Category: 3. Business

On his visit to Beijing in July, Nvidia CEO Jensen Huang received a rock-star welcome as he announced to Chinese state media that Washington had assured the company that export licences for its H20 chips would soon be granted.

Just two weeks after Huang concluded his third visit to China this year, the company saw its fortunes take a dramatic turn.

That led to a back-and-forth between Nvidia defending the integrity of its chips and intensified pressure from state media for the company to demonstrate its security credentials.

While Beijing has yet to provide evidence of any “back doors” in Nvidia’s products or issue any official ban, it has become politically sensitive for Chinese companies to procure any of the US firm’s products, according to local media and industry insiders.

The Pakistan Stock Exchange (PSX) closed marginally lower on Friday as profit-taking in the latter half of the session erased early gains amid concerns over mounting losses of state-owned enterprises (SOEs), the International Monetary Fund’s (IMF) next review for loan tranche and the falling global crude oil prices.

The KSE-100 index, after touching intra-day high of 147,534, retreated to settle slightly below 146,500, down 38 points. Engro Fertilisers, Lucky Cement and Engro Holdings supported the index while Oil and Gas Development Company (OGDC), UBL and Pakistan Petroleum Limited (PPL) weighed on sentiment.

“Stocks closed flat amid concerns over SOE losses and next IMF review for the release of third tranche,” noted Ahsan Mehanti, MD of Arif Habib Corp. Worries about the unmet IMF conditions for provincial tax collection and falling global crude oil prices fueled the negative close at the PSX, he said.

At the end of trading, the benchmark KSE-100 index posted a decline of 37.67 points, or 0.03%, and settled at 146,491.63.

Arif Habib Limited (AHL), in its market review, noted that the KSE-100 closed the week flat on Friday, capping gains at 0.7% week-on-week. Some 49 stocks advanced and another 49 declined, where Engro Fertilisers (+3.25%), Lucky Cement (+2.31%) and Engro Holdings (+1.63%) were the top contributors to index gains. On the flip side, OGDC (-2.57%), UBL (-1.34%), and PPL (-2.13%) dragged the index lower, it said.

AHL mentioned that the Economic Coordination Committee had approved the setting up of an industrial estate on 4,800 acres of unused Pakistan Steel Mills’ land. For the coming week, the resistance for the index is seen near 148,000 with support around 145,000, it added.

Topline Securities, in its report, commented that the KSE-100 opened on a positive note and rose to intra-day high of 1,005 points. However, during the latter hours, profit-taking was observed as jittery investors booked profits before the weekend.

The top positive contribution to the index came from Engro Fertilisers, Lucky Cement, Engro Holdings, Meezan Bank and Airlink Communication as they contributed 512 points. On the other hand, OGDC, UBL, PPL, Hub Power and Mari Petroleum lost ground, pulling the index down by 499 points, it said.

Traded value-wise, Airlink (Rs3.38 billion), OGDC (Rs2.32 billion), PSO (Rs1.53 billion), Lucky Cement (Rs1.30 billion) and NBP (Rs1.11 billion) dominated the trading activity, Topline added.

Muhammad Hasan Ather of JS Global said that the KSE-100 closed 38 points down after trading within a tight range throughout the session. Activity remained range bound, driven by upbeat corporate earnings, and investor sentiment was underpinned by optimism about Pakistan’s improving macroeconomic indicators and recent credit rating upgrades, he said.

Despite intra-day volatility, the market held firm, reflecting growing confidence in fiscal reforms and economic recovery. Going forward, investor focus will remain on earnings season, policy continuity and external inflows, with expectations of a gradual upward trend in equities amid improving fundamentals, the analyst added.

Overall trading volumes were recorded at 473.6 million shares, compared with the previous tally of 647.1 million. The value of shares traded was Rs32.9 billion.

Shares of 479 companies were traded. Of these, 226 stocks closed higher, 219 fell and 34 remained unchanged.

