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Dollar ascends above Rs320 in open market

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The rupee remained under pressure and slid further against the US dollar in the open market on Tuesday, trading above Rs320 to the greenback.

According to the Forex Association of Pakistan (FAP), the rupee had depreciated to Rs323 in the open market against the dollar, while remaining under pressure in the interbank market, where it lost 70 paise more to the greenback. It was being traded at Rs302.70 by afternoon.

However, by close, it had returned to Rs302 to the dollar, according to State Bank of Pakistan data.

Khurram Schehzad, CEO of Alpha Beta Core, advised that the open markets need to be governed better to check for any speculative activities that have led the dollar to go up much more than it warranted.

Standby Arrangement (SBA) with the International Monetary Fund (IMF) requires it to keep the differential down to 1.25 per cent.

A key condition of the $3bn SBA, signed last month, relates to the market-determined exchange rate.

“Steadfast policy implementation is vital for Pakistan to overcome its current challenges through greater fiscal discipline, a market-determined exchange rate to absorb external pressures, and further progress on reforms,” said the IMF as the agreement was reached.

The rupee has been steadily weakening after the IMF deal, shooting up to Rs302 in the interbank market.

Although the interbank dollar rate is considered close to the official price, the open market rates being released by exchange companies are far from real, and the open market is heading fast towards the grey market area — which has attracted millions of dollars in the shape of remittances and export proceeds — highlighted a Dawn report today.

Analysts believe the current situation represents an uphill task for the government to convince the IMF that the country deserves the next tranche of SBA.

They said the IMF would scrutinise the entire economy and the performance in key macro indicators.

Meanwhile, Atif Ahmed, a currency dealer in the interbank market, said “the IMF is expected to review the SBA in November. There are still two months to go, but there is little likelihood that the State Bank would be able to bring down the differential to 1.25pc”.

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India tells Canada to withdraw 41 diplomats: report

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India has told Canada that it must repatriate 41 diplomats by October 10, the Financial Times reported on Tuesday.

Ties between New Delhi and Ottawa have become seriously strained over Canadian suspicion that Indian government agents had a role in the June murder in Canada of a Sikh separatist leader and Canadian citizen, Hardeep Singh Nijjar, who India had labelled a “terrorist”.

Nijjar, 45, was the president of Guru Nanak Sikh Gurdwara temple in Surrey, British Columbia and advocated for the creation of a Sikh state known as Khalistan.

India has dismissed the allegation as absurd.

On September 21, Trudeau called on India to cooperate with an investigation into the murder of the separatist leader in British Columbia and said Canada would not release its evidence for their claims.

India suspended new visas for Canadians and asked Ottawa to reduce its diplomatic presence in the country on the same day.

Last week, the Indian foreign minister spoke to US Secretary of State Antony Blinken and US National Security Adviser Jake Sullivan about Canadian allegations of New Delhi’s possible involvement killing of the separatist leader in Canada.

Jaishankar said that New Delhi had told Canada it was open to looking into any “specific” or “relevant” information it provides on the killing.

Trudeau, who is yet to publicly share any evidence, said he has shared the “credible allegations” with India “many weeks ago”.

The Financial Times, citing people familiar with the Indian demand, said India had threatened to revoke the diplomatic immunity of those diplomats told to leave who remained after October 10.

Canada has 62 diplomats in India and India had said that the total should be reduced by 41, the newspaper said.

The Indian and Canadian foreign ministries did not immediately respond to requests for comment.

Indian Foreign Minister Subrahmanyam Jaishankar said earlier there was a “climate of violence” and an “atmosphere of intimidation” against Indian diplomats in Canada, where the presence of Sikh separatist groups has frustrated New Delhi.

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Imran’s life ‘in danger’, moved to lower class cell in Adiala Jail: lawyer

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Former prime minister Imran Khan’s lawyer, Naeem Haider Panjutha, claimed on Tuesday that the PTI chief was moved to a lower class cell at the Adiala Jail last night and feared the ex-premier’s life was in danger.

