Saudi government and companies consider Pakistan a “high priority” economic, investment and business opportunity, Ibrahim Almubarak, the kingdom’s Deputy Investment Minister, said on Monday.

The Pakistan, Saudi Arabia Investment Conference began on Monday in Islamabad as the host country aims for massive investment from the kingdom in different sectors to boost the economy.

While addressing the two-day moot, he said that his country “believes in the economic potential of Pakistan” including its demography, location and natural resources.

“Pakistan is a major strategic partner for Saudi Arabia,” he said, “we want to see Pakistan as one of our leading international partners.”

The Saudi minister was quoted by Radio Pakistan as saying that “the gathering provides an opportunity to develop a deeper understanding of the great opportunity available for investment in Pakistan.”

He was hopeful that the public and private sectors of both countries could take their partnership to the next level.

Saudi Arabia is home to about two million Pakistanis who have contributed significantly to the Kingdom’s Vision 2030, Almubarak added.

IMF to visit Pakistan in next seven to 10 days, Aurangzeb

Finance Minister Muhammad Aurangzeb expressed the government’s commitment to facilitating the private sector to take the country towards export-led growth.

He said the government was focusing on bringing foreign direct investment to uplift various sectors.

While giving on an overview of the country’s economic situation, the finance minister said it was on a positive trajectory. “The agriculture GDP is growing at five per cent on the back of bumper crops including that of sugarcane, rice, and wheat.”

He was confident that the country’s current account deficit would be less than a billion dollar during this fiscal year.

“Our foreign exchange reserves have risen to $9 billion,” he said and added that the local currency was stable over the last 10 months.

The finance minister said: “Pakistan is seeking a larger and longer program with the IMF for permanence in the macroeconomic stability and structural reforms.” He shared that the IMF mission was expected in Pakistan in the next seven to 10 days to discuss the contours of the new programme.

“The government will also accelerate the privatisation process.”

Private sectors of both countries should work together: Malik

Petroleum Minister Musadik Masood Malik emphasised that the private sector of both Pakistan and Saudi Arabia should work together to move towards diversification of the economy and value addition.

“Our history, our relationship, our brotherhood goes back 1,400 years and today we are here to celebrate our brotherhood,” Malik, who is also the focal person for Saudi-Pak bilateral collaboration, said while addressing the participants of the conference.

He emphasised that collaboration between the two countries in various sectors including mines and minerals, tourism and agriculture.

Saudi delegation arrives in Pakistan

On Sunday, a 50-member high-level business delegation from Saudi Arabia arrived in Pakistan to explore investment opportunities in different sectors as well as to forge strong bonds with local entrepreneurs.

Some 30 Saudi companies representing different economic sectors, including information technology, telecoms, energy, aviation, construction, mining exploration, agriculture and human resource development are part of the delegation, led by the assistant minister of investment.

During the first half of the current financial year, bilateral trade between Pakistan and Saudi Arabia was recorded at $2,482.37 million, with Pakistan’s exports of $262.58 million and Saudi exports of $2.219 billion.

Last month, a delegation comprising 100 members visited Pakistan with a focus on enhancing bilateral ties.

Saudi Foreign Minister Prince Faisal bin Farhan Al Saud had said he was “confident” that his Pakistan visit would deliver “significant benefits” for the two countries in the upcoming months by realising the potential of untapped economic development.

“We were extremely impressed by the very proactive attitude that we saw in our meetings, especially with the [Special] Investment [Facilitation] Council,” he said at a joint press conference alongside his Pakistani counterpart Ishaq Dar in Islamabad on April 16, 2024.

More to follow…