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Pakistan’s Trump outreach sparks India ire as US ties take unexpected turn: Financial Times

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Pakistan’s Trump outreach sparks India ire as US ties take unexpected turn: Financial Times



Pakistan’s recent charm offensive towards United States President Donald Trump has unsettled New Delhi, the Financial Times (FT) reported, detailing how Islamabad’s army chief, Field Marshal Asim Munir’s warm reception in Washington contrasts sharply with India’s cooling ties with the White House.

According to the report, Munir travelled to Florida last weekend for the retirement ceremony of US Central Command chief General Michael Kurilla, marking his second cordial encounter with top American military officials this summer.

In June, Munir held a two-hour private lunch with Trump in Washington, just weeks after Pakistan and India engaged in their deadliest military confrontation in decades.

Such treatment is unusual for a foreign military leader, the newspaper noted, especially given Trump’s earlier criticism of Pakistan as offering “nothing but lies and deceit” to Washington. Yet the relationship appears to be enjoying what analysts described as an “unexpected resurgence” under the Republican president.

The FT said India was left “seething” by Munir’s White House welcome, as Trump’s administration offered Islamabad comparatively lighter trade tariffs — 19% compared to a punitive 50% on New Delhi — and promised a deal to develop Pakistan’s “massive oil reserves”.

The shift in tone is credited to a targeted Pakistani strategy involving counterterrorism cooperation, business outreach to Trump associates, and deals in energy, critical minerals and cryptocurrency.

Pakistani officials believe urgency was required to repair ties with the US president and his allies, some of whom had previously backed sanctions against Munir over the jailing of former prime minister Imran Khan.

An early breakthrough came in March when Pakistan’s intelligence services handed over an Islamic State Khorasan operative accused of orchestrating a 2021 Kabul bombing that killed 180 people, including 13 US soldiers.

Trump publicly praised the move in his State of the Union address, using the occasion to also criticise India over tariffs.

The report also highlighted Pakistan’s embrace of “crypto diplomacy”, including an agreement between a Trump-backed cryptocurrency venture and Pakistan’s crypto council in April. Since then, Minister for Crypto and Blockchain Bilal bin Saqib has engaged in trade talks with Washington while promoting Pakistan’s digital asset potential to figures close to the US president.

Munir’s conduct during the May conflict with India also bolstered Islamabad’s credibility with Trump, according to Pakistani officials. They said the army chief balanced “strength and restraint” by downing several Indian jets without escalating further, with the US and Gulf states mediating a ceasefire.

“Trump needs success stories to proclaim and Pakistan is happy to give them to him,” said Husain Haqqani, a former Pakistan ambassador to the US now at the Hudson Institute, a think-tank in Washington.

By contrast, Indian Prime Minister Narendra Modi publicly rejected any suggestion of US mediation, asserting that the agreement with Pakistan came through existing bilateral military channels.

The FT noted that Pakistan is presenting itself to Washington as a back channel to rivals Iran and China, reminiscent of its role in US diplomacy in the 1970s that facilitated Richard Nixon’s opening of US relations with China.

While Islamabad has criticised some American military actions, like strikes against Iran, it has also cast itself as a mediator between the US and its foes.

In late July, Munir flew to Beijing, where he toured the headquarters of the People’s Liberation Army and reassured China’s foreign minister Wang Yi over the safety of Chinese nationals in Pakistan.

“Pakistan is a rare country that is friends with China, Iran, the Gulf states, to a lesser extent, Russia, and now, again, the US,” said Marvin Weinbaum, a senior fellow at the Middle East Institute in Washington. “The US sees Munir as someone who can play a useful strategic role, and the Pakistanis keep their lines open to everyone but know to pull back when one relationship is clashing with another.”

For India, the burgeoning Trump–Pakistan relationship has proved an irritant, particularly given its failure to avert steep tariffs despite its larger economy. Indian officials expressed frustration at what they see as Washington rewarding a military-ruled neighbour for striking quick business deals.

Analysts cautioned, however, that Trump’s goodwill could prove volatile. According to the FT, Pakistan’s natural resource wealth remains largely unproven, its economy depends on a $7 billion IMF bailout, and recognition of Israel — a possible US expectation — would be politically difficult in Islamabad.

