Pakistan denies militant camp hit after India launches airstrike

Agencies
February 26, 2019

Islamabad, Feb 26: India said its warplanes struck a militant training camp inside Pakistan on Tuesday, killing “a very large number” of fighters, raising risk of conflict between the nuclear armed neighbors, though Pakistan officials denied there had been any casualties.

The airstrike near the town of Balakot, some 50 kilometers (31 miles) from the frontier was the deepest cross-border raid launched by India since the last of its three wars with Pakistan in 1971.

Pakistan condemned the Indian action and said it would respond at a time and place of its choice.

The airstrikes, according to the Indian government, hit a training camp of Jaish-e-Mohammed (JeM), the group that claimed credit for a suicide car bomb attack killed at least 40 Indian paramilitary police in Kashmir on Feb. 14. The action was ordered as India said it had intelligence that Jaish was planning more attacks.

“In the face of imminent danger, a preemptive strike became absolutely necessary,” Foreign Secretary Vijay Gokhale told reporters.

“The existence of such training facilities, capable of training hundreds of jihadis could not have functioned without the knowledge of the Pakistani authorities,” Gokhale said.

Pakistan denies harboring JeM, a primarily anti-India group that forged ties with al Qaeda and has been on a UN terror list since 2001. In December 2001, Jaish fighters, along with members of another Pakistan-based militant group, Lashkar-e-Taiba, launched an attack on India’s parliament, which almost led to a fourth war.

China, Pakistan’s long-time ally, urged both countries to exercise restraint as tensions rose to the highest in years.

“We hope that India and Pakistan can exercise restraint, and take steps that are conducive to stabilizing the regional situation and improving bilateral ties, rather than the opposite,” Foreign Ministry spokesman Lu Kang told a daily news briefing in Beijing.

Gokhale said “a very large number” of militants were killed in the strikes by French-made Mirage 2000 jets on a Jaish training camp near Balakot, a town in Pakistan’s Khyber Pakhtunkhwa province.

The commander of the camp was Maulana Yusuf Azhar, a brother-in-law of JeM leader Masood Azhar, Gokhale said.

A senior Indian government source said that 300 militants had been killed in the strikes and that the warplanes had ventured as far as 80 km (50 miles) inside Pakistan. But no evidence was immediately provided to back up the claims of militant casualties.

“I want to assure you our country is in safe hands,” Prime Minister Narendra Modi told a cheering political rally in western India hours after the raid.

“I won’t let the country down,” said Modi, who faces a tight election in coming months.

There has been mounting impatience in India to avenge the Feb.14 attack, which was the most deadly seen in Kashmir during an insurgency that has last three decades, and as news of the raid broke, celebrations erupted across the country.

No terror camps

Pakistan’s top civilian and military leaders rejected India’s comments that it had struck “terror camps” inside Pakistan, vowing to prove wrong India’s claims and warning that it would retaliate against Indian aggression.

Pakistan’s National Security Committee (NSC), comprising top officials including Prime Minister Imran Khan and army chief Qamar Javed Bajwa, said in a statement that it “strongly rejected Indian claim of targeting an alleged terrorist camp near Balakot and the claim of heavy casualties.”

The statement said Khan would “engage with global leadership to expose irresponsible Indian policy”. It also warned that “Pakistan shall respond at the time and place of its choosing” to Indian aggression.

Earlier the Pakistan military said its own warplanes had chased off the Indian aircraft before they could inflict any real harm. A spokesman said the Indian warplanes dropped their “payload” in a forested area, causing no casualties and no serious material damage.

“Indian aircraft intruded from Muzaffarabad sector,” Pakistani military spokesman Major General Asif Ghafoor said on Twitter, referring to an area in the Pakistan-held part of Kashmir.

Ghafoor said the intruders faced a “timely and effective response from Pakistan Air Force”, and “released payload in haste, while escaping, which fell near Balakot.”

“No casualties or damage,” he tweeted.

Ghafoor also posted four pictures of the alleged site, purportedly showing a bomb crater in a forest area but no serious damage.

Pakistani villagers in the area where the Indian jets struck said they heard four loud bangs in the early hours of Tuesday but reported only one person was wounded.

