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China’s growing multilateral financing strengthens global development prospects

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China’s growing multilateral financing strengthens global development prospects

ISLAMABAD, Oct 22 (ABC): China’s growing contributions to multilateral development institutions and climate financing mechanisms are strengthening international development cooperation. The expansion could create new opportunities for developing economies to access infrastructure funding, affordable loans and investment in climate-resilient projects.

A study released earlier this month by the Washington-based Center for Global Development (CGD) found that China’s annual contributions to development-oriented multilateral institutions had increased more than tenfold since 2010, exceeding $3 billion in 2024.

The study also estimated that China’s attributable multilateral climate finance reached approximately $5.3 billion in 2025. This reflects the country’s expanding participation in international efforts to support climate action and sustainable development.

These developments come as developing economies face growing infrastructure needs, increasing climate risks and limited financial resources for large-scale projects.

Abdul Jabbar, a climate expert at the Climate Resourcing Coordination Center, told Wealth Pakistan that China’s growing participation in multilateral climate finance could help address funding shortages in developing countries.

He said countries vulnerable to climate change often lacked sufficient resources to invest in adaptation measures and cleaner energy systems.

According to Jabbar, greater contributions by major economies could increase the availability of long-term financing. Such support could also help developing countries implement projects that would otherwise be difficult to finance.

“Countries such as Pakistan require long-term and affordable capital for flood protection, water conservation, renewable energy, resilient transport infrastructure and climate-smart agriculture. Greater participation by major economies in multilateral climate financing mechanisms could expand the resources available for these investments and encourage additional funding from other development partners,” he said.

Jabbar explained that climate financing was becoming increasingly important for protecting infrastructure, agricultural production and economic activity from extreme weather.

Multilateral financing arrangements could support climate adaptation, renewable energy and sustainable infrastructure. These mechanisms are particularly important where domestic resources cannot meet growing development requirements.

Pakistan needs stronger project preparation to attract climate finance

China’s expanding financial engagement also highlights the importance of international cooperation in addressing development challenges.

Multilateral development banks and other international financial institutions provide funding for infrastructure, economic development and projects with long-term social and environmental benefits.

Greater financial contributions could strengthen these institutions’ capacity to support developing economies, particularly those facing difficulties in obtaining affordable commercial financing.

However, Jabbar stressed that access to international climate finance depended on more than the availability of funding.

He said developing countries needed credible investment proposals, sound technical assessments and realistic financial plans. Effective implementation arrangements and environmental safeguards were equally important.

“Pakistan cannot rely solely on its vulnerability to climate change as a justification for attracting international financing. It needs technically sound, financially credible and implementation-ready projects that clearly demonstrate how investments will reduce climate risks or support emissions reduction,” he cautioned.

Jabbar said Pakistan could strengthen cooperation with Chinese financial institutions and multilateral development banks to improve its capacity for preparing and implementing projects.

Such partnerships could provide technical expertise, improve project design and strengthen the financial viability of investments in renewable energy, water management and climate-resilient infrastructure.

He also called for stronger monitoring systems to ensure that climate financing commitments translated into completed projects with measurable benefits.

“Transparent reporting, credible project evaluation and effective implementation will be essential if Pakistan wants to build investor confidence and secure a larger share of international climate finance,” he said.

Multilateral financing could complement CPEC cooperation

China’s expanding role in multilateral development financing could also benefit countries seeking to combine infrastructure development with climate resilience and economic growth.

For Pakistan, which maintains extensive economic cooperation with China under the China-Pakistan Economic Corridor (CPEC), the development could create additional opportunities for investment partnerships.

Dr Khalid Waleed, Research Fellow at the Sustainable Development Policy Institute (SDPI), said China had already played an important role in supporting Pakistan’s infrastructure development and economic connectivity.

Talking to Wealth Pakistan, he highlighted the contribution of CPEC to energy and transport infrastructure.

Waleed said China’s growing engagement with multilateral development institutions could add another dimension to bilateral economic cooperation.

Through these institutions, Pakistan could explore financing opportunities for projects that support economic development, climate resilience and environmental sustainability.

“Pakistan has already benefited from Chinese cooperation in energy and transport infrastructure. The next stage should focus on attracting financing for projects that improve economic productivity, strengthen climate resilience and create sustainable development opportunities. Multilateral partnerships can help make these investments more financially viable and institutionally sustainable,” he said.

He emphasised that Pakistan needed to align its development priorities with emerging opportunities in green financing, regional connectivity and sustainable industrial development.

According to Waleed, the country should identify projects that address immediate infrastructure requirements while contributing to long-term economic and environmental objectives.

Investment in climate-resilient infrastructure, cleaner energy systems and sustainable industries could improve economic productivity while reducing environmental risks, he added.

Stronger institutions essential for securing development funding

Multilateral development institutions offer developing countries access not only to financing but also to technical expertise, institutional support and internationally recognised project standards.

Experts believe Pakistan could benefit from these opportunities by improving coordination among government departments, development partners and project implementation agencies.

They stressed that access to international financing depended on a country’s ability to develop bankable projects, meet financing requirements and demonstrate effective use of resources.

Stronger project preparation, transparent implementation and credible evaluation could help Pakistan attract greater investment in priority sectors.

Meanwhile, China’s increasing contributions to multilateral development and climate financing could expand opportunities for developing economies seeking affordable capital and sustainable investment.

For Pakistan, these developments could complement existing cooperation with China and support new partnerships in climate resilience, infrastructure modernisation and higher-value economic activities.

Experts believe that translating these opportunities into tangible results will require Pakistan to strengthen institutional capacity, improve project planning and align investment decisions with long-term economic and environmental priorities.

