Pakistan to offer US firms concessions on mining investment in tariff talks, says minister
Pakistan faces a potential 29% tariff on exports to the United States due to a $3 billion trade surplus with the world's biggest economy, under tariffs announced by Washington last month on countries around the world. Tariffs were subsequently suspended for 90 days so negotiations could take place.
Pakistan's Commerce Minister Jam Kamal said that Islamabad will offer U.S. businesses opportunities to invest in mining projects primarily in Pakistan's Balochistan province through joint ventures with local companies, providing concessions like lease grants.
The minister said that would be in addition to efforts to increase imports from the United States, particularly cotton and edible oils, which are currently in short supply in Pakistan.
Pakistan would put its offer of concessions for mining investment to U.S. officials during talks over tariffs in the coming weeks.
Kamal did not give further information on the bidding process of these mines or other details.
"There is untapped potential for U.S. companies in Pakistan, from mining machinery to hydrocarbon ventures," he said in an interview with Reuters conducted on Thursday.
Pakistan's Reko Diq copper and gold mining project in Balochistan seeks up to $2 billion in financing, including $500 million to $1 billion from the U.S. Export-Import Bank, with term sheets expected by early in the third quarter of this year, its project director told Reuters last month.
The mine could generate $70 billion in free cash flow and $90 billion in operating cash flow over its lifespan.
U.S. President Donald Trump has said that he's working on "big deals" with both India and Pakistan, following Washington's key role in brokering a ceasefire between Pakistan and India earlier this month following the worst fighting in decades between the nuclear-armed neighbours.
"The previous U.S. administration focused more on India, but Pakistan is now being recognised as a serious trade partner," Kamal said.
Pakistan will gradually lower tariffs in its upcoming federal budget, Kamal said.
He said that the United States has not specified trade barriers or priority sectors. The U.S. Embassy in Islamabad did not immediately respond to a request for comment.
(Reporting by Ariba Shahid; Editing by Susan Fenton)
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Zawya
36 minutes ago
- Zawya
Gold and its miners may enjoy a 'critical mineral' upgrade: Russell
(The views expressed here are those of the author, a columnist for Reuters.) LAUNCESTON, Australia - Is gold the next metal to be added to the list of "critical minerals"? Gold is not a vital component of advanced manufacturing like other critical minerals such as rare earths, lithium and copper. But the precious metal appears to be undergoing a subtle shift in how it is viewed by governments and investors. Since countries moved away from the gold standard by the early 1970s, gold has largely been viewed as a relatively niche part of investment portfolios and government reserves. Gold was something that was added to portfolios as an inflation hedge or during times of heightened geopolitical tensions. In some ways, the role of gold in both central bank and investment portfolios was overtaken by bonds, with U.S. Treasuries becoming the most important of these assets. But the return of Donald Trump to the U.S. presidency is leading to a global reassessment of the relative safety of U.S. assets, the independence of the Federal Reserve and the likely worsening of the U.S. fiscal position. Add in Trump's attacks on the rule of law in the United States and the likely hit to both the U.S. and global economies from his trade policies, and the stage is set for a reevaluation of the role of gold. The precious metal has gained 32.3% from a low of $2,536.71 an ounce hit on November 14 in the days after Trump's victory over his Democratic Party rival, former Vice President Kamala Harris. It reached a record high of $3,500.05 an ounce on April 22, and has since retreated slightly to close at $3,357.08 on Wednesday. While gold's day-to-day moves are still largely driven by the news cycle, the overall backdrop looks supportive. The World Gold Council released a report last month in which it surveyed 73 central banks, and 95% of them expected the official sector to increase holdings in the coming 12 months. "This is a record high since it was first tracked in the 2019 survey and represents a 17% increase from the 2024 findings," the council said. Central banks are also moving to repatriate more of their holdings back to their home countries and away from the United States, a further sign that there is a loss of confidence in U.S. assets and the policies of the Trump administration. Gold is also well-placed as one of the few viable alternatives if more governments, fund managers and private investors outside the United States form the view that the era of U.S. exceptionalism is over and that U.S. Treasuries are now a riskier asset as the country's fiscal position deteriorates. MINING COMPANIES Another factor that is showing the positive story for gold is the performance of gold