KARACHI: President of Pakistan Business Group (Sindh Region), Convener of FPCCI Energy Standing Committee, and Chief Coordinator of PPDA, Malik Khuda Bakhsh said that the ongoing tensions in the Middle East, including the Iran–US–Israel conflict, have placed the economies of most countries around the world, including Pakistan, at a critical juncture.
He said that due to the wisdom, foresight, and positive policies of Field Marshal Syed Asim Munir and Prime Minister Mian Shehbaz Sharif, Pakistan has so far managed to avoid a severe crisis. However, the war-like situation has affected key trade routes in the region, limiting maritime channels and putting immense pressure on global supply chains. He emphasised that further important measures are needed to address these challenges.
Bakhsh added that the five-point joint agenda for peace in the Middle East, presented by Prime Minister Shehbaz Sharif with China’s cooperation, is expected to yield positive results. Highlighting that the Strait of Hormuz is extremely important for global trade and energy transportation, he stressed that Pakistan and China must ensure the safety of ships and crew to secure the movement of commercial vessels.
He appreciated the government’s decision to maintain balance in oil prices through a subsidy of Rs. 129, stating that timely decisions can help mitigate problems. He further noted that the ongoing tensions in the Middle East may affect Pakistan’s improving economic conditions. During the first eight months of the current fiscal year, inflation remained in single digit, but an increase is now expected.
He said that despite numerous challenges, the government is striving to control the situation through positive strategies. Currently, global crude oil prices have risen to USD112 per barrel, and if the global shortage persists, they could reach USD150 per barrel. This would lead to further increases in fuel prices per litre, resulting in higher inflation. He warned that prolonged tensions in the Middle East could impact remittances, as most of Pakistan’s foreign remittances come from workers in Gulf countries.
Malik Khuda Bakhsh concluded that the Prime Minister’s cost-saving measures have provided relief of Rs. 120 billion to the public, but further steps are necessary to prevent oil prices from rising further.
Copyright Business Recorder, 2026
Comments
Comments are closed for this article.