Pakistan’s mango pulp exports fetch $1.13m in FY26

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Pakistan’s mango pulp exports fetch $1.13m in FY26

ISLAMABAD, Oct 22 (ABC): Pakistan exported mango pulp worth $1.13 million to 13 international markets during the fiscal year 2025-26, with total shipments reaching 1.53 million kilogrammes.

According to official trade figures available with Wealth Pakistan, Libya emerged as the largest buyer of Pakistani mango pulp in both value and volume terms. Turkey and Angola followed as the second- and third-largest export markets by value.

Libya purchased mango pulp worth $587,664, with shipments totalling 890,400 kilogrammes. The country alone accounted for 51.95% of Pakistan’s total mango pulp export earnings and 58.16% of the quantity shipped during the fiscal year.

Turkey and Angola also remained important markets for Pakistani mango pulp. Exports to Turkey reached $129,294.87, involving 131,160 kilogrammes.

Meanwhile, Angola imported 202,019.66 kilogrammes of mango pulp valued at $127,354.10.

Together, Libya, Turkey and Angola generated 74.64% of Pakistan’s total mango pulp export earnings. The remaining 10 markets contributed 25.36%.

European markets contribute to mango pulp exports

Spain and the United Kingdom also emerged as important destinations for Pakistani mango pulp during FY26.

Spain imported 95,040 kilogrammes worth $83,635.20, while exports to the United Kingdom reached 47,965 kilogrammes valued at $69,632.71.

Combined export earnings from these two European markets stood at approximately $153,268.

Pakistan also shipped mango pulp to the United States and Saudi Arabia.

Exports to the United States amounted to $56,467.61, involving 47,654.4 kilogrammes. In comparison, Saudi Arabia purchased 98,168 kilogrammes worth $53,891.17.

Although the United States generated slightly higher export earnings, Saudi Arabia purchased more than twice the quantity shipped to the American market.

Pakistan exports mango pulp to 13 international markets

Several smaller markets also contributed to Pakistan’s mango pulp export earnings during the fiscal year.

Afghanistan imported mango pulp worth $8,852, followed by Canada with purchases valued at $5,599.87 and the Netherlands at $3,575.

Similarly, Australia purchased mango pulp worth $3,175.96, while Germany and New Zealand recorded imports valued at $1,140.01 and $850.02, respectively.

Overall, Pakistan exported mango pulp to 13 international markets during FY2025-26. However, the seven largest destinations accounted for 97.95% of total export earnings.

The remaining six markets contributed approximately 2.05% of the total.

The figures highlight the strong concentration of Pakistan’s mango pulp exports in a few major destinations, particularly Libya, Turkey and Angola.

At the same time, shipments to markets across Europe, North America, the Middle East and the Asia-Pacific region demonstrate the international reach of Pakistan’s mango pulp exports.

China leads Pakistan’s Rs8.1 trillion foreign-funded development portfolio

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China leads Pakistan’s Rs8.1 trillion foreign-funded development portfolio

ISLAMABAD, Oct 22 (ABC): China leads Pakistan’s foreign-funded development portfolio, with six projects worth Rs2.539 trillion. These projects account for approximately 31.4% of the country’s total portfolio of Rs8.099 trillion, covering 98 development schemes.

According to official figures for the fiscal year 2026-27, the Ministry of Planning, Development and Special Initiatives has listed 98 foreign-funded development projects. A copy of the donor-wise statement is available with Wealth Pakistan.

China holds the largest share of the portfolio in terms of estimated project cost. Notably, it leads all individual donors despite supporting only six of the 98 projects.

By June 30, 2026, estimated expenditure on China-supported projects had reached Rs57.229 billion. Meanwhile, the recorded throw-forward stood at Rs2.482 trillion, reflecting the substantial expenditure still required to complete these schemes.

For the current fiscal year, the government has allocated Rs31.7 billion to China-supported projects. This includes Rs25.829 billion in rupee cover and Rs5.872 billion in local funding.

IDA and ADB hold major shares of development portfolio

The International Development Association (IDA) ranks second among development partners. Its nine projects carry a combined estimated cost of Rs2.279 trillion, representing approximately 28.1% of the overall portfolio.

By June 30, 2026, estimated expenditure on these projects had reached Rs695.401 billion. The government has allocated another Rs60.075 billion for the current fiscal year.

The Asian Development Bank (ADB), meanwhile, supports the highest number of projects among all donors.

Its portfolio includes 31 schemes with a combined estimated cost of Rs1.131 trillion. Estimated expenditure on these projects stood at Rs396.357 billion, while the government has allocated Rs65.89 billion for 2026-27.

Similarly, the Islamic Development Bank supports three projects worth Rs851.969 billion.

Expenditure on these schemes reached Rs224.728 billion by June 2026. The government has also allocated Rs40.31 billion for their implementation during the ongoing fiscal year.

The official statement identifies another four projects under the multiple-donor category. Together, these projects have an estimated cost of Rs331.813 billion.

Interestingly, this category has received the highest annual allocation of Rs80.284 billion for 2026-27. The amount includes Rs23.584 billion in rupee cover and Rs56.7 billion in local funding.

Saudi Arabia, France and South Korea also support projects

Several other bilateral and multilateral partners contribute to Pakistan’s development portfolio.

Saudi Arabia supports three projects with a combined estimated cost of Rs255.705 billion. The government has allocated Rs3 billion for these projects during the current fiscal year.

Likewise, the Asian Infrastructure Investment Bank (AIIB) supports two projects worth Rs237.77 billion. These schemes have received an allocation of Rs9.4 billion for 2026-27.

