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Pakistan military offers to cut defence budget amid severe financial crisis

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Pakistan military offers to cut defence budget amid severe financial crisis

[vc_row][vc_column][vc_column_text]Amid a severe financial crisis in Pakistan, its military, in what media reports dubbed “an unprecedented move”, has voluntarily decided to cut the defence budget before Prime Minister Imran Khan’s government presents its budget for the fiscal year through June 2020 next Tuesday (June 11).

The move comes amid an austerity drive launched by the government to solve the cash-strapped nation’s economic woes, with the country bracing for a raft of belt-tightening measures to address an out-of-control deficit.

Economists warn the government may have to come up with a combined 700 billion rupees ($5 billion) worth of expenditure cuts and new taxes to satisfy the International Monetary Fund (IMF), which is negotiating to loan the country $6 billion over the next three years, said a Reuters report. Pakistan is expected to put in place measures to rein in a ballooning fiscal and current account deficits to get access to the funds.

Without mentioning how much budget cut would be undertaken, Major General Asif Ghafoor, Director General (DG) Inter Services Public Relations (ISPR) – the media wing of the military – in his Twitter message yesterday (Tuesday, June 4) said that voluntary cuts in the defence budget for next fiscal year would not be at the cost of defence and security.

“Voluntary cut in defence budget for a year will not be at the cost of defence & security. We shall maintain effective response potential to all threats. Three services will manage impact of the cut through appropriate internal measures. It was important to participate in development of tribal areas & Balochistan,” Ghafoor said.

Pakistan PM Imran Khan said he was very appreciative of the Pakistan military’s “unprecedented voluntary initiative of stringent cuts in their defence expenditures” in light of the country’s financial situation.

Khan said he was grateful for the move that came “despite multiple security challenges” that Pakistan faces. He said that the funds saved will be used for the development of the newly-merged tribal areas as well as in Balochistan.

Imran Khan, after assuming office last year, launched several austerity measures. He moved into a modest three-bed room house of his military secretary along with two servants. Last month, the government announced that all civil and military institutions would contribute to the austerity-oriented federal budget for 2019-20.

“There will be austerity in the coming budget. We will try to keep government expenditures to the minimum possible level,” Prime Minister’s Adviser on Finance and Economic Affairs Hafeez Shaikh had said.

In 2018, Pakistan was the 20th biggest military spender in the world with an expenditure of USD 11.4 billion, a report published by the Stockholm International Peace Research Institute (Sipri) said in April.

The military spending of 2018 made up for four per cent of Pakistan’s gross domestic product (GDP) which is the highest level since 2004, according to the report by the Sweden-based institute.

The top military spender in the world is the United States, which spent USD 649 billion on its forces last year. The US military spending, however, has decreased by 17 per cent over the past decade, the report said.

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Trump approves nearly $9 billion weapons sales to Israel, UAE and other allies amid Iran tensions

The US has fast-tracked nearly $9 billion in weapons sales to Israel, UAE and other allies as tensions linked to the Iran conflict continue despite a fragile ceasefire.

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Donald Trump statement

The United States has approved nearly $9 billion worth of weapons sales to key Middle Eastern allies, including Israel and the United Arab Emirates, amid ongoing tensions linked to the Iran conflict.

The decision, cleared by the administration of Donald Trump, includes expedited military transfers to Israel, the UAE, Qatar, and Kuwait. The approvals were granted under an emergency provision, allowing authorities to bypass the usual congressional review process.

Emergency clearance amid ongoing conflict

Officials said the move was necessary due to the evolving security situation in the region, particularly as the conflict involving Iran continues despite a fragile ceasefire. The war, which began earlier in 2026, has heightened instability across West Asia.

US Secretary of State Marco Rubio invoked emergency powers to fast-track the deals, citing urgent defence requirements for allied nations.

What the arms package includes

The approved package includes a mix of advanced defence systems and precision weapons:

  • Patriot missile defence replenishments worth over $4 billion for Qatar
  • Precision-guided weapon systems for multiple countries
  • Integrated battle command systems for Kuwait
  • Additional advanced weapons support for Israel and the UAE

The total value of these deals is estimated at over $8.6 billion, often rounded to nearly $9 billion.

