Trade tensions have escalated between India and Bangladesh after India imposed land port restrictions on several Bangladeshi goods, including ready-made garments and food items, affecting $770 million worth of imports. This move followed Bangladesh’s earlier curbs on Indian yarn and a new transit fee on Indian cargo. In response, Bangladesh’s interim Commerce Adviser, Sheikh Bashiruddin, expressed a willingness to resolve the issues through bilateral discussions. He emphasized the need for competitive, liberal trade and noted that both countries often impose restrictions for trade management. The current measures restrict imports to specific seaports, significantly impacting bilateral trade dynamics.
BALOCHISTAN CAR BOMB KILLS FOUR, INJURES
A car bomb exploded near a market in Qillah Abdullah, Balochistan, on Sunday (May 18), killing four people and injuring at least 20. The blast damaged nearby shops and a paramilitary building, according to officials. No group has yet claimed responsibility, though Balochistan has seen repeated attacks by separatist outfits like the Balochistan Liberation Army (BLA). Tensions remain high, with Pakistan accusing India of supporting these insurgents, claims India has not addressed. In a recent development, the BLA sought India’s support for independence. The region is on alert following this escalation, amid recent Indo-Pak military exchanges and calls for ceasefire.
IMF IMPOSES NEW CONDITIONS ON PAKISTAN
The IMF has imposed 11 additional conditions on Pakistan to secure a $1 billion tranche under its $7 billion Extended Fund Facility. This follows heightened India-Pakistan tensions after the April 22 Pahalgam terror attack. The new demands include passing a record Rs 17.6 trillion budget, raising energy surcharges, and legislative reforms. Notably, defence spending has surged by 18%. India opposed the IMF’s aid, citing misuse risks and terrorism concerns. Despite this, the IMF approved the disbursement, highlighting Pakistan’s fiscal progress. However, concerns remain about regional instability and the economic burden on Pakistani citizens, especially due to rising energy and tax pressures.
TRUMP TALKS PEACE WITH PUTIN
President Donald Trump spoke with Russian President Vladimir Putin to assess his willingness to pursue peace in Ukraine. The high-stakes call followed a U.S. delegation meeting with Ukrainian President Volodymyr Zelensky in Rome. Vice President JD Vance said Trump wants clarity on Putin’s intentions as he grows frustrated with the prolonged conflict. Trump is also expected to speak with Zelensky and NATO leaders today. Meanwhile, domestic tensions rise as Republicans debate Trump’s massive policy bill, focusing on Medicaid reforms. Separately, Trump extended well-wishes to Joe Biden following news of his prostate cancer diagnosis, which has drawn bipartisan concern and sympathy.
UK, EU RENEW KEY TIES
At a landmark summit in London, UK Prime Minister Keir Starmer and top EU leaders signed key agreements on trade, security, and fisheries, signalling a renewed phase of post-Brexit cooperation. The deals include a 12-year access period for EU fishermen in British waters, in exchange for eased customs on food and drink, potentially adding £9 billion to the UK economy by 2040. A new defence pact enables UK industry access to the EU’s €150 billion fund. Additional agreements cover youth mobility and automated EU border access for British passport holders. Starmer hailed the summit as a “new era” in UK-EU relations.