France is associated with seven projects carrying a combined estimated cost of Rs112.154 billion. The government has allocated Rs10.766 billion for their implementation this year.

South Korea also supports seven projects, valued at Rs98.171 billion. Their annual allocation stands at Rs12.02 billion.

In addition, the official statement lists separate portfolios for the World Bank and the International Bank for Reconstruction and Development (IBRD).

The World Bank category includes eight projects worth Rs90.649 billion. Meanwhile, the IBRD category covers six schemes with an estimated cost of Rs40.482 billion.

For 2026-27, the government has allocated Rs12.679 billion to projects listed under the World Bank category. The allocation for IBRD-supported schemes stands at Rs12.198 billion.

Other development partners include Japan, the United States, Germany, Kuwait Fund, Italy and UN-Habitat. These partners support projects of varying sizes across the country’s development programme.

Pakistan allocates Rs345.6 billion for foreign-funded projects

Overall, estimated expenditure on Pakistan’s 98 foreign-funded development projects reached Rs1.981 trillion by June 30, 2026.

At the same time, the official statement recorded a total throw-forward of Rs5.294 trillion. This represents expenditure remaining on the projects beyond the amounts already spent, as recorded in the statement.

For fiscal year 2026-27, the government has allocated Rs345.625 billion for foreign-funded development projects.

Of this amount, Rs255 billion falls under rupee cover, while Rs90.625 billion represents local funding.

The multiple-donor category has received the highest allocation of Rs80.284 billion. ADB-supported projects follow with Rs65.89 billion, while IDA projects have received Rs60.075 billion.

In comparison, China-supported projects have received Rs31.7 billion for the current fiscal year.

These allocations show that the government has distributed development funding across several international partners, even though China accounts for the largest share of the total estimated project cost.

China’s leading position also highlights the scale of development cooperation between Pakistan and China.

However, the official donor-wise statement does not provide a project-level breakdown of the sectors covered by the six China-supported schemes.

AI productivity gains open new growth opportunities for developing economies

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AI productivity gains open new growth opportunities for developing economies

ISLAMABAD, Oct 21 (ABC): Artificial intelligence (AI) is creating new opportunities for economic growth in developing countries. The technology could improve workforce productivity, strengthen public services and help overcome shortages of specialised skills. However, gaps in digital infrastructure and technological readiness could limit these benefits.

According to the World Bank’s World Development Report 2026, around 16.2% of jobs in developing economies could benefit from meaningful AI productivity gains. The corresponding figure for high-income countries stands at 18.7%.

This relatively small difference suggests that developing economies could benefit considerably from AI adoption.

The report also estimates that 4.5% of jobs in low- and middle-income countries face potential automation risks. In comparison, the figure reaches 14.2% in high-income economies.

These findings suggest that AI could help developing countries improve productivity while exposing a smaller share of jobs to automation risks.

Meanwhile, developing economies face a challenging growth outlook. UN Trade and Development expects their combined economic growth to slow from 4.7% in 2025 to approximately 4% in 2026. Global growth is projected at 2.6%.

Separately, International Monetary Fund (IMF) estimates suggest that AI could eventually increase annual global productivity growth by as much as 0.8 percentage points.

Prof Dr Muhammad Usman Ghani Khan, Director of the National Centre of Artificial Intelligence at UET Lahore, told Wealth Pakistan that developing economies should focus on using AI to improve workforce productivity rather than replace workers.

“For countries where capital and specialised expertise are limited, AI can help people perform tasks faster, make better decisions and access knowledge that previously required expensive professional support. That creates the possibility of productivity gains without waiting decades to build the same institutional capacity as advanced economies,” he said.

Khan explained that AI could offer substantial benefits to countries facing shortages of skilled professionals and limited institutional resources. It could also help businesses that lack the financial capacity to invest heavily in modern technologies.

He identified agriculture, healthcare, education, manufacturing, financial services and public administration as sectors with considerable potential for AI adoption.

In agriculture, AI-based advisory systems could provide farmers with useful information and support better decision-making. Similarly, healthcare institutions could use AI to improve administrative processes and service delivery.

Educational institutions could use the technology to support teaching and administrative activities. Manufacturers and financial service providers could also improve efficiency, strengthen analytical capabilities and reduce repetitive workloads.

However, Khan stressed that simply providing access to AI tools would not automatically improve economic productivity.

“Using a chatbot is not the same as achieving an economic productivity gain. The real transformation happens when AI becomes part of a factory process, hospital workflow, farm advisory system, financial operation or government service and measurably reduces time, cost or error,” he said.

AI could help developing economies improve productivity

Developing economies are increasingly exploring AI as a new source of growth. Many countries face pressure on traditional economic drivers, including investment, exports and industrial expansion.

The World Bank’s findings suggest that AI could help workers and institutions perform their existing tasks more efficiently. As a result, businesses could increase output without requiring equally large increases in labour or capital.

However, the productivity benefits of AI vary across sectors, occupations and organisations.

An International Labour Organization (ILO) review found that AI applications produced productivity gains ranging from approximately 10% to 70% in selected tasks and settings.

Nevertheless, the review noted that improvements in individual tasks did not always translate into higher productivity across entire businesses or national economies.

This distinction highlights the importance of organisational readiness and effective implementation.

For developing countries, weak digital infrastructure, limited workforce skills and institutional constraints could prevent businesses from fully benefiting from AI.

Therefore, experts believe countries must combine technology adoption with workforce training, institutional improvements and investment in digital infrastructure.

Pakistan plans $1 billion investment in AI by 2030

Pakistan could benefit from AI adoption in manufacturing, agriculture, public services and other economic activities.