“We saw fallen trees and one damaged house, and four craters where the bombs had fallen,” said Mohammad Ajmal, a 25-year-old who visited the site.

Indian television networks reported the airstrikes took place at 3.30 am and involved a dozen Mirage fighter planes backed up by Israeli-equipped Airborne Warning and Control Systems (AWACS) aircraft that patrolled on India’s side of the border.

Balakot is about 50 km (30 miles) from Line of Control (LoC), the ceasefire line that is the de facto border in Kashmir, a Himalayan region that has been the cause of two of the three wars India and Pakistan have fought since the end of British colonial rule in 1947.

Analysts have alleged Pakistani militants have their training camps in the area, although Pakistan has always denied the presence of any such camps.

Mohammed Iqbal, a resident of Mendhar, a long way further south on the Indian side of the LoC, told Reuters that he heard jets flying through the night.

Shelling across the LoC has occurred frequently over the past few years but airspace violations by jets are extremely rare.

Following another large attack on Indian security forces in Kashmir in 2016, India said its troops crossed the LoC to carry out a “surgical strike” on suspected militant camps in Pakistan Kashmir. Islamabad denied anything serious occurred.

Indian markets slipped amid concerns over the risk of conflict. The rupee weakened to 71.16 per dollar compared with Monday’s close of 70.9850.

The 10-year benchmark bond yield rose to 7.61 percent compared with 7.58 percent on Monday, while the broader NSE stock index declined 1.17 percent.

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News Network
February 2,2020

Feb 2: Prime Minister Narendra Modi’s second budget in seven months disappointed investors who were hoping for big-bang stimulus to revive growth in Asia’s third-largest economy.

The fiscal plan -- delivered by Finance Minister Nirmala Sitharaman on Saturday -- proposed tax cuts for individuals and wider deficit targets but failed to provide specific steps to fix a struggling financial sector, improve infrastructure and create jobs. Stocks slumped as a proposal to scrap the dividend distribution tax for companies failed to impress investors.

"Far from being a game changer, the budget provides little in terms of short-term growth stimulus,” said Priyanka Kishore, head of India and South East Asia economics at Oxford Economics Ltd. in Singapore. “While income tax cuts will provide some relief on the consumption front, the multiplier effect is low and the overall stance of the budget is not expansionary."

India has gone from being the world’s fastest-growing major economy three years ago, expanding at 8%, to posting its weakest performance in more than a decade this fiscal year, estimated at 5%.

While the government has taken a number of steps in recent months to spur growth, they’ve fallen short of spurring demand in the consumption-driven economy. Saturday’s budget just added to the glum sentiment.

Okay Budget

“It’s an okay budget but not firing on all cylinders that the market was hoping for,” said Andrew Holland, chief executive officer at Avendus Capital Alternate Strategies in Mumbai.

The government had limited scope for a large stimulus given a huge shortfall in revenues in the current year. The slippage induced Sitharaman to invoke a never-used provision in fiscal laws, allowing the government to exceed the budget gap by 0.5 percentage points. The result: the deficit for the year ending March was widened to 3.8% of gross domestic product from a planned 3.3%.

On Friday, India’s chief economic adviser Krishnamurthy Subramanian said reviving economic growth was an “urgent priority” and deficit goals could be relaxed to achieve that. The adviser’s Economic Survey estimated growth will rebound to 6%-6.5% in the year starting April.

The fiscal gap will narrow to 3.5% next year, as the government budgeted for gross market borrowing to rise marginally to 7.8 trillion rupees from 7.1 trillion rupees in the current year. A plan to earn 2.1 trillion rupees by selling state-owned assets in the year starting April will also help plug the deficit.

Total spending in the coming fiscal year will increase to 30.4 trillion rupees, representing a 13% increase from the current year’s budget, according to latest data.

Key highlights from the budget:

* Tax on annual income up to 1.25 million rupees pared, with riders

* Dividend distribution tax to be levied on investors, instead of companies

* Farm sector budget raised 28%, transport infrastructure gets 7% more

* Spending on education raised 5%

* Fertilizer subsidy cut 10%

Analysts said the muted spending plan to keep the deficit in check will lead to more downside risks to growth in the coming months.

