Pakistan’s Middle East strategy secures short-term gains—Saudi deposits, defence pacts, and mediation roles—yet its fragile economy and political dysfunction trap it in a “perpetual periphery.” Central enough to matter but too weak to consolidate influence, Islamabad’s diplomacy remains transactional, survivalist, and strategically unsustainable.

Pakistan’s economic crisis has reached a breaking point, with inflation exceeding 40% and foreign exchange reserves falling to critical levels.

Once strategic allies, Pakistan and Afghanistan are now engaged in direct military conflict. Despite Chinese mediation, cross-border airstrikes and TTP militancy have pushed bilateral relations to an unprecedented historic low.

This Issue Brief examines how the Tehrik-e-Taliban Pakistan (TTP) evolved from a regional strategic asset into an autonomous insurgent threat, fuelling a cycle of blame and instability between Afghanistan and Pakistan.