Newsletter - Page 26 of 299

Pakistan Braces for Intense Heatwave: PMD Countrywide Alert

Severe Heatwave Alert Issued for Pakistan’s Plains from June 18

The Pakistan Meteorological Department (PMD) has issued a nationwide heatwave alert, warning of dangerously high temperatures in several regions. The advisory urges people to avoid outdoor activity during peak hours, as extreme heat continues to grip much of the country.

Scorching Temperatures Ahead

According to the PMD, temperatures are expected to range between 45°C and 50°C in many districts. The hottest period will be from 11am to 4pm, with no relief expected from rainfall. The heatwave is forecast to persist over the coming days, making conditions increasingly severe.

Major Cities on High Alert

Islamabad and surrounding areas will continue to face intense heat and dry conditions. Lahore, the capital of Punjab, may see temperatures rise to 46°C, with no rain in sight. The PMD warns of high UV levels and advises the public to take precautions.

Read: Glacier Collapse in Switzerland Highlights Climate Risks

Strong Winds May Worsen Conditions

In the plains of Punjab, strong and dusty winds are expected during the afternoon. These winds could worsen the already harsh conditions, especially for those exposed to outdoor environments.

Sindh and Balochistan at Risk

Both Sindh and Balochistan will face extreme temperatures, especially in their central and southern plains. The heat poses a serious risk of dehydration and heatstroke in these regions. Authorities are closely monitoring the situation and advising limited travel during peak heat hours.

Mixed Forecast for KP and Northern Areas

In Khyber Pakhtunkhwa, the plains will experience high temperatures similar to other provinces. However, upper areas such as Chitral, Dir, and Swat may receive light rainfall. Despite this, overall weather across KP will remain hot and dry.

Gilgit-Baltistan and Kashmir will also continue to face dry and warm conditions, with no significant rainfall expected.

Public Health Advisory Issued

Medical professionals advise wearing light clothing, drinking plenty of fluids, and watching for signs of heat exhaustion or dehydration.

With temperatures continuing to rise, citizens are encouraged to stay alert and protect themselves during this dangerous heatwave.

Pakistan, UK Reaffirm Commitment to Strengthen Bilateral Ties

In a significant diplomatic engagement, UK High Commissioner Jane Marriott met with Deputy Prime Minister Ishaq Dar in Islamabad on Wednesday. The meeting focused on deepening Pak-UK relations and exploring new areas of cooperation across global and regional platforms.

Strategic Dialogue on Mutual Interests

Both sides engaged in a meaningful exchange on current regional and global developments. They emphasized the importance of maintaining strong political and economic ties. The discussion reflected a shared vision for stability, development, and cooperation between Pakistan and the United Kingdom.

Multilateral Collaboration in Focus

The meeting also highlighted growing cooperation at multilateral forums, particularly the United Nations Security Council. Both leaders agreed that mutual support in global institutions strengthens diplomatic ties and advances shared goals, including peacekeeping, sustainable development, and international law.

Read: Federal Budget 2025-26 Set for Presentation Today Amid Economic Shifts

Security, Trade, and Development Discussed

The conversation touched on security challenges and opportunities to expand trade and investment. Dar and Marriott expressed interest in broadening collaboration in education, green energy, and climate resilience. These areas have remained key components of the UK’s partnership with Pakistan.

Positive Momentum in Diplomatic Engagements

The visit signals continued momentum in diplomatic efforts between the two countries. With evolving geopolitical dynamics, both sides reaffirmed their commitment to regular dialogue and constructive engagement on strategic issues.

Building a Future-Oriented Partnership

Dar appreciated the UK’s support in development initiatives, including health and education projects. He expressed Pakistan’s readiness to enhance bilateral trade and welcome further UK investment. Marriott reiterated the UK’s commitment to working with Pakistan for regional stability and inclusive economic growth.

This meeting reflects a shared commitment to elevate Pak-UK relations to a more strategic and forward-looking partnership. As both nations face new global challenges, such high-level interactions play a crucial role in shaping a cooperative and resilient future.

Pakistan’s Defence Budget Sees Decade-High Surge Amid India Tensions

Pakistan’s defence spending will rise sharply in FY2025-26, with the government allocating Rs2.55 trillion to the armed forces. This marks a 20.2% increase—the largest annual hike in over a decade. The boost comes as tensions with India escalate, following last month’s military clashes between the two countries.

Defence Budget Nears 2% of GDP

With the latest increase, the defence budget now accounts for 1.97% of Pakistan’s GDP, up from 1.7% last year. This upward shift reverses years of gradual decline and brings military spending closer to the 2% mark. Officials framed the hike as a response to growing regional threats and the need for national security.

Largest Jump in Ten Years

The Rs2.55 trillion allocation significantly surpasses last year’s Rs2.122 trillion. According to government data, no defence budget in the past decade has seen such a sharp rise in a single year. Analysts believe the military buildup signals Pakistan’s strategic posture amid rising regional friction.

Read: Aurangzeb Links Budget Cuts to Taxpayer Pressure in FY2025

Security Prioritized Over Social Sectors

While defence spending surges, public investment in social services lags behind. Spending on health and education, measured as a percentage of GDP, remains below 1% for the first nine months of the current fiscal year. Critics warn this imbalance could impact long-term development.

Context of Rising India Tensions

The timing of the budget increase follows recent military exchanges with India. Though officials have not directly linked the clashes to the budget hike, the security establishment has consistently emphasized readiness and deterrence. The allocation suggests that the government is prioritizing defence modernization and operational capacity.

Back to a Security-Centric Budget Approach

This budget reflects a renewed security-centric approach to national planning. While fiscal constraints remain tight, the sharp rise in defence spending indicates that regional instability is influencing budget priorities more than domestic development needs.

Observers now await whether this shift will continue or if future budgets will rebalance social and strategic spending.

Aurangzeb Links Budget Cuts to Taxpayer Pressure in FY2025

Finance Minister Muhammad Aurangzeb defended government spending cuts for FY2025 as a direct response to growing taxpayer frustration. Speaking at a post-budget press briefing, he said the government limited spending increases to just 1.9 percent this year and reduced subsidies and debt-servicing costs.

Pushback from Taxpayers Sparks Change

Aurangzeb acknowledged that earlier criticism from tax-paying citizens was valid. “This was the right pushback,” he said. He warned that unchecked spending could lead to increased borrowing. The government, he added, must prove it takes fiscal responsibility seriously.

Budget Relief and Reforms

The new federal budget offers limited relief to the salaried class and includes incentives for real estate and construction. A 0.5% reduction in super tax aims to support businesses. Salaries and pensions for federal employees rose by 10% and 7%, linked to declining inflation. However, the minimum wage remains unchanged.

