JEDDAH: Representatives from 72 Saudi firms are part of a group visiting Poland and Slovakia in a bid to increase trade with the European countries.

Delegates from Federation of Saudi Chambers are also part of the trip, which will see high-level economic meetings involving senior government officials and private sector representatives. Their objective is to explore investment opportunities and sign several agreements and commercial partnerships.

The delegation, led by Chairman of the Federation of Saudi Chambers Hassan bin Mujib Al-Huwaizi, includes over 72 business representatives from various economic sectors, along with governmental entities and authorities, according to the Saudi Press Agency.

In August, the Kingdom and Poland established a joint business council for the 2024-2028 term to boost trade and investment between the two countries. The move is part of the nation’s broader strategy to deepen economic ties with Europe, with a particular focus on Poland, one of the continent’s largest economies.

Poland has seen impressive growth in its agri-food sector, with exports reaching a record €47.9 billion ($51.1 billion) in 2023 — a €10 billion increase from the previous year.

In 2023, Saudi Arabia’s trade exchange with Poland reached SR33.7 billion. The Kingdom’s primary exports to Poland include mineral products and plastics, while Poland’s main exports to the Arab country consist of tobacco, machinery, and mechanical appliances.

The relationship between Saudi Arabia and Slovakia has also witnessed growth following the official opening of the Slovak Embassy in Riyadh in recent years. Additionally, bilateral trade has increased significantly, highlighting untapped investment opportunities.

The delegation will begin its visit to Poland by holding the Saudi-Polish Business Council meeting, a joint forum, and bilateral meetings between representatives.

In Slovakia, the delegation will host the Saudi-Slovak Business Forum, conduct meetings between companies from both sides and sign an agreement to establish a joint business council.

Through its recent series of international visits to ten countries, the federation is leading efforts to open new markets and opportunities for the Kingdom’s backers and to boost trade and investment exchanges with countries worldwide, in alignment with the aspirations of Saudi Vision 2030.

ISLAMABAD: Prime Minister Shehbaz Sharif on Monday called for all sectors to fulfill their tax obligations, days after the IMF concluded an unscheduled visit to Pakistan for discussions on economic policy and reform efforts.

The IMF’s visit last week was widely reported to have been prompted by, among other factors, a shortfall of nearly Rs190 billion ($685 million) in revenue collection during the first quarter of the current fiscal year. The period also saw an external financing gap of $2.5 billion, while Pakistan failed in its bid to sell its national airline, a major setback on the path to privatizing loss-making state-owned enterprises, required by the IMF.

The government wants to increase the tax-to-GDP ratio to 13 percent over the next three years. The ratio stood at 9 percent during 2023-24, according to the Federal Board of Revenue, the country’s main tax collection body. 

“Economic development is only possible when everyone fulfills their share of responsibility,” Sharif was quoted as saying in a statement released by his office after he chaired a meeting of his cabinet to review economic policies. “All sectors must pay taxes to contribute to national progress.”

Pakistan’s economy has faced significant challenges in recent years, including high inflation and fiscal deficits. In May last year, the CPI inflation rate hit a record high of 38 percent but has seen a downward trajectory in recent months, moving to 7.2 percent year-on-year in October.

Pakistan has struggled for decades with boom-and-bust economic cycles, prompting 23 IMF bailouts since 1958.

After wrapping up the visit last week, the IMF had said it was encouraged by Islamabad’s reaffirmed commitment to the economic reforms under the Extended Fund Facility its board had approved in September to reduce vulnerabilities. 

The external financing gap and failure to sell PIA has prompted fears that Pakistan might need to impose new taxes to bridge the shortfall. But Finance Minister Muhammad Aurangzeb has repeatedly said the shortfall will be met only with enforcement to get people to pay their taxes, implying there would not be any new revenue measures.