Asia
Torkham border closure causes irreparable economic losses to Pushtoons across the border
The Frequent closure of Torkham, an internationally recognized most important crossing point between the two neighbouring countries is not only fuelling already deteriorated diplomatic relationships, but also causing irreparable economic hardships for millions of Pushtoons living on the two sides of Pak-Afghan border.
For instance, in the recent past, Torkham was again closed for all sorts of bilateral trade and pedestrian movements since last Friday. which causes millions of US dollars losses to national exchequer on Pakistan sides and also losses to commonners.
Besides conflicting stances, reasons from both sides on the closure, the legal status of Durand-Line itself causes harm to the long-term relationships between the two sides. Like predecessors, Pakistan’s powerful military establishment’s blue-eyed Taliban calling themselves Emirate Islami Afghanistan are also reluctant to recognize the Durand Line as a permanent border or an international border between the two countries.
Similarly, Pakistan expects that the Emirate Islami Afghanistan will follow Islamabad’s stance on the issue of terror and must force the banned TTP to come to a halt.
In the wake of continuous tension at Torkham, especially, its closure for bilateral trade had disappointed the Afghan traders. Since Torkham remained the hub of Afghan transit and bilateral trade with Pakistan or former British India, the volume of trade was declining, Passing or clearance from 4000 to 5000 goods trucks from both sides now reduced to 250 and 300 vehicles.
Almost all of these goods trucks are loaded with perishable locally produced items like fruits, vegetables, poultry, meat, etc. However, from Afghanistan, side coal and soft stone are imported to Pakistan. Coal is consumed in Pakistan power generating units and other industrial units whereas Soft Stone is exported to China, where it is used in cosmetics and other value-added products. But now the situation is taking other drastic turns when Afghan traders and investors are preparing other trade routes like Bandar Abbas of Iran and different Central Asian Republics.
What is the Durand Line and when the agreement was signed
The Durand Line Agreement was signed in 1893 by Sir Mortimer Durand and Afghan ruler Abdur Rahman Khan to establish the buffer between Afghanistan and British India. The agreement was intended to improve diplomatic relations and trade between the two countries. The agreement was signed on November 12, 1893, in Kabul, Afghanistan. The Durand Line has served as the official border between the two nations for more than one hundred years, but it has caused controversy for the people who live there. When the Durand Line was created in 1893, Pakistan was still part of British India.
No one can deny the fact that soon after signing of the Durand Line King Amir Abdul Rahman Khan on the second day had refused to recognise the Durand Line Agreement by saying, he was betrayed. Since then , no ruler of Afghanistan enabled the Line to recognise the Durand Line as a permanent border between the former British and Afghanistan. On such ground, it was no other than Afghanistan, which had refused to endorse Pakistan’s plea for UN membership. On such grounds after partition of the subcontinent, Pakistan and Afghanistan emerged as hostile towards each other, thus making hard days and nights if no other than Pushtoons and Baluch’s who are living along the Pak-Afghan border. From both sides, powerful spy masters initiated efforts for fuelling tension between the two neighboring countries through one or the other ways.
Afghanistan, especially the PUSHTOONS, remained a major hurdle before the forward policies of the British rulers in the region. Landing in the South Asian part of India, now called Khyber Pakhtunkhwa somewhere in the third quarter of 19th century, the colonial rulers were ahead with the worst kind of resistance in almost all parts and parcels, now almost linked with each other in Khyber Pakhtunkhwa. In connection with its Forward policies or intentions in the region, the British rulers made convinced Amir Dost Muhammad Khan of Afghanistan to retreat from Peshawar and its adjacent areas somewhere in 1845-46 but Afghan rulers made reversed the decision when Pushtoons like other Indians from all over the world embarked on Independence War called GHADAR in 1857. Despite Afghanistan’s support, the Independence War ended meaningless, and British Rulers initiated further steps for disintegrating the Pushtoons.
In 1865, the first ever agreement was signed with the Afridis of Khyber, and in light of its fruitful outcomes, the Gandamak Agreement signed with the Afghan government and elders. Prior to Durand Line, the Gandamak Agreement may be considered the beginning of Pushtoons’ disintegration or division. Though Afghans are disagreeing, before partition of the subcontinent, the British rulers reaffirmed its stance on Durand Line through 1905 Kabul and 1919 Murree (Rawalpindi) Agreements. Murree or Rawalpindi’s 1919 agreement led to declaring Afghanistan as a sovereign, independent, and autonomous state, and it also led to the ending of the third Anglo Afghan War. But with the passage of time, no any ruler, leader, or politician enabled to recognise the Durand Line as permanent international border between the two countries.