Journalists Walk Out Over Lack of Briefing

The briefing began with journalists protesting the absence of a technical session on the Finance Bill. They later walked out, though Aurangzeb continued with a smaller group. He expressed regret and promised regular engagements every four to six weeks.

Read: Online Shopping Comes Under Tax Net in Finance Bill 2025-26

Taxes, IMF Talks, and the Agriculture Sector

Aurangzeb said new taxes worth Rs312 billion are planned to help meet a Rs2.2 trillion revenue goal. He defended not taxing fertilisers and pesticides, saying it was a negotiated move with the IMF to support agriculture.

Digital Economy and Tariff Adjustments

FBR officials detailed tax changes for digital and high-value goods. New tariffs aim to level the playing field between imported and locally assembled solar panels. The government also cut customs duties on 2,700 items tied to exports.

Criticism from Miftah Ismail

Former finance minister Miftah Ismail criticized the budget, calling the relief “inadequate” and reforms “missing.” He said the government missed a chance to enact meaningful changes despite having favorable economic conditions.

Outlook and Future Measures

Aurangzeb described the current approach as a shift in direction, not the final destination. He emphasized continued reforms, documentation of the cash economy, and better enforcement to support long-term economic recovery.

Online Shopping Comes Under Tax Net in Finance Bill 2025-26

The Federal Board of Revenue (FBR) has officially brought online shopping within the tax net under the Finance Bill 2025-26. According to The News, this significant move aims to regulate the growing e-commerce sector and ensure tax compliance from digital marketplaces, payment intermediaries, and courier services involved in the sale of goods and services ordered online.

The newly introduced Section 165C outlines that every payment intermediary and courier service involved in facilitating digital sales must now deduct tax under sub-section (2A) of section 153 of the Income Tax Ordinance. These entities are required to file a quarterly withholding statement with the tax commissioner, providing detailed information on all sellers and transactions handled during each quarter of the fiscal year.

This step reflects the government’s broader agenda to expand the tax base, increase documentation of the economy, and bring transparency to digital financial flows, especially as e-commerce continues to grow in Pakistan.

Read: Govt Targets Non-Filers With Strict Tax Measures in Budget 2025-26

Marketplaces and Couriers

Under the proposed law, payment platforms and courier services must report several key data points for each transaction. These include the name, NTN or CNIC, and address of each seller, the transaction date and invoice number, the total value of the transaction, and the tax amount deducted before payment to the seller. The format of these reports will be officially prescribed by the FBR.

In addition to quarterly reports by intermediaries, all online marketplaces operating in Pakistan will now be required to submit a monthly statement. This statement must list the name, address, Sales Tax and Income Tax registration number of every vendor using the platform, along with details of their monthly turnover and the total amount deposited into their bank accounts for each month.

The goal is to ensure e-commerce vendors pay their fair share of taxes and are held accountable for their digital sales.

Wider Tax Compliance Framework to Apply

According to the bill, all provisions of Section 165 — except sub-sections (1), (1A), and (6) — will apply to the new digital tax system. These include provisions for the due date of filing withholding statements, the possibility of revising submitted statements, the commissioner’s power to call for specific data, and procedures for filing annual withholding statements and reconciling them with annual tax returns.

The inclusion of e-commerce in the formal tax framework marks a critical shift in Pakistan’s tax policy, pushing for greater transparency and regulation of the rapidly expanding digital economy. FBR officials have expressed that this step will not only boost national revenue but also create a level playing field for brick-and-mortar businesses that already operate under tax obligations.

Greenland Ice Sheet Melts at Alarming Rate, Heatwave Increases

Greenland’s vast ice sheet melted 17 times faster than its historical average during a powerful May heatwave, a new report from the World Weather Attribution (WWA) scientific network revealed on Wednesday. The intense warming also affected Iceland, setting records and raising global concerns.

The WWA attributed this dramatic increase in melting to human-driven climate change. “Without climate change, this would have been impossible,” said Friederike Otto, associate professor in climate science at Imperial College London and co-author of the report. Otto warned that the accelerated ice melt in Greenland would significantly contribute to rising sea levels worldwide.

The WWA’s preliminary analysis confirmed that the Greenland ice sheet’s contribution to global sea level rise during the heatwave was far higher than it would have been under normal climate conditions.

Iceland Records Unprecedented Heat

While Greenland saw severe ice loss, Iceland also endured extreme heat. On May 15, temperatures exceeded 26°C (79°F) — an unprecedented level for that time of year in the subarctic island. The WWA reported that May temperatures in Iceland were more than 13°C higher than the 1991–2020 average.

According to the Icelandic Meteorological Office, 94% of the country’s weather stations recorded record-breaking temperatures. The eastern region of Greenland also experienced peak temperatures approximately 3.9°C warmer than preindustrial levels.

“While a 20°C heatwave may not seem extreme globally, it is a very big deal in the Arctic,” Otto explained. “It disrupts ecosystems, threatens infrastructure, and affects the entire planet through sea level rise.”

Read: Glacier Collapse in Switzerland Highlights Climate Risks

Climate Change Threatens Livelihoods and Infrastructure

The rapid warming in the Arctic is not just an environmental concern — it also threatens the lives and livelihoods of indigenous communities in Greenland. Many depend on the ice for hunting and travel, and as the ice melts earlier and more quickly, traditional ways of life become unsustainable.

Infrastructure in both Greenland and Iceland is also vulnerable. Designed for cold conditions, roads, homes, and public facilities are at risk of damage due to melting ice, increased flooding, and shifting foundations. “In Greenland and Iceland, infrastructure is built for cold weather. During a heatwave, ice melt can damage roads and essential systems,” the WWA report warned.

According to a 2022 study published in Nature, the Arctic has been warming four times faster than the global average since 1979. WWA scientists now estimate that heatwaves like the one in May could recur every 100 years — and may become more frequent if greenhouse gas emissions continue to rise.

As the Arctic experiences record-breaking temperatures and melting rates, scientists are urging immediate climate action. “These events should be seen as a wake-up call,” Otto said. “The consequences of inaction will not only reshape the Arctic but have ripple effects across the entire globe.”

Children and Families Face Unrelenting Mental Trauma in Gaza

As the war in Gaza rages on, a silent but devastating crisis grows deeper: the mental health catastrophe gripping its people. For thousands of children and families, the relentless bombing, displacement, and loss have pushed psychological suffering to critical levels. According to international aid agencies, more than 80% of Gaza’s population now requires some form of mental health support.

