Saudi Arabia and Pakistan have launched an economic co-operation framework and signed preliminary agreements for energy co-operation and an electricity interconnection project.
Saudi Crown Prince Mohammed bin Salman and Pakistan's Prime Minister Shehbaz Sharif agreed to launch the framework during a meeting in Riyadh on Monday, the Saudi Press Agency reported on Tuesday. The meeting took place on the sidelines of the ninth Future Investment Initiative (FII), a three-day conference being held from October 27 to October 30.
The framework is based on the two countries’ shared economic interests and their aim to strengthen trade and investment relations, SPA reported.
Under the framework, many “strategic and high-impact” projects will be discussed in the economic, trade, investment and development fields that will contribute to strengthening bilateral co-operation, enhancing the private sector’s role and increasing trade exchange between the two countries, it said. Priority sectors include energy, industry, mining, information technology, tourism, agriculture and food security.
“We discussed ways to further expand this historic partnership in trade, investment and economic co-operation,” Mr Sharif said in a post on X. The prime minister said he remained “deeply grateful” for the Crown Prince’s “personal commitment and resolute support in advancing our shared vision for deeper collaboration and prosperity for our two nations and peoples”.
Pakistan and Saudi Arabia have historically had close ties and have sought to further expand co-operation in recent years. The countries signed a defence agreement in Riyadh during Mr Sharif’s visit in September, after they signed 34 preliminary agreements worth $2.8 billion across multiple sectors last year.
The kingdom has also promised Pakistan a $5 billion investment package and supplied oil on deferred payments.
The leaders of both countries said they look forward to convening the meeting of the Saudi-Pakistan Supreme Co-ordination Council, SPA reported.
The Council aims to fast-track decision-making and implementation in areas of collaboration agreed under its framework. The institutional framework, established between Pakistan and Saudi Arabia in 2019, covers politics, security and the economy as well as social and cultural areas.