The government has committed to investing $1 billion in artificial intelligence by 2030. The planned investment includes developing sovereign computing infrastructure and strengthening research capabilities.

The government’s objectives also include training one million non-IT professionals in AI-related skills. In addition, it plans to provide 1,000 fully funded doctoral scholarships in artificial intelligence.

Under the National AI Advancement Initiative, seven AI hubs are being established across the country. The initiative also envisages 20,000 training opportunities to support skills development and wider technology adoption.

According to the government, the National Centre of Artificial Intelligence and its network of laboratories have already developed more than 220 AI products and designs across different sectors.

These initiatives aim to strengthen Pakistan’s technological capabilities and encourage the use of AI in economic and public-sector activities.

However, investment commitments and training programmes alone may not produce measurable productivity improvements.

Pakistan will also need stronger cooperation among research institutions, businesses and public-sector organisations to translate technological progress into practical economic benefits.

Khan said developing economies should prioritise practical AI applications rather than immediately competing with advanced economies to develop the largest and most sophisticated AI models.

He explained that countries with limited financial and technological resources could still achieve substantial benefits by adapting existing AI systems to local needs.

“The advantage will come from solving local problems at scale. If developing countries can combine affordable AI with skilled people, reliable data and sector specific applications, productivity gains can spread far beyond the technology industry itself,” he said.

According to Khan, AI could deliver the greatest benefits when businesses and institutions use it to address specific operational problems.

Such applications could improve decision-making, reduce costs and help organisations use their existing resources more efficiently.

For Pakistan, closer cooperation among universities, research centres and businesses could support the development of AI applications suited to domestic industries.

At the same time, the country would need skilled professionals, reliable digital infrastructure and relevant data to support wider adoption.

Digital infrastructure remains a major challenge

Despite its potential, AI could also widen economic differences between advanced and developing countries.

Access to reliable electricity, internet connectivity, computing resources and skilled professionals varies considerably across economies.

Countries with stronger digital infrastructure and established innovation systems may adopt AI more rapidly. In contrast, countries facing infrastructure and skills shortages could struggle to achieve similar results.

Consequently, unequal access to technology could increase existing productivity gaps between advanced and developing economies.

However, the World Bank’s estimates suggest that developing countries still have substantial opportunities to benefit from AI, particularly when it supports existing workers.

For Pakistan and other developing economies, the priority should be to turn growing access to AI into measurable improvements in manufacturing, agriculture, services and public administration.

Experts believe that countries can achieve these gains by developing workforce skills, strengthening digital infrastructure and encouraging practical applications across industries.

Ultimately, the economic impact of AI will depend on how effectively countries integrate the technology into productive activities rather than simply increasing access to digital tools.

Binance launches Qafila 2026 as young Pakistani users drive digital finance adoption

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Binance launches Qafila 2026 as young Pakistani users drive digital finance adoption

ABU DHABI, Oct 21 (ABC): Binance, the world’s largest cryptocurrency exchange by trading volume and number of registered users, announced Qafila 2026, a regional initiative bringing eligible users across the Middle East, North Africa and Pakistan together to celebrate their shared financial journey and explore a broader range of digital financial tools.

With US$1 million in USDC rewards, Qafila reflects Binance’s commitment to evolving alongside its community as users’ needs extend across trading, earning, payments, learning and access to global financial markets.

Young Pakistanis lead digital finance adoption

Qafila launches against a backdrop of growing digital financial participation in the region, as new Binance user data highlights the rising influence of Gen Z and broader adoption of digital financial services across MENA and Pakistan.

Young users aged 18–29, representing the adult Gen Z demographic, account for 50% of Binance’s user base across MENA and Pakistan, rising to 54% in Pakistan, underscoring the important role of younger generations in shaping the region’s evolving digital financial landscape.

Beyond demographic trends, Binance’s regional data also points to growing engagement across its ecosystem. More than half (52.9%) of verified users across MENA and Pakistan have engaged with two or more Binance products.

Spanning services and experiences from trading and earning to payments, Binance Square and Binance Academy, the ecosystem reflects Binance’s expanding role beyond trading, bringing together financial tools, education and community engagement on one platform.

Emerging markets account for 77% of Binance users

These regional developments sit within a wider shift in financial participation across emerging markets. Binance’s global platform data shows that 77% of its users are based in emerging markets, up from 49% in 2020.

Global Binance Research findings further highlight the role of a new generation of financial users. Gen Z accounts for 44% of Binance Direct Stocks and bStocks users, while its share of new TradFi users rose from 41% in January to 47% in July 2026.

The global findings highlight younger users’ participation in traditional financial markets through digital platforms, reinforcing the importance of access, choice and financial education.

Qafila reflects Binance’s vision of integrated financial services

These evolving user needs reflect Binance’s vision of “All Finance on Binance”: bringing digital assets, traditional financial markets and everyday financial tools together in one ecosystem.

Qafila brings this vision to life for eligible communities across the region through shared participation and access to locally available products and services.

“MENA and Pakistan are priority markets for Binance, where growing digital adoption is changing what users expect from financial services,” said Tarik Erk, Head of MENAT and Senior Executive Officer at Binance.

“Our focus is to evolve alongside our community, bringing greater choice, practical utility and education into one ecosystem through our vision of All Finance on Binance. Qafila celebrates that community and the different ambitions driving its financial journey.”

Named after the concept of a caravan, Qafila draws on an idea familiar across Arabic- and Urdu-speaking communities: people moving forward together while pursuing their own ambitions.

The initiative brings that shared purpose into a regional experience, connecting users across markets through participation, discovery and rewards.