Haqqani told the newspaper that Trump is “playing the Pakistan card” to gain leverage over India. Former prime minister Shahid Khaqan Abbasi warned that while the outreach has yielded short-term gains, Islamabad must protect “both its interests and its dignity” in the unpredictable relationship.



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ICAI in talks to provide data for sovereign AI – The Times of India

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ICAI in talks to provide data for sovereign AI – The Times of India







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Paraguay – the Silicon Valley of South America?

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Paraguay – the Silicon Valley of South America?


Jane ChambersBusiness reporter, Asunción, Paraguay

Gabriela Cibils Paraguayan tech boss Gabriela Cibils smiles at the cameraGabriela Cibils

Gabriela Cibils wants to help Paraguay attract big tech from the US and elsewhere

Gabriela Cibils is on a mission – to help turn Paraguay into the Silicon Valley of South America.

When she was growing up in the landlocked country, nestled between Brazil and Argentina, she says the nation “wasn’t super tech focused”.

But it was different for Ms Cibils, as her parents worked in the technology sector. And she was inspired to study in the US, where she got a degree in computing and neuroscience from the University of California, Berkeley.

After graduating she spent eight years working in Silicon Valley, near San Francisco, with roles at various American start-ups.

But rather than staying permanently in the US, a few years ago she decided to return home to Paraguay. She’s now helping to lead efforts to build a large and successful tech sector that puts the country of seven million people on the world map – and attract some of the globe’s tech giants.

AFP via Getty Images Water gushing out of the giant Itaipu Dam on the Paraná River between Paraguay and BrazilAFP via Getty Images

The giant Itaipu Dam produces 90% of Paraguay’s electricity needs

“I saw first hand the impact that technology can have on your life,” says Ms Cibils. “After being exposed to such a different world [in Silicon Valley], it’s my responsibility to bring that mindset back and combine it with the talent I see in Paraguay.”

She is now a partner at global technology and investment firm Cibersons, whose headquarters is in Paraguay’s capital Asunción.

While most countries would love to build a world-class tech sector, Paraguay has a distinct advantage in one regard – an abundance of cheap, green electricity.

This is thanks to 100% of its generation now coming from hydroelectric power.

This is centred on the giant Itaipu Dam on the Paraná River, which forms part of the border between Paraguay and Brazil. This huge hydroelectric power station, the largest in the world outside of China, supplies 90% of Paraguay’s electricity needs, and 10% of Brazil’s.

In fact, such is Paraguay’s surplus of electricity that its electricity prices are the lowest in South America.

And it is the world’s largest exporter of clean energy.

The Paraguayan government hopes that the country’s abundance of cheap, green electricity will attract global tech firms increasingly focused on the massive energy demands of AI computing.

“If you want to install any technology investment like AI data centres, keep in mind hydroelectric power is both renewable and steady,” says Paraguayan software development entrepreneur Sebastian Ortiz-Chamorro.

“Compared to other renewable energy sources like wind or solar, that have their ups and downs, it’s much more attractive for creating data centres or any other electro intensive activity that requires a steady electricity source.”

He adds that in addition to Itaipu, and Paraguay’s other large state-owned hydroelectric plant, the Yacyretá Dam, private companies can easily build their own smaller facilities.

A map showing the location of Paraguay's two main hydroelectric dams

On a visit to California last year Paraguay’s President Santiago Peña spoke with companies like Google and OpenAI to encourage them to invest in Paraguay. It remains to be seen if such industry giants open large operations in the country.

Minister of Technology and Communication Gustavo Villate is working closely with the president on the continuing efforts.

“We have the youngest population. We have a lot of renewable green energy. We have low taxes and economic stability,” he says proudly.

I’m taken on a tour with the minister of a planned new digital park near Asunción’s main airport. It’s currently green fields and some army barracks.

Mr Villate unfurls plans to show off the lakes, a childcare centre and other buildings which he says should be ready in under two years.

“The government are going to invest around $20m (£15m) for the first stage, but the idea is for private companies to invest the rest,” he says.

Even though the park isn’t ready yet, Mr Villate says the collaboration already happening between the public, private and university sectors is key to building an ecosystem to attract foreign investors.

The government thinks the country’s young population will be a key attraction, and able to provide a large tech workforce. The average age in Paraguay is 27.

