ISLAMABAD: Minister for Finance and Revenue Muhammad Aurangzeb met Saudi Ambassador to Pakistan Nawaf bin Saeed Al-Malki on Wednesday and discussed joint ventures and business collaborations as well as steps Islamabad is taking as it navigates a tough reforms agenda mandated by the International Monetary Fund (IMF).
Pakistan and Saudi Arabia enjoy strong trade, defense and cultural ties. The Kingdom is home to over 2.7 million Pakistani expatriates and serves as the top source of remittances to the cash-strapped South Asian nation.
In February 2019, Pakistan and Saudi Arabia inked investment deals totaling $21 billion during a visit by Saudi Crown Prince Mohammed bin Salman to Islamabad. The agreements included about $10 billion for an Aramco oil refinery and $1 billion for a petrochemical complex at the strategic Gwadar Port in Balochistan.
Both countries have been working in recent months to increase bilateral trade and investment, and the Kingdom in April this year reaffirmed its commitment to expedite an investment package worth $5 billion for Pakistan.
“Aurangzeb expressed deep appreciation for Saudi Arabia’s consistent economic support to Pakistan, while highlighting the renewed interest shown by Saudi investors in pursuing joint ventures and business collaborations with Pakistan’s private sector,” Radio Pakistan said on Thursday.
“Aurangzeb noted the significant outcomes of the high-level business delegation’s visit from Saudi Arabia to Pakistan in May, aimed at exploring investment opportunities, expanding bilateral cooperation, and scaling up partnerships across diverse sectors.”
The minister also outlined Pakistan’s “positive” economic trajectory, citing key indicators such as currency stabilization, reduced inflation, a surge in remittances, prudent management of the current account deficit and foreign exchange reserves sufficient to cover two months of imports.
“The Minister emphasized that structural reforms are pivotal for ensuring sustainable economic growth and stability, forming a cornerstone of the government’s policy agenda,” Radio Pakistan said.
The report said Al-Malki “commended” the government of Pakistan’s efforts in implementing structural and institutional reforms and reiterated the Kingdom’s “unwavering commitment to contributing to Pakistan’s economic growth.”
“The Ambassador also acknowledged the immense potential for investment and business opportunities between the two countries,” Radio Pakistan said. “He indicated that a Saudi business delegation is expected to visit Pakistan in the coming months to further explore areas for joint ventures and collaborative investments.”
Aurangzeb has said in recent weeks Pakistan will focus on meeting its external financing needs by speaking with foreign governments and lenders to draw foreign investment as well as seeking loan rollovers. The government is also seeking to focus on more sustainable forms of external financing such as direct investment and climate financing.
Pakistan and the IMF reached an agreement for a new 37-month $7 billion loan program in July. The IMF has said the program is subject to approval from its executive board and obtaining “timely confirmation of necessary financing assurances from Pakistan’s development and bilateral partners.”
Last month, Bloomberg reported Pakistan had secured commitments from China, Saudi Arabia and the United Arab Emirates to roll over debt for a year, a boost for Islamabad as it awaits final approval of the IMF loan program.
Rollovers or disbursements on loans from Pakistan’s long-time allies, in addition to financing from the IMF, have helped Pakistan meet its external financing needs in the past.
Tough conditionalities placed by the IMF, such as raising tax on agricultural incomes and lifting electricity prices, have unleashed street protests and prompted concerns about poor and middle class Pakistanis grappling with rising inflation and the prospect of higher taxes.
Pakistani finance minister discusses joint ventures, business collaborations with Saudi envoy
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Pakistani finance minister discusses joint ventures, business collaborations with Saudi envoy
- Last month, Pakistan said it had secured commitments from China, Saudi Arabia and UAE to roll over debt for a year
- Debt rollovers will be a boost for Islamabad as it awaits final approval of a $7 billion IMF loan program signed in July
UN adopts Pakistan-sponsored resolution on self-determination, highlighting Palestinian plight
- Pakistan has annually tabled the resolution for over four decades to highlight the struggles of oppressed people
- The resolution addresses the situation in Indian-administered Kashmir, challenges colonial and foreign occupation
ISLAMABAD: The United Nations General Assembly unanimously adopted a Pakistan-sponsored resolution reaffirming the universal right to self-determination, said the foreign office on Wednesday, with a focus on people living under foreign occupation, including in Palestine and Indian-administered Kashmir.
Pakistan has annually tabled this resolution for over four decades to highlight the struggles of people denied self-determination under colonial domination or foreign subjugation.
