AGP Executive Report

Pakistan Economy & ICT: Pakistan’s ICT exports hit $3.4b in FY2026, with freelancers’ remittances rising to $856m, but analysts warn growth is still stuck in outsourcing rather than high-value innovation. Telecom revenues reached Rs837b with 207m subscribers and 161m broadband users, yet service quality gaps remain. Markets: The KSE-100 surged 18.2% in the first nine months, but IPO fundraising stayed modest at about Rs16b, suggesting limited fresh capital for expansion. Naval Tech: Pakistan’s first China-built Hangor-class submarine (PNS/M Hangor) arrived in Karachi, bringing AIP, stealth-focused design and modern sensors into the fleet. Food Security & Regulation: Federal minister Rana Tanveer ordered strict action against bogus seed firms tied to illegal wheat seed trade, pushing for transparency via seed stock data sharing. Payments Upgrade: Habibmetro Bank selected BPC SmartVista to modernize issuing and payments. Global Tech/AI: Vienna startup JobMetasearch launched an AI platform to match non-EU tech workers with visa-sponsored European roles. Climate Tech: A new global early warning system can flag species at risk from extreme heat months ahead.

US-Iran Escalation: The US began “proportional” strikes on Iran after a US Apache helicopter crash blamed on Tehran, while Iran announced the Strait of Hormuz is closed until further notice—raising fresh risks for regional shipping. Security & Training: Pakistan’s Interior Minister Mohsin Naqvi visited the National Police Academy, pushing smart policing, modern tech, and upgraded facilities for trainee ASPs. Water Diplomacy: Pakistan’s Foreign Office called India’s “not a single drop” water remarks “deeply irresponsible,” warning any deliberate water blocking could amount to an act of war. Heat & Fact-Checking: iVerify Pakistan says claims that Lahore and Faisalabad will become among the world’s hottest cities by 2050 are misleading, based on a misread heat-mortality study. Digital Commerce & Startups: Ignite and Mobilink Bank-led partners will set up the National Incubation Centre in Sialkot, citing the city’s 87% share of Alibaba trade transactions. Healthcare Tech: Shifa International Hospitals achieved JCI “Academic Medical Center” accreditation. AI in Shopping: Visa’s Stay Secure survey finds 55% of Pakistanis faced financial scams, even as 82% use AI tools for online shopping. Space & Surveillance: Pakistan’s satellite surveillance of India has expanded with help from China. Energy Transition: Renewables are highlighted as a shield for Asia against oil shocks and LNG price swings.

Food Security Push: PM Shehbaz Sharif ordered immediate wheat supply to Khyber Pakhtunkhwa via PASSCO to protect availability and ease inflation pressures. Agri-Tech Trade: Pakistan finalized a “landmark” Material Transfer Agreement with a Chinese firm to export buffalo genetics (embryos, semen and sexed semen), targeting about $25m annually and boosting livestock productivity. EV Safety Regulation: The government flagged substandard EV batteries and plans stricter quality testing under the NCMC to improve safety as EV demand rises. Energy Infrastructure: Commerce Minister Jam Kamal Khan met SPEC Refinery on Pakistan’s first Deep Conversion Greenfield Refinery in Hub, Balochistan, aimed at cutting import dependence and creating jobs. Cyber Risk Alert: Mastercard warned cyberattacks are increasingly financially motivated, with business systems and critical infrastructure among top targets. AI’s Resource Cost: A UN report says AI data centres could consume massive electricity and water by 2030, raising new sustainability concerns. Health Tech Milestone: Guinness is seeking records after Pakistani surgeons at PKLI&RC claimed 10 liver transplants in under 24 hours. Digital Learning Oversight: PM ordered a review of university IT education after weak graduate performance in a national skills test. Remittances Surge: SBP data shows May remittances hit a record $4.3b, with $38.11b sent in July–May FY26. Regional Tech & Culture: Punjab approved a Rs9.38bn Lahore film and music school with studios and digital audio-visual labs.

