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Saudi Arabia Expands Investment in Pakistan with 34 MoUs, Boosting Funding to $2.8 Billion
Saudi Arabia’s investment in Pakistan surges as MoUs rise to 34, with $2.8 billion in funding and five projects already operational. PM Shehbaz Sharif lauds the partnership’s impact on Pakistan’s economic growth.
ND
by News Desk
2024-10-30
Saudi Arabia Expands Investment in Pakistan with 34 MoUs, Boosting Funding to $2.8 Billion

Saudi Arabia’s Minister for Investment, Sheikh Khalid Bin Abdul Aziz Al Faleh, has confirmed that the number of memorandums of understanding (MoUs) signed between Saudi Arabia and Pakistan during his October visit has risen from 27 to 34, increasing the initial $2.2 billion investment to $2.8 billion. Speaking at the Future Investment Initiative (FII) event in Riyadh, Minister Al Faleh emphasized the swift progress of the agreements, noting that five projects have already become operational, benefitting both nations.

 

The MoUs, initially signed on October 10 during a Saudi delegation’s visit to Islamabad, marked a historic economic cooperation milestone between the two countries. During the press event, Minister Al Faleh highlighted, “When we came to Pakistan, we concluded, in three days, 27 MOUs at 2.2 billion dollars...only the beginning.” He confirmed the increased investment value, with several projects underway across vital sectors including healthcare, agriculture, and trade.

 

Operational Projects and Economic Impact

 

Minister Al Faleh praised the immediate implementation of the agreements, sharing that the five operational projects are already generating exports from Pakistan, especially in agriculture, and creating mutual value. Among these, a key project involves developing a healthcare complex where Saudi investors have already secured land and assets to build an integrated medical facility in Pakistan. These advancements reflect Saudi Arabia’s commitment to Pakistan’s long-term economic stability and growth.

 

Pakistan’s Grateful Acknowledgment

 

Prime Minister Shehbaz Sharif expressed profound gratitude to Saudi leadership for their continued support, stating, “The meetings last night have been really reassuring and on the MoUs signed a few weeks ago in Islamabad — the ink hasn’t dried and implementation has started.” He also thanked Crown Prince and Prime Minister Mohammed bin Salman for aiding Pakistan’s recent International Monetary Fund (IMF) program, calling this support a key factor in bolstering Pakistan’s financial standing.

 

Strengthening Bilateral Ties

 

The Saudi-Pakistan partnership, historically grounded in strong diplomatic, cultural, and economic ties, has been especially crucial during times of economic strain. In June last year, Saudi Arabia deposited $2 billion in Pakistan’s central bank, facilitating the release of a $3 billion IMF bailout package, which helped Pakistan avoid default. This cooperation has been reinforced through continuous dialogue and efforts to streamline investments under the Special Investment and Facilitation Council (SIFC), providing Saudi investors an attractive environment for business expansion.

 

With ongoing projects, Saudi Arabia and Pakistan are expected to explore further areas of collaboration. PM Shehbaz hinted at more positive announcements in the coming months, underscoring the optimism shared by both sides as they “march towards progress” together.

 
Tagged:

EconomicGrowth

PakistanDevelopment

SaudiInvestment

TradeRelations

SaudiPakPartnership
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