KARACHI: Pakistan has witnessed significant 26.6 per cent rise in exports to the Gulf region during the first five months of the current fiscal year.
According to data released by State Bank of Pakistan (SBP) this month, with 50 per cent rise in its trade with Saudi Arabia and 33 per cent with the United Arab Emirates.
The country established the Special Investment Facilitation Council (SIFC) – a civil-military hybrid forum – in July to fast-track decision-making and promote investment from foreign nations, particularly from the Gulf countries.
Pakistan also announced in September it had signed a “preliminary” free trade agreement with the Gulf Cooperation Council (GCC) and described it as a “milestone in both sides’ economic cooperation.”
According to the State Bank of Pakistan, the country’s trade with Saudi Arabia touched $275.7 million between July and November as compared to $183.7 million in the corresponding period last year.
The quantum of Pakistan’s trade with the UAE also increased significantly from $614.9 million to $818 million during these months.
However, the country’s trade with Qatar, Bahrain and Oman witnessed reduction of 16.5, 6.3 and 6.2 per cent, respectively.
With Pakistan beginning to focus more on Kuwait, its trade with the Gulf country went up by 7.4 per cent from $48.2 million to $51.8 million.
Caretaker Prime Minister Anwaar-ul-Haq Kakar went to the Middle East on a week-long visit in November to explore economic opportunities for his country and seek foreign investment.
During his stay in the region, he signed deals worth billions of dollars in the United Arab Emirates and Kuwait, though their impact is likely to become clear in the coming months.
Pakistani officials have sought early implementation of its free trade agreement with the GCC, hoping it to be a major “turning point” for the country’s economy.
Read more: ‘Black Tuesday’: PSX sees biggest single-day decline, plummets over 2,500 points