US-Iran Escalation: The US began “proportional” strikes on Iran after a US Army Apache helicopter crash near the Strait of Hormuz, with Iran vowing retaliation and firing alerts in Bahrain and Kuwait. Regional Road Safety: A van fire on the Islamabad–Murree Expressway killed at least 10 people and injured 13 after the vehicle fell into a nullah near Khajut. Nuclear Arms Watch: SIPRI reports India’s arsenal has risen to about 190 warheads, while ICAN says global nuclear weapons spending hit a record $119bn in 2025. Pakistan Digital Push: Ignite and Mobilink Bank will set up a National Incubation Center in Sialkot to support up to 25 startups annually. Energy & Industry: Cherat Packaging commissioned a 2.7MW solar plant in Khyber Pakhtunkhwa, adding to an existing 1MW unit. AI in Commerce: A Visa study says 90% of Qatar consumers use AI for shopping, while only 28% trust AI agents to complete checkout. Railways IT Hiring: PM-approved contracts bring UI/UX and mobile app developers into Pakistan Railways’ IT directorate. Health Workforce: Pakistan inaugurated a School of Pharmaceutical Sciences at HSA, stressing prevention-focused training.

Pakistan-China Tech: The China-Pakistan Joint Research Centre was inaugurated at Shenyang University of Chemical Technology, with Pakistan’s PIEAS, NED University and UET Peshawar joining a new research and higher-education collaboration. Digital IDs & Mapping: Pakistan approved doorstep passport delivery with a tracking app and digital payments, while Punjab greenlit “One Map Punjab” (Rs14.66bn) to unify land and infrastructure geospatial data for better planning and fewer duplication issues. Startup Ecosystem: Sialkot is emerging as an e-commerce powerhouse, and Ignite with Mobilink Bank is setting up a National Incubation Centre in Sialkot to back tech SMEs. Governance Tech: Punjab held its first paperless assembly session using e-Assembly, aiming to cut costs and improve transparency. Energy/Trade: Pakistan and Russia are set to sign an economic cooperation agreement by 2030 and link Gwadar to the North-South Transport Corridor. Policy Shock: A federal rightsizing and privatization plan targets major state firms, including PMDC, with rapid implementation. Global Tech-Policy: Nuclear weapons spending hit a record $119bn in 2025, with analysts warning of a new arms race.

Nuclear Spending Surge: A new ICAN report says global nuclear-armed states spent about $119bn in 2025, up nearly 19%, warning of a new arms race. Regional Security Tech: SIPRI’s Yearbook flags India’s nuclear modernisation and delivery-system work, while noting Pakistan’s continued fissile and delivery development after the 2025 India-Pak crisis. Pakistan IT Budget Boost: Pakistan’s IT ministry says it secured its full Rs22bn PSDP allocation (total Rs76bn with linked programmes), with AI training, startup support, rural connectivity and climate early-warning among priorities. Digital Governance: Punjab’s first paperless assembly session and Lahore’s rental e-bike service point to faster public-service digitisation. EV Push: Govt reviews a new automotive policy framework to accelerate electric mobility and local manufacturing. Cyber Fraud Case: Islamabad court sends four Chinese nationals and a Pakistani suspect to judicial custody over the GLBX “Gold Box” app fraud allegedly taking Rs134m. AI Hardware News: Xiaomi’s MiMo AI claims 1,200 tokens/sec decode on commodity GPUs, without custom chips. Markets: PSX jumps 1,700+ points as oil prices ease and budget optimism grows.

