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Experts caution against unchecked use of AI

Experts caution against unchecked use of AI

KARACHI: Experts on Tuesday cautioned against the unchecked use of artificial intelligence (AI) technology, warning that while it offers many benefits, it also poses risks to cybersecurity, financial systems, and individuals' privacy.
Highlighting $100 billion impact of technology on the global economy during a conference titled 'New Age Innovations: Create Impact in an AI-Driven Future', held at a local hotel, speakers urged responsible use of AI and warned users about inherent data biases.
Former Chairman of the Higher Education Commission of Pakistan, Prof Dr Atta-ur-Rahman said that despite limited resources, the country has made remarkable achievements in science and innovation.
'Universities are not about good buildings, but good minds,' he stated, reminding the Islamic world of its declining presence in science and technology, noting the lack of a Muslim Nobel laureate in the sciences. He urged Muslim nations to abandon superstition and embrace modern scientific developments.
He told participants that AI, when combined with quantum computing, can solve problems in minutes that would otherwise take billions of years. He also highlighted AI's use in education, medical advancements, treatments, and innovations such as neuro and chips to aid the visually impaired.
Sohail Jawaad Syed, Executive Director at DFS Group, State Bank of Pakistan, discussed the country's digital payment landscape. He noted that while global adoption of digital payments is increasing, many Pakistanis still rely on physical transactions such as cheques.
He said that 82 percent of account holders still prefer cash or cheque transactions due to a lack of understanding of digital banking. He urged the government to develop policies that promote digital payment systems to improve transaction efficiency.
Expressing concerns, he advised users to interact with AI cautiously, citing data biases. He emphasised that AI poses significant cybersecurity threats, calling them 'really scary,' and added that it could also infringe on human privacy. He called for proper regulations to manage these risks.
German Consul General in Karachi Dr Rüdiger Lotz praised the organisers for enhancing public understanding of AI. 'We have to ensure we use AI, and not the other way around,' he remarked.
He also described AI-generated information as 'biased' and urged users to verify content critically. He said AI technology still lacks objectivity and should remain a tool—not a decision-maker—for humans.
Dr Ani Atanasova, CEO and Co-founder of Pixelhunters, UAE, speaking online, stressed that AI cannot replace human creativity. She explained that AI generates content from existing data, whereas human creativity is boundless and includes emotion— something AI lacks.
She acknowledged AI's benefits in education, helping students innovate and enabling technologists to train AI with human behaviour patterns. However, she pointed out that trust in AI-generated content remains a challenge.
Yasmin Hyder, CEO of New World Concepts Pakistan observed that the post-COVID era has rapidly transformed marketing, branding, and HR management. She said the conference aimed to explore AI as a powerful innovation tool.
Dr S Akbar Zaidi, Executive Director of the Institute of Business Administration Karachi, provided a critical perspective on how institutions and societies must adapt to the AI revolution. He addressed AI's socioeconomic implications and emphasised the importance of policy, education, and governance in achieving inclusive, sustainable outcomes.
Asma Shaikh, Acting VP and Director General HR at the Asian Infrastructure Investment Bank, China, shared insights on how organisations can prepare their workforce for the AI era. She highlighted the importance of future-ready leadership, agile teams, and inclusive talent development.
Naz Khan, Principal Country Officer at the International Finance Corporation Pakistan, focused on AI's transformative potential in agriculture, energy, and infrastructure. She emphasised how technology can drive inclusive economic growth and tackle challenges like climate change and poverty.
Atyab Tahir, Co-founder and CEO of HugoBank, discussed how AI is revolutionising the banking and financial services sector by enhancing customer experience, operational efficiency, and data-driven decision-making.
Qashif Effendi, EVP of SBE Holdings, Canada, presented on 'Boosting Sales with Generative AI,' showing how AI can optimise marketing and sales through better customer targeting, content creation, and campaign management.
Dr Zainab Samad, Ibn-e-Sina Professor and Chair of the Department of Medicine at Aga Khan University, spoke on 'How AI is Affecting Health and Wellbeing.' She detailed AI's impact on diagnostics and patient care, while also addressing how constant use of new technologies may affect brain function and social behaviour.
Copyright Business Recorder, 2025
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Reimagining Balochistan
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time10 hours ago