Qafila offers US$1 million in USDC rewards

Eligible participants can take part in activities across Binance, including trading, Simple Earn and community referral activities, subject to applicable market rules.

A total reward pool of US$1 million in USDC supports the initiative, with tasks, eligibility and rewards varying by market and user.

For Binance, this regional initiative translates into a shared journey shaped by different ambitions, practical needs and ways of participating in digital finance.

Punjab proposes £300,000 farming project for Cholistan, Thal

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Punjab proposes £300,000 farming project for Cholistan, Thal

ISLAMABAD, Oct 21 (ABC): The Punjab government has proposed a £300,000 climate-resilient agriculture project for the Cholistan and Thal desert regions to promote climate-resilient crops, nature-based farming practices and digital advisory services to help farmers cope with changing climatic conditions.

According to documents available with Wealth Pakistan, the project, titled “AgriAdapt: Nature-Based Solutions for Climate-Resilient Farming in Cholistan Desert Zone and Sandy Desert Zone (Thal)”, has been included in the Pakistan Climate Prosperity Plan.

The proposed initiative aims to strengthen agricultural resilience through nature-based and ecosystem-based adaptation measures. It will also promote climate-resilient crops, improve digital advisory and early warning services, and strengthen market linkages and institutional capacity.

The project envisages a 12-month pilot programme with an indicative budget of £300,000, focusing on practical agricultural solutions suited to the challenging climatic conditions of Cholistan and Thal.

Under the proposed implementation plan, the first two months will focus on selecting project zones and demonstration sites, conducting baseline assessments of farmers and stakeholders, and preparing crop plans.

From the third to the eighth month, the programme will introduce field demonstrations, digital agricultural advisory services, early warning systems and farmer training.

Activities between the sixth and tenth months will focus on developing market connections and crop insurance linkages to help farmers manage agricultural and climate-related risks.

The final two months will be devoted to validating project outcomes, supporting institutional adoption and preparing a plan for expanding successful interventions.

Climate-resilient crops and digital advisory services

A major component of the proposed initiative involves establishing demonstration sites for climate-resilient crops and nature-based farming solutions tailored to the agricultural conditions of Cholistan and Thal.

These sites will help farmers explore agricultural practices suited to the environmental challenges of the two desert regions.

The project also proposes climate-informed digital advisory services and community-level early warning systems to help farmers make informed decisions about crop planning and agricultural activities.

Another component focuses on strengthening market and value-chain linkages, including opportunities for value-added agricultural production.

These measures aim to improve connections between farming communities and agricultural markets while supporting more sustainable farming practices.

The initiative also envisages inclusive crop insurance and financial resilience mechanisms to help farmers manage climate-related risks and potential agricultural losses.

According to the project document, the Punjab government’s Planning and Development, Agriculture and Environment departments have been identified as lead government partners.

The Agriculture Department will serve as the implementing partner, while ADPC has been designated as the technical lead.

Farmers and farmer groups will participate in field demonstrations and the adoption of climate-resilient agricultural practices.

Private-sector organisations will contribute to market access, value-chain development and agricultural processing. Meanwhile, civil society organisations, community groups and research institutions will support outreach, evidence generation and technical activities.

The proposed pilot brings together climate-resilient crop demonstrations, digital advisory services, early warning systems, market development and crop insurance under a single agricultural adaptation framework.

By combining these interventions, the initiative seeks to improve farmers’ capacity to respond to climate-related challenges while strengthening agricultural productivity and market participation in the Cholistan and Thal desert regions.

China’s high-tech FDI surge signals shift towards innovation-driven investment

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China’s high-tech FDI surge signals shift towards innovation-driven investment

ISLAMABAD, Oct 20 (ABC): Foreign investment in China’s high-tech industries has surged, highlighting a shift in international investor priorities towards research, advanced manufacturing and innovation-driven production, as multinational companies increasingly seek opportunities in technology-intensive sectors.

According to the latest data from China’s Ministry of Commerce (MOFCOM), foreign investment actually utilised in high-tech industries rose 35.1% year-on-year to RMB200.26 billion during January-August 2026, even as overall foreign direct investment (FDI) declined 5.3% to RMB479.95 billion during the same period.

High-tech industries accounted for 41.7% of total utilised foreign investment, up 12.4 percentage points from a year earlier.

The increase was particularly strong in research and development (R&D). Foreign investment in R&D and design services jumped 74%, while investment in services supporting the commercialisation of scientific and technological achievements increased 64.2%. FDI in electronic and telecommunications equipment manufacturing also rose 41.9%.

These figures highlight China’s growing attractiveness as a centre for technological innovation and higher-value production. They also reflect a changing investment pattern in which research capabilities, advanced manufacturing and technological development are becoming increasingly important to multinational investors.

The shift carries implications for international industrial cooperation, particularly for developing economies seeking greater participation in advanced manufacturing and global technology supply chains.

Asad Rehman, Policy Analyst at S&P Global, told Wealth Pakistan that China’s innovation-driven growth offered important lessons for Pakistan, which needed to move its industrial cooperation strategy towards technology transfer, research partnerships and higher-value manufacturing.

He said Pakistan should align its industrial development priorities more closely with China’s technological strengths. It should also pursue joint ventures that improve productivity, develop local industrial capabilities and strengthen export competitiveness.

“Pakistan has to distinguish between attracting Chinese capital and attracting Chinese technology. The next objective should not merely be the establishment of more Chinese-owned factories; it should be to bring investment that creates local supplier networks, transfers production capabilities, trains engineers and technicians, and gradually integrates Pakistani firms into higher-value regional supply chains,” he said.