Aisha Steel Mills was the volume leader with trading in 30 million shares, gaining Rs0.55 to close at Rs13.47. It was followed by Media Times with 21.7 million shares, gaining Rs0.39 to close at Rs3.62 and Airlink Communication with 19.9 million shares, gaining Rs9.76 to close at Rs168.04. Foreign investors sold shares worth Rs154 million, the National Clearing Company reported.

TL;DR

• Injective wallet numbers pass 4,000 after a steady two-month rise in holders and network activity.
• The price holds near the $16 breakout level, with mapped resistance levels at $20, $22, and $27.
• CBOE applies to list staked INJ ETF, marking a step toward broader market access.

Price Action and Technical Setup

Injective (INJ) traded near $15 at the time of writing, just under resistance around $16.12, which matches the 1.0 Fibonacci extension. 

Analyst Ali Martinez noted INJ “could be in the middle of a bullish retest before higher highs,” pointing to an ascending triangle structure that has been in place since early April.

Injective $INJ could be in the middle of a bullish retest before higher highs! pic.twitter.com/e4AMvYB1L7

— Ali (@ali_charts) August 15, 2025

Notably, the $16 area is shown as a breakout point, with mapped targets at $20.27, $22.83, and $27.11 if the advance continues. Holding above the trendline and breakout zone would maintain the bias in favor of buyers, while a drop back could lead to a move toward the $13.46 support level.

Short-Term Pullback and Key Levels

After a strong rally, INJ was rejected at $16.50, leading to a pullback. Analyst Crypto Eagles said the $14.2–$14.5 range is the next demand zone, adding, 

“If buyers defend this level, we could see a clean leg back towards $15.5+.”

Analyst Smith noted INJ breaking from ascending support and projected a “+120% move toward $34” if momentum resumes.

Wallet Growth at Two-Month Peak

Data from Gemtoast shows cumulative INJ wallet numbers rising without pause for two months, now above 4,000. New wallet creation has also recorded periodic spikes, indicating fresh participation. Red bars in the chart show total accumulating wallets, while purple bars track new daily wallet creation.

New wallets stacking $INJ are PEAKING

Cumulative wallet growth has been climbing non-stop for 2 months, now pushing past 4K

The Injective network keeps pulling new believers in pic.twitter.com/4wCR8UOk6a

— Gemtoast (@gemtoast) August 15, 2025

The steady climb suggests more holders are entering and keeping INJ in wallets, adding to network participation.

In addition, Injective reported that the CBOE has filed with the SEC to list the Canary Capital Staked INJ ETF. The CBOE handles over $2 trillion in monthly notional volume. The move points to a growing presence of large market players in the Injective space.

Amid renewed hopes of US investment in Pakistan’s oil sector, spurred by recent tweets from former US President Donald Trump hinting at greater American involvement in local exploration and implying potential crude supply to India, Pakistan has recorded its weakest oil and gas production in more than two decades. Industry data for fiscal year 2025 (FY25) shows a steep double-digit drop in both crude oil and natural gas output, deepening concerns over energy security and foreign exchange pressures.

Analysts warn the downturn, driven by structural imbalances, regulatory measures, and surplus imported LNG, could deepen in the year ahead, adding pressure to the country’s foreign exchange reserves and energy security.

Pakistan’s oil and gas sector recorded its weakest output in more than two decades during fiscal year 2025 (FY25), as surplus regasified liquefied natural gas (RLNG) in the system forced a curtailment of local production. According to a report by Topline Securities, hydrocarbon output fell sharply, with crude oil volumes down 12% year-on-year (YoY) and natural gas output slipping 8% YoY. The downturn accelerated in the final quarter, with oil production dropping 8% quarter-on-quarter (QoQ) and 15% YoY, while gas production contracted by 7% QoQ and 10% YoY, underscoring persistent strain on the sector.

The surplus RLNG was driven in part by a policy shift that diverted captive industrial users from natural gas to the national power grid. Compounding the pressure, the government imposed an “off-grid levy” on captive gas consumption at a rate of Rs791 per million British thermal units (mmbtu), pushing the total cost to Rs4,291/mmbtu. This made electricity generation via gas more expensive than grid supply, further discouraging industrial gas use and reducing demand for domestic production.

