GP Short Notes # 953, 11 October 2024
On 10 October, Pakistan and Saudi Arabia signed 27 Memorandums of Understanding (MoUs) with an investment of USD 2.2 billion, in the fields of education, agriculture, mining, energy, IT, food, health, petroleum and other areas of mutual cooperation. The signing was witnessed by Saudi Investment Minister Khalid Bin Abdul Aziz Al Falih and Chief of Army Staff General Syed Asim Munir, and Prime Minister, Shehbaz Sharif. At the event PM Sharif expressed Pakistan’s commitment towards implementing these MoUs. He emphasized how important this meeting was as “Crown Prince Mohammed bin Salman has a special interest in the development of Pakistan.”
In his speech he mentioned that the Saudi government supported Pakistan in its difficult times for instance, the country helped Pakistan secure the USD 7 billion bailout by rolling over its debt.
Addressing the Saudi Investment Minister, he said: “[W]e will have his full cooperation to promote bilateral investments and business opportunity.” In his speech he also affirmed Pakistan’s support to Saudi in its Vision 2030, which aims at developing domestic defence and security capabilities.
The Saudi delegation also had met with Punjab Chief Minister Maryam Nawaz Sharif and Chief of Army Staff of Pakistan, Asim Munir. According to an Inter-Services Public Relations release,both sides discussed mutual interests and various initiatives through which their bilateral ties may be strengthened. According to a President House press release, there was also a meeting between Minister Al-Falih and President Asif Ali Zardari, reaffirming their commitment to work together to promote prosperity and peace across the region. The president stated that Pakistan was interested in establishing long-term bilateral ties in economic and strategic areas. Al-Falih observed how Saudi was willing to invest in Pakistan’s infrastructure and mining sector as it is of geographically significant and has the potential to tap into its natural resources, agriculture, food security and renewable energy.
The Investment Minister stated that it was now time to “strengthen” Pakistan as it’s economy has reached stability.
He also expressed glee over the Crown prince’s announcement of investing USD 5 billion in Pakistan. In another meeting, the delegation attended a meeting with federal ministers and even engaged in talks with top Pakistani companies such as Lucky Cement, Engro and Arif Habib. The proposals put forward by the companies were well received by the delegation. During the briefing, the IT and Telecom Secretary presented Pakistan’s IT landscape and the country’s potential to turn into a global technology player, portraying opportunities for investment and collaboration. Al-Falih confirmed Saudi’s participation at the Pakistan’s Texpo and an exhibition to be held in Jeddah, in 2025. Additionally, during a B2B session between leading company heads of Pakistan and Saudi, they lay emphasis on improving their IT and telecommunication sectors, especially in digital transformation, software development, and emerging technologies. (“MoUs for investment worth $2.2bn with Riyadh ,” Dawn, 11 October 2024; Asim Yasin, “Pakistan, S Arabia ink $2.2bn bilateral investment pacts ,” The News International, 11 October 2024; “Pakistan, Saudi Arabia ink $2.2b trade deals,” The Express Tribune, 11 October 2024)