Almost all tribesmen belonging to British rulers demarcated tribal maintained cordial relations with both the neighboring countries, except Kabul-Islamabad
Though the British Colonial rulers, while debating the post-Durand Line reaction and opposition, assured Afghans that Pushtoons having lands and relations across the border will be given access. However, after partition, Pakistani authorities hesitated to honor such assurances, and its powerful military establishment initiated acts and actions against all those who remain on good terms with the government in Kabul. Almost all tribesmen belonging to British rulers demarcated tribal districts have maintained cordial relations with both the neighboring countries. But the prolonged war in Afghanistan, especially internal conflict amongst the Afghans and landing of US led allies in the wake of situations erupted with the 9/11 tragedy, had made the task easy for Pakistan. Sensing terror across the Pak Afghan border to almost the world community, the US extended financial and technical support for fencing the Durand Line. Even the US had agreed to return the Taliban into power, but Pakistan’s dreams of getting recognition of Durand Line couldn’t materialise. Now Pakistan, through one or the other ways, presses Taliban to bow before its prolong wish-which is no other than recognition of Durand Line and terminating of politico-diplomatic links with India,
Despite mis-trust and hostile attitudes towards each other, the Torkham border never closed for a single day until 2013 when Afghanistan remained in government of rulers like Zahir Shah— Hamid Karzai Even this important crossing point was in full fledged operation during war time against the former Soviet Union. Fencing of Durand Line has not only encouraged Pakistan of further building up pressure against Afghanistan to follow its line on issues like Durand Line, Kabul-New Delhi links, sanctuaries to banned TTP and even ensure smooth transit trade services with Central Asian Republics.
Though Pakistan had jubilated the return of its loyal or blue-eyed Taliban into power in mid of August 2021. On such grounds, people from trade and business circles have also attached great hopes. But the outcomes remained very disappointing. The one-time trade volume up to five billion US dollars ( in 2005-2006) now declined to 600 to 700 million US dollars. Frequent closure or suspension of bilateral trade with Afghanistan is making millions of people throughout the region. Now the situation is worsening day by day which will definitely be harmful to the interests of both countries.
Taliban Deputy Prime Minister Ghani Baradar and Pakistan’s PM was in Uzbekistan when Torkham border closed
Both Pakistan’s Prime Minister Shehbaz Sharif and Afghanistan Deputy Prime Minister Mullah Abdul Ghani Baradar were on a Uzbekistan visit when Torkham closed on Friday night. The purpose of both the dignitaries was the same, strengthening bilateral relations with the Central Asian Republic, but it could be hard for any of two, ignoring each other’s interests. Zahid Ullah Shinwari, former President of Sarhad Chamber of Commerce and Industries, is right in his stance on the issue of Torkham closure. He says that “Pakistani authorities are putting at stake for one to two billion US dollars but ignoring over three billion US dollars consumer market in neighboring Afghanistan.”
Ironic, almost politico-religious leaders are unanimously in favor of cordial and friendly relations with Afghanistan, but none of them are able to do so. It is no secret now that power and authorities in Pakistan rest with the military establishment-which has been monitoring ups and downs across the border in Afghanistan for a long time. Outcomes of such monitoring are before each and every one. Despite rendering a lot, Pakistan is now a friendless state in war devastated Afghanistan. Even almost Afghans, even linked or associated with Taliban and Jehadis like Gulbadin Hekmatar, are not hating Pakistan. On such grounds, policy makers within corridors of Rawalpindi-Islamabad need to revisit its own policies and pinpoint the anomalies, which, instead of creating/finding friends, lead to the earning of hate and hostilities.
Similar was the situation in the 1970s when late Zulfikar Ali Bhutto was governing Pakistan and Sardar Muhammad Daud Khan was the occupant of Qasar-i-Gul Khana at Kabul. Both of them held two rounds of meetings in June and July 1976. The last one was on the eve of Non Alignment Summit at Islamabad. During these meetings, both had agreed for a consensus mechanism with top priority of settling the Durand Line issue forever. Similarly agreed in indirect or telephonic contacts between Shaheed Benazir Bhutto and late Dr. Najib Ullah in mid of 1990. But mysterious elements didn’t allow all these four to go forward in such a noble cause. Still, the issue of Durand Line is a political one and could easily be settled through political ways and means. Powerful Junta in Pakistan must realise that Zia Ul Haq made strategic depth policies that couldn’t yield positive outcomes, therefore, political leadership may be given a chance to settle all sorts of issues with Afghanistan and other neighboring and regional countries. Settling all such issues and entering into trustworthy relations with neighboring countries seems much more in the interests of Pakistan rather than others.
