Middle East | Pakistan

The Asian Development Bank (ADB) on Tuesday announced a financial support package to help its developing member countries mitigate the economic and financial impacts resulting from the conflict in the Middle East. A press release issued by the lender quoted ADB President Masato Kanda as saying, “ADB will deliver rapid, flexible, and scalable assistance to help countries manage immediate pressures and strengthen long-term resilience, notably fast-disbursing budget support and trade and supply chain finance to secure the import of essential goods, now including oil.” Kanda further said that this built on the ADB’s track record of supporting Asia and the Pacific through “periods of global uncertainty”. ADB has ample resources to safeguard existing and planned operations, while expanding emergency support in line with developing member countries’ needs, including utilising its countercyclical lending buffer, the statement said. It added that the bank was closely monitoring global market developments and their pot...

Gold prices fell by 1.8 per cent on Friday as the dollar strengthened on a report that the United States will deploy extra troops in the Middle East, fanning concerns of higher oil prices, inflation, and with it, elevated interest rates. Spot gold fell 1.8pc to $4,563.64 per ounce after earlier rising 1pc. US gold futures for April delivery were 0.7pc lower at $4,574.90. The dollar and US Treasury yields extended gains after a Reuters report, citing three US officials, that the US military is deploying thousands of additional marines and sailors to the Middle East. A stronger dollar makes dollar-priced bullion less attractive to holders of other currencies. The US-Israeli war on Iran has killed thousands, spilled across the Middle East and hit the global economy since the two countries launched a joint attack on February 28. Iran’s prolonged blockade of the Strait of Hormuz could keep energy prices elevated and fuel inflation. “Gold and silver are being dragged lower as markets climb the usual wall of worry a...

Wall Street ended sharply lower on Friday, with the S&P 500 closing at its lowest in six months, as the US-Israeli war against Iran entered its fourth week, deepening worries about inflation and the potential for higher interest rates. The conflict in the Middle East showed no signs of easing. The US military was deploying an amphibious assault ship with thousands of additional Marines and sailors to the Middle East, while Iran’s new supreme leader hailed Iran’s “unity” and “resistance”. “The market is finally settling into the idea that this may go on longer than initially expected, and I think that’s why markets are selling off. This conflict may go on not for just a few weeks, but maybe beyond several months,” said Jake Dollarhide, CEO of Longbow Asset Management in Tulsa, Oklahoma. Magnificent 7 companies fall Wall Street’s most valuable companies dropped, with Nvidia and Tesla losing over 3pc each. Alphabet, Meta Platforms and Microsoft were all down about 2pc. US Treasuries fell for a third session, in ...

Prime Minister Shehbaz Sharif on Friday discussed the ongoing hostilities in the Middle East in phone calls with leaders from several countries, with all calling for de-escalation in the region. The ongoing war, launched by the US and Israel against Iran, has expanded across the Middle East with Tehran targeting US bases and assets in other countries in the region, including Azerbaijan, and Tel Aviv targeting Hezbollah in Lebanon. The Prime Minister’s Office (PMO) said on the social media platform X that the premier held a telephone conversation with Azerbaijan’s President Ilham Aliyev “to exchange greetings on the auspicious occasion of Eidul Fitr”. “The two leaders also discussed the ongoing hostilities in Iran and the Gulf region,” the statement said. “The prime minister reiterated [his] strong condemnation of the attacks against Azerbaijan and expressed full solidarity and support with the brotherly people of Azerbaijan in these challenging times.” It added that both leaders called for an immediate de-esc...

The arrival of petrol and crude oil tankers continues at Port Qasim as the government steps up efforts to ensure fuel availability amid the ongoing Middle East crisis.

Spot premiums for Middle East crude grades Oman and Dubai have soared to ​all-time highs even as trade slumps due to the US and Israeli war on Iran, with some ‌traders arguing that the benchmarks have lost relevance due to supply disruption. The surge in the benchmarks, used to price millions of barrels of Middle Eastern crude bound for Asia, is pushing up costs for Asian refiners, forcing them to seek alternatives or reduce output further in coming months. Cash Dubai’s premium to swaps jumped ​to $56 a barrel on Monday, compared with an average of 90 cents in February, data from S&P Global Platts and Reuters showed. ​The premium accounts for about a third of the grade’s value, assessed at $153 a barrel by Platts ⁠for May-loading cargoes, versus $111.76 for Murban futures. Dubai prices are distorted, given its wide price gap with Murban, three trade sources said. Similarly, ​the premium for Oman crude futures to Dubai swaps hit a record near $51 a barrel on Friday, far above February’s 75 cents average. Middl...

