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Pakistan PM Sharif welcomes IMF’s $7 billion funding agreement

The IMF said the new program will require “sound policies and reforms” to strengthen macroeconomic stability and address structural challenges alongside “continued strong financial support from Pakistan’s development and bilateral partners.”

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Pakistan’s Prime Minister Shehbaz Sharif welcomed the International Monetary Fund’s decision to approve a $7 billion funding agreement for the country, his office said on Wednesday.

Islamabad had been working on implementing conditions that Sharif had previously called “strict” from the IMF to complete the 37-month loan programme agreed to in July, which the country hopes will be its last, Reuters reported.

The IMF said the new program will require “sound policies and reforms” to strengthen macroeconomic stability and address structural challenges alongside “continued strong financial support from Pakistan’s development and bilateral partners.”

An immediate disbursement of about $1 billion will take place.

Sharif, on the sidelines of the United Nations General Assembly, told Pakistani media this week that Pakistan had fulfilled all of the lender’s conditions, with help from China and Saudi Arabia.

“Without their support, this would not have been possible,” he said, without elaborating on what assistance Beijing and Riyadh had provided to get the deal over the line.

Rollovers or disbursements of loans from Pakistan’s long-time allies, in addition to financing from the IMF, have helped the country meet its external financing needs in the past.

The government had also vowed to increase its tax intake, in line with IMF requirements, despite protests in recent months by retailers and some opposition parties over the new tax scheme and high electricity rates.

Pakistan has been struggling with boom-and-bust economic cycles for decades, leading to 22 IMF bailouts since 1958. Currently the country is the IMF’s fifth-largest debtor, owing the Fund $6.28 billion as of July 11, according to the lender’s data.

The latest economic crisis has been the most prolonged and has seen Pakistan facing its highest-ever inflation, pushing the country to the brink of a sovereign default last summer before an IMF bailout.

Inflation has since eased and credit ratings agency Moody’s has upgraded Pakistan’s local and foreign currency issuer and senior unsecured debt ratings to ‘Caa2’ from ‘Caa3’, citing improving macroeconomic conditions and moderately better government liquidity and external positions.

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Eight killed in explosion in northern China, state media says

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An explosion at a small biotech company in northern China early Saturday killed eight people, China’s state media reported on Sunday.

The explosion occurred in Shuoyang in the Shanxi province in the early morning of Saturday, state media reported, according to Reuters.

The legal representative of Jiapeng Biotechnology has been detained and the city has set up an accident investigation team, Xinhua News Agency reported.

The firm is located in a mountain hollow and dark yellow smoke was seen billowing from the accident site, Xinhua said.

Reuters was not able to contact the company, which does not maintain a website. The cause of the reported explosion was not immediately clear.

Founded in June 2025, Jiapeng Biotechnology conducts research on animal feed, coal products and building materials, according to its corporate registration.

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Iran’s FM calls Oman-mediated talks with US ‘good start’

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Iran’s foreign minister on Friday described talks with the United States in Oman as a “good start,” saying the negotiations “can also have a good continuation,” Iranian state media reported.

The discussions, mediated by Oman, marked a resumption of nuclear diplomacy between Tehran and Washington. Iranian state media said the current round of talks concluded on Friday, with both delegations returning to their respective capitals.

Speaking to state media reporters in Muscat, Iranian Foreign Minister Abbas Araghchi said the talks’ progress depends on the U.S. and on decisions made in Tehran.

Araghchi said a “significant challenge” remains, citing a prevailing atmosphere of distrust. He said Iran’s priority is to overcome this distrust and then establish an agreed framework for the talks and the issues on the table.

He described the talks as a fresh round of dialogue after eight turbulent months that included a war, saying the accumulated distrust presents a major obstacle to negotiations.

“If this same approach and perspective are maintained by the other side, we can reach an agreed framework in future sessions,” Araghchi said, adding that he did not want to judge prematurely.

Iranian Foreign Ministry spokesman Esmaeil Baqaei also confirmed on the social media platform X that both sides agreed to continue talks and would decide the next round in consultation with their capitals.

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Pakistan sends helicopters, drones to end desert standoff; 58 dead

The BLA, which has urged people of the province to support the movement, said on Tuesday it had killed 280 soldiers during its Operation “Herof”, Black Storm, but gave no evidence.

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Pakistan’s security forces used drones and helicopters to wrest control of a southwestern town from separatist insurgents after a three-day battle, police said on Wednesday, as the death toll in the weekend’s violence rose to 58, Reuters reported.

Saturday’s wave of coordinated attacks by the separatist Baloch Liberation Army brought Pakistan’s largest province to a near standstill as security forces exchanged fire with insurgents in more than a dozen places, killing 197 militants.

“I thought the roof and walls of my house were going to blow up,” said Robina Ali, a housewife living near the main administrative building in the fortified provincial capital of Quetta, where a powerful morning blast rocked the area.

Fighters of the BLA, the region’s strongest insurgent group, stormed schools, banks, markets and security installations across Balochistan in one of their largest operations ever, killing more than 22 security officials and 36 civilians, read the report.

Police officials gave details of the situation on condition of anonymity as they were not authorised to speak to the media.

In the desert town of Nushki, home to about 50,000, the insurgents seized control of the police station and other security installations, triggering a three-day standoff.

Police said seven officers were killed in the fighting before they regained control of the town late on Monday, while operations against the BLA continue elsewhere in the province.

“More troops were sent to Nushki,” said one security official. “Helicopters and drones were used against the militants.”

Pakistan’s interior ministry did not immediately respond to a Reuters request for comment.

Pakistan’s largest and poorest province, mineral-rich Balochistan borders Iran and Afghanistan and is home to Beijing’s investment in the Gwadar deepwater port and other projects.

It has grappled with a decades-long insurgency led by ethnic Baloch separatists seeking greater autonomy and a larger share of its natural resources.

The BLA, which has urged people of the province to support the movement, said on Tuesday it had killed 280 soldiers during its Operation “Herof”, Black Storm, but gave no evidence.

Security officials said the weekend attacks began at 4 a.m. on Saturday with suicide blasts in Nushki and the fishing port of Pasni and gun and grenade attacks in 11 more places, including Quetta.

The insurgents seized at least six district administration offices during the siege and had advanced at one point to within 1 km (3,300 ft) of the provincial chief minister’s office in Quetta, the police officials said.

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