  • Express Tribune

Reimagining Balochistan

For over a century, camel caravans laden with silk, jade, porcelain, and spices traversed the expansive deserts of China's far-western frontier. These caravans, carrying merchandise from China and Central Asia, endured a grueling journey, crisscrossing the formidable Pamir and Tianshan mountain ranges en route to Kashgar — an oasis town at the heart of the fabled Silk Road. As a vibrant kaleidoscope of civilisations, Kashgar flourished as a hub where goods, knowledge, and cultures not only met, but also mingled. However, Kashghar together with other ancient Silk Road towns gradually slipped into economic obscurity in the 15th century as the rise of maritime trade shifted global commerce from land to sea. While China's eastern coastal cities leapfrogged in development during the country's rise as a global manufacturing powerhouse, the Xinjiang Uyghur Autonomous region — home to the predominantly Muslim ethnic Turkic community — was left behind. By the mid-20th century, Xinjiang had become increasingly volatile. The region was wracked by what Beijing calls the 'three evils' -- terrorism, separatism, and religious extremism as sporadic separatist, ethnic, and religious violence turned it into a restive borderland. Today however, that image is undergoing a sea change. The Chinese government has initiated an ambitious plan to restore Xinjiang's old glory not by resurrecting its past, but by reimagining its future as a renovated bridge between East and West. And to achieve this reality, Beijing introduced a novel 'Root Cause' model to address the underlying socioeconomic drivers of violence by focusing on economic empowerment, infrastructure expansion, cultural integration, and good governance in an attempt to weave Xinjiang back into the fabric of national progress by transforming it into a vital trade corridor. 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Third, the state adopts a holistic, system-wide approach involving over a million Communist Party of China cadres, teachers, and 28,000 religious clerics to implement and support stability efforts at the grassroots level. Fourth, China pursues inclusive economic development, offering education, jobs, and business opportunities to reduce alienation and integrate disillusioned people into society. Lastly, it coordinates with neighbouring countries to eliminate external terrorist threats, including the extradition or elimination of East Turkistan Islamic Movement (ETIM) leaders. Beijing's efforts are beginning to bear fruit. Xinjiang's GDP has doubled, and incidents of terrorist violence have dropped to zero over the past decade. The region has also become a key node in China's massive Belt and Road Initiative (BRI). Xinjiang's foreign trade reached $31.7 billion in the first five months of 2025, marking a whopping 22.9% increase over the same period last year, according to the data from Urumqi Customs. This growth outpaced the national average by 20.4%, with trade volumes already exceeding the first-half performance of 2024. Once impoverished, cities like Kashgar, Horgos, and Urumqi are now at the forefront of regional economic growth. Kashgar — a dirt-poor outpost — is now home to a bustling Free Trade Zone and stands as a cornerstone of China's westward economic ambitions. The China (Xinjiang) Pilot Free Trade Zone, divided into three core areas of Kashi, Horgos, and Urumqi generated nearly $14 billion in trade in just five months, accounting for 44% of Xinjiang's total foreign trade. Similarly, comprehensive bonded zones handled $11.42 billion in trade, representing 35.8% of the total. The trade boom is not state-driven alone. Private businesses contributed to 94.7% of Xinjiang's trade volume in the first five months of 2025, growing 25% year-on-year and accounting for 101.5% of trade expansion. The 'Root Cause' model identifies economic deprivation, ethnic alienation, and lack of opportunity as the main drivers of extremism and violence. Under this strategy, China launched a two-pronged campaign: a sweeping counterterrorism drive under the 2015 anti-terror law to mitigate the immediate threat; and a development push to ensure durable long-term peace. This approach is consistent with China's broader national philosophy of lifting people out of poverty to blunt the narrative of terrorists, extremists, and separatists. China has already pulled over 600 million people out of poverty within a few decades – an achievement acknowledged globally. A 2018 report by the Danish Institute for International Studies (DIIS) describes the strategy as a blend of hard security measures and economic transformation. 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SM Hali, who has authored several books on China, says the criticism of Xinjiang policy might have some substance, but many claims — like the mass illegal detentions, forced labour, cultural repression, and forced assimilation — are far from facts. Taking a potshot at Western media, he accused them of recycling Holocaust imagery to portray Chinese 're-education' centres which were set up to rehabilitate Uyghur people vulnerable to extremism through education and vocational training. Hali argues that Western nations impose a universalist framework, sidelining cultures and identities that fall outside their normative value system. 'Western framing often emphasises individual rights and liberal democratic norms which clash with China's state-centric model of governance,' he says. 