Pakistan Iran

Sanctions Relief Could Boost Pakistan-Iran Economic Cooperation

Pakistan Trade & Industry

Islamabad links expansion of trade and investment projects with Tehran to easing of US-led sanctions

ISLAMABAD: Pakistan on Wednesday expressed optimism over the ongoing high-level technical talks between Iran and the United States, saying that stronger trade and economic cooperation with Tehran would largely depend on the easing of international sanctions imposed on Iran.

Speaking at the weekly media briefing, Foreign Office spokesperson Tahir Hussain Andrabi said the process leading toward sanctions relief had already begun through negotiations held in Burgenstock, Switzerland.

He termed the dialogue a positive development and hoped the discussions would produce meaningful outcomes.

Andrabi said there had been a temporary pause in technical-level negotiations between Iran and the United States, adding that talks were expected to resume next week. According to him, the continuation of engagement itself reflected a constructive atmosphere.

“It is a very positive development that both parties are engaged in talks and remain at the negotiating table,” he said.

Regarding the Strait of Hormuz, the spokesperson noted that tensions in the region were expected to ease through diplomatic efforts. However, he cautioned that full restoration of normal operations in the strategically significant waterway could take time due to operational considerations.

On the issue of control over the Strait of Hormuz, Andrabi reiterated Pakistan’s support for initiatives undertaken by the Gulf Cooperation Council (GCC), emphasizing regional ownership of regional affairs and respect for the sovereignty and territorial integrity of all states.

Referring to the recent visit of Iranian President Masoud Pezeshkian to Pakistan, he said both countries held detailed discussions on expanding bilateral trade, investment and economic cooperation. He stressed that progress in economic projects and trade liberalization would move forward in parallel with the lifting of sanctions on Iran.

“The overall progress of economic projects and opening up of trade with Iran will take place simultaneously with the lifting of sanctions by the United States,” he stated.

The spokesperson said one of the major outcomes of President Pezeshkian’s visit was the reaffirmation of both countries’ commitment to peace, regional stability and stronger bilateral relations. He added that the Iranian leadership had expressed confidence in Pakistan, which Islamabad appreciated.

Responding to a question about a proposed $300 billion financing package for Iran, Andrabi said the issue was likely to be discussed during the ongoing technical talks in Switzerland.

On Afghanistan, the Foreign Office said Pakistan had fulfilled most of its commitments related to bilateral engagement and that Deputy Prime Minister and Foreign Minister Ishaq Dar had closely monitored the process. However, certain developments had complicated diplomatic efforts.

Andrabi reiterated Pakistan’s longstanding position that Afghan territory should not be used for terrorist activities against Pakistan, adding that meaningful diplomatic progress required assurances from Kabul on the issue.

He also acknowledged China’s constructive role in promoting understanding between Pakistan and Afghanistan and reaffirmed Islamabad’s commitment to working with Beijing for regional peace and cooperation.

Regarding Pakistan’s representation at the funeral of the late Iranian Supreme Leader Shaheed Ali Khamenei, the spokesperson said no final decision had yet been made.