Vanessa Cañete Vanessa Cañete looks at the cameraVanessa Cañete

Vanessa Cañete says Paraguay is working hard to train more young people in technology

But more young people will need to be trained. The technology minister says the new digital park will also be home to The University of Technology, which is a joint venture between Taiwan and Paraguay.

Meanwhile, there are other initiatives to train young people in the country. “We are working really hard to create a mass of software engineers, programmers and everything you need to provide software services,” says Vanessa Cañete, president of trade group Paraguayan Chamber of the Software Industry.

Ms Cañete says she is also passionate about encouraging more women to study computer engineering. In 2017 she set up Girls Code, a non-profit association which aims to close the tech gender gap.

It organises programming and robotics workshops for teenagers and young women, with more than 1,000 receiving some sort of training to date.

Ms Cañete adds that software developers are also given English lessons for up to four years to improve their communication with overseas firms.

The people I met are brimming with positivity about what Paraguay has to offer the tech world, but they are also pragmatic.

Ms Cibils says there are still “growing pains” for foreign investors, with issues like bureaucracy, which can hold things up adapting local contracts to standardised international ones.

But she is adamant that “if you put innovation at its core and leverage all the benefits that the country has I think Paraguay can be a superpower”.



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Five carmakers go on trial over emissions cheat claims

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Five carmakers go on trial over emissions cheat claims


Emer MoreauBusiness reporter

Getty Images A close up of a white car's exhaust pipe emitting fumesGetty Images

A major lawsuit against five leading carmakers accused of cheating on emissions tests is set to begin at the High Court on Monday.

The trial is the latest chapter of what has become known as the “dieselgate” scandal, with the companies facing allegations they used software to allow their cars to reduce emissions of harmful gases under test conditions.

Lawyers say the case is the largest class action in English and Welsh legal history, and could eventually involve 1.6 million car owners.

The five carmakers – Mercedes, Ford, Peugeot/Citroën, Renault and Nissan – all deny the accusations.

The five have been chosen by the court as lead defendants to be tried first as the case is so big.

Mercedes, Ford, Peugeot/Citroën, Renault and Nissan have been accused by 220,000 car owners of misleading them over emissions tests.

But depending on the outcome of this case, nine other carmakers are facing similar claims.

The dieselgate scandal first emerged in September 2015, when the US Environmental Protection Agency accused Volkswagen of installing software – known as “defeat devices” – on diesel cars to lower readings of the cars’ nitrogen oxide emissions.

In 2020, the High Court ruled that Volkswagen had used defeat devices in breach of European Union rules to pass emissions tests.

Volkswagen settled a class action out of court, paying £193m to 91,000 British motorists.

The company has so far paid out more than €32bn (£27.8bn) over the scandal, mostly in the US.

The High Court will decide whether systems installed in diesel cars by the five carmakers were designed to cheat clean air laws.

It is alleged the “defeat devices” allowed a car to identify when it was in a test scenario. It would then run its engine at below normal power and performance levels in order to record lower readings of nitrogen oxides.

Lawyers for the motorists will claim they were deceived about how environmentally friendly the vehicles were, and that the cars still on the road are continuing to emit dangerous levels of pollution.

Although the trial begins on Monday, a judgement is not expected until summer 2026. If the court finds against the carmakers, a further trial to determine levels of compensation is expected to begin in autumn 2026.

Martin Deigh of Leigh Day, which is one of the 22 law firms representing drivers, said: “A decade after the Dieselgate scandal first came to light, 1.6 million UK motorists now get their chance to establish at trial whether their vehicles contained technology designed to cheat emissions tests.”

He said that if the allegations against the car firms are upheld in court it “would demonstrate one of the most egregious breaches of corporate trust in modern times”.

“It would also mean that people across the UK have been breathing in far more harmful emissions from these vehicles than they were told about, potentially putting the health of millions at risk.”

The companies involved have said the claims against them are without merit.

A spokesperson for Mercedes said the mechanisms used in tests were “justifiable from a technical and legal standpoint”.

Renault and Stellantis, which owns Peugeot and Citroen, said the vehicles it sold were compliant with regulations at the time.

Ford said the claims had “no merit” and Nissan said it was “committed to compliance in all markets in which we operate”.



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