“It is very doubtful that the increase in expenditure will push demand much,” Chakravarthy Rangarajan, former governor at the Reserve Bank of India told BloombergQuint, adding that achieving next year’s budget deficit goal of 3.5% of GDP was doubtful.

With the government sticking to a conservative fiscal path, the focus will now turn to central bank, which is set to review monetary policy on Feb. 6. Given inflation has surged to a five-year high of 7.35%, the RBI is unlikely to lower interest rates.

What Bloomberg’s Economists Say:

The burden of recovery now falls solely on the Reserve Bank of India. With inflation breaching RBI’s target at present, any rate cuts by the central bank are likely to be delayed and contingent upon inflation falling below the upper end of its 2%-6% target range.

-- Abhishek Gupta, India economist

Governor Shaktikanta Das may instead focus on unconventional policy tools such as the Federal Reserve-style Operation Twist -- buying long-end debt while selling short-tenor bonds -- to keep borrowing costs down.

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Agencies
February 26,2020

Islamabad, Feb 26: Islamabad on Tuesday declared former Prime Minister Nawaz Sharif an absconder while simultaneously denying extending bail to him.

The federal cabinet presided over by Prime Minister Imran Khan, cited that Sharif failed to provide required medical reports and has violated the bail terms.

The government has also decided to freeze gas and electricity tariffs for the next four months, The Dawn reported.

"After Nawaz Sharif failed to submit his medical report of any hospital in London, the medical board rejected a medical certificate sent by him and [the government] declared him an absconder. From today, Nawaz Sharif is an absconder according to the law of land and if he does not return to the country he will be declared a proclaimed offender," said Dr Firdous Ashiq Awan, Special Assistant to the Prime Minister on Information, in a press conference.

She further asserted that the Punjab government, which was authorized by the Islamabad High Court (IHC) to decide Sharif's case on medical grounds, had written several letters asking him to submit his medical report from any hospital in London. However, he failed to do so and only sent a certificate that was not accepted by the medical board.

"If he (Nawaz Sharif) is seriously ill then why a comprehensive medical report is not being submitted to the medical board," Firdous added.

Further, she said that the office of the opposition leader was also waiting for his younger brother and Leader of the Opposition in the National Assembly Shahbaz Sharif, who was also staying in London for 'no reason'.

"He is getting a monthly salary and enjoying luxurious offices and other perks and privileges but not performing his duties required by his office and the people. Shahbaz Sahib, return to the country and justify your salary and other benefits being given from taxpayers' money," Firdous added.

On October 29 last year, the IHC granted bail for eight weeks to Sharif, who was convicted and disqualified in corruption cases, on medical grounds.

Sharif left Pakistan for London along with Shahbaz on November 19, 2019, for his medical treatments there.

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Agencies
May 12,2020

New Delhi, May 13: Prime Minister Narendra on Tuesday announced Rs 20 lakh crore special economic package for the country to be 'self-reliant' and deal with COVID-19.

"I announce a special economic package today. This will play an important role in the 'Atmanirbhar Bharat Abhiyan.' The announcements made by the government over COVID, decisions of RBI and today's package totals to Rs 20 lakh crore. This is 10 per cent of India's GDP," said Prime Minister Modi in his address to the nation. The Prime Minister said that humanity would not accept defeat from the coronavirus but the people have to stay safe and move forward.

"We had never seen or heard about such a crisis ever before. This is definitely unimaginable for mankind. It is unprecedented. But humanity will not accept defeat from this virus. We have to not only protect ourselves but also move forward," he said.

Talking about the gravity of the virus, Modi said: "It has been four months the world is fighting COVID-19. More than 42 lakh people from different countries have been infected by COVID-19. More than 2.75 lakh people have lost their lives due to the virus. In India too many families have lost their dear ones, I express my condolences to them."

"Today when the entire world is in crisis, we will have to further firm our resolve," he added.

The Prime Minister on Monday held a video conference meeting with Chief Ministers of all states to discuss the road ahead in India's fight against COVID-19 and noted that he was of the firm view that measures needed during the third phase of lockdown will not be needed in the fourth phase.

Prime Minister Modi had said the need was to reduce the transmission rate of the disease and to increase public activity gradually while adhering to all the guidelines and efforts to be made towards achieving both these objectives.

The phase three of the lockdown is coming to an end on May 17.

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