Shehbaz Says US-Iran War Is Straining Pakistan Economy

Prime Minister Shehbaz Sharif has said that the temporary ceasefire between the United States and Iran is currently holding, but the conflict has already placed serious pressure on regional economies, including Pakistan. He made the remarks while chairing a federal cabinet meeting in Islamabad on Thursday.

The prime minister said the war had created major economic obstacles across the region at a time when Pakistan was working to consolidate financial stability. His remarks came as the government continues to monitor the wider impact of Middle East tensions on energy supplies, trade flows, inflation and investor confidence.

According to the prime minister, Pakistan’s economic team has worked collectively over the past two years to steer the country away from deeper crisis. He said those efforts were beginning to show results, helping the country move toward stability and avoiding harsher measures that could have affected ordinary citizens.

Shehbaz called for national unity and sustained hard work to transform Pakistan into a stronger economic power. He said the journey would be long and difficult, but nations that face their challenges with determination are ultimately able to overcome them.

The prime minister also referred to Pakistan’s defence and national security milestones during the meeting. He recalled the upcoming Youm-e-Takbeer on May 28, saying the day marked Pakistan’s achievement of credible defence capability in 1998 and remained a symbol of national resolve.

He paid tribute to the political leaders, scientists and institutions involved in Pakistan’s nuclear programme, naming Zulfikar Ali Bhutto for initiating the effort and Nawaz Sharif for bringing it to completion. He said Pakistan’s nuclear assets were meant for deterrence and defence, not aggression.

The cabinet meeting also discussed sacrifices made by Pakistan in the fight against terrorism. Shehbaz mentioned the martyrdom of Liaquat, a resident of Attock who confronted a suicide bomber, and said the government had posthumously conferred Sitara-e-Shujaat in recognition of his courage.

For Pakistan, the regional conflict carries direct economic implications because instability in the Middle East can affect oil routes, shipping costs and external financing conditions. Any prolonged disruption may increase pressure on prices, reserves and the government’s ability to maintain economic recovery momentum.

The next phase will depend on whether the US-Iran ceasefire can develop into a more durable settlement and whether Pakistan can shield its economy from external shocks. The government is expected to keep coordinating diplomatic, security and economic responses as regional uncertainty continues.