Children, in particular, are bearing the brunt. Many have lost parents, siblings, and friends. They’ve witnessed homes collapse and entire neighborhoods turn to rubble. “These are not just temporary nightmares,” says Dr. Marwa Al-Khatib, a child psychologist working with a local NGO. “These are traumatic wounds that could affect them for life.”

The psychological symptoms range from insomnia and bedwetting to extreme anxiety, panic attacks, and withdrawal. Gaza’s schools, once safe spaces, are now overcrowded shelters or reduced to ruins. With no stability or routine, children are losing their sense of security.

Mental Health Services Collapsed

Even before the current war, mental health services in Gaza were limited. Now, under continuous bombardment, those fragile systems have all but collapsed. Clinics are destroyed. Counselors are overwhelmed. Access to medication is blocked due to the Israeli blockade.

Read: CGT Relief Sparks Stock Market Rally Post-Budget

“People are not just losing homes and loved ones,” says Dr. Ahmed Saeed, a psychiatrist based in Rafah. “They are losing the ability to process grief. Every new explosion reopens the wound.”

The World Health Organization (WHO) reports that more than half of Gaza’s hospitals are non-functional, making it nearly impossible for people to seek psychological care. Aid organizations warn of a generational mental health crisis if immediate support is not provided.

Mobile teams, when functional, try to offer group counseling in shelters. But limited fuel, ongoing strikes, and restricted movement make this nearly impossible. “It’s heartbreaking,” says Dr. Saeed. “We’re watching a mental health disaster unfold in real time.”

Global Community

As the international spotlight remains largely on the political and military aspects of the conflict, mental health is often sidelined. However, rights groups now urge the global community to consider psychological care an essential part of humanitarian aid.

The UN has repeatedly called for a ceasefire, not only to stop the physical devastation but also to give people a chance to heal mentally. “Every day without a ceasefire is another day of compounded trauma,” said a spokesperson for the UN Office for the Coordination of Humanitarian Affairs.

Gaza’s suffering is not just about damaged buildings — it’s about broken minds, lost childhoods, and entire communities emotionally crushed under the weight of war. Without urgent and sustained international support for mental health, the long-term consequences could haunt Gaza for decades.

Mental health is not a luxury during war. In Gaza, it has become a desperate need — and one the world cannot afford to ignore any longer.

Mild Earthquake Jolts Peshawar, Sparks Panic Among Residents

PESHAWAR: Residents of Khyber Pakhtunkhwa’s capital city were startled on Wednesday as a mild earthquake struck the region. According to the Seismological Centre, the tremor measured 4.7 on the Richter Scale and had its epicentre in the Hindu Kush mountain range of Afghanistan.

The earthquake, though not powerful enough to cause damage, was strong enough to be felt across Peshawar. Panic spread among locals as homes and buildings gently shook for a few seconds. People rushed out of buildings, fearing aftershocks or stronger tremors.

The Seismological Centre reported the depth of the earthquake at 211 kilometres, which typically reduces the surface impact. No casualties or property damage were reported, but emergency services remained on alert.

Read: Trump Offers Hope for Kashmir Solution as US Praises Pakistan’s Diplomacy

Recurring Seismic Activity in the Region

This latest earthquake is part of a pattern of recurring seismic activity in the region. Just a month ago, on May 10, an earthquake of magnitude 5.3 was recorded in Islamabad and various parts of Khyber Pakhtunkhwa, including Swat, Mardan, Swabi, and North Waziristan. The epicentre of that quake was also located in Afghanistan’s Hindu Kush range at a slightly deeper depth of 230 kilometres.

Prior to that, on April 12, a 5.5-magnitude earthquake rattled multiple cities across northern Punjab, KP, and the twin cities of Islamabad and Rawalpindi. That quake was shallower, at a depth of just 12 kilometres, and was felt more intensely. Cities like Attock, Chakwal, Mohmand, Lower Dir, Lakki Marwat, and Malakand experienced tremors.

Then again on April 16, another earthquake, measuring 5.3 in magnitude, shook areas of KP, Azad Jammu and Kashmir, Punjab, and even parts of Afghanistan. These repeated events underline the region’s vulnerability to seismic disturbances.

Pakistan lies on a highly active seismic zone, where the Indian and Eurasian tectonic plates meet. Their collision creates intense geological stress beneath the surface, often resulting in earthquakes that can range from minor to devastating.

Karachi Experiences Surge in Mild Quakes

While northern Pakistan remains prone to moderate earthquakes, it is the southern port city of Karachi that has recently drawn attention due to an unusual series of tremors. Over the last few weeks, the city experienced approximately 30 mild quakes, alarming residents and experts alike.

Chief Meteorologist Aamir Haider explained that the recent tremors in Karachi are linked to the reactivation of the Landhi Fault Line. After lying dormant for several decades, this fault line has become active again and is currently undergoing a “normalisation phase,” causing a series of low-intensity quakes.

Although no serious damage has been reported from the Karachi tremors, meteorological authorities are closely monitoring seismic patterns in the region. Citizens have been advised to remain cautious, especially in multi-storey buildings.

With seismic activity on the rise across the country, experts are urging the government to reinforce disaster preparedness and promote earthquake-resistant infrastructure, especially in urban centres like Peshawar and Karachi.

Itamar Ben-Gvir, Bezalel Smotrich Barred from UK Entry

The United Kingdom has sanctioned two far-right Israeli ministers — Itamar Ben-Gvir and Bezalel Smotrich — over what it called “repeated incitements of violence against Palestinian communities” in the occupied West Bank. As part of the sanctions announced Tuesday, both ministers are banned from entering the UK and will have any assets within British jurisdiction frozen.

UK Foreign Secretary David Lammy confirmed that the action was coordinated with Australia, Canada, Norway, and New Zealand. “These actions are not acceptable,” Lammy said. “This is why we have taken action now – to hold those responsible to account.”

Smotrich, Israel’s Finance Minister, and Ben-Gvir, the National Security Minister, have repeatedly been accused of promoting extremist rhetoric and supporting settler violence. Lammy directly blamed them for inciting “extremist violence and serious abuses of Palestinian human rights” in the West Bank, where settler attacks have intensified.

International Reactions and Israeli Outrage

The sanctions drew swift condemnation from Israeli officials. In a formal response, Israel’s Foreign Ministry called the UK’s decision “outrageous,” stating, “It is unacceptable that elected members of a democratic government are subjected to such measures.”

Finance Minister Smotrich responded defiantly during a speech inaugurating a new settlement in the West Bank. “Britain has already tried once to prevent us from settling the cradle of our homeland, and we cannot do it again,” he declared. “We are determined, God willing, to continue building.”

The ministers’ parties — Religious Zionism and Otzma Yehudit — are key players in Prime Minister Netanyahu’s coalition, which holds a narrow parliamentary majority. Losing their support could bring down the government, highlighting how deeply tied they are to Israel’s current political structure.

