geo-political realities of the region and the world at large that Pakistan faces. The conference was attended by the ambassadors of US, Russia, China, Saudi Arabia, Qatar, Afghanistan, Iran and India.

Meanwhile Islamabad based Pakistan Observer reports that Defence Minister Khurram Dastgir has, on Tuesday, said that his country has no “safe haven” for terrorists on its soil and rejected the declaration naming terrorist groups in the region by the leaders of member countries at the BRICS Summit in China on Monday.

Dastgir Said, “40% of Afghanistan is a safe haven for terrorists,” and added that “Pakistan has taken action against all groups on its soil and only the remnants of some are left.”

Meanwhile, Dawn, a leading newspaper, began its editorial on Wednesday saying, “The message is uniform from friend and foe alike: Pakistan’s tolerance for externally oriented militant groups is no longer acceptable and a serious national effort needs to be made if the country is to remain on the right side of international opinion.”

The daily admitted India’s diplomatic success at the BRICS Summit held in China a close friend of Pakistan. The daily said, “The presence of India in the five-nation bloc clearly influenced the language of the declaration in implicitly pointing towards Pakistan, but China, Russia, Brazil and South Africa will only have added their voices to the growing chorus of concern because of genuine considerations of their own.”

On the other hand, another leading newspaper The Dawn says in its editorial published on Wednesday said, “The BRICS declaration suggests an international trend that Pakistan cannot afford to ignore. The domestic fight against militancy must be made smarter, harder and more purposeful.”

Meanwhile, The Nation commented more on India’s diplomatic success at BRICS Summit. It said, “This war, to portray Pakistan as a sponsor of terrorism – and hence delegitimize the Kashmiri struggle for freedom – has been going on in full force since Narendra Modi took the office of Prime Minister of India. It has now received a significant boost.”

Pointing to the Beijing’s shifting stance towards Pakistan, the daily said, “Considering that the summit contains China, was held in China, and was stage-managed by the Chinese president, this is crucially the first time Pakistan’s “all weather friend” has explicitly called out militant groups in the country – and tacitly Pakistan as well.”

The Nation recalled that it was “China’s firm support that had emboldened Pakistan to take a firm stance after US President Donald Trump’s scathing Afghanistan speech.” However, the daily expressed its surprise by saying “Now – this statement.”

Discussing about historic ties with China, the daily said that this “Change of public stance must surely concern Pakistan. Perhaps it is time to realise the China’s friendship is not really “higher than the Himalayas, deeper than the ocean”- it is only prudent.

Around the inauguration of China Pakistan Economic Corridor (CPEC) in November last year, Pakistani radio stations broadcast advertisements and jingles on the friendly ties between the two countries were described through “higher than Himalayas, deeper than the oceans” slogans.[/vc_column_text][/vc_column][/vc_row]

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India considers tax relief to attract foreign investors amid Iran war impact

India is evaluating tax incentives, including a possible capital gains tax exemption on government securities for foreign investors, to support capital inflows amid economic pressures linked to the Iran war.

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India is considering a set of measures aimed at attracting more foreign investment as the ongoing Iran war continues to create pressure on the country’s economy, according to reports citing government sources. One of the key proposals under discussion is the removal of capital gains tax on investments made by foreign portfolio investors (FPIs) in government securities.

The move comes at a time when geopolitical tensions in West Asia have pushed up global oil prices, weakened investor sentiment and increased pressure on the Indian rupee. India, which imports a significant share of its crude oil requirements, has been among the countries closely monitoring the economic fallout from the conflict.

Government exploring ways to boost capital inflows

Officials are reportedly evaluating tax-related incentives to make Indian debt markets more attractive to overseas investors. The proposed exemption on capital gains from government securities is aimed at encouraging foreign portfolio investment and supporting capital inflows during a period of heightened global uncertainty.

The government is seeking to counter the impact of foreign capital outflows that have intensified amid concerns over the Iran conflict and its implications for energy markets and global economic growth.

Rupee and markets under pressure

Recent weeks have seen increased volatility in financial markets, with foreign investors pulling money out of Indian equities. Analysts have linked part of the pressure on the rupee to rising oil prices and continued overseas investor withdrawals.

Market participants believe that measures aimed at attracting foreign investment into government securities could help improve investor confidence and provide support to the domestic currency.

Broader economic concerns

The Iran war has added to concerns about inflation, economic growth and India’s external sector. Higher energy prices can increase import costs and put pressure on inflation, while sustained foreign capital outflows may affect financial market stability.

