ISLAMABAD: Pakistan has dispatched its first commercial export consignment to Uzbekistan through a newly activated land route via Iran. The shipment, consisting of refrigerated trucks carrying frozen beef, departed from Karachi and crossed into Iran at the Gabd-Rimdan border point.
The transit is being conducted under the TIR convention, an international customs framework that allows goods to move across borders with minimal regulatory delay. The consignment is currently en route to Tashkent.
The route bypasses Afghanistan, offering Pakistan a more reliable alternative for accessing landlocked Central Asian markets. The Gabd-Rimdan crossing sits near Gwadar, effectively connecting the deep-sea port to regional trade networks.
Officials view the development as part of Pakistan’s broader push to expand its export footprint under the CPEC framework. Central Asia represents a combined market of over 70 million consumers.
The inaugural shipment is expected to strengthen trade ties between Islamabad, Tehran, and Tashkent, while boosting the commercial role of both Karachi and Gwadar ports.
ISLAMABAD: Pakistan’s benchmark KSE-100 Index dropped sharply on Monday morning following the breakdown of US-Iran peace talks held in Islamabad. At 9:34 AM, the index stood at 162,396.21, down 4,795.16 points or 2.87% from the previous close.
Selling pressure was broad-based, affecting key sectors including automobiles, cement, commercial banking, oil and gas exploration, power generation, and refining. Notable index-heavy stocks trading in the red included ARL, HUBCO, MARI, OGDC, POL, PPL, PSO, SSGC, SNGPL, and WAFI.
The market decline followed US Vice President JD Vance’s announcement on Sunday that the American negotiating team was departing Pakistan after 21 hours of talks failed to produce a deal. Vance stated Iran had declined to accept American terms, which included a commitment not to develop nuclear weapons.
Iran’s parliamentary speaker Mohammad Baqer Qalibaf acknowledged no agreement was expected from a single round of negotiations, citing an ongoing trust deficit between the two sides.
The outcome reversed gains recorded during the previous week, when the KSE-100 had risen 1,673.87 points or 1.01%, buoyed by investor optimism over the then-ongoing diplomatic process.
Global markets also reacted negatively. Brent crude futures surged approximately 8% to $103 per barrel, while S&P 500 futures fell around 1%. The euro slipped roughly 0.5% against the dollar. Asian markets declined modestly, with Japan’s Nikkei down 0.4%, South Korea’s KOSPI falling 1.4%, and Australia’s ASX 200 slipping 0.6%.
ISLAMABAD, April 10, 2026 —Pakistan stands at the centre of one of the most consequential diplomatic efforts in decades as Islamabad prepares to host the US Iran peace talks, positioning the country as the primary intermediary in efforts to stabilise a conflict that disrupts global energy supplies and threatens wider regional escalation. The emerging framework, increasingly referred to by diplomats as the Islamabad Accord, follows a Pakistan-brokered ceasefire after weeks of intensive shuttle diplomacy.
The US Iran talks come after the US-Iran ceasefire announced on April 7–8, which emerged following sustained diplomatic engagement led by Pakistan’s civilian and military leadership. Islamabad facilitates backchannel communication, relays proposals, hosts regional meetings and coordinates with partners including China and Saudi Arabia. The agreement pauses hostilities shortly before a U.S. escalation deadline, underscoring the urgency surrounding the diplomatic push.
Analysts describe the development as a major diplomatic breakthrough. South Asia expert Michael Kugelman calls the mediation “one of Pakistan’s biggest diplomatic wins in years,” according to a France 24 report.
Conflict Triggered Global Energy Shock After Strait of Hormuz Closure
The crisis begins on February 28, 2026, when coordinated U.S. and Israeli airstrikes target Iran’s leadership and military infrastructure. Iran responds with missile and drone attacks and moves to close the Strait of Hormuz, the narrow waterway through which roughly 20 percent of global oil supply flows.
The closure of the Strait of Hormuz immediately disrupts global markets. The International Energy Agency warns the situation represents “the largest supply disruption in the history of the global oil market,” according to the IEA Oil Market Report cited in the document.
According to IEA data referenced in the report:
About 20 million barrels per day of oil are disrupted
Brent crude rises close to $120 per barrel
Analysts warn prices could reach $200 per barrel, according to Bloomberg
Global LNG supply drops around 20 percent
Gulf food imports fall by roughly 70 percent
Global GDP risk reaches −1.3 percentage points, according to Dallas Fed research
These figures illustrate the global stakes surrounding the US Iran peace talks and the urgency behind the Pakistan-brokered ceasefire.
Jet fuel prices double while U.S. gasoline prices rise about 30 percent, according to reporting cited from Time and industry data referenced in the report.