Read: CGT Relief Sparks Stock Market Rally Post-Budget

Meanwhile, U.S. officials reacted cautiously but critically. Secretary of State Marco Rubio posted on X (formerly Twitter) that the sanctions “do not advance US-led efforts to achieve a ceasefire, bring all hostages home, and end the war.” U.S. Ambassador to Israel Mike Huckabee also criticized the UK’s move as “shocking.”

Ties to Violence and Settler Expansion

UK officials pointed to a surge in settler violence in the West Bank as a driving reason for the sanctions. Foreign Office Minister Hamish Falconer told Parliament that 2024 had seen the “worst settler violence” in two decades. He emphasized that the actions of Smotrich and Ben-Gvir had led to “deaths of Palestinian civilians and the displacement of entire towns.”

The UK’s Foreign Office stressed that the sanctions could not be viewed in isolation from Israel’s conduct in Gaza. It said in a statement: “The rising violence and intimidation by Israeli settlers must stop… Israel must uphold international humanitarian law.”

Smotrich and Ben-Gvir have also been widely criticized for opposing humanitarian aid to Gaza and calling for the resettlement of Palestinians outside the territory — remarks viewed as extreme even within Israel.

Escalating International Pressure on Israel

The sanctions mark a notable escalation in international pressure on Israel over its handling of both Gaza and the West Bank. Last month, the UK, France, and Canada issued a joint statement warning that Israel was at risk of breaching international law. The UK also suspended ongoing trade talks with Israel.

The move to sanction these ministers had been in planning for months. Former Foreign Secretary Lord Cameron revealed he had intended to pursue similar measures during his term. Now, amid growing public and parliamentary calls for accountability, the UK has acted.

The coordinated sanctions by five countries underscore increasing global frustration with Israel’s far-right leadership. As international scrutiny intensifies, the move sends a strong signal that incitement and violence — even from top officials — will not be tolerated.

US Defends Israel, Calls Hamas the Real Threat

WASHINGTON: The United States has strongly condemned sanctions imposed by several allied nations on two Israeli ministers accused of inciting violence against Palestinians. In a statement on Wednesday, Secretary of State Marco Rubio said, “Israel is not the enemy — Hamas is,” as he defended Israeli officials Bezalel Smotrich and Itamar Ben-Gvir.

The ministers were recently sanctioned by the United Kingdom, Canada, Norway, New Zealand, and Australia. Measures include travel bans and asset freezes, in response to inflammatory remarks and hardline policies by the two Israeli officials. The sanctions have sparked diplomatic tension among Western allies.

Sanctions May Undermine Ceasefire Efforts, Warns US

The US State Department criticized the sanctions, warning that they could disrupt international efforts aimed at ending the war in Gaza. “These restrictions hinder negotiations for a ceasefire, the return of hostages, and broader peace efforts,” the statement said.

Read: Trump Offers Hope for Kashmir Solution as US Praises Pakistan’s Diplomacy

While reiterating support for Israel’s right to self-defence, the US called on its allies to reconsider the punitive actions. The Biden administration believes such measures send the wrong signal during an already volatile situation in the Middle East.

US Urges Unity Among Allies

In a clear message to its Western partners, Washington stressed the importance of maintaining a united front in support of Israel. “We must stand shoulder-to-shoulder with Israel in its fight against terrorism,” the State Department urged.

The statement marks a deepening divide between the US and other Western nations over how to respond to Israel’s conduct in the ongoing conflict with Hamas. Despite growing international criticism of Israeli actions, the US remains firm in its diplomatic and military backing of its closest ally in the region.

CGT Relief Sparks Stock Market Rally Post-Budget

The Pakistan Stock Exchange (PSX) witnessed a strong rally on Wednesday as investor sentiment turned bullish after the federal government unveiled its FY2025–26 budget. The benchmark KSE-100 Index surged by 2,111.52 points, or 1.73%, to hit an intraday high of 124,135.96. The index also recorded a session low of 123,237.99, still reflecting a significant rise of 1,213.55 points, or 0.9%.

This sharp upward movement marked a continuation of Tuesday’s momentum, when the index had gained 383.44 points, or 0.32%, to close at 122,024.44. Market participants interpreted the budget’s key tax proposals as highly favorable for equities, fueling a buying spree across sectors.

Brokers and analysts noted that the unchanged capital gains tax (CGT) rate of 15% on equities — coupled with higher taxes on interest income — is likely to shift investment preferences towards stocks. The PSX saw increased activity in blue-chip and high-dividend-yielding stocks, indicating renewed confidence in market stability.

Read: Gaza Toll Rises as Israeli Strikes Kill Dozens in Single Day

Budget Signals Shift Towards Equity Investments

Independent investment and economic analyst AAH Soomro called the budget a “game-changer” for the capital market. “Lower taxes on equity versus fixed income is a major trigger for PSX. This is just the beginning towards 150,000 in a year,” he predicted, reflecting optimism about the long-term direction of the market.

The government’s fiscal blueprint includes Rs19.3 trillion in revenues against Rs25.8 trillion in expenditures, creating a federal fiscal deficit of Rs6.5 trillion — about 5% of GDP. The overall national deficit is estimated at Rs5 trillion, or 3.9% of GDP. The gap is expected to be closed partially through a Rs1.5 trillion provincial surplus.

Analysts believe this disciplined fiscal approach aligns closely with IMF recommendations, potentially paving the way for continued support from global lenders. This alignment, combined with no new tax burden on the equity market, has sparked optimism among local and foreign investors alike.

Market Eyes Price-to-Earnings Re-Rating

Topline Securities stated in a note that the proposed budget could act as a catalyst for the re-rating of the market’s price-to-earnings (PE) ratio. “If the budget is passed without major changes, it could lift the PE ratio from 5.2x to 7x,” the firm said, suggesting a strong valuation upside for listed companies.

Investors now expect corporate earnings to benefit from both macroeconomic stability and renewed domestic participation in equities. The consistent rise of the KSE-100 over consecutive sessions has rekindled hopes of a sustained bull run.

The Wednesday rally adds to the narrative that Pakistan’s equity market is entering a new phase of growth, driven by prudent fiscal planning and strategic tax incentives. If current trends hold, the PSX could be poised for further gains in the months ahead.

Trump Offers Hope for Kashmir Solution as US Praises Pakistan’s Diplomacy

WASHINGTON: Pakistan’s sustained diplomatic outreach in Washington seems to be paying off, with the US State Department expressing optimism that President Donald Trump may help facilitate a resolution to the decades-old Kashmir dispute during his term. The statement comes after a recent visit by a high-level Pakistani parliamentary delegation led by Pakistan Peoples Party (PPP) Chairman Bilawal Bhutto Zardari.