Foreign-funded research centres strengthen China’s innovation ecosystem

China’s Ministry of Commerce said earlier this year that foreign-funded R&D centres were becoming an increasingly important part of the country’s innovation system.

Multinational companies have been shifting some of their operations in China from production bases towards innovation hubs serving wider markets.

Around 14,000 new foreign-invested enterprises were established in scientific research and technical services during 2025, representing a year-on-year increase of 27.2%.

The expansion of foreign-funded research activities highlights China’s growing role not only as a major manufacturing centre but also as a destination for technological development, product innovation and the commercialisation of scientific research.

For developing economies, this trend demonstrates the importance of attracting investment that combines capital with technological expertise, skilled employment, research collaboration and access to international supply chains.

Rehman said the second phase of the China-Pakistan Economic Corridor (CPEC 2.0) provided an established platform for expanding such cooperation.

He noted that the bilateral economic agenda increasingly emphasised industrialisation, innovation and business-to-business partnerships.

Pakistan, he said, should adopt a targeted approach by identifying sectors where China’s technological strengths align with its existing industrial base and export potential.

“Pakistan should identify the sectors where Chinese capabilities match Pakistan’s existing industrial base and export potential. Electric vehicles and components, batteries and energy-storage systems, electronics, solar and renewable-energy equipment, agricultural technology, pharmaceuticals and selected engineering industries could offer realistic entry points,” he said.

However, Rehman cautioned that attracting technology-intensive investment would require Pakistan to address persistent investment bottlenecks, strengthen industrial competitiveness and improve its business environment.

Pakistan urged to strengthen research and industrial linkages

Muhammad Kamran, Scientific Officer at the Pakistan Council of Scientific and Industrial Research (PCSIR), said China’s rapid expansion in high-tech industries was strengthening its position in global technological development and creating opportunities for international cooperation.

Talking to Wealth Pakistan, he said China’s progress in advanced manufacturing, green technologies and innovation-intensive industries offered considerable potential for bilateral industrial and technological partnerships.

However, Pakistan’s ability to benefit from these developments would depend largely on strengthening domestic industrial capabilities and preparing local enterprises to participate in more sophisticated manufacturing activities.

Kamran said Pakistan had a growing pool of information technology professionals and an extensive network of universities and research institutions. However, these resources had yet to be effectively integrated into industrial development.

He stressed the need for closer cooperation among universities, research organisations and manufacturing enterprises to develop the technical expertise required by advanced industries.

Kamran also emphasised the importance of creating conditions that encourage Chinese and other international manufacturers to make long-term production commitments in Pakistan.

He said predictable regulations, reliable electricity supplies, efficient transportation networks and stronger investor safeguards were essential for attracting technology-driven industries.

The changing composition of foreign investment in China shows how technological capabilities, research infrastructure and advanced manufacturing ecosystems are gaining importance in international investment decisions.

For Pakistan, experts believe CPEC 2.0 offers an opportunity to develop technology-based industrial partnerships while improving the domestic conditions needed to support them.

Kamran said Pakistan would need to connect its scientific and technical resources more effectively with industrial production and create a stable investment environment to translate opportunities arising from China’s high-tech expansion into sustainable industrial growth.

Punjab plans Rs1 billion dairy project to support 6,400 farmers

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Punjab plans Rs1 billion dairy project to support 6,400 farmers

LAHORE, October 20 (ABC): The Punjab government plans to invest Rs1 billion in a dairy mechanization project to provide subsidized machinery and equipment to 6,400 farmers across all 41 districts of the province over the next two years, aiming to reduce milk losses, improve productivity and modernize dairy farming.

Under the proposed scheme, the government will bear 60% of the cost of eligible machinery, while farmers will contribute the remaining 40%. The subsidy will be capped at Rs500,000 per beneficiary.

Dr Muhammad Naeem Kanwar, Director General (Production) at the Punjab Livestock Department, told Wealth Pakistan that Rs461 million had been allocated for the project in the current fiscal year, while the remaining funds would be provided during FY2027-28.

“The two-year project aims to reduce reliance on manual labour and minimize production losses through mechanization,” he said.

Dr Kanwar said the initiative was primarily designed to help farmers overcome weaknesses in the dairy supply chain, particularly inadequate milk-handling and cold-chain facilities that lead to spoilage and financial losses.

Punjab accounts for approximately 74% of Pakistan’s total milk production, making improvements in storage, refrigeration and transportation essential for strengthening the dairy sector.

The province also plays a major role in the national agricultural economy, contributing 62% to agricultural GDP and 14.04% to national GDP, besides generating foreign exchange through dairy and meat exports.

According to the latest agricultural census data, Punjab has a livestock population of 104.2 million animals, including 29.56 million buffaloes, 26.97 million cattle and 31.31 million goats.

Dr Kanwar said the province had considerable potential to develop a more productive and competitive dairy sector through greater mechanization and improved farm management.

Scheme covers 11 categories of dairy equipment

The proposed project covers 11 categories of livestock and dairy machinery, including single- and double-cluster milking machines, a four-animal bucket milking system, 50-litre milk-cooling cans, and milk-heating tanks with capacities ranging from 160 to 200 litres for yoghurt production.

Other equipment includes milk chillers, butter churners, semi-automatic packing machines, weighing scales, 13-tonne total mixed ration (TMR) feed wagons and mechanical cattle crushes.

Dr Kanwar said the project would also provide training and technical assistance to farmers and relevant personnel to improve equipment use and farm operations.

According to the proposed district-wise allocations, Faisalabad will have the highest number of beneficiaries, with up to 335 farmers expected to receive support during the two-year period.