Israel-Iran De-escalation: Netanyahu said Israel’s war with Iran is “not finished” even as both sides halted offensive operations after Trump urged restraint, keeping schools closed and aid routes under pressure. Nuclear Security Watch: SIPRI warns nuclear risks are rising as powers modernise and expand arsenals; India is estimated at ~190 warheads while Pakistan is ~170, and China is pegged around 620. AI’s Real-World Cost: A UN University study says AI could consume huge electricity and water by 2030, with data centres’ environmental footprint set to strain developing regions. Pakistan Agriculture & Seeds: Cabinet approval of a National Seed Policy 2025 aims to fix seed quality and supply gaps to lift crop output, including cotton. Punjab Budget Priorities: Punjab’s 2026-27 budget talks focus on housing, schools/e-buses, climate resilience and social protection amid tight fiscal space. Education Disruption: FUUAST teachers in Karachi boycotted exams over unpaid dues, disrupting papers across most departments. Tech Talent Push: Telenor Pakistan and Google wrapped up AI Seekho 2026, with thousands of registrations and hundreds of submissions from Pakistani teams. Trade & Governance: World Bank downgraded Pakistan Raises Revenue to “moderately satisfactory” over slow tax-system progress, while USTR proposed forced-labor import tariffs affecting Pakistan among other economies.

Nuclear Security: SIPRI warns nuclear-armed states are taking warheads out of storage and putting them on delivery systems, with global arsenals still rising as arms control weakens. Regional Deterrence: SIPRI also says India’s arsenal is about 190 warheads (up from 180) while Pakistan remains around 170, as modernisation increasingly targets long-range delivery. AI & Environment: A UN report flags AI’s hidden environmental costs—power, water and land use—estimating AI infrastructure could consume huge electricity by 2030. Circular Tech: Pakistan-linked coverage highlights global electronics buyback and refurbishment models as e-waste grows. Pakistan Economy/Markets: PSX slid on oil-price fears tied to Middle East tensions, with analysts pointing to pre-budget uncertainty. Digital Ports & Crypto: Karachi Port Trust-backed plans aim to create a Saudi-linked crypto, digital finance and smart port hub on 140 acres. Health & Food Safety: Pakistan’s leaders renewed calls for a safe, resilient, nutritious food system on World Food Safety Day, while experts push sugary-drink taxes to fund nutrition reforms. Local Innovation: Sindh held the Karachi Next AI & Innovation Summit 2026, pitching youth-focused tech opportunities.

Digital Infrastructure: QGDC and Huawei Pakistan signed a partnership in Karachi to build Pakistan’s largest Tier-III data centre plus a Science & Technology Park, aiming to boost cloud, AI and e-government hosting and data sovereignty. Public Safety Tech: Punjab Safe Cities Authority launched the “CM Punjab QR Panic Button System” for buses, rickshaws, taxis and other public transport, offering QR-based emergency calling, live location sharing and instant police response via its app/website. Education & Research: Habib University held its 9th convocation, graduating 276 students, while UAF VC congratulated NSDRA and the Green Pakistan Initiative on approval of the National Seed Policy to modernize seed quality and regulation. Parliament Modernization: Punjab Assembly installed 380 tablets under the EU IP-5 programme to run a paperless legislative session. Climate & Safety: SUPARCO satellite assessment says wildfires in Kotli Sattian burned 3,326 hectares across 27 locations, threatening forests and local water systems. Global Tech Policy: OpenAI introduced “Lockdown Mode” for ChatGPT security. Nuclear Risk Watch: SIPRI warned nuclear dangers are rising as states modernize and move warheads onto delivery systems.