War in the Middle East is disrupting the flow of critical medicines to the Gulf, imperilling supply routes for cancer drugs and other treatments that require refrigeration and forcing companies to reroute flights and find overland access into the region, industry executives said. The conflict, sparked by US and Israeli attacks on Iran two weeks ago and broadened by Iranian strikes around the region, has knocked out key air transit hubs and closed shipping routes, snarling the movement of goods for many products from medicines to food and oil. While there are few signs yet of major shortages, that could change if the conflict drags on, some executives said. The Gulf relies heavily on imports and some medicines have short shelf lives and need strict cold-chain storage, making lengthy overland shipping less practical. Executives at Western drugmakers said they were seeking alternative routes into the Gulf and trucking some drugs overland from airports like Jeddah and Riyadh in Saudi Arabia. Other options were Is...

The US and Israel’s war against Iran has led to sporting events being postponed in the region, while competitions elsewhere have been hit by travel disruption, with thousands of flights cancelled in some of the world’s busiest transit hubs. Bahrain and Saudi F1 races set to be cancelled Next month’s Bahrain and Saudi Arabian Formula One Grands Prix are set to be cancelled due to the Middle East conflict. Multiple sources told Reuters an announcement, seen within the sport as just a matter of time, was expected with a March 20 deadline looming for freight that has to be transported to Bahrain for logistical reasons. Trump says inappropriate for Iran to be at World Cup US President Donald Trump said on March 12 that Iran’s soccer team were welcome to take part in this year’s World Cup but that he believed it was not appropriate they be there “for their own life and safety”. Iran have qualified for the 48-team tournament to be held in the US, Canada and Mexico from June 11 and are scheduled to play two group mat...

Flight operations between Pakistan and the Middle East are gradually stabilising after being severely disrupted by the ongoing conflict involving Iran, the United States and Israel, aviation sources said on Friday.

Prime Minister Shehbaz Sharif departed for Saudi Arabia on Thursday to meet Crown Prince Mohammed bin Salman and discuss escalating tensions in the Middle East following the ongoing conflict involving the United States, Israel and Iran.

Pakistan has reiterated its commitment to stand alongside Saudi Arabia, highlighting the deep-rooted strategic relationship between the two nations as tensions rise in the Middle East.

ISLAMABAD: Senior officials of the Ministry of Foreign Affairs (MoFA) on Tuesday assured the National Assembly Standing Committee on Overseas Pakistanis that there was no situation requiring a mass evacuation of Pakistani nationals from the Middle East. The head of the MoFA’s Crisis Management Cell gave a detailed briefing to the NA committee about the number of Pakistanis stranded in various Middle Eastern countries due to the ongoing conflict and about the efforts being made to repatriate them. In the meeting, presided over by PPP MNA Syed Agha Rafiullah, the committee members expressed their serious concerns over the manifold increase in airline fares, particularly by Pakistan International Airlines (PIA). The ministry official informed the committee that Pakistanis were facing fuel shortages and transport problems in various countries, adding that the absence of public transport had created further difficulties for them. “Gulf missions reported large registered populations but comparatively manageable eva...

Oil prices fall after topping $119 a barrel on Monday Trump predicted the war in the Middle East could be over soon G7 ready to act on oil surge but holds off tapping reserves Oil prices plummeted 7 per cent on Tuesday after soaring to a more than three-year high in the previous session as US President Donald Trump predicted the war in the Middle East could end soon, easing concerns about prolonged disruptions to oil supplies. Brent futures were down $6.75, or 6.8pc, to $92.21 a barrel at 10:12 GMT, while US West Texas Intermediate (WTI) crude was down $6.41, or 6.8pc, to $88.36 a barrel. Both contracts fell as much as 11pc earlier. Volumes in Brent dropped to about 213,000 contracts, the lowest amount since February 27, just before the start of the conflict. Volumes in WTI fell to 212,000, the lowest since February 20. Oil surged to more than $119 barrel on Monday to its highest since mid-2022 as supply cuts by Saudi Arabia and other producers stoked fears of major disruptions to global supplies. Prices late...