The delegation met with senior US officials, including Under Secretary of State for Political Affairs Allison Hooker. Responding to written questions submitted by this correspondent, State Department spokesperson Tammy Bruce confirmed that the meetings covered vital bilateral issues, including the Kashmir dispute, counterterrorism, and regional peace.

“State Department officials, including Under Secretary Hooker, met with the Pakistani parliamentary delegation during a visit to Washington last week,” Bruce said. “She reiterated US support for the ongoing ceasefire — as you might imagine, thank God — between Pakistan and India. They also discussed important issues to the bilateral relationship, including counterterrorism cooperation.”

Bilawal’s visit, which spanned from May 31 to June 6, included meetings with over a dozen members of the US House and Senate, as well as State Department officials. The Pakistani delegation presented its concerns about Indian actions in Kashmir, the Indus Waters Treaty’s suspension, and provocative statements from Indian leadership.

Trump’s Bold Offer to Mediate the Kashmir Conflict

President Trump, known for his unconventional diplomatic style, has made a direct offer to mediate between Pakistan and India on Kashmir. In a post on his Truth Social platform, he wrote, “I will work with you, both to see if, after a ‘thousand years,’ a solution can be arrived at concerning Kashmir.”

Pakistan welcomed Trump’s mediation gesture, viewing it as an opportunity to internationalize the Kashmir issue. In contrast, India swiftly rejected the offer, reiterating its traditional stance that Kashmir remains a bilateral matter.

When asked whether President Trump would go beyond this offer — for example, by inviting both countries’ leaders to the US or backing a UN Security Council initiative — Bruce declined to comment on specifics. However, she did underline Trump’s track record in resolving intractable conflicts.

“It doesn’t — it shouldn’t surprise anyone that he’d want to manage something like that. He has been the only one to bring certain people to the table to have conversations that nobody thought were possible,” she stated.

India and Pakistan in Washington

Interestingly, an Indian delegation was also in Washington around the same time, holding meetings with US officials. Deputy Secretary of State Landau met with the Indian team and reaffirmed America’s strong strategic partnership with India, particularly in counterterrorism.

Despite this, the State Department appears to have maintained a careful balance, emphasizing the need for continued dialogue and regional peace. “We are glad the ceasefire is holding, and we support any constructive engagement between the two countries,” Bruce said.

Gaza Toll Rises as Israeli Strikes Kill Dozens in Single Day

Analysts say this reflects a dual-track approach from Washington, which seeks to preserve its strategic interests with India while also responding to Pakistan’s concerns — especially in light of its role in Afghanistan and regional counterterrorism efforts.

September UNGA Session

With tensions still simmering and dialogue channels limited, observers now look toward the upcoming United Nations General Assembly (UNGA) session in New York this September. Many believe it could offer a diplomatic window for a breakthrough — possibly even a historic meeting between the prime ministers of Pakistan and India under President Trump’s mediation.

Though neither side has officially confirmed any such meeting, the tone of the US remarks suggests that diplomatic groundwork may already be underway behind closed doors.

“It is an exciting time,” Bruce noted. “Every day brings something new, and I hope perhaps something like that can also get resolved before the President [leaves office].”

Despite no concrete follow-up yet on Trump’s offer, the mere willingness of a sitting US president to engage on Kashmir has generated cautious optimism in Islamabad. Pakistan’s foreign office is now expected to increase its diplomatic efforts ahead of the UNGA, possibly lobbying other global powers to support a peaceful resolution.

While the road to any lasting settlement on Kashmir remains long and uncertain, Washington’s latest statements and President Trump’s personal interest suggest that, at least diplomatically, the issue is back on the international agenda.

Gaza Toll Rises as Israeli Strikes Kill Dozens in Single Day

Israeli strikes and gunfire intensified across Gaza on Tuesday, leading to a sharp rise in Gaza civilian casualties. According to health officials and eyewitnesses, at least 37 Palestinians were killed and more than 200 wounded in multiple attacks throughout the enclave.

Aid Seekers Targeted

One of the deadliest incidents occurred near the Netzarim Corridor, south of Gaza City. Israeli forces opened fire on a crowd gathered at an Israeli-approved aid distribution site. At least 19 people died, and over 200 were injured. Witnesses reported that Israeli quadcopter drones also fired on civilians at the scene.

Northern Gaza Under Fire

In northern Gaza’s Jabalia town, Israeli airstrikes killed 12 more people. Medical sources confirmed the strikes hit residential areas, further overwhelming emergency responders already stretched thin by months of conflict.

Read: Israel Moves to Deport Gaza-Bound Boat Activists via Ben Gurion Airport

Families Caught in Southern Gaza

In Khan Younis, a displaced family perished when an Israeli strike hit their tent. Central Gaza also came under attack, with strikes on homes and Red Crescent facilities in Deir al-Balah claiming three more lives. Smoke bombs dropped by Israeli drones added to the chaos in eastern Gaza City.

Mounting Death Toll

Since October 2023, Israeli military operations in Gaza have killed nearly 54,900 Palestinians, according to Gaza’s health ministry. Most victims are women and children. Despite global demands for a ceasefire, the conflict has only deepened, leaving over 2 million residents at risk of famine, disease, and mass displacement.

Legal Action Against Israel

International pressure on Israel is growing. The International Criminal Court issued arrest warrants in November for Prime Minister Benjamin Netanyahu and former Defence Minister Yoav Gallant, citing alleged war crimes. Separately, the International Court of Justice is currently hearing a genocide case against Israel over its actions in Gaza.

With casualties mounting daily and humanitarian conditions worsening, calls for urgent international intervention continue to grow louder.

Govt Targets Non-Filers With Strict Tax Measures in Budget 2025-26

The federal government has unveiled strict non-filer restrictions in the Budget 2025–26 to expand the tax net and formalize the economy. Finance Minister Muhammad Aurangzeb announced sweeping changes aimed at discouraging tax evasion and enforcing compliance through limited financial access for non-filers.

Ban on Property and Vehicle Purchases

In a major policy shift, non-filers will no longer be allowed to purchase vehicles or immovable property. These restrictions aim to close loopholes that have allowed undocumented wealth to flow into high-value assets. Only those who submit tax returns and wealth statements will be permitted to make such transactions.

Investment Access Denied

The government also plans to bar non-filers from investing in securities or mutual funds. This measure targets financial market activity by individuals and entities operating outside the documented economy. By limiting access, the government hopes to compel non-filers to register and file their tax returns.