Food Safety Push: President Asif Ali Zardari and PM Shehbaz Sharif urged stronger food-safety practices on World Food Safety Day, stressing science-led inspections, lab capacity, surveillance and hygiene across the full supply chain. PAF Air Defence Recall: Pakistan Air Force marked the 2002 interception of an Indian surveillance drone near Lahore, highlighting low-signature detection and a successful F-16 operation. Digital Skills for Students: Sindh Higher Education Commission launched a blockchain skills programme with 85% scholarships (student share Rs5,000) via NED, IBA, MUET and Sukkur IBA. Agri Tech Cooperation: China and Pakistan signed an MoU to expand tropical agricultural research through joint studies, germplasm exchange and training via CATAS and PARC. Cotton Yield Boost: Experts advised timely micronutrient use, saying balanced application can raise cotton output by 20–25% and improve disease resistance. WhatsApp Scam Alert: WhatsApp is developing a Scam Alert feature that flags suspicious messages from unknown contacts using on-device processing to protect privacy. Huawei ICT Win: A Pakistani team from Sindh Agriculture University secured 3rd place in Huawei ICT Global Finals’ Network Track in Shenzhen. Data Centre Investment: Gul Ahmed’s QGDC announced a $230m plan for Pakistan’s largest data centre, aiming to expand local digital infrastructure. Tech & Security Trend: Reports also note rising interest in regional security shifts tied to the Iran conflict and Hormuz disruptions, with Pakistan again mentioned in mediation efforts.

El Niño Watch: NOAA says 2026-27 El Niño is nearly certain (about 96% odds) and could peak during Pakistan’s Maha season, with drought risk rising as reserves slip and inflation returns. AI’s Water Cost: A UN University report warns AI data centres could consume water equivalent to 1.3 billion people by 2030, shifting focus from carbon alone to cooling and land impacts. Pakistan Tech & Industry: Hisense launched in Pakistan via Airlink, aiming for local manufacturing and tech transfer; COMSATS Abbottabad campus faces shutdown risk over funding delays; Sindh HEC rolled out a scholarship-based blockchain skills program for students. Digital Economy & Policy: Budget 2026-27 debate heats up as content creators fear new taxes and ask for a classification framework; IT sector leaders urge a stable, predictable tax regime to boost exports. Cyber/Robotics Learning: Georgia Tech’s COBALT lets users connect to real robots remotely for learning, even without prior robotics experience. Energy & Environment: Pakistan’s geothermal potential remains underused due to lack of policy and investment roadmap, while river contamination reports point to systemic governance failures. Regional Security Tech: India upgraded its integrated air defence network (IACCS + Akashteer) to cut sensor-to-shooter response times.

Education Diplomacy: Bangladesh is pushing an education diplomacy drive to expand scholarships, research collaboration and tech partnerships worldwide. Robotics for Everyone: Georgia Tech’s COBALT lets users control robotic arms from a smartphone and internet, aiming to lower the barrier for robotics and also help gather data for AI training. Traditional Medicine Lab: China and Pakistan unveiled a Zhejiang-Pakistan Joint Laboratory for herbal medicine R&D, with Karachi and Lahore universities as key partners. Digital Infrastructure Push: Gul Ahmed’s QGDC announced a $230m Tier III data centre in Pakistan with Huawei, plus plans for a science and technology park. HEC & Skills: HEC Chairman highlighted education as the base for national progress, while NIPA Karachi’s mid-career course trained civil servants in AI, cyber-security and data analytics. Clean Energy Consumer Tool: Pakistan launched its first consumer one-stop-shop platform (sabzbijli.pk) to guide households and small businesses toward solar and other renewables. AI’s Environmental Cost: A UN report warns AI data centres could consume huge water and electricity by 2030, raising new climate and resource concerns. Capital Markets: PSX reported 13 new IPOs with an average 47% return, boosting investor confidence.

Pakistan Tech & Industry: Pakistan Chemical Expo 2026 kicked off in Islamabad, with industry leaders pushing an integrated petrochemical value chain to cut imports and boost exports, targeting up to $5b in import substitution and 100,000 jobs. Public Safety Tech: Punjab Safe Cities Authority in Lahore intensified AI-based monitoring to catch fake, cloned and tampered number plates, tracing 170+ suspicious vehicles in a month and pushing instant alerts to police. Digital Governance: Islamabad is set for a major governance reform plan, including an elected local government model and more digital service delivery, while the PM also ordered a pilot launch of an AI-driven automated tax collection system. HE & Research Policy: A new debate is growing around institutional expectations versus real conditions for Pakistan’s university faculty, with tenure-track pressures and salary stagnation highlighted. Health & AI: An AI-designed “universal” vaccine has entered human trials with early cautious promise, aiming to prepare immunity against multiple virus families. Climate & Cities: Studies warn Lahore and Faisalabad could become among the world’s hottest cities by 2050, raising public health stakes.

