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Pakistan's government, led by PM Shehbaz Sharif, is pursuing a dual-track foreign policy of engagement with the US-led Gaza initiative and traditional partners like China and Iran, while domestic stability is severely tested by a catastrophic urban fire and escalating militant violence in Balochistan.
January 2026
Week of Jan 26, compared to 12-week average
No deviations this week.All weeks this month are quiet.
Top sources covering Pakistan
Pakistan's economy remains under IMF oversight with the Prime Minister publicly acknowledging the heavy political cost of bailouts. The government is pursuing unconventional financial deals, including a partnership with a Trump-linked crypto firm for a dollar stablecoin. Regional connectivity saw a minor boost with the resumption of direct flights between Karachi and Dhaka.
Foreign policy is dominated by Pakistan's consideration of and eventual joining of the US-led, Trump-announced 'Board of Peace' initiative for Gaza, alongside other Muslim-majority nations. Diplomatic activity remains broad, with high-level engagements including a phone call between PM Shehbaz and the Iranian president, a visit by the Pakistani President to the UAE, and a meeting between China's top political advisor and Pakistan's National Assembly speaker.
Security forces are engaged in a major counter-insurgency operation in Balochistan, announcing the killing of scores of militants following coordinated separatist attacks that also left police officers dead. The period was also marked by a devastating civilian catastrophe with a deadly fire at a Karachi shopping mall killing dozens. Military activity included a joint exercise with the US and a naval missile test.
Society is reeling from the trauma of the Gul Plaza mall fire in Karachi, a disaster that dominated public attention for weeks as the death toll rose into the dozens. The government is addressing public health concerns, announcing a comprehensive polio elimination strategy and tightening border surveillance over the Nipah virus threat from India.