Rahim Yar Khan follows with 322 beneficiaries, Bahawalnagar with 284, Sargodha with 270 and Okara with 267. Lahore has an allocation for 138 farmers, while Murree has the smallest allocation, with 10 beneficiaries.

Farmers will submit applications at the tehsil level, where officials will scrutinize them before selecting eligible applicants through electronic balloting at the district level.

The project will also engage consultants to finalize machinery specifications, prequalify suppliers, conduct inspections and strengthen the technical capacity of those involved in implementation.

Dr Kanwar said dairy farming remained a major source of food, employment and income for millions of rural households, besides supplying raw materials to the food-processing industry.

For many farming families, milk sales provide a regular source of income throughout the year, while cattle and buffaloes serve as valuable household assets and provide manure for agricultural land.

“As most livestock in Punjab are owned by small and resource-constrained farmers, the two-year project is expected to help them become more economically empowered,” Dr Kanwar said.

Pakistan exports $56.57m worth of dates to 45 international markets

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Pakistan exports $56.57m worth of dates to 45 international markets

ISLAMABAD, Oct 20 (ABC): Pakistan exported fresh and dried dates worth approximately $56.57 million to 45 international markets during FY2025-26, with total shipments reaching 138.74 million kilograms.

According to official export figures available with Wealth Pakistan, the United Arab Emirates (UAE) emerged as the largest buyer in both value and volume terms. Germany and the United Kingdom followed as the second- and third-largest export markets by value.

Dried dates accounted for the largest share of export earnings, generating $40.10 million from shipments of 115.44 million kilograms. This represented approximately 70.89% of total date export earnings.

Meanwhile, fresh dates contributed $16.47 million from shipments of 23.31 million kilograms, accounting for the remaining 29.11%.

UAE accounts for nearly 67% of date export earnings

The UAE remained Pakistan’s leading export destination for dates during FY2025-26.

It purchased fresh and dried dates worth approximately $37.87 million, with combined shipments reaching 113.03 million kilograms.

The UAE alone accounted for nearly 66.94% of Pakistan’s total date export earnings.

Dried dates dominated exports to the UAE, generating $36.93 million. Fresh dates contributed another $933,560.

Germany ranked as the second-largest destination, importing Pakistani dates worth approximately $4.30 million. Shipments to Germany totalled 4.63 million kilograms.

The United Kingdom followed with purchases worth $3.00 million, involving 3.27 million kilograms.

Together, Germany and the UK generated approximately $7.30 million, representing 12.90% of Pakistan’s total date export earnings.

Australia and Turkey among leading buyers

Australia and Turkey also emerged as important destinations for Pakistani dates during the financial year.

Australia imported fresh and dried dates worth approximately $1.90 million, with shipments totalling 2.01 million kilograms.

Meanwhile, Turkey purchased fresh dates worth $1.45 million, involving 2.10 million kilograms.

Although Turkey imported a larger quantity than Australia, its purchases generated lower export earnings.

The United States and Canada also remained important markets for Pakistani dates.

Exports to the United States reached approximately $983,982, with shipments of 969,064 kilograms.

Similarly, Canada imported 938,001 kilograms of Pakistani dates worth about $973,320.

Combined export earnings from these two North American markets stood at approximately $1.96 million.

European and Asian markets contribute to exports

Italy and Bangladesh also contributed to Pakistan’s date export earnings during FY2025-26.

Italy purchased Pakistani dates worth approximately $945,209, while Bangladesh imported consignments valued at around $910,481.

Fresh dates dominated exports to Italy, accounting for $941,768 in earnings.

In contrast, Bangladesh primarily imported dried dates, generating approximately $908,781 in export earnings.

Other destinations included Denmark, Japan, South Africa and Poland.

Denmark imported Pakistani dates worth approximately $632,246, followed by Japan at $537,076.

Meanwhile, exports to South Africa generated $503,934, while Poland contributed $463,882.

These figures highlight the geographical reach of Pakistan’s date exports across several international markets.

Five markets generate nearly 86% of export earnings

The official figures show that Pakistani dates reached 45 distinct international markets during FY2025-26.

Fresh dates were exported to 38 destinations, while dried dates reached 24 markets. Of these, 17 destinations imported both forms.

The five leading markets — the UAE, Germany, the UK, Australia and Turkey — collectively generated approximately $48.52 million.

These destinations accounted for 85.77% of Pakistan’s total date export earnings.

The remaining 40 markets contributed approximately $8.05 million.

The figures highlight Pakistan’s growing geographical reach in the international date trade, with shipments reaching Europe, North America, Asia, Africa and Oceania.

However, they also show that export earnings remain heavily concentrated in a relatively small number of markets, particularly the UAE.

This concentration highlights the potential importance of expanding market access and strengthening export diversification to support Pakistan’s date industry.

G20 trade talks renew momentum for stronger global trading rules

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G20 trade talks renew momentum for stronger global trading rules

ISLAMABAD, Oct 19 (ABC): Recent G20 trade discussions have renewed attention to the need for stronger international trading rules, greater multilateral cooperation and reforms to the World Trade Organization (WTO), as major economies seek common ground on industrial subsidies, trade imbalances and market access.

The discussions have highlighted the importance of maintaining a predictable, rules-based global trading system that supports international commerce, strengthens business confidence and provides a common framework for resolving disputes among developed and developing economies.

At the G20 trade ministers’ meeting in Milwaukee, participating economies discussed industrial overcapacity and forced labour, identifying areas requiring further dialogue to build broader agreement.