Imran was shifted to Attock jail on August 5, 2023, after a court sentenced him to three years in prison in the Toshakhana case for concealing details of gifts he received as the prime minister of Pakistan.

After his sentence in the Toshakhana case was suspended by the Islamabad High Court, the government detained the ex-premier in the cipher case. He has since remained behind bars on judicial remand.

On September 26, Imran was shifted to Central Jail Adiala from District Jail Attock following IHC orders passed on a plea filed by the PTI.

Last night, the police ramped up security in the vicinity of the Adiala jail by deploying elite commandos and setting up additional security pickets to ensure foolproof measures. The decision was taken in light of recommendations by the Special Branch and relevant departments following a survey of Adiala Jail.

Talking to reporters in Islamabad today, Panjutha, spokesman to Imran on legal affairs, said Imran’s wife Bushra Bibi met the former prime minister in Adiala Jail today.

“There is danger to Imran Khan’s life,” he claimed. “Imran can be slow food poisoned … he is being mentally tortured and his movement has been restricted.”

Panjutha alleged that he had received reports last night that the PTI chief was moved to a lower class cell. “Security personnel has been stationed outside the cell and mobile phones have been taken for them,” he said, claiming that these were new ways of “breaking” Imran.

The PTI lawyer added that a petition pertaining to Imran’s conditions in jail was filed in the IHC and the application was fixed for hearing on October 5.

“There were objection [by the court] earlier that the matter has already but decided but no directions have been passed on Imran Khan’s health, which is a basic fundamental right enshrined in the Constitution,” Panjutha added.

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LHC orders Punjab govt to ensure PTI leader Hassaan Niazi’s contact with father

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The Lahore High Court on Tuesday directed the interim Punjab government to ensure that contact is established between incarcerated PTI leader Hassaan Niazi and his father within a fortnight.

The order comes on a petition filed by Hassaan’s father, Hafeezullah Niazi, who petitioned the court to recover and allow a meeting with his son, who is in military custody.

Hassaan, a barrister and nephew of PTI chairman Imran Khan, was in hiding after the May 9 riots. He was arrested from Abbottabad on August 13 and handed over to the military for trial over his alleged involvement in the attack on the Lahore corps commander’s house.

On August 15, Hassaan’s father, Hafeezullah, filed a petition in the LHC seeking recovery of his son.

Two days later, a military official wrote to the police, requesting it to hand over Hassaan’s custody to the military for “trial by the court martial”.

Before the LHC began hearing the father’s plea, the police submitted a report in the court on August 18, detailing the offences in which the former was found to be allegedly involved.

The report was submitted by Punjab Additional Advocate General (AAG) Ghulam Sarwar while Justice Sultan Tanveer presided over the hearing.

The AAG informed the LHC in the hearing, “Hassaan Niazi has been handed over to the military”. He added that Hassaan was “named in the Jinnah House attack case and was a main suspect”.

The interim Punjab government told LHC in the hearing on August 26 that visiting a suspect in military custody was not allowed under any law.

Additional Advocate General Ghulam Sarwar Nahang stated in the hearing that the SC had already taken note of the trials of the May 9 suspects in military court and the question of the suspects’ meeting with family members was also pending before it.

He said proceedings in the high court on the same question of law would complicate the matter.

On September 28, barrister Faiz Ullah Khan Niazi submitted that 45 days have passed and since then the petitioner has been unaware of the whereabouts of his son.

In today’s hearing, a single-member bench comprising Justice Sultan Tanvir Ahmad ordered the Punjab government to establish contact between Hassaan and his father within a fortnight.

According to the written order, a copy of which is available with Dawn.com, the petitioner’s lawyer told the court his client would be satisfied if he was allowed to establish contact with his son.

According to the order, the government officials maintained that since the matter is still pending adjudication before the apex court, it is “in the fitness of the circumstances to adjourn the case till the decision is passed by the Supreme Court”.

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