Pakistan Emerges as Only Credible Mediator
Pakistan mediates the US Iran crisis largely because of its unique diplomatic positioning. Islamabad maintains relations simultaneously with Washington, Tehran, Riyadh and Beijing, a rare diplomatic victory.
Pakistan shares a 900-kilometre border with Iran, maintains defence cooperation with Saudi Arabia and retains longstanding ties with the United States. It is also widely regarded as China’s closest regional partner, according to analysis cited from Al-Monitor.
Pakistan also has significant domestic and economic stakes:
Over 20 million Shia Muslims
Approximately 5 million workers in Gulf states
Annual remittances of $38.3 billion
Heavy reliance on energy imports through the Strait of Hormuz
Pakistan also emphasises neutrality. Officials condemn attacks by all sides and rule out military participation against Iran, strengthening Islamabad’s credibility as mediator, according to reporting cited from Al Jazeera.
Six Weeks of Shuttle Diplomacy Leads to Islamabad Accord
Pakistan launches diplomatic outreach immediately after the conflict begins.
On March 3, Foreign Minister Ishaq Dar tells Pakistan’s Senate Islamabad is ready to facilitate US Iran talks, according to Al Jazeera.
Prime Minister Shehbaz Sharif meets Saudi leadership in Jeddah on March 12, expressing solidarity while reassuring Iran. The move helps prevent further escalation, according to reporting referenced from CNN.
Regional foreign ministers meet in Riyadh on March 19 and again in Islamabad on March 29, aligning diplomatic positions for the US Iran peace talks.
Pakistan relays a 15-point U.S. ceasefire proposal to Tehran on March 25. Iran rejects the proposal but submits its own conditions, keeping negotiations alive.
On March 31, Pakistan and China announced a joint five-point peace initiative calling for cessation of hostilities and restoration of navigation in the Strait of Hormuz, reinforcing momentum toward the Islamabad Accord.
Further negotiations follow. Pakistan presents a two-phase ceasefire framework in early April. The exchange culminates in the US-Iran ceasefire announced April 7–8, according to reporting from CNN, Al Jazeera and France 24.
Historic Significance of US Iran Peace Talks
Analysts describe the US Iran peace talks in Islamabad as unprecedented. The mediation marks the first time Pakistan brokers a ceasefire between adversaries during active escalation, according to expert assessments cited from Al Jazeera.
The engagement also represents the highest-level US Iran talks since 1979, according to Time.
Economic Stakes Linked to Ceasefire
The US-Iran ceasefire and potential Islamabad Accord carry major economic implications.
A diplomatic breakthrough could revive the Iran–Pakistan gas pipeline. The project:
Length: 2,775 km
Gas flow: 21.5 million m³/day
Power generation: 4,000 MW
Savings: $2.3 billion annually
Penalty risk avoided: $18 billion
These figures come from IPRI Pakistan research cited in the report.
The conflict also threatens remittances from Gulf-based Pakistani workers. About five million workers send home $38.3 billion annually, according to Time.
Global Reaction to Pakistan Mediates Ceasefire
International leaders welcome the Pakistan-brokered ceasefire.The United Nations calls for compliance with terms. European Commission President Ursula von der Leyen welcomes de-escalation. UK Prime Minister Keir Starmer calls the deal a “moment of relief.”
These reactions are cited from international coverage referenced in the report, including Reuters and Al Jazeera.
China says it works actively to help bring about the US-Iran ceasefire, while Iran confirms acceptance of the agreement.
Islamabad at the Centre of Global Diplomacy
Pakistan mediates the crisis at a moment when global markets remain sensitive to disruptions in the Strait of Hormuz and regional escalation risks. The Pakistan-brokered ceasefire pauses what analysts describe as the largest oil disruption in modern history and positions Islamabad as a central diplomatic actor.
The US Iran peace talks, expected to shape the emerging Islamabad Accord 2026, now place Pakistan at the centre of global diplomacy; with energy security, regional stability and geopolitical alignment all hinging on the outcome.
ISLAMABAD: Over 12 million Pakistanis live and work outside the country. Until now, the government had no formal system to register, track, or serve them. The OPF is moving to change that, and its chairman is personally carrying that message to every major diaspora hub.”
Every year, Pakistanis living abroad send billions of dollars back home. Last year, that figure hit a record $38.3 billion. Yet, despite that contribution, the government had no formal, structured relationship with these citizens. That is now changing, and changing fast.
