Pakistan and Saudi Arabia have finally reached an agreement on investment modalities, which will pave the way for the long-delayed ratification of a free trade agreement (FTA) between Pakistan and the Gulf Cooperation Council (GCC). This development is significant as it would mark the GCC’s first trade and investment agreement with any country in the last 15 years.
A delegation led by Pakistan’s Commerce and Industries Minister is currently in Saudi Arabia, engaging in discussions with the GCC’s chief negotiator to finalize the investment-related aspect of the GCC FTA. The talks have been described as productive, and there is confidence that the agreement will strengthen economic ties between Pakistan and the GCC, creating new opportunities for trade and investment.
The investment chapter of the GCC FTA is seen as a major step forward, and discussions have covered various aspects such as investment protection and facilitation, as well as assessing the potential impact of the FTA on bilateral trade and investment flows. The anticipated agreement is expected to enhance trade and investment, leading to job creation and business opportunities in both regions.
Furthermore, there has been discussion about organizing a joint business forum to further promote trade and investment between Pakistan and the GCC. Overall, this development is a positive step towards strengthening economic ties between Pakistan and the GCC.