Asia
Chinese Politburo signals cautious confidence as Beijing pivots toward targeted tech support
The mid-year meeting of the Communist Party of China (CPC) Politburo has long served as a critical evaluation point for Beijing. The session provides the central government with an opportunity to review developments from the first half of the year and steer the country toward a more realistic economic course in the months ahead.
The latest statement from the top leadership signals cautious confidence. The release indicates that policymakers are favoring a stable, targeted approach over the broad-based stimulus measures that characterized previous years. As China manages its economic transition, the post-Covid era of aggressive spending has clearly drawn to a close. In its place, a strategic and structural approach has taken hold, prioritizing resilience and stability over short-term capital injections.
According to the outcomes of the Politburo meeting, the policy orientation will continue to target specific sectors. Financial support will be directed away from the property market and toward high-tech emerging industries such as artificial intelligence and semiconductors. In the real estate sector, the objective remains stabilizing market confidence and keeping debt risks under control.
Infrastructure investment is likewise being reshaped around the concept of “new infrastructure.” The focus is no longer solely on concrete and physical structures; smart power grids, information technology networks, and data infrastructure have taken precedence.
This approach signifies an investment in future competitiveness rather than simply pumping capital into the economy’s more stagnant sectors. Serving as a new driver of growth, digital infrastructure fulfills a dual purpose: supporting domestic demand in the short term while safeguarding technological competitiveness over the long term.
Finally, Beijing is signaling a more conciliatory posture in international trade. The Chinese leadership aims to establish a more balanced trade framework to mitigate concerns voiced by trade partners such as the European Union over what has been termed “China Shock 2.0.”
As the administration prepares for critical leadership changes next year, its primary focus will remain on stability across both economic and social spheres.
China continues to strike a balance between realistic growth targets and systemic restructuring, maintaining policy leeway to absorb potential external shocks. Beijing’s economic strategy reflects a pragmatic assessment of both domestic and international challenges.
Struggling with weak demand, the domestic economy is not yet in a position to anchor national growth independently. Expansion continues to rely heavily on a record trade surplus alongside the impressive export performance of high-tech and clean energy sectors. However, this reliance has drawn pushback from several trading partners.
To stimulate domestic economic activity and ease trade tensions, Beijing unveiled its first standalone five-year plan focused on consumption. Released in July by the National Development and Reform Commission and the Ministry of Commerce, the plan targets an increase in retail sales to 60 trillion yuan (approximately $8.9 trillion) by 2030. This represents an increase of roughly 20% compared to 2025 levels.
To improve profit margins for small businesses, regulatory authorities are tackling the issue of “involution”—described as excessive internal competition—by curbing platform monopolies and preventing destructive price wars. While these structural adjustments may take longer to yield results, they are viewed as a more sustainable and effective alternative to direct cash handouts.
Asia
Chinese chipmaker profits surge 2,500% on explosive AI computing demand
Major Chinese microchip manufacturers saw their profits surge by 2,579.5% in the first half of 2026, driven by unprecedented demand for artificial intelligence and computing capacity.
Data from China’s National Bureau of Statistics, cited by the South China Morning Post (SCMP), underscored the industry’s sharp upward trajectory.
Yu Weining, senior statistician at China’s National Bureau of Statistics, explained that this surge is directly connected to the accelerating integration of artificial intelligence across various sectors.
Yu noted that this process has increased the need for computing capacity. The demand for computational processes also lifted profits across the entire electronics industry by 97% year-on-year.
Profits of major Chinese industrial enterprises with an annual revenue exceeding 20 million yuan ($2.9 million) rose 18.7% in the first six months of the year, reaching 4 trillion yuan.
In the first half of 2025, before the global data center construction process had begun, industrial profits had dropped by 1.8% to 3.4 trillion yuan, while profit growth in the electronics sector remained at 3.5%.
The SCMP reported that the global AI boom has generated explosive demand for high-performance computing systems and memory chips, causing a structural pivot in China’s industrial landscape.
Data showed that integrated circuit production in the first half of the year grew by 23% year-on-year to reach approximately 280 billion units.
This figure means that the country produced an average of more than 1.5 billion chips per day.
The profit growth is also corroborated by forecasts from China’s leading chipmakers. Shenzhen Longsys Electronics, one of the largest memory module manufacturers, expects its profits to increase by more than 600-fold in the first half of the year.