Read: Federal Budget 2025-26 Set for Presentation Today Amid Economic Shifts

Bank Accounts Off-Limits

A significant proposal involves blocking non-filers from opening new bank accounts. This move would severely restrict their ability to conduct formal financial transactions, thus pressuring them into entering the tax system. It’s expected to impact undocumented cash flow and curb financial anonymity.

Increased Advance Tax on Cash Withdrawals

The budget proposes raising the advance tax on cash withdrawals by non-filers from 0.6% to 1%. This higher rate serves as both a financial deterrent and a tool to encourage documentation of income sources. It also aims to increase tax revenue through everyday transactions.

No More Distinction in Key Transactions

The finance minister noted that the government will remove the distinction between filers and non-filers in major financial dealings. This change ensures stricter compliance, with privileges reserved only for those who fulfill tax obligations.

If approved, these measures will mark one of the toughest crackdowns on non-filers in recent years, signaling the state’s renewed commitment to tax enforcement and economic transparency.

Trump Sends Marines to Los Angeles Amid Intensified Immigration Raids

The Trump administration has launched a major immigration crackdown by deploying US Marines to Los Angeles and stepping up nationwide raids on undocumented immigrants. This move has sparked intense backlash, protests, and legal challenges, further dividing an already polarized political landscape.

Marines Arrive in LA

Roughly 700 Marines arrived in Los Angeles on Monday night to support federal operations targeting undocumented immigrants. Their temporary mission is to protect federal personnel and property until 4,000 National Guard troops can be fully deployed. The use of active-duty military for domestic law enforcement is rare and controversial.

Protests Escalate

Protests erupted for a fourth straight day in downtown Los Angeles. Demonstrators gathered outside a federal detention center, chanting and waving Central American flags. Police used tear gas and flash bangs to clear the area, leading to several arrests. Similar protests spread to cities like New York, Philadelphia, and Austin.

Read: Israel Moves to Deport Gaza-Bound Boat Activists via Ben Gurion Airport

Federal-State Clash

California Governor Gavin Newsom strongly opposed the deployment and sued the Trump administration, calling the action unconstitutional and authoritarian. President Trump threatened Newsom with arrest, accusing him of obstructing immigration enforcement. Los Angeles Mayor Karen Bass also condemned the raids, defending the city’s immigrant population.

Sharp Political Reactions

Senator Jack Reed, top Democrat on the Senate Armed Services Committee, criticized the move as a dangerous precedent. “The military should not be used for law enforcement on US soil,” he warned. Trump officials defended the action, blaming Democratic leaders for allowing “lawlessness” through sanctuary policies.

Raids Surge Nationwide

Homeland Security Secretary Kristi Noem announced a dramatic increase in Immigration and Customs Enforcement (ICE) operations. Arrests have soared to 2,000 per day, compared to 311 daily during the Biden administration. Noem vowed to escalate the raids further, saying, “The more they protest, the harder ICE will strike.”

A Divided Nation

As Marines patrol Los Angeles streets and immigration arrests rise, America faces growing tension. Trump’s aggressive strategy has ignited legal battles, public protests, and raised alarms about the use of military power in domestic affairs.

Australia Name Playing XI for WTC Final with Bold Batting Change

Australia have announced their playing XI for the World Test Championship Final against South Africa, set to begin June 11 at Lord’s. Captain Pat Cummins confirmed the lineup on Tuesday, revealing a bold decision to move Marnus Labuschagne up the order to open with veteran Usman Khawaja.

Labuschagne to Open

In a significant move, Labuschagne will shift from his usual No.3 spot to open the innings. Cummins explained the decision, noting Labuschagne’s strong record in England and experience at Lord’s. He added that opening can be beneficial early on, before the Dukes ball starts swinging.

Hazlewood In, Boland Out

Josh Hazlewood has been picked over Scott Boland in the pace attack. Cummins acknowledged Boland’s solid performances but described the selection as a case of “bad luck.” He reassured that Boland remains in the long-term plans and will have plenty of chances in future Tests.

Read: Racial Abuse Complaint Rocks Harare Cricket Scene

Green Returns, Webster Retained

All-rounder Cameron Green returns to the side after back surgery, slotting in at No.3. Beau Webster retains his place and offers both medium pace and spin options, adding depth to the bowling unit.

Konstas Misses Out

Teenager Sam Konstas was not included in the final XI. Cummins praised the 19-year-old’s potential and said the experience around the team would still benefit him. “He’s got a long career ahead,” Cummins noted.

Australia’s Final XI

Usman Khawaja
Marnus Labuschagne
Cameron Green
Steve Smith
Travis Head
Beau Webster
Alex Carey (wk)
Pat Cummins (c)
Mitchell Starc
Nathan Lyon
Josh Hazlewood

With a blend of experience and youth, Australia aim to defend their WTC title. Cummins emphasized squad depth and rotation, hinting at more changes in upcoming matches as Australia look to maintain long-term consistency.

Apple Unlocks Core AI Tech for Developers, Overhauls OS Design

Apple has announced it will open its foundational AI model, called Apple Intelligence, to third-party developers. The company shared this major shift at its annual Worldwide Developers Conference (WWDC) on June 9, signaling a more open and practical approach to artificial intelligence. While competitors pursue bold AI goals, Apple aims to improve daily user experiences with smarter features and refined design.

Opening Up AI to Developers

Apple’s software chief, Craig Federighi, revealed that developers will soon access the underlying technology behind Apple Intelligence. This move allows them to build apps that integrate Apple’s AI features directly, such as language models and live translation tools.

Federighi said some features, like improvements to Siri, had been delayed because they needed more time to meet Apple’s quality standards. A demonstration showed Apple’s Image Playground app using OpenAI’s ChatGPT for image generation, while ensuring user data remains private unless permission is given.

Major Operating System Redesign

Apple also announced a sweeping visual redesign of its operating systems across iPhones, Macs, and other devices. The new look, called “liquid glass,” brings semi-transparent icons and menus. Executives credited this update to the improved power of Apple’s custom chips.

The company will now label future OS versions with year-based names instead of version numbers, aiming to simplify naming conventions across devices like iPhones, Macs, and Apple Watches.

Read: Federal Cabinet Approves 10% Salary Increase in Budget 2025-26

Practical New Features

Among the highlights is Call Screening, where iPhones will automatically answer calls from unknown numbers, ask the caller for the purpose, transcribe the response, and notify the user.

Another standout is Live Translation. This feature enables real-time translations during calls—even if the caller doesn’t use an iPhone. Apple also allows developers to add this capability to their own apps.

Visual Intelligence and On-Screen Analysis

Apple’s Visual Intelligence app will now analyze items shown on the screen. For example, a user can spot a jacket online, and the iPhone will help find a similar product available in an app already installed on the device.