OPF Chairman Syed Qamar Raza Shah is currently on an international tour spanning Japan, South Korea, Germany, and the UAE. At each stop, he has been sitting with Pakistani community members, listening to their concerns, and making commitments on the spot. The tour is not just a goodwill exercise. It is laying the ground for the most significant changes to the Overseas Pakistanis Foundation in its 45-year history.
In Japan, community leader Haji Syed Saleem Shah described the visit as a turning point. Pakistanis there raised long-standing problems, including jobs, education, legal disputes, and property matters back home. For many, it was the first time such issues were heard at a senior government level. The OPF Chairman gave direct instructions for urgent cases to be resolved immediately.
“This visit has given new hope to the Pakistani community in Japan. For the first time, their issues were seriously heard at such a high level.”
— Haji Syed Saleem Shah, Chairman, Ahl-e-Bait Foundation Japan
The same pattern repeated in the UAE. There, the OPF Chairman went a step further — announcing a formal proposal to make OPF membership compulsory for all overseas Pakistanis worldwide. Under the proposal, every Pakistani abroad would be required to register with the foundation and pay a one-time fee of Rs10,000 (around $35). The proposal now awaits approval from Prime Minister Shehbaz Sharif.
To go alongside the obligation, OPF has launched the Overseas Pakistanis Education Fund (OPEF), a scholarship program for children and spouses of overseas Pakistanis studying in Pakistani universities and colleges. The deadline to apply is April 30, 2026.
Two moves together tell the full story: the government wants to register its diaspora, fund its operations through their fees, and in return, invest in their families back home.
ISLAMABAD: The Pakistan Stock Exchange (PSX) recorded one of its sharpest single-day gains on Wednesday, with the benchmark KSE-100 index rising 12,362 points, or 8.15%, to close at 164,035.83. The surge was triggered by news that Pakistan had mediated a two-week ceasefire between the United States and Iran, pausing an escalating military conflict in the Middle East.
Trading was briefly halted following the rapid climb and resumed at 10:42 AM. The previous session had closed at 151,673.45 points.
The ceasefire was agreed upon less than two hours before a deadline set by US President Donald Trump for Iran to reopen the Strait of Hormuz. Iran’s Foreign Minister Abbas Araqchi confirmed that Tehran would halt counter-attacks and ensure safe passage through the waterway, conditional on the cessation of attacks against Iran.
Prime Minister Shehbaz Sharif announced that he has invited the leadership of both nations to Islamabad on April 10 for further negotiations aimed at reaching a conclusive agreement.
The diplomatic development was accompanied by a sharp decline in international oil prices, which fell approximately 15%. Analysts noted that lower energy costs ease fears of imported inflation and reduce pressure on Pakistan’s external accounts.
Maaz Mulla of Topline Securities described the session as a broad-based rally driven by two simultaneous tailwinds: diplomatic de-escalation and softer energy prices. He noted that with Islamabad set to host peace talks on April 10, investors moved quickly to price in reduced geopolitical risk.
Prior to Wednesday’s session, the KSE-100 had corrected by 20% to 22%, largely due to regional tensions and global macroeconomic uncertainty. Wednesday’s gains represent a significant reversal of that decline, though analysts caution that the rally’s sustainability will depend on the outcome of the April 10 talks.
ISLAMABAD: Pakistan’s Federal Minister for Finance and Revenue, Muhammad Aurangzeb, met with United States Chargé d’Affaires to Pakistan, Natalie Baker, on Thursday to discuss bilateral economic ties, trade, and investment.
The meeting, held at the Finance Division in Islamabad, covered the state of Pakistan-US relations, current economic developments, and ways to expand cooperation in key sectors, including energy, mining, technology, and logistics.
Baker highlighted a recent symposium held in Washington by the Pakistan Caucus in the US Congress, which brought together policymakers, diaspora representatives, and business leaders to explore areas of future cooperation. She described the overall direction of bilateral engagement as positive.
Aurangzeb briefed the US delegation on steps taken by the Pakistani government to address challenges in the energy sector, including procurement, pricing, and targeted subsidies for vulnerable groups such as small farmers and public transport users. He also pointed to the effects of rising global oil prices on Pakistan’s import costs, inflation, and broader economic stability.
The two sides discussed Pakistan’s ongoing engagement with international financial institutions, including progress under its current International Monetary Fund programme. Aurangzeb reaffirmed the government’s commitment to fiscal discipline while noting the need for flexibility in light of global and regional developments.
Baker expressed US support for Pakistan’s economic reform agenda and interest in expanding investment across multiple sectors. Both sides discussed participation in upcoming forums, including the Select USA Investment Summit, and explored collaboration on infrastructure, digital connectivity, and regional trade.
The finance minister stressed Pakistan’s focus on structural reforms, export-led growth, and creating a more business-friendly environment to attract foreign direct investment.
