How is Pakistan raising money for a 20 percent hike in defence spending?
Al Jazeera
Pakistan hikes its defence budget by 20 percent after border clashes with India, economy remains reliant on IMF loans.
Islamabad, Pakistan – Pakistan has increased its defence spending by more than 20 percent – the most substantial hike in a decade – following last month’s military confrontation with neighbouring India.
Presenting the annual federal budget on June 10, Finance Minister Muhammad Aurangzeb proposed an allocation of 2.55 trillion rupees ($9bn) for the country’s three armed services – the army, air force and navy – amounting to 1.97 percent of Pakistan’s gross domestic product (GDP), up from 1.7 percent in the previous budget.
“The security situation in the country is precarious, and the armed forces have rendered commendable service in protecting the borders,” Aurangzeb said during his speech, as India has threatened to carry out strikes if armed groups carry out attacks on India or Indian-administered Kashmir.
But analysts say that Islamabad will need to walk a fine balance in spending more on defence at a time when its fragile economy is under strict oversight from the International Monetary Fund (IMF), and cuts in social sector expenditure could embolden the opposition.
On May 7, India carried out missile strikes on what it called “terrorist infrastructure” in Pakistan and Pakistan-administered Kashmir after blaming Islamabad for backing fighters responsible for the killing of 26 people in Indian-administered Kashmir’s Pahalgam town on April 22.
Repeated assaults and harassment by Israeli settlers and forces has surged since the war on Gaza began in October 2023.
London High Court upholds order that critics say puts the group’s anti-Gaza war protesters on a par with al-Qaeda, ISIL.
The officials from the UN nuclear watchdog had remained in the capital throughout the recent 12 days of fighting.
Russia denies using the weapons, as does Ukraine; International body says previous accusations not “substantiated.”
Using loopholes and fraud, brokers turn poverty in Bangladesh and demand for transplants in India into booming business.
The vote follows a marathon speech from Democratic leader Hakeem Jeffries, who denounced the bill as reckless.
At least 73 Palestinians have been killed in Gaza since dawn, including 33 aid seekers, according to medical sources.
Gaza’s Government Media Office says Israel has committed ’26 bloody massacres’ in the last two days.
Pentagon says its intelligence assessments show that Iran’s nuclear sites were destroyed in ‘bold’ US attacks.
Republicans face concerns about the national debt and Medicaid as they weigh whether to pass the One Big Beautiful Bill.
Dalai Lama confirms that a successor will be chosen. Here’s how – and why it matters to Beijing, Washington, New Delhi.
The measure was approved after almost 48 hours of reading, debate and voting on various amendments.
Trump has set a July 4 deadline for bill, which extends tax cuts, slashes social safety nets and surges national debt.