Islamabad, December 3, 2023 –Pakistan and Saudi Arabia have made substantial progress towards a Free Trade Agreement (FTA) by reaching a consensus on investment modalities.
This breakthrough has paved the way for the potential ratification of a free trade agreement between Pakistan and the Gulf Cooperation Council (GCC).
According to media reports, the agreement on investment modalities was achieved during discussions between the two nations. Caretaker Minister for Information and Broadcasting, Murtaza Solangi, took to a social media platform to announce the milestone on Sunday. Solangi highlighted that this agreement has been in limbo for the past 19 years, making it a long-awaited and crucial step in fostering economic collaboration.
Expressing optimism about the agreement’s approval, Solangi stated that if given the green light, it would signify the first trade and investment agreement between the GCC and Pakistan in the past 15 years. The potential FTA holds the promise of unlocking new avenues for economic cooperation and collaboration between the two nations.
Meanwhile, Minister for Commerce and Industries, Dr. Gojar Ijaz, echoed Solangi’s sentiments in a separate social media post. Dr. Ijaz revealed that he engaged in productive discussions in Saudi Arabia, specifically focusing on finalizing the investment-related aspects of the Gulf Cooperation Council Free Trade Agreement.
Dr. Ijaz expressed confidence in the positive outcomes of the discussions, emphasizing that the agreement, once solidified, would not only fortify economic ties between Pakistan and the GCC but also generate fresh opportunities for trade and investment. The potential FTA is expected to create a conducive environment for businesses from both nations to explore collaborative ventures, ultimately contributing to the economic growth of the participating countries.
The development comes at a crucial juncture when nations are actively seeking to expand their economic partnerships and diversify trade avenues. A potential FTA between Pakistan and the GCC holds the promise of bolstering trade volumes and enhancing economic cooperation in various sectors.
The agreement on investment modalities represents a crucial step towards the broader goal of a comprehensive FTA. Both countries are anticipated to continue their negotiations to iron out the remaining details and finalize the agreement. As the diplomatic and economic ties between Pakistan and Saudi Arabia deepen, the potential FTA is poised to play a pivotal role in shaping the economic landscape of the region, fostering mutual growth and prosperity.