Heat & Health: A new analysis warns over 2bn people in poor communities face “cooling poverty,” with Pakistan already seeing 45°C+ and NDMA flagging heatwave, flash-flood and GLOF risks. Urban Heat Watch: Experts warn Karachi’s heat is turning into a public health threat as concrete growth and shrinking green cover intensify the city’s heat island. Education Tech: Lahore’s BISE approved full digitisation of affiliation and student registration to move services paperless. AI in Schools: Punjab plans two AI schools in Lahore (Rs81 crore) with robotics and modern IT, plus teacher training. Tax Automation: PM Shehbaz ordered a pilot for an AI-driven automated tax collection system in Islamabad to cut manual processes and detect under-reporting. Environment Push: Maryam Nawaz renewed Punjab’s climate push on World Environment Day, targeting pollution, plastic reduction and tree plantation. Connectivity: PIA will resume direct Islamabad–Beijing flights from July 3. Digital/Investments: Telecard may invest up to Rs564m in Supernet’s rights issue; EPL won Pakistan Digital Awards for digital commerce and learning. Civic Space: A report says Pakistan’s civic space is shrinking as dissent faces tighter restrictions and surveillance.

AI & Water Stress: A UN report warns AI data centres could strain water supplies, with the water footprint potentially matching the needs of 1.3 billion people in sub-Saharan Africa. Tax Tech: PM Shehbaz directed an AI-driven automated tax collection pilot in Islamabad, aiming for faceless, transparent income tax and less human discretion at the FBR. Export Push: Shehbaz also ordered faster implementation of the National Tariff Policy 2025–30, with phased tariff cuts and NTC modernisation using AI to back export-led growth. CPEC Fertiliser Boost: Pakistan’s first coal-based fertiliser plant under CPEC 2.0 gets $1.12b backing, pitched as a way to cut import dependence and stabilise farm inputs. Saudi Investment Drive: A Saudi business delegation met PM Shehbaz to explore investments in ports, highways/airports outsourcing, energy and IT. Climate Reality Check: World Environment Day coverage criticised “theatre” and greenwashing, stressing implementation gaps over one-day campaigns. Regional Trade: Pakistan and Tajikistan agreed a three-year roadmap to lift bilateral trade to $200m, including energy and technology cooperation. Global Context: Pew survey finds majorities in Muslim-majority countries, including Pakistan, view Israel unfavourably and lack confidence in Netanyahu.

Punjab Farm Mechanisation: Punjab is pushing modern farming with subsidised green tractors, combined harvesters and super seeders, plus interest-free loans for machinery to cut costs for small and medium farmers. Budget Timeline: Pakistan’s FY 2026-27 federal budget is set for June 10 in the National Assembly after IMF-linked negotiations delayed an earlier June 5 plan. Trade Pressure: Pakistan’s goods trade deficit widened 17.5% in July–May FY26 as exports fell and imports rose, though May showed a smaller monthly gap. CPEC Connectivity: Pakistan approved a new CPEC motorway plan that includes a 13.5-km tunnel under Babusar Pass, aiming to speed up overland trade with China. Maritime Investment Pitch: Pakistan invited Saudi investors to ports, shipping, logistics and blue-economy projects across Karachi, Port Qasim and Gwadar. Health Impact: Pakistan’s tobacco control efforts helped cut tobacco use by 15.7% over a decade, with WHO/CDC-backed survey results highlighting ongoing health costs. Defence Tech (Regional): India’s reported record $2bn domestic drone procurement signals faster unmanned-system induction across roles. Aviation Disruption: PIA’s post-Hajj Karachi flight faced a delay after a technical fault, with engineers inspecting before departure.