Thailand’s Foreign Tourist Arrivals Drop 3.2% Year-on-Year

Pakistan and the United States have reaffirmed their commitment to finalising a reciprocal trade framework at the earliest, signalling significant progress in negotiations aimed at strengthening bilateral trade, investment, and long-term economic cooperation. The renewed commitment was expressed during a virtual meeting held on Wednesday between Pakistan’s Finance Minister Muhammad Aurangzeb and United States Trade Representative (USTR) Ambassador Jamieson Greer. The two sides reviewed the progress made by their negotiating teams and discussed the remaining steps required to conclude the proposed agreement. According to an official statement, both countries acknowledged that negotiations have advanced substantially in recent months and reiterated their shared determination to complete the reciprocal trade framework as soon as possible. During the meeting, Finance Minister Muhammad Aurangzeb referred to the recent discussions held in Washington, D.C., and appreciated the constructive approach adopted by both negotiating teams. He said the steady progress reflects the mutual commitment of Pakistan and the United States to deepen economic ties and expand commercial cooperation. The finance minister stressed that maintaining the current momentum in negotiations is crucial for Pakistan’s broader economic agenda. He noted that a stronger trade and investment partnership with the United States would support Pakistan’s export-led growth strategy, improve economic resilience, attract foreign investment, and create new business opportunities for companies in both countries. Aurangzeb also highlighted the importance of continued collaboration with the US Export-Import Bank (EXIM Bank), saying enhanced financial cooperation could facilitate trade, encourage investment, and strengthen business-to-business engagement between the two countries. On the US side, Ambassador Jamieson Greer acknowledged Pakistan’s consistent engagement throughout the negotiation process and appreciated the progress achieved on key labour and regulatory reforms. He particularly welcomed Pakistan’s efforts to strengthen compliance with international labour standards, including measures related to preventing forced labour. The US trade representative reaffirmed Washington’s commitment to advancing bilateral trade discussions and expressed confidence that the remaining issues could be resolved through continued technical-level consultations between the two sides. Finance Minister Aurangzeb emphasised the need for close coordination between officials from both countries and called for accelerated technical discussions to build on the progress already achieved. He said timely completion of the agreement would open new avenues for economic cooperation and strengthen long-term bilateral relations. Both delegations expressed satisfaction over the pace of negotiations and agreed to continue regular engagement to finalise the outstanding elements of the reciprocal trade framework. The officials reaffirmed their shared objective of concluding the agreement in the near future, paving the way for stronger trade, investment, and economic collaboration between Pakistan and the United States.

BERLIN: Germany’s decision to postpone an interim assessment of its planned lignite phase-out in North Rhine-Westphalia has raised speculation that some coal-fired power plants could remain available for longer than originally scheduled to protect the country’s electricity supply. The German government had been expected to publish an interim report by August 15 examining the consequences of the planned early shutdown of lignite-fired generation in the country’s largest state. However, the economy ministry has delayed the assessment while it awaits the outcome of tenders for new gas-fired power plants being conducted this year. The development has attracted attention because the report is expected to play an important role in determining whether Germany can maintain electricity security while moving ahead with its ambitious coal-exit strategy. Agreement with RWE Under an agreement reached in 2022 between the German government and energy company RWE, lignite-fired electricity generation in North Rhine-Westphalia is scheduled to end by March 2030. The timetable brought forward the shutdown of several lignite plants by eight years compared with Germany’s broader national coal phase-out target. Lignite, commonly known as brown coal, is among the most carbon-intensive fossil fuels and has long been a major target of Germany’s efforts to reduce greenhouse-gas emissions. The government nevertheless retained the possibility of reassessing the situation by 2026. If the review finds that electricity supplies could be threatened, some RWE facilities could potentially remain available until 2033. Delay raises market expectations The postponement of the interim report has prompted speculation in energy markets that Berlin may eventually use the security provisions included in the agreement. Market expectations have centred on around 3.6 gigawatts (GW) of RWE’s lignite-fired capacity potentially being placed into a so-called security standby arrangement. Under such a mechanism, plants could remain available to operate if the electricity system faces supply shortages, potentially extending their role through the end of 2033. The government, however, has not announced any decision to extend the operating life of the plants. RWE Chief Executive Markus Krebber said on Thursday that the company had not been informed of any change to the agreed 2030 shutdown date. He also indicated that the government had not approached RWE about extending the plants’ operations. Gas power becomes increasingly important The delay comes as Germany seeks to strengthen its electricity system with additional gas-fired generation. Germany has approximately 266 GW of installed electricity-generation capacity, but a substantial portion comes from solar and wind power. While renewable energy has expanded rapidly, both technologies are weather-dependent and cannot independently guarantee continuous electricity production around the clock. That has intensified concerns about how the country will maintain reliable power supplies as coal-fired generation is gradually removed from the system. Gas-fired plants are increasingly being considered as a flexible source of electricity that can support the grid when renewable generation is insufficient. The government’s current tenders for new gas capacity are therefore closely linked to the broader debate over how quickly Germany can retire coal-fired plants without creating supply risks. Security of supply remains a key concern Germany’s energy transition has faced a difficult balancing act between climate objectives and electricity reliability. The country wants to expand renewable generation while reducing its reliance on fossil fuels, but the retirement of conventional power plants removes generation capacity that can be dispatched when required. The issue became particularly sensitive following the country’s decision to phase out nuclear power, leaving policymakers with fewer sources of low-carbon, dispatchable electricity. Supporters of a rapid coal exit argue that expanding renewable generation, electricity storage, grid infrastructure and flexible gas capacity can compensate for the closure of coal plants. Critics maintain that Germany could face periods of tight supply unless sufficient backup generation is available. AfD presses for reversal The issue has also become politically contentious. The far-right Alternative for Germany (AfD), currently the country’s largest opposition party and leading nationwide opinion polls, has strongly opposed Germany’s coal and nuclear phase-out policies. The party has called for a reversal of the energy-exit strategy, arguing that the closure of conventional power stations could increase the risk of electricity shortages and potentially lead to blackouts. The government, meanwhile, faces the challenge of ensuring that its climate commitments do not undermine electricity security.