Oil output averaged 62,400 barrels per day (bpd) in FY25, with volumes falling across major fields by between 3% and 46%. Key producers such as Makori East, Nashpa, Maramzai, Pasakhi, and Mardankhel all saw declines. The Tal Block, which accounts for roughly 17% of Pakistan’s total oil production, posted a steep 22% YoY decline in the fourth quarter alone. Within the block, production from the Maramzai and Mardankhel fields plunged by 54% and 52% YoY, respectively, highlighting the severity of the downturn.

Gas output averaged 2,886 million cubic feet per day (mmcfd) in FY25, with major fields also under pressure. Qadirpur and Nashpa recorded the steepest contractions in the fourth quarter, down 36% and 34% YoY, respectively, largely due to curtailment by the Sui gas companies. Even the Sui field itself, Pakistan’s largest gas producer, reported consistent declines, reflecting the sector-wide impact of the RLNG oversupply and shifting demand patterns.

The cutback in domestic production has had significant macroeconomic consequences. Topline Securities estimates that the increased reliance on imported fuels, necessitated by the reduced local output, placed an additional strain of more than $1.2 billion on Pakistan’s foreign exchange reserves during FY25. Analysts warn that this not only inflates the import bill but also exposes the country to greater vulnerability from global fuel price swings and potential supply disruptions.

Looking ahead, the outlook remains challenging. Topline projects that oil production will hover between 58,000-60,000 bpd in FY26, while gas output is expected to remain in the range of 2,750-2,850 mmcfd. Without a reversal of current policies or new investment in exploration and production (E&P), FY26 could mark the third consecutive year of declining hydrocarbon volumes.

There is, however, a potential opening for recovery. The government is set to renegotiate its long-term RLNG supply agreement with Qatar in March 2026. Industry observers believe that more flexible contract terms could give domestic E&P companies the space to ramp up production, provided field maintenance and capital expenditure remain on track. Balancing imported LNG supply with the need to sustain indigenous production, they note, will be critical to ensuring Pakistan’s energy security and protecting its fragile foreign exchange position.

The government may send a delegation from the Privatisation Commission to the United States to search for consultants to advance the transaction of managing the high-value Roosevelt Hotel, New York, in partnership with the private sector. The Privatisation Commission has submitted a summary for Prime Minister Shehbaz Sharif’s approval for the visit of the Advisor to the Prime Minister on Privatisation and the Secretary Privatisation from August 20th to 24th, according to sources. The government will spend approximately Rs3 million on the two-person delegation’s visit to the US.

It is unusual for a government team to travel overseas to attract financial advisors for privatisation transactions. While roadshows have been held in the past, they were primarily for engaging with potential buyers of government entities or assets, not for securing advisors. The government has already advertised in local and foreign press, seeking expressions of interest from new financial advisors by September 2nd, following the resignation of the previous advisor due to a conflict of interest.

Pakistan had initially hired an American real estate management firm for the privatisation of the Roosevelt Hotel at a total cost of about Rs2.2 billion. It had already paid $1.1 million to the firm, which abandoned the transaction last month citing a “conflict of interest” and offered to return the payments. Jones Lang LaSalle (JLL) had been selected to develop a transaction structure for the hotel’s privatisation.

The Roosevelt Hotel, located in the heart of a global commercial and tourism hub, is currently owned by the financially struggling Pakistan International Airlines (PIA). PIA owns the hotel through PIA-Investment Limited, which holds its stakes via a subsidiary registered in the British Virgin Islands. Based on the work done by the previous financial advisor, the government has already approved the transaction structure for the Roosevelt Hotel, New York.

Of the three options evaluated by the financial advisor — outright sale, joint venture with multiple options, and long-term lease — the joint venture model with multiple options was approved. Last month, the government stated that the joint venture option aims to maximise long-term value for the country while ensuring flexibility, multiple exit opportunities, and minimising future fiscal exposure.

