ISLAMABAD: The Commerce Minister, Jam Kamal Khan, expressed optimism regarding the current visit of a high-level Saudi delegation, led by Foreign Minister Prince Faisal Bin Farhan Al Saud, anticipating substantial investments across various economic sectors in Pakistan.
Highlighting the potential outcomes, the minister indicated a positive outlook for business-to-business (B2B) collaborations and joint ventures (JVs) between leading entrepreneurs from both nations, a development expected from the ongoing two-day visit of the Saudi delegation.
Arriving at the Nur Khan Airbase in Rawalpindi on Monday, the Saudi Foreign Minister commenced a pivotal two-day visit to Pakistan on Monday. He was warmly received by Pakistani counterpart Ishaq Dar and Saudi Ambassador Nawaf bin Saeed Ahmad Al-Malkiy.
The Ministry of Foreign Affairs emphasized that this visit aims to bolster bilateral cooperation and foster a mutually beneficial economic partnership, following Prime Minister Shehbaz Sharif’s recent visit to Saudi Arabia and his discussions with Crown Prince Mohammad bin Salman.
In alignment with these objectives, both countries are committed to expediting the initial phase of a planned $5 billion Saudi investment package for Pakistan.
Furthermore, the commerce minister highlighted the anticipated government-to-government (G2G) investment agreements, particularly focusing on Reko Diq and other key sectors of the economy, leveraging Saudi Arabia’s status as the largest economy in the Gulf region, boasting a GDP of $1.1 trillion in 2022.
Regarding the ongoing dialogue between Pakistan and KSA, Minister Khan remarked, “A significant delegation from KSA is presently engaging in a two-day visit to Pakistan following discussions between PM Shehbaz Sharif and Saudi Crown Prince Mohammad bin Salman in Riyadh on April 8, 2024, paving the way for a $5 billion investment across various sectors of Pakistan’s economy in the initial phase.”
Anticipating a visit by the Saudi crown prince in May, Khan highlighted the potential for substantial agreements, particularly in investments spanning Reko Diq, refineries, agriculture, and mining.
The presence of top Saudi businessmen in the delegation underscores the commitment to fostering B2B engagements, with Pakistani authorities facilitating meetings between business leaders from both nations to explore trade and investment opportunities through joint ventures.
Expanding the scope of B2B engagements to sectors such as IT, services, minerals, environment, and logistics further demonstrates the commitment to enhancing economic ties between Pakistan and Saudi Arabia.
Addressing the trade deficit with KSA, Minister Khan emphasized the necessity of increasing exports from Pakistan through robust B2B trade initiatives.
Additionally, efforts to establish a formal Free Trade Agreement (FTA) with Gulf Cooperation Council (GCC) member countries, including Saudi Arabia, are underway, aiming to further bolster economic cooperation between the two nations.
Despite challenges, such as the recent decline in bilateral trade due to import restrictions, both countries remain committed to fostering mutually beneficial trade relations, with a focus on enhancing exports and diversifying trade portfolios to address existing imbalances.
I am an experienced writer, analyst, and author. My exposure in English journalism spans more than 28 years. In the past, I have been working with daily The Muslim (Lahore Bureau), daily Business Recorder (Lahore/Islamabad Bureaus), Daily Times, Islamabad, daily The Nation (Lahore and Karachi). With daily The Nation, I have served as Resident Editor, Karachi. Since 2009, I have been working as a Freelance Writer/Editor for American organizations.