KARACHI: Buying activity returned to the Pakistan Stock Exchange (PSX) on Monday, with the benchmark KSE-100 Index gaining more than 400 points during the opening phase of trading as investors showed renewed interest in major sectors. At around 9:50am, the benchmark index was trading at 181,880.56 points, recording an increase of 450.54 points, or 0.25%, compared with the previous close. The positive momentum was supported by buying across several key sectors, including automobile assemblers, cement companies, commercial banks, oil and gas exploration firms, oil marketing companies (OMCs) and refineries. Several heavyweight stocks also contributed to the upward movement. HUBCO, ARL, OGDC, POL, PPL, PSO, HBL, MCB, MEBL and NBP were among the prominent index constituents trading in positive territory during the early session. The latest gains came after the stock market delivered a strong performance last week, when easing geopolitical concerns helped improve investor confidence. Developments surrounding diplomatic efforts between Iran and Oman regarding shipping activity through the strategically important Strait of Hormuz, coupled with expectations of a possible wider understanding between the United States and Iran, provided some relief to financial markets. The KSE-100 Index had climbed 5,335.89 points, or around 3%, during the previous week, closing at 181,430.02 points. Global markets provide additional support The positive trend at the PSX was also in line with broader gains across Asian equity markets. Regional stocks moved higher on Monday after Wall Street ended the previous session at record levels, supported by weaker-than-expected US employment data. The softer US jobs figures reduced expectations of an immediate increase in borrowing costs, encouraging investors to take on more risk. However, uncertainty surrounding diplomatic developments in the Gulf continued to influence energy markets. Oil prices edged higher as concerns persisted over the movement of ships through the Strait of Hormuz, one of the world’s most important routes for global energy supplies. Iran said on Sunday that discussions with Oman over arrangements for new shipping lanes through the Strait of Hormuz were nearing completion. However, Tehran maintained that the waterway would not fully return to normal operations until the United States met additional conditions. The uncertainty contributed to a rise in international crude prices. Brent crude futures increased 0.9% to $84.32 per barrel, while US West Texas Intermediate crude gained 0.7% to $78.74 per barrel. US inflation data in focus Investors are also closely watching the upcoming US consumer inflation data, which could influence expectations regarding the Federal Reserve’s monetary policy. The US July consumer price report, due on Wednesday, is expected to show a 0.1% increase in headline inflation and a 0.2% rise in core inflation, according to market expectations. A stronger-than-anticipated inflation reading could revive concerns that the Federal Reserve may consider raising interest rates in the coming months. Conversely, a softer reading could strengthen expectations of a more accommodative monetary policy. Market pricing currently indicates that expectations for a September rate move have weakened. The probability of such a move has fallen to roughly 44%, compared with about 67% a week earlier. The decline in expectations for higher interest rates supported US Treasury bonds on Friday and helped major Wall Street indices finish at record levels. Asian equities follow Wall Street Asian markets broadly followed the positive lead from the United States on Monday. Japan’s Nikkei 225 advanced around 0.6%, while South Korea’s benchmark index gained approximately 0.5%. Meanwhile, MSCI’s broadest index of Asia-Pacific shares excluding Japan rose about 0.3%. For Pakistan’s equity market, the combination of stronger global sentiment, improved geopolitical expectations and renewed buying in heavyweight stocks provided support at the start of Monday’s session.