mining equities. Major gold producers have seen their share prices rise at a far faster pace than the actual metal. There are several reasons why this could be the case, including the expectation that shareholders will receive higher dividend payouts in the future and that companies are being rewarded for showing capital discipline in prior years. But it also may be that investors are starting to re-rate gold mining companies in the expectation that gold becomes a more vital and larger part of portfolios, both public and private. For example, shares in Newmont, the world's largest listed gold miner, have risen 63% from their most recent low on December 30 to close at $60.06 on Wednesday. Canada's Barrick Mining has seen its shares gain 40.6% in U.S. dollar terms from its recent low on December 19 to the close on Wednesday. Anglogold Ashanti shares in New York have surged 108% from the low on December 30 to the close of $46.66 on Wednesday, while Gold Fields has seen a gain of 88% in U.S. dollar terms from its November 14 low to the close on Wednesday. If gold does become a more central part of investment strategies, the listed miners are likely to become more attractive, given the difficulty of finding and developing new projects and the long time between exploration and production. Enjoying this column? Check out Reuters Open Interest (ROI), your essential new source for global financial commentary. ROI delivers thought-provoking, data-driven analysis of everything from swap rates to soybeans. Markets are moving faster than ever. ROI can help you keep up. Follow ROI on LinkedIn and X. The views expressed here are those of the author, a columnist for Reuters. (Editing by Jamie Freed)
Khaleej Times
an hour ago
- Khaleej Times
Fractional ownership and real estate tokens: The new way to own property
Imagine owning a slice of Dubai's iconic skyline — a luxurious apartment in Downtown, a sleek penthouse on Palm Jumeirah, or a chic villa in Emirates Hills without the burden of massive loans, complicated paperwork, or lengthy waiting times. What if you could invest in prime real estate with just a few clicks on your smartphone, owning a fraction of a property instead of the entire unit? This is exactly what real estate tokenisation is making possible. By revolutionising one of the world's most exclusive markets, tokenisation is transforming the traditional concept of property ownership in Dubai. What was once a cumbersome and complex process is now becoming seamless, transparent, and accessible to a broader range of investors. Unlocking Real Estate 'Blockchain and tokenisation are making real estate more accessible, transparent, and efficient,' says Amira Sajwani, Founder and CEO of PRYPCO. 'By enabling fractional ownership, they open the door for a wider pool of investors to participate in high-value assets, without the traditional barriers.' In a market historically dominated by large capital requirements and lengthy processes, tokenisation breaks down real estate into smaller, affordable units, allowing even smaller investors to hold stakes in premium properties. At PRYPCO, the appetite for this new model has been overwhelming. 'Our first tokenised property, worth Dh2.4 million, was fully funded in under 24 hours by 224 investors,' Sajwani reveals. 'Our second property broke records, fully funded in less than 2 minutes, with 149 investors participating in an Dh1.5 million listing.' She adds, 'PRYPCO Mint is aligning with Dubai Land Department's vision of a $16 billion tokenised real estate market by 2033. We believe tokenisation will become a mainstream investment route, unlocking liquidity, speeding up transactions, and empowering a new generation of real estate investors.' Similarly, Riz Ahmed, CEO of SmartCrowd, highlights the technology's role in democratising property investment across the Mena region. 'SmartCrowd's introduction of regulated fractional property ownership proved that real estate can be digital, inclusive, and accessible to all investors, not just the wealthy. Dubai Land Department, in partnership with Ctrl+Alt and VARA, are enhancing ownership from SPV-based structures to on-chain, smart contract-based tokens. These digital tokens are replacing traditional title deeds, with full regulatory backing,' he explains. The benefits are clear: 'Tokenised real estate means real-time settlement, full visibility, fair valuations, transparency, and the elimination of legacy delays and fees,' Ahmed notes. Ahmed envisions tokenisation extending far beyond residential properties. 'What began with ready residential units is now expanding — tokenisation of real-world assets (RWA) will include warehouses, retail centers, data centers, schools, hospitals, and even mall parking lots.' Fractional Ownership Democratising Real Estate For decades, real estate has been considered the ultimate asset class — stable, profitable, and desirable. But for many first-time or small-scale investors, it has also remained stubbornly out of reach. High capital requirements, long-term commitments, complex legal processes, and property management responsibilities have made the sector accessible primarily to the wealthy. That, however, is changing fast. 