GWADAR: Gwadar Port has received a cargo shipment of 14,629 metric tons from Malaysia, port authorities confirmed on Monday. The shipment was successfully unloaded at the port, which is located along the Arabian Sea coast in Balochistan, Pakistan.
Port officials stated that the arrival of this shipment indicates that more international trading partners are choosing Gwadar as a preferred entry point for goods into the region. The port has seen a steady rise in incoming vessels over recent months, with shipments arriving from multiple countries.
This increase in activity is partly linked to changes in global shipping. Ongoing tensions in the Gulf region have prompted many shipping companies to seek safer, more reliable routes. Gwadar, due to its location near key trade lanes, has become a practical choice for several carriers.
Pakistan’s ports as a whole have recorded stronger numbers in early 2026. Karachi Port handled over 11,000 cargo containers in March 2026, a figure that exceeds the entire volume processed throughout 2025. Gwadar is also seeing more vessels arriving compared to previous periods.
Authorities noted that Gwadar Port offers storage benefits and modern handling facilities, which continue to attract foreign shipping interest. Experts have called on the government to keep improving port services and keep costs competitive so that this growth can be maintained over the long term.
ISLAMABAD: Pakistan has proposed a future Free Trade Agreement (FTA) with the United Kingdom, presenting it as a natural progression in an expanding bilateral trade relationship. The proposal emerged during a meeting in Islamabad between Commerce Minister Jam Kamal Khan and UK official Edward Llewellyn, attended by British High Commissioner Jane Marriott, where both sides reviewed recent developments under the Pakistan-UK Trade Dialogue.
During the discussions, officials welcomed the establishment of a dedicated working group on healthcare and life sciences, describing it as a positive step toward deeper sectoral cooperation. The two countries also agreed to operationalise additional working groups in key areas, including information technology, agriculture, professional services, education, and skills development. The broadening of engagement across these sectors reflects an effort by both governments to strengthen institutional links and expand trade-related collaboration beyond traditional goods markets.
Pakistan used the meeting to emphasise its ongoing structural reforms aimed at improving competitiveness and attracting foreign investment. Officials highlighted tariff rationalisation, regulatory adjustments, and the importance of policy continuity as part of a wider strategy to create a more stable and investor-friendly commercial environment.
The UK side, meanwhile, raised concerns regarding intellectual property policy and urged Pakistan to ensure predictability in its regulatory framework. Both delegations also discussed the registration of geographical indications and trademarks for Pakistani basmati rice, an issue viewed as significant for the protection and promotion of Pakistan’s export interests in international markets.
Broader geopolitical trade risks were also part of the exchange, with particular attention given to tensions around the Strait of Hormuz. Pakistani officials noted that rising maritime insurance and shipping costs were placing additional pressure on exports and called for a fairer assessment of risk zones affecting regional trade routes.
The meeting signalled a shared interest in expanding economic ties, while also underscoring the policy and regulatory issues that both sides consider essential for sustaining long-term commercial cooperation.
ISLAMABAD: A Pakistan-bound oil tanker successfully transited the Strait of Hormuz over the weekend, marking the first recorded passage of a non-Iranian cargo vessel through the waterway since Iran close strait of hormuz and imposed restrictions on shipping following the outbreak of hostilities on February 28.
The Aframax-class tanker, operated by Pakistan National Shipping Corporation, completed its Strait of Hormuz transit on approximately March 15 after loading crude oil at Das Island in Abu Dhabi. The vessel was recorded navigating along the Iranian coastline of the Strait of Hormuz before altering course eastward toward Pakistan, where it is expected to dock on March 17.
Maritime intelligence firm MarineTraffic confirmed it was the first non-Iranian cargo ship to transit the Strait of Hormuz with its Automatic Identification System signal active, indicating that select nations have succeeded in securing negotiated passage through the strait.
Iran Strait of Hormuz Importance
The Strait of Hormuz is a narrow waterway between Iran and Oman connecting the Persian Gulf to the Gulf of Oman and the Arabian Sea. At its narrowest navigable point, the Strait of Hormuz measures only 3.2 kilometres wide in each direction, yet serves as the transit corridor for approximately one-fifth of the world’s daily crude oil supply and one quarter of global seaborne liquefied natural gas exports.
There is no commercially viable alternative route for Gulf producers, making the Strait of Hormuz the most critical maritime chokepoint in the global energy system. Since Iranian forces effectively closed the Strait of Hormuz to the majority of international shipping, Brent crude has surged more than 40 percent, trading above $100 per barrel as of this week.