Following JLL’s withdrawal, there may be doubts among prospective financial advisors about Pakistan’s commitment to the transaction, said Muhammad Ali, Advisor to the Prime Minister on Privatisation, explaining the rationale behind the US visit. He said that meetings with at least six prospective financial advisors have already been scheduled for August 21st to 22nd, and the visit is result-oriented. He added that there is a need to reassure potential advisors that most of the groundwork has been completed and the government has finalised the joint venture option.

The government has arranged meetings with CitiBank, Coldwell Banker Richard Ellis (CBRE) — a real estate service provider — Savills, Grey Steel, Ankura, and Cushman & Wakefield. Two of these firms had participated in the previous round of hiring for the financial advisor role.

According to the financial advisor’s report on the transaction structure, Pakistan will not need to contribute additional funds for the joint venture, as its share will be in the form of the hotel’s land value. “Based on pre-marketing, due diligence, and analysis of the options, the joint venture structure nets the highest value for the government of Pakistan,” the advisor stated in its report. The land value will be calculated based on its full potential, including the 32-storey building. The development partner will make two initial deposits. “This option carries the highest risk but also offers the highest net proceeds to Pakistan,” the adviser noted in the report submitted last year.

ZTBL transaction

On Friday, the Privatisation Commission signed the Financial Advisory Services Agreement for the privatisation of Zarai Taraqiati Bank Limited (ZTBL). It has engaged a consortium led by Next Capital Limited. Other members of the consortium include Ijaz Ahmed & Associates, Baker Tilly Mehmood Idrees Qamar, Executives Network International, Bridge Public Relations, Savills Pakistan (Pvt) Limited, and Prima Global Consulting (Pvt) Limited.

Post-privatisation, ZTBL, with its nationwide network of 501 branches, will be better positioned to provide more accessible credit to small farmers and rural communities. It will also introduce modern banking technologies and digital solutions for agricultural financing, according to the Privatisation Commission.

However, concerns have been raised that after ZTBL’s privatisation, there may no longer be a financial institution fully dedicated to meeting the needs of small farmers. Most major banks do not cater to small farmers, and there are doubts about their claims of providing loans to this sector. Sources also indicated that the central bank does not accurately reflect real lending to farmers, as loans to agro-based industries are also classified as agricultural loans.

Under the agreement, the financial advisor will conduct sell-side due diligence, carry out market sounding, engage with potential investors, structure the transaction, market it to investors, and assist the Privatisation Commission in ensuring a transparent bidding process, as per the press statement.

OpenAI has announced that it has made the new GPT-5 AI model more “warmer and friendlier” following initial feedback that the model felt too formal. The AI startup says that while the changes are subtle, GPT-5–powered ChatGPT should now feel more approachable.

Despite adding some light flattery in the model with gestures like “Good question” and “Great start,” OpenAI says GPT-5 shows no increase in sycophancy (being overly agreeable with users) compared to the earlier GPT-5 personality.

The new update is rolling out to all users and should take about a day to complete.

Meanwhile, head of ChatGPT Nick Turley said that users can further customize ChatGPT’s personality through the Custom Instructions settings. He also hinted at new upcoming ways to tailor ChatGPT’s personality according to user preference.

Notably, OpenAI also provides an option to choose from four different personalities — Cynic, Robot, Listener, and Nerd — to tailor GPT-5’s responses. However, this feature is currently restricted to paying customers and does not apply to the free tier of the app.

Why did OpenAI have to make changes to GPT-5?

OpenAI had high hopes for its GPT-5 rollout, with CEO Sam Altman creating significant hype around the new AI model in the past few months. However, when the model finally launched last week, it was met with anything but a warm reception from users.

ChatGPT users complained that GPT-5’s responses were shorter and seemed to lack the emotional depth of the previous model. Just a few months ago, OpenAI faced criticism for making GPT-4o too sycophantic, but this time, its new model received backlash for almost the opposite reasons.

Another major reason the GPT-5 launch fell flat was user frustration over the removal of all older AI models from ChatGPT. This not only disrupted workflows for many but also reduced usage limits for $20/month ChatGPT Plus subscribers, who went up in arms and threatened to cancel their subscriptions.

OpenAI then increased the rate limits for ChatGPT Plus users, first for the standard model and later for the GPT-5 Thinking model as well. The company also brought back the model picker in ChatGPT to allow users to select which AI model should answer their queries.

