Pakistan and Saudi Arabia launch new economic cooperation framework

ISLAMABAD: Pakistan and Saudi Arabia have officially agreed to launch a new economic cooperation framework to strengthen trade, investment, and development ties between the two countries.

The agreement marks a new chapter in the long-standing friendship that has connected Pakistan and Saudi Arabia for nearly 80 years.

According to a joint statement issued after a meeting between Prime Minister Shehbaz Sharif and Saudi Crown Prince Mohammed bin Salman, the framework reflects the strong “brotherly” bond and shared economic goals of both nations.

Under this agreement, both countries will focus on increasing trade and investment in key sectors such as energy, mining, industry, IT, tourism, agriculture, and food security. The plan also includes developing major projects that will strengthen cooperation, involve the private sector, and boost commercial ties between Islamabad and Riyadh.

In the energy sector, both governments have already signed a memorandum of understanding (MoU) for power transmission projects and broader cooperation in energy development.

A high-level coordination body will now be set up under the Saudi-Pakistan Supreme Coordination Council to monitor progress and ensure that projects move forward efficiently. The focus will be on private-sector growth, infrastructure investment, and expanding trade opportunities.

This new framework supports Saudi Arabia’s Vision 2030 — the kingdom’s plan to diversify its economy — and also aligns with Pakistan’s development goals through the Special Investment Facilitation Council (SIFC).

Both sides believe this agreement will open a new era of partnership, bringing long-term benefits for their economies and people.

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