Flash memory maker GigaDevice projects that its net profit will surge by approximately 1,099% year-on-year due to supply shortages and rising product prices.
Chinese companies in the AI chip segment are also demonstrating strong profit growth, albeit at a more moderate pace compared to the memory market.
Hygon Information Technology, which develops central processing units and computing units for artificial intelligence, projects that its profits will rise by up to 52.3%.
CXMT hits record high on Shanghai Stock Exchange
Shares of Chinese chipmaker CXMT gained more than 500% on their first day of trading on the Shanghai Stock Exchange on July 27, jumping from 8.66 yuan to 55 yuan.
As a result of this sharp surge in its shares, CXMT’s market valuation reached 3.65 trillion yuan ($539 billion), making the company China’s most valuable publicly traded firm.
At the peak of the rally—even though quoted prices underwent a slight correction toward the close of the trading day—CXMT surpassed Tencent, which was trading on the Hong Kong Stock Exchange with a market capitalization of $514 billion.
Asia
Massive student movement over exam leaks forces resignation of India’s education minister
Indian public examination reform proposals follow education minister’s resignation after nationwide youth protests
India’s federal government introduced legislation in parliament on Monday to amend the law governing public examinations, days after the “Cockroach” movement forced the resignation of Education Minister Dharmendra Pradhan following nationwide youth protests.
The bill incorporates enhanced sanctions, including longer prison sentences and higher fines for those found responsible for exam leaks and irregularities.
The demonstrations are widely viewed as the most significant youth-led challenge faced by Prime Minister Narendra Modi since he took office in 2014.
What triggered the protests?
Nearly 2 million students took the National Eligibility cum Entrance Test (NEET), an undergraduate medical entrance examination, in May. The federal National Testing Agency cancelled the exam on May 12 following allegations that question papers had been leaked. The examination was re-administered on June 21.
Young people took to the streets to protest against examination fraud, youth unemployment, and a perceived lack of future prospects.
According to a BBC report, the unemployment rate among university and college graduates aged 15 to 25 in the country stands at a critically high level of 40%. The addition of corruption in public examinations to existing economic strain broke the patience of the youth.
Abhijeet Dipke, founder of the Cockroach Public Party (CJP) movement, led the protests.
The movement derived its name from remarks made in May by Supreme Court Judge Surya Kant, who used the terms “cockroach” and “parasite” in a derogatory reference to unemployed youth and protesters. Young demonstrators adopted the insult as a symbol and named their movement after it.
How the movement unfolded
Young protesters organized street demonstrations demanding the resignation of Education Minister Pradhan. Dipke, who initiated the movement in New Delhi, subsequently organized protests in other parts of the country.
Sonam Wangchuk, one of the protesters, began a hunger strike at the demonstration site in support of the movement. As his physical condition deteriorated, authorities forcibly transferred him to a hospital.
The reaction to Wangchuk’s forcible removal from the protest site caused crowds at the venue to expand rapidly.
Tens of thousands of protesters faced tear gas and baton charges by police while attempting to march on parliament. Some demonstrators engaged in clashes with law enforcement officers.
CJP leaders held talks with ministers from the Modi government, who requested time to evaluate the protesters’ demands internally.
Modi called for unity among lawmakers in the ruling coalition to implement strict measures against exam paper leaks, punish those responsible, and establish a secure, leak-proof system.
Opposition representatives led by Rahul Gandhi staged a sit-in at the entrance of Modi’s official residence demanding Pradhan’s resignation. They were briefly detained by police before being released.
Opposition lawmakers supporting the student protesters disrupted proceedings in parliament. Demonstrations expanded to other regions of the country, including the financial hub of Mumbai.
In his first direct statement regarding the protests, published in a post on X, Modi announced that special courts would be established to prosecute individuals involved in exam paper leaks. Protesters rejected the proposal.
Movement leaders held a second round of talks with the government after Wangchuk ended his 26-day hunger strike.
Following those discussions, the government requested time until the afternoon of the following day to respond to the demand for Pradhan’s resignation.
Education Minister Pradhan subsequently announced his resignation, stating that he was stepping down in light of the situation at the protest site and across the country, as well as to prevent “external forces” from exploiting the environment.
On July 26, Modi announced the creation of a task force headed by technology entrepreneur Nandan Nilekani to overhaul the country’s examination system.
On Monday, July 27, the government presented a bill to parliament proposing amendments to the law governing public examinations. The legislation introduces stiffer penalties for offenders, including extended prison terms and increased monetary fines.
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