“The unanimous adoption of this resolution reflects the collective will of UN member states and strengthens the principle of self-determination, as enshrined in international law, including the UN Charter and the International Covenants on Civil and Political Rights, and Economic, Social and Cultural Rights,” the foreign office said.
“The resolution highlights the plight of people in Indian Illegally Occupied Jammu and Kashmir and Palestine, reinforcing international support for their legitimate aspirations for self-determination,” it added.
Adopted by consensus, the resolution was supported and co-sponsored by a large number of countries from different regions around the world.
It underscores the inalienable right of all peoples to self-determination as essential for advancing human rights globally, sending a message of solidarity to populations struggling against foreign occupation, while calling for an end to intervention and aggression.
The foreign office said the adoption of the resolution demonstrated Pakistan’s leadership in advocating for the rights of oppressed peoples and maintaining the principle of self-determination as a cornerstone of international justice and peace.
US imposes more sanctions over Pakistan’s missile program
- The measures target ‘proliferators of weapons of mass destruction and their means of delivery,’ State Department says
- The sanctions freeze any US property belonging to the targeted entities and bars Americans from doing business with them
WASHINGTON: The United States said on Wednesday it was imposing new sanctions related to nuclear-armed Pakistan’s long-range ballistic-missile program, including on the state-owned defense agency that oversees the program.
State Department spokesperson Matthew Miller said in a statement that the measures slapped on the National Development Complex and three firms were imposed under an executive order that “targets proliferators of weapons of mass destruction and their means of delivery.”
The sanctions freeze any US property belonging to the targeted entities and bars Americans from doing business with them.
Pakistan’s foreign ministry said in a statement that the US action was “unfortunate and biased” and would harm regional stability by “aiming to accentuate military asymmetries,” an apparent reference to the country’s rivalry with nuclear-armed India.
A State Department factsheet said the Islamabad-based NDC has sought to obtain components for the country’s long-range ballistic-missile program and missile-testing equipment.
It said the NDC “is responsible for the development of Pakistan’s ballistic missiles,” including the Shaheen family of missiles.
The Bulletin of the Atomic Scientists research organization says the Shaheen series of missiles is nuclear-capable.
Pakistan conducted its first nuclear-weapons test in 1998, becoming the seventh country to do so. The Bulletin estimates Pakistan’s arsenal at about 170 warheads.
Islamabad has refused to sign the Non-Proliferation Treaty, the cornerstone of the international system designed to prevent the spread of nuclear weapons.
The other entities slapped with sanctions were Affiliates International, Akhtar and Sons Private Limited and Rockside Enterprise, all located in Karachi, the factsheet said.
It said the companies worked with the NDC to acquire equipment.
“The United States will continue to act against proliferation and associated procurement activities of concern,” Miller said.
Pakistan completes survey of special economic zones to attract Chinese industries, foreign investment
- The survey included aerial assessments to identify resources and challenges of SEZs across the country
- The government plans to adopt environmentally sustainable practices to run these industrial zones
ISLAMABAD: Pakistan has completed a survey of Special Economic Zones (SEZs) as part of efforts to facilitate the relocation of Chinese firms and make these zones suitable for international businesses, Federal Minister for Investment Abdul Aleem Khan said on Wednesday.
The government aims to attract foreign investment from friendly nations, including China and Gulf countries, and established the Special Investment Facilitation Council (SIFC), a hybrid civil-military body, last year to eliminate bureaucratic hurdles and provide a one-window operation for foreign businesses.
The survey, which included aerial assessments using drone technology, identified the resources and challenges of SEZs across the country.
“These zones will incorporate special measures to facilitate the relocation of Chinese industries,” the investment minister was quoted as saying in an official statement, though he added the country would also welcome investments from other countries.
Officials in Islamabad and Beijing launched the multibillion-dollar China-Pakistan Economic Corridor (CPEC), which initially focused on energy and infrastructure projects but now plans to transition into the next phase with an aim to boost industrial production and exports.
Earlier this year, Prime Minister Shehbaz Sharif undertook a five-day visit to China, where he met representatives of leading Chinese businesses and urged them to invest in Pakistan and relocate their operations to SEZs.
The development came as Pakistan recovers from a prolonged economic crisis with external financing, while the government acknowledges the need to enhance industrial and agricultural output and exports through increased international investment.
Khan directed Pakistani embassies to engage foreign investors actively and asked relevant officials to establish a “Pride of Pakistan” group for key international stakeholders.
He said the government aimed to introduce about 150 reforms to enhance SEZ operations and improve their overall efficiency.
The steps would include environmentally sustainable practices under the “Green Pakistan Investment” model, focusing on eco-friendly infrastructure, renewable energy and sustainability measures to attract global investors.
