Pakistan says 2024 dominated by ‘robust exchanges’ with Gulf nations

ISLAMABAD: Foreign Office Spokesperson Mumtaz Zahra Baloch on Thursday outlined Pakistan’s key bilateral engagements for 2024 during a year-end briefing, saying 2024 was dominated by “robust” engagements with Gulf Cooperation Council (GCC) nations. 

Pakistan has been pushing for foreign investment in a bid to shore up its $350 billion economy as it navigates a challenging recovery path and has been buttressed by a $7 billion facility from the International Monetary Fund (IMF) in September. It has particularly looked to strengthen ties with allies and friendly nations, particularly the UAE, which said it would invest $10 billion in promising economic sectors, and Saudi Arbia, which has promised a $5 billion investment package that cash-strapped Islamabad desperately needs to shore up foreign reserves and fight a chronic balance of payment crisis.

“There was a robust exchange of high-level engagements between Pakistan and the GCC countries,” Baloch said in her last briefing of the year 2024, adding that Prime Minister Shehbaz Sharif undertook four official visits to Saudi Arabia which had consolidated the two nations’ “strategic and economic partnership.”

“Important understandings were reached with the kingdom of Saudi Arabia in political security and economic domains, and to translate the commitment between Pakistan and his Royal Highness Prince Mohammad bin Salman to expedite investment package worth $5 billion,” the spokeswoman said. 

Pakistani and Saudi businesses signed 34 MoUs worth $2.8 billion in October. The prime minister’s office said this month seven of the 34 MoUs had been actualized into agreements worth $560 million.

The foreign office spokeswoman said trade and investment opportunities also remained a key focus of Pakistan’s bilateral engagements with Kuwait, Qatar and the UAE in 2024.

“Cooperation will be prioritized with these countries in energy, mining and aviation sectors,” she told reporters.

In May this year, Sharif said UAE’s Sheikh Mohamed bin Zayed Al Nahyan had “made a commitment of investing $10 billion in multiple sectors.”

Last month, the government’s spokesperson Attaullah Tarar said Qatar would invest $3 billion in diverse Pakistani sectors. In June, Pakistan also signed a loan agreement with Kuwait for $25 million for Mohmand Dam, with assurances of support from the Kuwait Fund that it would engage its Arab Coordination Group to finance Diamer Bhasha Dam. 

Pakistan and Kuwait also signed agreements on industrial cooperation and engineering in May.