WASHINGTON: US Senator Josh Hawley launched a probe into Facebook parent Meta Platforms artificial intelligence policies on Friday, demanding documents on rules that had allowed its artificial intelligence chatbots to engage a child in conversations that are romantic or sensual.

Both Democrats and Republicans in Congress have expressed alarm over the rules outlined in an internal Meta document first seen on Thur­sday. Hawley, a Republican from Missouri, chairs the Senate subcommittee on crime and counterterrorism, which will investigate “whether Meta’s generative-AI products enable exploitation, deception, or other criminal harm to children, and whether Meta misled the public or regulators about its safeguards”, he said in a letter to Meta CEO Mark Zuckerberg.

“We intend to learn who approved these policies, how long they were in effect, and what Meta has done to stop this conduct going forward,” Hawley said.

Meta declined to comment on Hawley’s letter. The company said previously that “the examples and notes in question were and are erroneous and inconsistent with our policies, and have been removed. In addition to documents outlining those changes and who authorised them, Hawley sought earlier drafts of the policies along with internal risk reports, including on minors and in-person meetups. Media reported on Thursday about a retired man who died while travelling to New York on the invitation of a Meta chatbot.

Meta must also disclose what it has told regulators about its generative AI protections for young users.

Published in Dawn, August 16th, 2025

ISLAMABAD: Specialised committees set up by the prime minister to promote a cashless economy have outlined ambitious national targets for the State Bank of Pakistan (SBP), aimed at accelerating the growth of digital financial services and fintech adoption across the country.

Under the PM’s Cashless Economy initiative, key goals include raising the number of active digital merchants to 2 million by the end of 2025-26, increasing mobile and internet banking users from the current 95 million to 120m within a year, and doubling annual digital payment transactions to 15 billion.

According to finance ministry sources, another primary target is routing 100pc of overseas remittances through bank accounts or mobile wallets, up from the current 80pc. This move seeks to eliminate cash payouts and boost transparency in remittance flows.

Following the directives of the committee chaired by the prime minister, the SBP is expected to play a pivotal role in expanding mobile banking services to all segments of society.

2m digital merchants and 15bn transactions targeted by FY26

Meanwhile, Minister for IT and Telecom Shaza Fatima said Pakistan, with over 143 million broadband users, has significant potential to transition to a cashless economy. “Mobile wallets now outnumber traditional bank accounts, and the branchless banking infrastructure is robust,” she said, noting the government’s commitment to reducing reliance on physical currency and promoting digital payments. However, she acknowledged that among the four cellular mobile operators, only two — Jazz and Telenor — have established strong mobile wallet platforms.

Telenor’s Easypaisa, launched in 2009, was Pakistan’s first mobile wallet and has since evolved into the country’s first digital bank. Farhan Hassan, Chief Digital Officer of Easypaisa Digital Bank, said the platform now offers a full range of banking services similar to those of traditional banks, helping to drive financial inclusion for millions of unbanked and underbanked Pakistanis. Easypaisa currently has around 18 million monthly active users, including 14 million mobile app users.

JazzCash, which began operations in 2012, remains the market leader with 21 million monthly active users and 15 million app users, making it the largest digital financial service provider in the country. Khayam Siddiqi, Head of Communication at JazzCash, attributed this growth to the ease of account opening, which requires no paperwork or branch visits. “Digital wallets offer a suite of services in one place — nano loans, savings, insurance, welfare disbursements, and everyday payments,” he said.

While JazzCash has gained traction in rural areas, Easypaisa enjoys a strong presence in urban centres. Despite occasional speculation surrounding its future amid the Telenor-PTCL merger, Easypaisa has retained a loyal user base. The strength of mobile digital wallets lies in their simplicity — accounts are linked to mobile phone numbers, and transactions are facilitated by local shopkeepers acting as agents for cash-in and cash-out services. In contrast, Upaisa, the mobile wallet offered by Ufone, has a limited footprint, while Zong has yet to enter the digital market.

Published in Dawn, August 16th, 2025