Specific zones, such as Karachi’s industrial hub, will be linked to Port Qasim with enhanced infrastructure and facilities.
The minister and other officials also discussed the construction of a business facilitation center in a meeting and reviewed the “Ease of Doing Business Act 2024,” which aims to streamline investment processes further.
Pakistan pledges to sustain economic gains after inflation hits six-year low
- Finance minister says economic progress made so far will serve as foundation for future successes
- Consumer Price Index in Pakistan fell to 4.9 percent this month, marking its lowest level since Apr. 2018
ISLAMABAD: Federal Minister for Finance and Revenue Muhammad Aurangzeb on Wednesday vowed to maintain the country’s economic momentum after the Consumer Price Index (CPI) fell to 4.9 percent earlier this month, marking the lowest inflation rate since April 2018.
The pledge comes as Pakistan navigates a recovery from years of severe economic challenges, including soaring inflation, dwindling foreign exchange reserves, currency depreciation and a persistent fiscal deficit.
In recent months, however, the country has witnessed a steady improvement in macroeconomic indicators, taking measures to restore investor confidence, as it undertakes structural reforms under a $7 billion International Monetary Fund (IMF) program.
“The Finance Minister expressed optimism that the progress made so far would serve as a foundation for future successes, as the government remains dedicated to building a prosperous and stable Pakistan,” the finance ministry said in a statement released after the Economic Coordination Committee’s (ECC) meeting.
The meeting evaluated on the overall economic situation of the country and particularly mentioned the improvement in CPI.
“The current CPI figure marks the lowest in the past 78 months, signaling a positive shift in the country’s inflationary trends,” the statement added. “The decline in CPI reflects the government’s success in managing inflationary pressures and restoring price stability, particularly for essential commodities.”
Aurangzeb assured the public the government would continue its efforts to support economic stability and strengthen key sectors, including agriculture, manufacturing and infrastructure.
The ECC also discussed plans to pursue economic diversification and ensure better living standards for Pakistan’s population.
Saudi Arabia wants stronger parliamentary, economic ties with Pakistan, offers tech support
- Saudi Shura Council chairman meets Pakistani parliamentary leaders during his three-day visit
- Speaker Ayaz Sadiq calls for closer bilateral cooperation amid changing global environment
ISLAMABAD: Saudi Arabia seeks to strengthen parliamentary and economic ties with Pakistan and is keen to assist the National Assembly in the field of technology, the Kingdom’s Shura Council Chairman Dr. Abdullah bin Mohammed bin Ibrahim Al Sheikh said on Wednesday during his visit to Pakistan.
Dr. Al Sheikh is on a three-day visit to Pakistan, during which he has met with Prime Minister Shehbaz Sharif, who described relations with the Kingdom as a “vital pillar” of Pakistan’s foreign policy.
Both countries are longtime allies, with Islamabad seeking closer economic, defense and security ties with the Kingdom, which hosts approximately 2.5 million Pakistani expatriates and remains the largest source of remittances for the cash-strapped South Asian nation.
“Saudi Arabia aspires for a prosperous and developed Pakistan,” the Saudi official said according to an official statement circulated in Islamabad, following high-level meetings with Pakistan’s parliamentary leadership, including National Assembly Speaker Sardar Ayaz Sadiq and Senate Chairman Syed Yusuf Raza Gilani.
During his meeting with Speaker Sadiq, both officials emphasized the importance of enhancing bilateral parliamentary and economic relations.
Al Sheikh expressed gratitude for the warm reception and reiterated the shared cultural, historical and religious ties between the two nations.
“The rapidly changing global environment demands closer bilateral cooperation,” Sadiq said, highlighting the significance of parliamentary exchanges and joint initiatives to further mutual interests.
Separately, the Saudi official met with Senate Chairman Gilani, where discussions focused on broadening institutional cooperation. Gilani lauded Saudi Arabia’s support for Pakistan and emphasized the importance of leveraging shared opportunities in trade, investment and defense.
“Saudi Arabia’s parliamentary delegation visit will mark a new milestone in our bilateral ties,” Gilani said, adding that both countries have always supported each other in times of need.
Al Sheikh reaffirmed the Kingdom’s commitment to Pakistan, emphasizing the longstanding friendship between the two nations.
“Saudi Arabia and Pakistan share a deep bond of respect and mutual trust, which serves as the foundation for our robust partnership,” he said.
Gilani noted that strengthening economic collaboration and exploring investment opportunities were key to deepening ties further, while encouraging Saudi investors to actively explore ventures in Pakistan.
The meetings also covered joint efforts to promote unity among the Muslim Ummah and to enhance cooperation on global forums.
