KARACHI: Pakistan and the United Arab Emirates have reaffirmed their commitment to expedite negotiations on a comprehensive trade and investment agreement, the commerce ministry said on Wednesday, as Islamabad seeks to deepen economic ties with the Gulf nation, reports ‘Arab News’.
The pledge was made during a meeting between Commerce Minister Jam Kamal Khan and the UAE’s Ambassador Salem Mohammed Salem Al Zaabi, during a meeting in which both sides agreed to maintain close coordination to advance discussions on the Pakistan-UAE Comprehensive Economic Partnership Agreement (CEPA).
The agreement is intended to broaden economic cooperation by improving market access, encouraging investment and strengthening collaboration in sectors such as trade, logistics, ports, infrastructure and manufacturing. Pakistani officials see the framework as a way to translate long-standing political and people-to-people ties into a more balanced trade and investment relationship.
“Both countries are keen to translate this closeness into a more robust and balanced trade and investment partnership that reflects the true potential of bilateral relations,” Khan said during the meeting, according to the statement, which said the two sides reaffirmed commitment to “expediting” progress on CEPA.
The minister highlighted Pakistan’s ongoing economic reforms and said the government was focused on creating a more enabling environment for business and investment, despite short-term challenges faced by the private sector due to economic stabilization measures.
He said the government’s emphasis was on medium-term growth, export expansion and regional connectivity, particularly with Gulf countries.The UAE ambassador “lauded Pakistan’s market size, human capital and strategic location,” the statement said, conveying his country’s “strong interest in expanding cooperation in trade, logistics, ports, infrastructure, manufacturing and investment facilitation.”
Pakistan and the UAE share close economic relations, with Abu Dhabi having provided critical support during periods of financial stress, including deposits at Pakistan’s central bank that helped Islamabad shore up foreign exchange reserves amid a severe balance-of-payments crunch.
Deputy Prime Minister Ishaq Dar said last month Pakistan was engaging with the UAE on converting $1 billion in deposits into equity investment, potentially involving stakes in companies linked to the Fauji Fertilizer Group, a move that would eliminate repayment obligations on that portion of the funds.
The commerce ministry said both sides also discussed joint ventures, trilateral cooperation in third-country markets and collaboration in regions such as Central Asia and Africa, and agreed to continue working closely to advance the trade agreement process.
