GCC FTA, tech MoU enhance Pakistan-Saudi relations

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GCC Secretary General Jassem Mohamed Albudaiwi and Pakistani Commerce Minister Dr. Gohar Ejaz had signed Free Trade Agreement in Riyadh on Thursday. (SPA)
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  • In landmark developments, Saudi Arabia and Pakistan have taken significant strides to enhance their bilateral relations, especially in the economic and technological arenas.
  • The GCC and Pakistan signed a historic Free Trade Agreement and MoU, deepening bilateral relations between the two nations from trade to digital transformation and defense

Riyadh — In a series of significant developments, Saudi Arabia and Pakistan have taken monumental steps to strengthen their bilateral relations, particularly in the economic and technological sectors.

On September 28, the Gulf Cooperation Council (GCC) and Pakistan had signed a preliminary Free Trade Agreement (FTA) in Riyadh. The historic agreement was signed by GCC Secretary General, Jassem Mohamed Albudaiwi, and Pakistan’s Commerce Minister, Dr. Gohar Ejaz.

Albudaiwi emphasized that the FTA underscores the importance of strengthening trade relations and economic cooperation with countries and international blocs. He hailed the agreement as a turning point in cooperation, asserting that it would contribute to growth and prosperity, serving the mutual interests of both parties.

SDAIA President Dr. Abdullah Alghamdi and Pakistan’s delegation, led by its IT Minister Dr. Umar Saif, in Riyadh. (SPA)

Highlighting the GCC’s broader economic vision, Albudaiwi mentioned that the council is actively engaging in free-trade negotiations with other nations. The aim is to enhance trade prospects and economic cooperation for GCC member states on both regional and international fronts.

He also extended his gratitude to the GCC negotiating teams and the General Secretariat for their dedication throughout the negotiation process.

Dr Majid bin Abdullah Al-Qasabi, Minister of Commerce and Chairman of the General Authority for Foreign Trade, expressed optimism about the FTA. He believes that the agreement will play a pivotal role in strengthening bilateral trade and economic cooperation between the GCC countries and Pakistan. Furthermore, he pointed out that the FTA would address and resolve existing trade barriers, thereby facilitating smoother trade operations.

Also Read Saudi Arabia, Pakistan ink pact on digital transformation, innovation

The primary objective of the FTA is to amplify trade and investment opportunities by eliminating tariffs on goods and broadening access to services. This agreement is expected to pave the way for a surge in economic activities between the GCC countries and Pakistan.

In a joint statement, both Dr. Gohar Ejaz and Jassem Mohamed Albudaiwi expressed their anticipation for the swift signing, ratification, and implementation of the agreement. They believe that this FTA will usher in a new era of enhanced economic relations between the GCC and Pakistan.

Pakistan has been pursuing an FTA with the GCC since 2005. The ambition gained momentum in January of the previous year when both parties finalized the Joint Action Plan for Strategic Dialogue (2022-26) and initiated formal discussions.

This agreement signifies a monumental step in the economic partnership between the GCC and Pakistan, with both parties keen on leveraging the benefits of enhanced trade and collaboration.

Digital cooperation.

In another significant move, Saudi Arabia and Pakistan have signed a Memorandum of Understanding (MoU) to expand cooperation in communications and information technology.

The MoU, signed by Saudi Arabia’s Minister of Communications and Information Technology, Eng. Abdullah Alswaha, and Pakistan’s Federal Minister of Information Technology, Dr. Umar Saif, underscores both nations’ commitment to accelerating digital transformation and enhancing digital infrastructure.

A task force, named “Saudi-Pakistan Digital Cooperation,” will be established to oversee and promote the initiatives under the MoU.

Key highlights of the MoU include:

Strengthening the Small and Medium Enterprises (SME) and start-up ecosystems in both countries through mutual assistance.

Collaboration on policies, regulations, and legislation in digitization and electronic manufacturing sectors.

Exploration of joint tech investments and venture capital opportunities.

Deepening ties in the digital economy by evaluating and qualifying companies for collaborative ICT market opportunities.

Promoting cooperation in areas like e-governance, smart infrastructure, e-health, e-education, and emerging technologies such as AI, IoT, and blockchain.

Enhancing digital infrastructure connectivity, including fibre optic networks, data centres, and cloud computing.

Saudi Arabia’s Eng. Abdullah Alswaha and Pakistan’s Dr. Umar Saif sign an agreement in Riyadh. (SPA)

In a related development, Dr. Abdullah bin Sharaf Alghamdi, President of the Saudi Data and Artificial Intelligence Authority (SDAIA), held discussions with Dr. Umar Saif, focusing on advanced technologies like artificial intelligence and exploring avenues for further collaboration.

RSAF to join “Sindh Shield 2023” in Pakistan

In the military domain, the Royal Saudi Air Force (RSAF) is gearing up to participate in the “Sindh Shield 2023” military exercise in Pakistan. Major General Pilot Talal bin Suleiman Al-Ghamdi, the Deputy Commander of the RSAF, was present to bid farewell to the participating group.

The exercise, scheduled to last for a month, aims to enhance aerial combat operations, exchange military expertise, and strengthen international relations.

Saudi National Day celebrated in Islamabad and Lahore

Meanwhile, in Islamabad, Saudi Ambassador to Pakistan, Nawaf Al-Maliki, commemorated the Kingdom of Saudi Arabia’s 93rd National Day. The event saw participation from a host of dignitaries, including Senator Sadiq Sanjrani, Chairman of the Senate of Pakistan.

Al-Maliki, in his address, emphasized the deep-rooted friendship between Saudi Arabia and Pakistan. A similar celebration was also held in Lahore, attended by the Governor of Punjab Province, Muhammad Balighur Rehman. These developments underscore the strengthening relations between Saudi Arabia and Pakistan, as both nations seek to collaborate more closely in various sectors, from digital transformation to defense and cultural exchanges.

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