'China has developed its own system of democracy, a system which is suited to its people, which may be different from the Westminster-style of democracy, which may be different from the US democratic norms, or the French, but if it works for China, who are we to contest that?' Xinjiang holds a strategic importance in China's broader geopolitical playbook. The region not only holds the country's deepest oil and gas reserves, but also sits at the gateway to Central Asia besides serving as a conduit for pipelines and fiber-optic links from Russia, Kazakhstan, Kyrgyzstan, and beyond. And to top it all, Xinjiang is central to China's western integration policy and its global connectivity under BRI. Can the Xinjiang model be applied to Balochistan? Xinjiang's dramatic transformation has caught the attention of some Pakistani analysts who argue that the 'Root Cause' model could possibly hold the remedy for the challenges facing Balochistan. They think Balochistan today mirrors the conditions Xinjiang faced prior to its overhaul -- a vast, resource-rich, and strategically important region held back by chronic underdevelopment, widespread alienation, bad governance, simmering discontent, separatist violence, and religious extremism. Pakistan, many of these experts believe, can adapt three strategic lessons from Xinjiang to catalyse peace and development in Balochistan. First, launch a youth-focused vocational renaissance by establishing community-led modern training institutes in key cities, offering market-relevant skills in mining, digital services, and agriculture. Second, make locals stakeholders in resource development by mandating local hiring, profit-sharing, and forming community oversight boards. Pair Baloch districts with others like Punjab for investment and mentorship. Third, reframe the national narrative by celebrating Baloch culture through media, education, and tourism. Promote inclusion, not suppression, to build dignity and identity. While Xinjiang trained over a million people and halved poverty, Balochistan suffers high unemployment and low GDP despite its resources. 'The lesson from Xinjiang isn't about control, it's about strategic inclusion. And Pakistan must shift from reactive security to proactive empowerment to turn Balochistan into a model of federal harmony and economic vitality,' says Hali. Hali contends that the development-first approach undeniably reshaped the region — and that Pakistan can draw on this model to craft a locally adapted, rights-respecting strategy for Balochistan. 'First of all, industrialization is a stabilizing force. We have to establish SCZs in Gwadar, in Hub, in Khuzdar with tax incentives. We have to provide land grants and simplified regulations to attract investment. Then there should be resource based industries; develop value-added industries around copper in Reko Diq, gold, fisheries and marble to retain the wealth locally.' When asked about the insurgency that threatens development and inclusion efforts, Hali contends that the development-first approach undeniably reshaped the region — and that Pakistan can draw on this model to craft a locally adapted, rights-respecting strategy for Balochistan. But he cautions that development alone cannot address the province's deeper sense of exclusion. 'Let me say it is no longer a question of poverty, but of perceived exclusion from decision-making, resource benefits, and national narratives. And economic inclusion, when applied, must not be invisible. Participate, participatory, and dignified — that means transparent governance.' Hali emphasised the need to involve tribal elders, youth leaders, and civil society in planning and oversight, adding that cultural respect must be upheld. 'We must celebrate Baloch identity through media, education, and tourism — not suppress it. And security must be built on trust. We must replace heavy-handed tactics with community policing and reconciliation efforts.' Senator Mushahid echoed similar concerns, particularly around accountability and justice. 'If I were asked to advise the government of Pakistan on the three things needed to resolve the issue in Balochistan, number one would be to remove this blot — this bleeding wound — of missing persons. I think this is a stain on the fair name of Pakistan. Our country is a product of democracy, the rule of law.' Pakistan, the senator reiterated, has much to learn from China in addressing unrest and promoting stability and harmony. Providing context, he traced the roots of the Baloch insurgency back to the government of former Prime Minister Zulfiqar Ali Bhutto, who, he said, dismissed Balochistan's first democratically elected government — an act that, in his view, triggered the insurgency. He credited General Zia ul Haq's period for being peaceful as the former military ruler offered respect to leaders from Balochistan. 'Pakistan's approach has to change,' he said. 'We need an effective counterterrorism strategy to confront the foreign-sponsored proxies and terrorists killing innocent people in Balochistan. Yes, there must be a kinetic component — but equally important are education, political engagement, and a softer touch.' He did not spare Balochistan's own elite either. 'They've been beneficiaries of the federal system, the 1973 Constitution, and the 18th Amendment, which has given the province significant financial autonomy. Yet they've done damn all for the people of Balochistan.' Reverting to a comparison between Xinjiang's trajectory and Beijing's approach with Islamabad's strategy in Balochistan, Mushahid credited Chinese policy for its strategic clarity and consistency — qualities he said have been lacking in Pakistan. 'That's why there's been a flip-flop approach, and the problem remains unresolved,' he concluded. From the looks of it, officials in Pakistan have increasingly emphasized the need for economic inclusion in Balochistan under CPEC, viewing it as a peace-building exercise, not just an infrastructure project. Xinjiang's journey from epicenter of terrorism to a burgeoning economic hub is neither complete nor uncontested. But the trajectory is undeniable. Trade, industry, infrastructure, and energy have returned life to cities once left behind by history. Whether or not the Root Cause model becomes a global template remains to be seen. But in the deserts of western China, a new Silk Road is being paved—not with camel caravans, but with economic integration, digital connectivity, and an unapologetically developmentalist vision of peace.