According to media reports, the United States and 14 other market-oriented economies issued a separate joint ministerial statement outlining their shared positions. However, differences over trade practices and industrial policies remained unresolved.

The discussions followed the G20 finance ministers’ meeting in Asheville, where the United States raised concerns over global trade imbalances.

Although consensus remained elusive on some issues at both meetings, the exchanges reinforced the importance of sustained dialogue, institutional reform and mutually agreed rules in addressing international trade challenges.

Aadil Nakhoda, Research Fellow at the Centre for Business and Economic Research, Institute of Business Administration (IBA), Karachi, told Wealth Pakistan that the lack of broad consensus appeared to reflect resistance to protectionist approaches and offered a favourable signal for restoring a rules-based international trading system.

“When superpowers bypass rules and regulations to impose their measures, they end up disrupting trade, creating bottlenecks and challenges for the rest of the global economy,” he said.

Nakhoda said resistance to unilateral trade measures suggested a willingness among G20 members to pursue a more predictable trading environment rather than allow international commerce to become increasingly fragmented.

He emphasised that multilateral cooperation remained essential for maintaining stability in global markets, particularly as differences over industrial policies and trade imbalances became more prominent.

WTO reforms seen as essential for stronger trade cooperation

Nakhoda said the WTO remained the most legitimate international institution for addressing trade disputes and establishing common rules governing global commerce.

However, he stressed that its existing framework required substantial reform to respond effectively to changing industrial policies, government intervention and emerging challenges in international trade.

He said the principles underpinning the multilateral trading system needed to be reassessed to reflect the growing role of industrial subsidies and state-supported economic activities.

Without clearer definitions and greater policy alignment among member countries, the WTO would continue to face difficulties in resolving disagreements over industrial overcapacity and market distortions, he added.

Nakhoda also highlighted the need to restore the effectiveness of the WTO’s dispute-settlement system, particularly its Appellate Body, which has remained unable to hear appeals because of unfilled vacancies.

He said modernising the institution’s ability to address emerging forms of government intervention would strengthen confidence in multilateral trade rules and provide countries with more effective mechanisms for resolving disagreements.

At the same time, Nakhoda cautioned against treating industrial subsidies exclusively as a source of market distortion.

He noted that large-scale investments supported by government policies could also expand production capacity, reduce prices and improve access to affordable goods, particularly for consumers in poorer countries.

“It is imperative to consider how subsidies can be costly as well as benefit certain segments of the global population,” he said.

Nakhoda emphasised the need for detailed research into the broader economic effects of subsidies. Such research, he said, could help international trade rules distinguish between harmful market distortions and policies that generate wider economic benefits.

Haris Bilal Malik, Research Associate at the Institute of Strategic Studies Islamabad, said the Milwaukee meeting demonstrated that major economies continued to hold different positions on industrial overcapacity and global trade imbalances.

However, he said these differences reinforced the importance of developing transparent, evidence-based and mutually agreed mechanisms for addressing trade concerns.

According to Malik, the central question was whether major economies would resolve disagreements through established international rules and negotiated solutions or increasingly rely on unilateral tariffs and trade restrictions.

“Unilateral measures can trigger retaliation, disrupt supply chains and increase costs for businesses and consumers,” Malik said.

He argued that major economies should prioritise dialogue, negotiated solutions and multilateral cooperation to prevent trade disagreements from undermining international economic integration.

Restoring WTO dispute settlement could improve trade stability

Malik said the WTO remained the most important multilateral framework for establishing international trade rules and resolving disputes. However, its effectiveness depended on meaningful institutional reform.

One of the organisation’s principal weaknesses, he noted, was its dispute-settlement mechanism.

The WTO Appellate Body has been unable to hear appeals since December 2019 because vacancies among its members have not been filled.

This situation has weakened the organisation’s ability to deliver final and enforceable rulings in trade disputes, creating uncertainty for countries seeking remedies through established multilateral procedures.

Malik said reform efforts should focus on restoring a fully functioning dispute-settlement mechanism, improving transparency around industrial subsidies and strengthening rules to address genuine market distortions.

Such reforms, he argued, would help create a more predictable international trading environment while allowing countries to address legitimate concerns over unfair competition through agreed procedures.

He also cautioned against interpreting trade imbalances as automatic evidence of unfair trade practices.

Trade surpluses and deficits, he explained, were influenced by several economic factors, including domestic savings, consumption patterns, industrial policies and exchange-rate dynamics.

Sustainable economic rebalancing therefore required policy adjustments in both surplus and deficit economies rather than placing the entire burden of adjustment on individual trading partners, he said.

Developing economies could benefit from predictable trade rules

The renewed focus on multilateral trade rules carries particular significance for developing economies, which depend on stable international markets, predictable trading arrangements and affordable imports to support industrialisation and economic growth.

For countries such as Pakistan, a stronger rules-based trading system could provide greater certainty for exporters, manufacturers and investors. It could also improve the ability of smaller economies to protect their commercial interests through established international mechanisms.

Predictable trade policies could help developing countries participate more effectively in global value chains, attract investment and strengthen their export competitiveness.

Conversely, an escalation of tariff disputes among major economies could increase production costs, disrupt international supply chains and create uncertainty for businesses operating in developing markets.

The G20 discussions have therefore highlighted the importance of balancing legitimate concerns over industrial subsidies and market distortions with the need to preserve open international markets and prevent further economic fragmentation.

Malik said the objective should be to reform and strengthen the multilateral trading system rather than weaken it through competing unilateral measures.

He emphasised that a more effective WTO, supported by transparent subsidy rules and a fully operational dispute-settlement mechanism, would provide major and developing economies with a stronger institutional framework for resolving trade disagreements.

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