'In the past, real estate was out of reach for many due to significant capital requirements, long-term commitments, and complex processes,' explains Sajwani. 'Fractional ownership removes those barriers.' 'At PRYPCO Mint, users can start investing with as little as Dh2,000 and begin earning rental income from the very same month,' Sajwani shares. 'This empowers individuals to diversify their portfolios without being locked into a full asset.' The flexibility doesn't stop at affordability. PRYPCO's platform offers an open marketplace where users can list their tokens for sale, adding a layer of liquidity often missing in traditional property investment. 'We're not just offering investment,' Sajwani adds. 'We're building an inclusive future where real estate is no longer just for the wealthy.' Ahmed weighs in, saying,'Traditional real estate requires massive capital, complex processes, and heavy responsibilities. We've eliminated those hurdles through fractional ownership.' SmartCrowd's platform allows investments starting from just Dh500, offering access to regulated, income-generating assets without the burdens of mortgages or property management. 'No landlord headaches, no large down payments, and no paperwork,' Ahmed says. 'Every investment is fully managed. First-timers get a smooth entry into property, while seasoned investors can deploy $1 million across 10+ properties instead of locking it all into one.' Fractional models are also making diversification easier than ever. Investors can now spread their risk across a range of asset classes — from holiday rentals and long-term leases to properties aimed at capital appreciation. 'You can diversify across locations, tenant profiles, and investment timeframes, all while maximising yield and maintaining liquidity,' Ahmed explains. Robust Legal Frameworks Property investment is becoming more accessible, secure, and transparent than ever before, supported by robust legal frameworks and proactive regulatory measures. 'The UAE is leading the way in creating robust legal frameworks for tokenised real estate,' says Sajwani. With the support of forward-thinking regulators like the Dubai Land Department, VARA, and the Central Bank, we now have a clear structure that recognises digital ownership and protects investors.' This solid foundation is just the beginning. 'As adoption accelerates,' Sajwani adds, 'we'll see even more progress in areas like secondary market regulation. The commitment from both public and private sectors to innovate responsibly is what will continue to set the UAE apart as a global benchmark for tokenised property investment.' Ahmed shares the positive outlook but also highlights the bigger challenges that lie ahead: 'Dubai is among the global leaders in creating a regulatory backbone for tokenised real estate. The Dubai Land Department (DLD) has begun issuing Tokenisation Certificates, linking blockchain-based property ownership with legal title. Meanwhile, the Virtual Assets Regulatory Authority (VARA) oversees digital asset issuance and trading, ensuring compliance with virtual asset laws.' However, he cautions that despite Dubai's pioneering efforts, a global consensus remains elusive: 'Most jurisdictions have yet to recognise a token as equivalent to a deed or title, and there is currently no harmonised international framework. This makes cross-border tokenization complex.' Building Investor Confidence As the real estate market embraces the digital era, investor trust remains paramount. The rise of tokenised property investments has brought convenience and accessibility, but also questions about security and authenticity. 'At PRYPCO, investor trust is the foundation of everything we do,' says Sajwani. 'Every property listed on our platform undergoes rigorous due diligence and is backed by the necessary regulatory approvals, ensuring each token represents a genuine and verifiable share of ownership.' This commitment extends beyond internal checks. PRYPCO's strategic partnerships reflect a strong regulatory alignment from close collaboration with the Dubai Land Department (DLD) to licensing under the Virtual Assets Regulatory Authority (VARA). The involvement of their official banking partner, Zand Bank, further underscores the platform's dedication to compliance and financial integrity. One of the critical concerns in digital real estate investment is the handling of investor funds. 'Investor funds are safeguarded in a Client Money Account (CMA), as mandated by VARA and managed by Zand Bank,' Sajwani explains. 'These funds are held in the CMA until the transaction is completed, ensuring full transparency and operational integrity.' Technology plays a vital role in enhancing security. PRYPCO leverages blockchain infrastructure to enable secure, real-time verification of every transaction. 'Our blockchain technology further strengthens transparency and trust,' Sajwani adds. Echoing these sentiments, Ahmed highlights Dubai's comprehensive regulatory approach: 'Dubai has designed a multi-layered security and authenticity infrastructure for tokenized real estate, where strict regulatory oversight is provided by both VARA and the Dubai Land Department (DLD).' He emphasises that only entities licensed by VARA and officially approved by the DLD are allowed to issue, market, or trade tokenized real estate products. A standout feature of this framework is the issuance of legally-backed Property Token Ownership Certificates by the DLD. 