Apple’s updates emphasize seamless integration, privacy, and useful design—pushing AI to work quietly in the background to enhance everyday life.

Federal Budget 2025-26 Set for Presentation Today Amid Economic Shifts

Pakistan is set to unveil its Federal Budget 2025-26 today in the National Assembly, with a projected outlay of Rs17.6 trillion. The figure is slightly lower than last year’s Rs18.78 trillion. Finance Minister Muhammad Aurangzeb will present the budget, followed by submission of the Finance Bill to the Senate. The keyword Federal Budget 2025-26 is expected to dominate national discussions in the coming days.

Economic Performance and Growth

According to the Economic Survey 2024-25, the real GDP grew by 2.68%. The industrial sector expanded by 4.77%, led by a manufacturing rebound. Services continued to dominate with 2.91% growth and a 58.4% GDP share. However, the 2.7% overall growth fell short of the 3.6% target.

Read: Maryam Nawaz Rewards Suthra Punjab Workers with Rs10,000 for Eid Efforts

Fiscal and Monetary Trends

Revenue collection increased by 29%, reaching Rs10.8 trillion. The fiscal deficit narrowed to 6.5% of GDP from 7.4% last year. Inflation fell sharply, averaging 4.7% from July to April, compared to 26% the previous year. The State Bank cut interest rates to 17.5%, boosting money supply by 13.7%.

Agriculture Under Pressure

Agriculture grew just 0.56% due to sharp declines in major crops. Cotton production dropped by 30.7%, wheat by 8.9%, and maize by 15.4%. On the other hand, livestock rose 4.72%, and other crops like potato and onion showed double-digit growth.

External and Social Indicators

Per capita income rose to $1,824, backed by a $1.2 billion current account surplus. Remittances jumped 11% to $32 billion. Literacy improved to 62.8%, while education spending remained low at 2.1% of GDP. Health indicators showed minor gains, with infant mortality dropping to 52 per 1,000 births.

Technology, Labor, and Power

IT exports surged 32% to $3.5 billion. Digital banking saw an 89% jump in transaction volume. Yet, labor participation stayed at 37.2%, with stark gender gaps. Power capacity rose to 46,605 MW, but idle plant payments continue to burden consumers.

Capital Markets and Industry

Debt declined slightly to 74.1% of GDP. The KSE-100 index soared, gaining 78,000 points. Auto production rose 42%, while cement output fell. Mining showed modest gains but faced export declines.

Israel Targets Houthi Sites in Yemen’s Hodeidah

Israel launched airstrikes on Yemen’s Hodeidah port on Tuesday, hitting Houthi positions in a move that could escalate regional tensions. The attacks on the Hodeidah port, a key maritime hub, mark a sharp warning from Israel, which now threatens a full naval and air blockade if the Houthi attacks continue.

Port Facilities Hit in New Strikes

Israeli naval forces confirmed targeting Houthi infrastructure at Hodeidah. According to Houthi-run Al Masirah TV, two airstrikes hit dock facilities. Israel claims the port has been used by the Houthis to transfer weapons. There were no immediate reports of casualties.

Evacuation Demands and Blockade Threat

A day earlier, Israel called for the evacuation of three Houthi-controlled ports—Ras Isa, Hodeidah, and Salif. Israeli Defense Minister Israel Katz stated, “If Houthi attacks persist, they will face a powerful response and a total naval and aerial blockade.”

Security firm Ambrey reported no damage to merchant vessels but urged ships in the area to restrict crew movement and reduce bridge manning for safety.

Read: Israeli Strike Kills Journalists and Medics in Gaza Amid Global Outcry

Context of Houthi Attacks

Since the beginning of the Gaza conflict in October 2023, the Iran-aligned Houthis have launched missiles and drones at Israel and commercial shipping in the Red Sea. These attacks, aimed at showing solidarity with Palestinians, have disrupted global trade routes.

While most Houthi projectiles have been intercepted or missed their targets, Israel has consistently responded with airstrikes.

Houthi Resilience and Regional Dynamics

Despite years of Saudi-led airstrikes during Yemen’s civil war, the Houthis remain resilient. Under leader Abdul Malik al-Houthi, the group evolved from a small mountain militia into a well-equipped force with drones and ballistic missiles.

Israel has weakened several Iranian allies in the region, including Hamas and Hezbollah. However, groups like the Houthis and pro-Iran militias in Iraq still pose a threat.

The Houthis continue to deny direct arms support from Iran, though Saudi Arabia and Western powers argue otherwise. The conflict around Hodeidah port signals further instability in the Red Sea region.

Federal Budget 2025-26 Targets Growth Without New Taxes

Finance Minister Muhammad Aurangzeb presented the Federal Budget 2025-26 in the National Assembly, highlighting economic stability as the government’s top priority. He dismissed rumors of a mini-budget and confirmed that no new taxes have been introduced.

Key Economic Indicators

Aurangzeb reported that economic growth stands at 2.7%, while inflation has dropped to 4.7%. Remittances have reached $31.2 billion and are projected to hit $37-38 billion by year-end. The finance minister also noted improvements in Pakistan’s global credit ratings, with Fitch upgrading to B- and Moody’s signaling a positive outlook.

Tax Reforms and Digital Integration

Tax reforms aim to raise the tax-to-GDP ratio from its historically low 10%. The government has blocked Rs9 billion in fake refunds and used AI to detect Rs13 billion in fraudulent claims. New, simplified tax return forms for salaried individuals will launch on July 1. No new taxes were imposed, reaffirming the government’s intent to avoid financial shocks.

Read: Govt to Present Rs17.6tr Budget for FY26 in NA Today

Energy Sector Reforms

Electricity rates have been slashed by 38%, and inefficient power plants generating 3,000 MW have been shut down. Further reductions in tariffs are under review. Transmission losses have decreased by Rs140 billion. The government plans to privatize three distribution companies and is preparing legislation to establish a competitive electricity market.

Debt and Investment

The debt-to-GDP ratio has fallen below 70%. The government issued Sukuk bonds on the Pakistan Stock Exchange and plans to launch Panda bonds in China. However The Reko Diq mining project, expected to finish by January 2025, could generate $75 billion in revenue and 41,500 jobs over 37 years.

Sectoral Reforms and Future Plans

The budget includes reforms in pharmaceuticals, IT, and customs.

Salary Hikes and Consumer Taxes

The federal cabinet approved a 6% salary increase for government employees. Meanwhile, the government is considering excise duties on fast food, beverages, and snacks. An 18% sales tax on online shopping is also under review to broaden the tax base.