CPEC power dues rise to Rs423b
CPEC power dues rise to Rs423b

Express Tribune

time13 hours ago

  • Express Tribune

CPEC power dues rise to Rs423b

Listen to article The government managed to restrict the outstanding dues of China-Pakistan Economic Corridor (CPEC) power projects to Rs423 billion by June this year, which might also be settled soon, subject to early resolution of the issue of interest on late payments. The official documents showed that as of the end of fiscal year 2024-25, the outstanding energy payments to Chinese power plants amounted to Rs423 billion. These were Rs22 billion, or 5.5%, more than the preceding fiscal year. The details showed that since 2017, the country has paid Rs5.1 trillion in energy costs to the 18 Chinese power plants, which were equal to 92.3% of the billed amount, including interest. The Pakistani authorities believe that the actual remaining cost of energy was less than Rs300 billion and the rest of the amount was due to late payment surcharges. The government is in the process of taking nearly Rs1.3 trillion in fresh loans from the local commercial banks to retire the circular debt that it owes to the state-owned power plants, nuclear power plants, privately owned plants, and the Chinese plants. According to one of the conditions set by the federal cabinet, the authorities will negotiate with the power producers to waive off the interest payments in return for taking upfront full payments, said a government functionary who is part of these discussions. The Chinese might not waive off the interest cost due to their internal requirements, which would leave the government with the option of either making full payments in one go or clearing the dues as the fiscal space is created. The Rs423 billion unpaid debts are in violation of the 2015 CPEC Energy Framework Agreement, which binds the government to fully clear the dues irrespective of whether the authorities can recover the amounts from the end consumers. Along with security, the non-fulfilment of CPEC contracts is one of the reasons for slow progress in financial and commercial relations between the two nations. Prime Minister Shehbaz Sharif is expected to visit China next month, and one of the agenda items is luring Chinese investors to Pakistan by addressing their concerns. Under the CPEC Energy Framework Agreement, Pakistan was required to create a revolving fund with 21% of the power invoices to protect Chinese firms from the circular debt crisis. However, the previous government opened a Pakistan Energy Revolving Account at the State Bank of Pakistan in October 2022 with Rs48 billion in annual allocations. But it limited the withdrawals to Rs4 billion per month, leading to the current Rs423 billion debt stock. The documents show Pakistan owed Rs87 billion to the imported coal-fired Sahiwal power plant, while the company received Rs1.14 trillion in the past eight years of its operations. The country also owed Rs69 billion to the coal-fired Hub power project, compared to the Rs834 billion worth of total claims. The outstanding remaining dues of the coal-fired Port Qasim power plant were Rs85.5 billion, as against the total bills of over Rs1 trillion. The Port Qasim plant's dues were roughly Rs15 billion higher than the preceding fiscal year. The Thar Coal project dues remained at Rs55.5 billion. It had claimed Rs566 billion worth of dues. The outstanding dues of Karo power company were Rs11 billion, Engro Powergen Thar Coal Rs38 billion, Matiari Lahore Transmission Line Rs28.5 billion, and Thar Energy Limited Rs8.3 billion. The Chinese government has repeatedly raised this issue with Pakistan through diplomatic channels, including Pakistan's embassy in Beijing and its own embassy in Islamabad. It is expected that once the procedural formalities are completed by the commercial banks and the federal government's entities, the circular debt amounts would start going down. The government had reached a deal with commercial banks to borrow Rs1.25 trillion at less than an 11% interest rate as part of its three-pronged strategy to eliminate the circular debt and restore power sector viability. The banks are expected to disburse the loans soon after fulfilment of the procedural requirements. The deal is said to be about 3% to 5% cheaper than the interest on the existing facilities and the penalties that the government pays for not making timely payments of the energy purchases. The Rs1.25 trillion debt is being taken on the books of the Central Power Purchasing Agency (CPPA), and it would not be part of the overall public debt. The government was paying up to 14% cost to the commercial banks on the loans that it had taken in the past to retire the circular debt, and up to 16% price to the Independent Power Producers (IPPs) for not making timely payments to them. Out of the total Rs2.4 trillion existing circular debt stock, there is a need to resettle the Rs1.5 trillion principal amounts to eliminate the debt stock. Out of the Rs1.25 trillion, about Rs660 billion will be settled against the Power Holding Limited debt. This debt had been obtained in the past at a rate of KIBOR plus up to 2%. The nuclear plant powers will get around Rs280 billion, while the LNG power plants are expected to receive Rs220 billion. Pakistan's earlier efforts to get the energy debt rescheduled have not succeeded, according to the government sources. Finance Minister Muhammad Aurangzeb and Energy Minister Sardar Awais Laghari were leading these efforts. The Pakistani officials had requested a five to eight-year extension for repaying energy debt, converting US dollar-based interest payments to Chinese currency, and reducing overall interest rates for both CPEC and non-CPEC Chinese-funded projects.

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