'These certificates ensure that tokens are fully aligned with traditional land registry systems, effectively transforming physical deeds into digital certificates,' he explains. The Future Is Fractional Moving beyond mere trends, tokenisation is reshaping how investors engage with property, making it more accessible, flexible, and digitally driven. Sajwani emphasises this structural evolution: 'This is not a trend, it's a structural shift in the industry. We're witnessing a redefinition of real estate ownership, driven by technology, changing investor behaviour, and regulatory innovation. Tokenisation isn't just making property more accessible; it's introducing a completely new way to engage with real estate, one that is digital, flexible, and inclusive.' At PRYPCO Mint, the focus is on lasting impact rather than short-term gains. Sajwani points to strong market signals that underscore this change: 'The speed at which our properties are being funded, combined with growing demand from first-time buyers and experienced investors, shows that this model isn't just gaining traction, it's becoming the new standard.' Ahmed frames tokenisation as the natural next step in fractional real estate investment and financial inclusion: 'I don't think tokenising the ownership of real estate is a passing trend. I believe it can be the next phase of fractional real estate investing and financial inclusion on a mass scale. Back in 2018, we were the first to work with the Dubai Financial Services Authority (DFSA) to make real estate accessible, fractional, and digital. That innovation broke the barriers to entry and proved that property doesn't have to be owned whole to be owned meaningfully.' Looking ahead, he highlights ongoing advancements in regulatory frameworks: 'Now, the Dubai Land Department (DLD), in partnership with Ctrl+Alt and VARA, is taking that innovation further — building an advanced, institutional-grade framework by tokenising real estate ownership and embedding it on-chain. This enables seamless trading, transparency, and compliance at a scale never seen before.'
Zawya
2 hours ago
- Zawya
US, India push for trade pact
WASHINGTON/NEW DELHI: U.S. and India trade negotiators were pushing on Wednesday to try to land a tariff-reducing deal ahead of President Donald Trump's July 9 negotiating deadline, but disagreements over U.S. dairy and agriculture remained unresolved, sources familiar with the talks said. The push comes as Trump announced an agreement with Vietnam that cuts U.S. tariffs on many Vietnamese goods to 20% from his previously threatened 46%. Trump said that U.S. products could enter Vietnam duty free, but details were scant. Trump threatened a 26% duty on Indian goods as part of his April 2 "Liberation Day" reciprocal tariffs, which were temporarily lowered to 10% to buy time for negotiations. Sources in India's commerce ministry said that a trade delegation from India was still in Washington a week after arriving for talks that started last Thursday and Friday. They may stay longer to conclude a deal, but without compromising on key agricultural and dairy issues, the sources said, adding that it was unacceptable to lower tariffs on genetically modified corn, soybeans, rice and wheat grown in the U.S. Prime Minister Narendra Modi's government "doesn't want to be seen as surrendering the interests of farmers - a strong political group in the country," one of the sources said. However, India is open to lowering tariffs on walnuts, cranberries and other fruits, along with medical devices, autos and energy products, the source said. A U.S. source familiar with the talks said that there were "indications that they are close" and negotiators have been told to prepare for a potential announcement. The source added that "there's been intense and constructive effort to close a deal. I think both sides understand the strategic importance, beyond the economic importance, of closing a deal." Trump echoed those sentiments on Tuesday, telling reporters on Air Force One that he could reach a deal with India that would cut tariffs for both countries and help American companies compete in India's market of 1.4 billion consumers. At the same time, Trump cast doubt on a potential deal with Japan, saying he may impose a tariff of 30% or 35% on Japanese goods, well above the 24% duty rate he announced on April 2. Japan is seeking to lower separate 25% automotive and steel tariffs that Trump imposed. Spokespersons for the U.S. Trade Representative's office, the Commerce Department and the U.S. Treasury did not respond to request for comment on the state of trade negotiations with India and other countries. A spokesperson for India's embassy in Washington did not respond immediately to a request for comment. (Reporting by David Lawder in Washington and Manoj Kumar in New Delhi; Writing by David Lawder; Editing by Jamie Freed)