While no final decision has been announced, discussions on easing tax rules for foreign investors reflect the government’s efforts to strengthen capital inflows and cushion the economy from external shocks.

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US proposes new tariffs on India over forced labour concerns amid trade negotiations

The United States has proposed additional tariffs on imports from India and 59 other economies following a Section 301 investigation into forced labour-related trade concerns.

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Donald Trump statement

The United States has proposed imposing additional tariffs on imports from India and 59 other economies after concluding that these countries have not taken sufficient steps to prevent the importation of goods allegedly linked to forced labour. The proposal was announced by the Office of the US Trade Representative (USTR) as part of an investigation conducted under Section 301 of the US Trade Act.

According to the USTR’s findings, India could face an additional tariff of 12.5% on goods exported to the United States. The proposed measure is part of a broader plan targeting 60 economies, with tariff rates ranging between 10% and 12.5% depending on the findings related to each country.

India among countries facing higher tariff proposal

The USTR said India had not effectively enforced restrictions on imports made using forced labour, describing the issue as a burden on US commerce. The agency argued that inadequate enforcement by major trading partners creates unfair competition for American workers and businesses.

While countries including Canada, Mexico, the European Union and the United Kingdom are proposed to face a 10% tariff, India is among a larger group of economies that could be subjected to a 12.5% duty under the recommendation.

Proposal comes during India-US trade discussions

The tariff proposal has emerged while Indian and US officials are engaged in trade negotiations aimed at strengthening economic ties between the two countries. A US delegation led by Assistant USTR Brendan Lynch is currently holding discussions with Indian officials in New Delhi.

India’s Commerce Ministry has indicated that discussions with the United States on the matter are continuing and noted that the proposed tariffs have not yet been finalised. The USTR has invited public comments on the proposal until July 6, with a public hearing scheduled for July 7 before any final decision is taken.

Certain products may remain exempt

The proposed tariffs include exemptions for several categories of goods, including some energy products, pharmaceuticals, rare earth materials and selected agricultural commodities. Additional details regarding sector-specific measures, including proposed textile-related actions, are expected to be released separately.

The latest move follows a Section 301 investigation launched earlier this year into forced labour concerns across global supply chains. Any final decision on imposing the tariffs will be made after the consultation process is completed.

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Trump reportedly rebukes Netanyahu over Lebanon strikes amid ceasefire concerns

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US President Donald Trump reportedly delivered a sharp rebuke to Israeli Prime Minister Benjamin Netanyahu during a phone call over Israel’s military actions in Lebanon, as concerns grow that renewed hostilities could jeopardise fragile diplomatic efforts in the region.

According to multiple reports, Trump expressed frustration over Israeli strikes linked to ongoing tensions with Hezbollah in Lebanon. The reported exchange came at a sensitive time, with Washington attempting to prevent further escalation while also pursuing broader diplomatic discussions involving Iran.

Reports point to unusually tense exchange

Sources cited in international reports said Trump used unusually strong language during the conversation, warning that continued military actions risked damaging efforts to stabilise the situation. One report claimed Trump told Netanyahu that his actions were hurting Israel’s international standing and complicating diplomatic initiatives.

The reported disagreement followed Israeli operations against Hezbollah-linked targets in Lebanon. While Israeli officials argued that the actions were a response to security threats and ceasefire violations, the US administration has been pushing for restraint to avoid a wider regional conflict.

Lebanon fighting threatens broader diplomatic efforts

The latest tensions come amid efforts to maintain a ceasefire framework between Israel and Hezbollah. US officials have been involved in discussions aimed at reducing hostilities and preventing attacks on major Lebanese population centres, including Beirut.

Reports indicate that Trump personally intervened to discourage further escalation and support negotiations intended to preserve regional stability. Hezbollah has reportedly signalled a willingness to consider a broader ceasefire arrangement if reciprocal commitments are made.

Differing public messages after the call

Despite reports of a heated conversation, Trump later suggested publicly that discussions had been constructive and that progress had been made toward reducing tensions. Netanyahu, however, maintained that Israel would continue to respond to security threats and would not alter its overall approach toward Hezbollah if attacks persisted.

The developments highlight growing challenges facing diplomatic efforts in the Middle East, where the conflicts involving Israel, Lebanon and Iran remain closely interconnected. Analysts say any major escalation in Lebanon could further complicate ongoing negotiations and increase instability across the region.

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