Timing linked to iran war

The approval comes nearly nine weeks into the conflict involving the US, Israel, and Iran, with tensions still high despite a ceasefire that has been in place for several weeks.

Analysts note that the move signals continued US military backing for its regional allies, particularly in strengthening air defence and precision strike capabilities during uncertain conditions.

Criticism and concerns

The decision to bypass congressional oversight has drawn criticism from some quarters, particularly over transparency and the broader implications of increasing arms supplies in a conflict-prone region.

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Trump and Putin hold over 90-minute call, discuss Iran war and Ukraine conflict

Trump and Putin held a 90-minute call focusing on Iran tensions and the Ukraine conflict, with warnings over escalation and talks of ceasefire.

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Vladimir Putin and Donald Trump

US President Donald Trump and Russian President Vladimir Putin held a phone conversation lasting more than 90 minutes, focusing on escalating tensions in the Middle East and the ongoing war in Ukraine.

According to official statements, the discussion was described as “frank and businesslike,” with both leaders addressing key global security concerns. A major part of the conversation centred on the situation involving Iran and developments in the Persian Gulf.

Putin supported Trump’s decision to extend the ceasefire related to Iran, suggesting that continued restraint could create space for negotiations and help stabilise the region. However, he also issued a strong warning, stating that renewed military action by the United States or Israel could lead to “extremely damaging consequences” not only for Iran but for the wider international community.

Ukraine conflict also discussed

The leaders also discussed the ongoing war in Ukraine, which has continued for several years since Russia’s invasion in 2022. During the call, there were indications of potential efforts toward a temporary ceasefire, although no final agreement has been confirmed.

Reports suggest that the idea of a short-term pause in hostilities was explored, possibly linked to upcoming symbolic dates, but significant differences between the parties remain unresolved.

Focus on diplomacy amid global tensions

The call highlights ongoing diplomatic engagement between Washington and Moscow at a time of heightened geopolitical tensions involving both the Middle East and Eastern Europe.

While both sides acknowledged the importance of dialogue, the situation on the ground in both conflict zones remains complex, with no immediate resolution in sight.

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Trump rejects Iran peace plan as tensions rise, Tehran signals military readiness

Trump rejects Iran’s peace plan, keeping focus on nuclear concerns as Tehran signals readiness and tensions continue to rise.

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Donald Trump statement

U.S. President Donald Trump has rejected a proposal from Iran aimed at easing ongoing tensions, signaling a continued deadlock between the two countries.

The proposal reportedly included steps linked to easing restrictions around the Strait of Hormuz, a key global oil route. However, the United States declined the offer, maintaining that any agreement must address concerns related to Iran’s nuclear programme.

Washington has made it clear that resolving nuclear issues remains a priority and that partial measures without broader commitments will not be accepted.

Nuclear issue remains central

The U.S. position continues to focus on preventing Iran from advancing its nuclear capabilities. Officials believe that without a comprehensive agreement, temporary arrangements could delay a long-term resolution.

The rejection of the proposal indicates that negotiations remain stalled, with both sides holding firm on key demands.

Iran issues warning

Following the rejection, Iranian officials have issued strong statements, indicating readiness to respond if pressure from the U.S. continues.

Reports suggest that Iran has asserted its military preparedness, warning that any escalation could lead to serious consequences. The remarks reflect growing tensions as diplomatic efforts struggle to produce results.

Rising geopolitical tension

The situation remains volatile, with both countries engaged in a prolonged standoff. Measures such as restrictions on trade routes and strategic pressure points continue to impact the broader region.

The Strait of Hormuz remains a critical factor in the conflict, given its importance for global energy supplies.

Outlook uncertain

With no immediate breakthrough in sight, tensions between the United States and Iran are expected to persist. The lack of agreement on key issues, particularly the nuclear programme, continues to hinder progress toward de-escalation.

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