The arrival of a high-level Saudi trade delegation led by Deputy Investment Minister Ibrahim Almubarak marks a significant stride towards strengthening trade and investment ties with foreign partners. At a time when Pakistan needed economic stability, and strong external connections to hedge that stability, the government has shown the urgency required. Saudi Arabia’s ties with Pakistan are long-standing, and this visit should be the first of many regional relationship revivals.
If the mooted projects are realized it would be the beginning of a new era of collaboration between the two nations. Despite a mixed history of bilateral investment, this collaboration provides a sense of renewed hope for the economic revival of Pakistan.
Both countries plan on exploring trade and investment opportunities in various sectors of society which would bolster economic growth. Under this broad term, several distinct opportunities emerge. One domain that holds great promise for mutual benefit is mineral extraction. Pakistan has extensive reserves of various metals and minerals. While Pakistan is rich in these reserves, it lacks the capital and infrastructure to exploit these resources optimally. Despite interest from other nations in the past, these projects have been difficult to execute. However, Pakistan can leverage Saudi expertise and resources to drive sustainable development in this sector.
The upcoming Pakistan-Saudi Arabia investment conference should further provide a platform for discussions on potential collaboration avenues with a focus on Business-to-Business meetings. With the intent of the Saudi delegation to forge meaningful partnerships across sectors such as agriculture, energy, aviation, and information technology, investments across these domains will create new avenues for local companies and startups. This is a win-win situation for both nations, with Saudi Arabia’s “Vision 2030” looking to reduce its dependence on fossil fuels and diversify its sources of income, and Pakistan seeking to broaden its economic base with its neighbors. While both countries can potentially benefit from enhanced cooperation, it is important to ensure that all investment opportunities are properly managed to prioritize sustainable development and inclusive growth.
This is the chance for Pakistan to unlock new avenues of prosperity and it must keep working with diligence to ensure that the projects undertaken in collaboration with Saudi Arabia reach fruition.