Tax Exemptions Surge to Rs5.8 Trillion Despite Government Cuts

In a surprising turn, tax exemptions in Pakistan have soared to a record Rs5.8 trillion during the current fiscal year. The massive jump in tax exemptions comes despite the government’s efforts to withdraw several concessions. The keyword “tax exemptions” takes center stage as this unexpected spike raises serious questions about fiscal management.

Exemptions Rise Sharply in One Year

According to the Economic Survey of Pakistan 2025, tax exemptions have increased by Rs1.96 trillion—up 51% from last year’s Rs3.9 trillion. Finance Minister Muhammad Aurangzeb unveiled the figures during the budget presentation. Surprisingly, the rise occurred even after the government removed many previous exemptions in the last budget.

Sales Tax Losses Lead the Surge

Sales tax exemptions alone cost the government Rs4.3 trillion this year. That’s nearly three-quarters of total tax expenditures. A large portion—Rs1.8 trillion—was due to a zero-percent sales tax on petroleum products, even though a petroleum levy of Rs78 per litre helped recover some losses.

Read: Federal Cabinet Approves 10% Salary Increase in Budget 2025-26

Exemptions under the Fifth Schedule, covering zero-rated items, rose by a staggering 232%. Exemptions under the Sixth and Eighth Schedules also saw significant hikes, including concessions on local supplies and lower tax rates on select items. The IMF has urged Pakistan to eliminate or standardize many of these rates.

Income Tax and Customs Duty Also Climb

Income tax exemptions increased to Rs801 billion from Rs477 billion—a 68% rise. Despite increased burdens on salaried individuals, exemptions for other sectors and tax credits grew sharply. Government-related income also benefited from Rs123 billion in exemptions.

Customs duty exemptions reached Rs786 billion, a 45% increase. Concessions granted to the auto, oil, and CPEC sectors led to heavy losses. Exemptions under the Customs Act’s Fifth Schedule jumped to Rs380 billion.

FBR Responds to Reporting Errors

A senior FBR official admitted that the Rs5.8 trillion figure may have included double counting and losses from petroleum taxes. The government plans to revise these numbers online.

Despite these explanations, the steep rise in tax exemptions continues to puzzle both economists and the public.

Federal Cabinet Approves 10% Salary Increase in Budget 2025-26

In a key move ahead of the new fiscal year, the federal government has approved a 10% salary increase for government employees under the 2025-26 Federal Budget. Prime Minister Shehbaz Sharif chaired the cabinet meeting that finalized the decision, along with a 7% pension hike for retirees.

Budget Relief Amid Inflation Pressure

The cabinet also passed the Finance Bill 2025-26, which includes various relief measures for the salaried class. Officials considered multiple proposals—6%, 10%, or 15%—before settling on a 10% increase. The government cited fiscal limitations as a reason for the modest hike.

However, employee unions had urged the administration to adjust salaries in line with high inflation, demanding at least a 50% raise. They warned that unmet demands could trigger large-scale protests.

PM Shehbaz Stresses Unity and Economic Resilience

During the meeting, Prime Minister Shehbaz Sharif extended Eid-ul-Adha and Hajj greetings to the nation and the global Muslim Ummah. He also condemned ongoing violence in Palestine and Kashmir, urging world powers to push for a ceasefire.

“No condemnation can capture the scale of suffering in Palestine and Kashmir,” he said. “Pakistan stands firmly with the oppressed and will continue to support their struggle for freedom.”

Read: Anwar Maqsood’s Viral Interview Sparks Heated Debate on X

Economic Progress and National Challenges

Shehbaz Sharif acknowledged the sacrifices made by the public, particularly salaried workers, over the last 18 months. He pointed to a Rs400 billion contribution to the national treasury as a sign of economic recovery. He also highlighted improving inflation trends and expressed optimism about Pakistan’s economic turnaround.

“Our collective effort is steering Pakistan toward stability,” the premier noted. “We’ve faced immense challenges, yet we continue to progress.”

Water Security and National Defense

The prime minister firmly rejected any attempt to use water as a geopolitical weapon, stating, “We will protect our water rights without compromise.” He praised the Deputy PM and experts for their work on water-related issues.

He concluded by calling on the nation to act together. “Now is the time to rise, united, and shape Pakistan’s future,” he declared.

Israel Moves to Deport Gaza-Bound Boat Activists via Ben Gurion Airport

Israel announced on Tuesday that the foreign activists onboard the intercepted “Selfie Yacht” — a humanitarian aid vessel attempting to reach Gaza — have been transferred to Ben Gurion Airport for deportation.

The Israeli Foreign Ministry confirmed the development on social media, stating: “The passengers of the ‘Selfie Yacht’ arrived at Ben Gurion Airport to depart from Israel and return to their home countries.”

The yacht, which carried international peace activists and aid workers, was attempting to break the Israeli naval blockade and deliver humanitarian supplies to Gaza, where conditions remain dire after months of continuous Israeli bombardment and blockade. Israel’s military intercepted the boat before it reached the besieged coastal enclave.

Refusal to Leave Could Lead to Legal Action

According to the Israeli authorities, any activist refusing to sign deportation documents will face legal proceedings. “Those who refuse to sign deportation documents and leave Israel will be brought before a judicial authority,” the ministry warned.

This stance has drawn criticism from human rights observers and international legal experts, who say peaceful activists delivering humanitarian aid should not be treated as criminals. However, Israel maintains that unauthorized sea voyages to Gaza pose security threats and violate its laws regarding the blockade.

Trump: “I think Israel has enough problems without kidnapping Greta Thunberg”

Even Trump calls it a kidnapping, while mainstream media keeps defending the Israeli regime. https://t.co/o0pBiMOsvH pic.twitter.com/KDKrqr90a2

— MenchOsint (@MenchOsint) June 9, 2025

Global Reaction Still Building

The interception of the aid boat and the pending deportations have sparked fresh outrage among pro-Palestinian activists and international civil society. Supporters of the activists claim the group was acting in solidarity with the people of Gaza, where access to food, water, and medical aid is severely limited.

Online, hashtags such as #FreeGaza and #LetAidThrough trended briefly after the news of the interception. This incident is the latest in a series of efforts by peace activists around the world who continue to defy Israel’s blockade in symbolic and practical attempts to highlight the humanitarian crisis in Gaza.

The “Selfie Yacht” is part of a broader campaign led by international volunteers and organizations that reject the blockade of Gaza and call for unrestricted humanitarian access. Similar flotillas in the past have also been intercepted by Israeli naval forces.

While the activists now face deportation, their mission has once again turned global attention to the worsening humanitarian catastrophe in Gaza and raised questions about the legal and ethical implications of Israel’s enforcement of its blockade.