Law Minister Azam Nazeer Tarar on Tuesday called on the media to exercise caution when discussing matters related to Pakistan’s foreign policy amid escalating tensions in the Middle East, citing “unease” voiced by “friendly countries”. He made the remarks while addressing a press conference alongside Information Minister Ataullah Tarar and Minister of State for Interior Tallal Chaudry. The press conference came against the backdrop of conflict in Iran, which has been embroiled in a war with the United States and Israel since the latter’s February 28 strikes, prompting retaliatory strikes from Iran on neighbouring countries, which house US bases. Taking note of the recent escalation in the Middle East following US-Israeli attacks on Iran, the minister stressed the need for caution in the “narrative on these matters on social media, electronic media, and print media”. “As a nation, we must keep in mind that when expressing our views, we have to keep the constitution and Pakistan’s foreign policy under considera...

Flights from Pakistan to the Middle East continued to face disruptions on Tuesday amid ongoing regional tensions, leading to multiple flight cancellations.

ISLAMABAD: As the conflict in the Middle East escalates, Pakistan’s Planning Commission has cautioned about possible economic impacts on the country, including increased energy costs, strain on remittance inflows, and potential interruptions to exports and financial stability. The ministry warned that instability in the region, especially around the strategic Strait of Hormuz, could drive up global oil prices and sharply increase Pakistan’s import costs, given the country’s heavy dependence on petroleum imports from the Middle East, according to the Ministry of Planning’s Monthly Development Update for March. Such developments could also fuel domestic inflation, raise production and freight costs for exporters, and place additional pressure on the exchange rate and fiscal position, according to the report released here on Saturday. At the same time, prolonged conflict could affect remittance inflows from Gulf countries, where millions of Pakistani workers are employed, and create uncertainty for Pakistan’s ex...

UNHCR declares emergency in Middle East

Pakistan expressed “serious concern” on Thursday on recent attacks targeting Azerbaijan and Turkiye, calling for restraint and emphasising the need for dialogue and diplomacy. The calls comes against the backdrop of an ongoing war between Iran and the US and Israel, which has expanded across the Middle East with Tehran targeting US bases and assets in other countries and Tel Aviv targeting Hezbollah in Lebanon. On Thursday, a drone struck an airport building in Azerbaijan’s exclave of Nakhichevan and exploded. Two people were injured in the incident, for which Azerbaijan held Iran responsible, but Iran has denied involvement in the incident and blames Israel. On Wednesday, Turkiye summoned the Iranian ambassador after a missile — apparently targeting a Cyprus base — landed in Turkish territory. Iran’s armed forces have also denied firing any missile towards Turkiye. Following the two incidents, the Foreign Office (FO) said in a statement that Pakistan expressed “serious concern” over the recent attacks target...

Turmoil in the Middle East has sent investors scrambling for safety once more, reigniting a debate over which assets truly offer protection in times of stress. The choice is complicated, as traditional refuges behave unpredictably. Gold has swung sharply, and the dollar — which has been out of favour in the past year — has bounced back. Here’s a look at how some of the favourites stack up: Greenback passes a test The dollar has arguably performed the best among safe havens this week. The dollar index, which tracks the US currency against six others, is up 1.5 per cent. The dollar has even gained against the Swiss franc and yen, which both typically outperform at times of market stress. That’s particularly notable as the dollar weakened when stocks fell following last April’s tariff turmoil, raising questions about its safe haven status. It’s short-term dollar cash that’s in demand, not other dollar assets, flow data shows. Of course, the US is a net energy exporter, so a crisis like this that sends benchmark ...

Prime Minister Shehbaz Sharif held separate telephone discussions with Malaysian Prime Minister Anwar Ibrahim and Indonesian President Prabowo Subianto amid rising tensions in the Middle East following Israeli strikes on Iran and other Gulf nations.