Iran Publicly Thanks Pakistan for ‘Strong Support’
The successful Strait of Hormuz transit prompted an immediate public response from Tehran. Iranian Foreign Minister Abbas Araghchi, in a post in Urdu on X formerly Twitter on Monday, extended his “heartfelt gratitude to the government and people of Pakistan for their strong expression of solidarity and support with the people and government of the Islamic Republic of Iran.” He further affirmed that Iran stood with steadfastness in defence of its sovereignty and territorial integrity.
The statement reflects Iran’s policy of selectively permitting Strait of Hormuz passage to vessels from nations it regards as neutral or sympathetic. Pakistan’s Foreign Office has formally described Islamabad’s role throughout the conflict as that of a “bridge builder” a posture that has yielded a direct economic benefit in the form of access through the Strait of Hormuz that Western-aligned nations currently cannot secure.
Naval Operation and Selective Access
In the days preceding the Strait of Hormuz transit, Pakistan’s navy launched Operation Muhafiz-ul-Bahr to safeguard commercial shipping lanes and Pakistani-flagged vessels in regional waters. Naval authorities established contact with Iranian counterparts ahead of the passage. A military source confirmed no escort was ultimately required for the vessel.
Iran’s selective approach to the Strait of Hormuz blockade has extended to other nations as well.
Pakistan’s Economic Exposure
Pakistan’s dependence on the Strait of Hormuz is among the most acute of any economy in the region. Approximately 80 percent of the country’s crude oil imports are ordinarily routed through the strait, and nearly 90 percent of its liquefied natural gas is sourced from Qatarall of which transits the Strait of Hormuz.
With strategic petroleum reserves of only 10 to 14 days, Pakistan has limited capacity to absorb prolonged disruption. The government has already enacted its largest single fuel price revision on record, raising petrol to Rs 321 per litre and diesel to Rs 335 per litre, an increase of 17 to 20 percent in a single adjustment.
A second PNSC tanker, which loaded crude at Saudi Arabia’s Red Sea port of Yanbu, was approximately three sailing days from Pakistan at the time of reporting. Pakistan’s finance ministry confirmed petroleum stocks remain comfortable, with supply coverage extending into mid-April, while diversification of import routes beyond the Hormuz corridor remains actively underway.
Pakistan’s Diplomatic Posture
The tanker’s Strait of Hormuz passage is the most concrete economic outcome of Pakistan’s diplomatic engagement since hostilities began. Prime Minister Shehbaz Sharif travelled to Saudi Arabia on March 12 for a meeting with Crown Prince Mohammed bin Salman.
At the United Nations Security Council, Pakistan maintained a calibrated position condemning strikes on Iran, affirming solidarity with Gulf states, and consistently urging all parties toward a negotiated resolution to the Hormuz crisis.
Whether the access Pakistan has secured through the Hormuz can be sustained, and whether it proves sufficient to shield an economy so heavily dependent on this single passage, remains the defining economic question for Islamabad in the weeks ahead.
ISLAMABAD: Pakistan is considering a series of emergency measures to manage petroleum supplies and pricing amid rising global uncertainty in oil transportation following disruptions linked to the Strait of Hormuz, one of the world’s most critical oil shipping routes.
According to officials, the government is evaluating the possibility of shifting from the current fortnightly petroleum price adjustments to a weekly review mechanism. The proposed change aims to enable quicker responses to rapidly fluctuating global oil prices and shipping costs. Authorities are also exploring options to compensate oil marketing companies for the sharp increases in shipping insurance and freight charges resulting from heightened geopolitical tensions in the region.
Government sources indicate that Pakistan currently holds more than 500,000 tonnes of petrol and diesel in stock, which is sufficient to meet national demand for approximately 25 to 26 days. Officials maintain that there is no immediate threat of a fuel shortage. However, precautionary measures are being implemented to safeguard supply chains and prevent potential market disruptions.
To secure continued energy imports, Pakistan has approached Saudi Arabia to facilitate oil shipments through alternative Red Sea routes, bypassing the Strait of Hormuz. In addition, Pakistan State Oil has reportedly issued import tenders for shipments that would avoid the affected maritime corridor.
The situation has also significantly increased the cost of importing fuel. Insurance premiums for oil shipments have reportedly surged from about $30,000 to nearly $400,000 per vessel, while freight costs have risen to over $4 million per shipment, up from roughly $900,000 previously.
Officials warn that if the rising import costs are not managed through policy adjustments, the price gap could reach around Rs45–50 per litre for diesel and Rs25–26 per litre for petrol.
A cabinet committee led by the finance minister is closely monitoring developments and reviewing options to ensure stable fuel availability while minimizing the economic impact on consumers and the broader economy.
