Saudi minister announces $2.2 billion investment deals with Pakistan enhanced to $2.8 billion

Saudi minister announces $2.2 billion investment deals with Pakistan enhanced to $2.8 billion
Prime Minister Shehbaz Sharif and Saudi Investment Minister Khalid bin Abdulaziz Al-Falih address a joint presser at the Saudi Royal Court Mohammad Bin Mazyad Al-Tuwaijri on the sidelines of the 8th Future Investment Initiative Conference in Riyadh on October 30, 2024. (PMO)
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Updated 30 October 2024
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Saudi minister announces $2.2 billion investment deals with Pakistan enhanced to $2.8 billion

Saudi minister announces $2.2 billion investment deals with Pakistan enhanced to $2.8 billion
  • The deals between Saudi and Pakistani companies were signed during Saudi investment minister’s visit to Islamabad earlier this month
  • Saudi Crown Prince Mohammed bin Salman this year reaffirmed his commitment to expedite $5 billion investment package for Pakistan

ISLAMABAD: Saudi Minister for Investment Khalid bin Abdulaziz Al-Falih said on Wednesday $2.2 billion in agreements and memorandums of understanding (MoUs) signed between Saudi and Pakistani businesses earlier this month had been enhanced to $2.8 billion.
The business-to-business collaborations were signed on Oct. 10 during Al-Falih’s visit to Islamabad with a delegation of top investors and entrepreneurs from the Kingdom.
Pakistani Prime Minister Shehbaz Sharif is currently on a two-day visit to Riyadh where he attended the Future Investment Initiative (FII) forum on Tuesday and also held a bilateral meeting with Saudi Crown Prince Mohammed bin Salman who earlier this year reaffirmed the Kingdom’s commitment to expedite a $5 billion investment package for Pakistan.
“When we came to Pakistan, we concluded in three days 27 MoUs valued at $2.2 billion,” Al-Falih said in a televised press talk with Sharif. 
“And I mentioned during that time at various events that this was only the beginning. To prove that, here we are two or three weeks later, and I would like that that number has increased from 27 MoUs and agreements to 34 MoUs.
“So, we have been able to add another seven, almost two per week. And I think more importantly, the value of those agreements has also increased to $2.8 billion.”
The Saudi minister said five agreements signed during his trip to Pakistan were already operational and had resulted in exports from the South Asian state to the Kingdom. Al-Falih said Saudi Arabia would also absorb a greater and more qualified Pakistani workforce, especially in the health sector, in the foreseeable future.
“Remittances back to Pakistan will be on the rise,” the official said. “The first results will be seen in the next few weeks.”
Al-Falih said Saudi Arabia would also seek help from Pakistani technology firms to transform the way digital artificial intelligence was used for business and the economy.
Sharif thanked the Saudi government, especially Crown Prince Mohammed, for helping Pakistan secure a $7 billion International Monetary Fund (IMF) program last month by helping Islamabad meet its external financing needs.

The PM added that he planned to return to Saudi Arabia next month for more discussions on bilateral engagements.
“Together we are marching forward, together we are strengthening our brotherly relations,” he said.
The Pakistani PM’s visit takes place at a time when Islamabad is seeking to strengthen trade and investment ties with friendly nations, particularly the Kingdom, which has promised a $5 billion investment package that cash-strapped Pakistan desperately needs to shore up its dwindling foreign reserves and fight a chronic balance of payment crisis.


Pakistan petroleum minister says no deal reached with Russia on importing crude oil

Pakistan petroleum minister says no deal reached with Russia on importing crude oil
Updated 18 sec ago
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Pakistan petroleum minister says no deal reached with Russia on importing crude oil

Pakistan petroleum minister says no deal reached with Russia on importing crude oil
  • Musadik Malik rejects news report of Pakistan restarting crude oil trade with Russia from January
  • Pakistan pursuing $8-$10 billion Saudi investment for a greenfield oil refinery, says petroleum minister

ISLAMABAD: Pakistan’s Petroleum Minister Musadik Malik on Wednesday clarified that Islamabad had not reached any agreement with Moscow to import crude oil from Russia at a discounted rate. 

The minister was rebutting a report in The News, a Pakistani English-language daily, which claimed that Islamabad and Moscow have agreed to restart their crude oil trade from January 2025.

The report said that the deal between the two sides was reached during the recent 9th Inter-Governmental Commission meeting in Moscow. As per the deal, the Pakistan Refinery Limited (PRL) would import one cargo each month under the government-to-government arrangement, the report said. 

“The reports of importing crude from Russia on the discounted rate are false,” Malik told reporters at an informal briefing. “No deal is reached with Russia regarding import of the crude oil.”

Meanwhile, in a letter addressed to the Pakistan Stock Exchange (PSX), the PRL also rejected the news report. 

“We would like to clarify that no such agreement has been made,” it said. “We remain committed to transparency and will keep our stakeholders informed of any developments directly through our official channels.”

Separately, Malik said the government was pursuing an investment from Saudi Arabia for around $8-$10 billion for a greenfield refinery project, adding that a feasibility report for it would be available by the end of this month.

“We will receive the draft of the feasibility report by December 24,” he said. “This greenfield refinery project will fetch an investment of $8-$10 billion.”

The minister said that multiple Saudi companies were taking an interest in Pakistan’s mining sector.

He spoke about Pakistan and Saudi Arabia signing agreements in October worth $2.8 billion for investments in different sectors including energy, information technology and food.

“We have signed 34 MoUs and seven agreements with Saudi Arabia worth $2.8 billion in a recent period of the government,” Malik said. 

He said that the Pakistan Refinery Limited (PRL) and a Saudi company were close to signing another agreement of $1.7 billion. 

Talking about the much-stalled Iran-Pakistan gas pipeline project, Malik said the government would try to get sanctions waived from the US to complete it. 

“We will try to get exemption on the US sanctions to complete the IP gas pipeline project,” he said. “It is not in the interest of the country to talk further on it.”

The countries signed an agreement to construct the pipeline from Iran’s South Fars gas field to Pakistan’s Balochistan and Sindh provinces in 2010, but work on Pakistan’s portion has been held up due to fears of US sanctions.

The 1,900 kilometer (1,180 mile) pipeline was meant to supply 750 million to one billion cubic feet per day of natural gas for 25 years to meet Pakistan’s rising energy needs.

Malik said no additional cargo of Liquified Natural Gas (LNG) was being imported from Qatar for the winter season as a surplus quantity of the commodity was already available for consumption.

“We have held up five additional cargos of the LNG for now, and five other cargos could also be delayed for the next year,” the minister said.


Pakistan conducts ‘Winter Freeze’ simulation exercise to prepare for smog, earthquake disasters

Pakistan conducts ‘Winter Freeze’ simulation exercise to prepare for smog, earthquake disasters
Updated 04 December 2024
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Pakistan conducts ‘Winter Freeze’ simulation exercise to prepare for smog, earthquake disasters

Pakistan conducts ‘Winter Freeze’ simulation exercise to prepare for smog, earthquake disasters
  • Simulation exercise involved scenarios such as severe blizzard, smog and earthquakes
  • Law enforcement agencies, disaster management authorities partake in two-day exercise

ISLAMABAD: Pakistan’s National Disaster Management Authority (NDMA) concluded a two-day “Winter Freeze” simulation exercise (SimEx) on Wednesday to strengthen the country’s disaster preparedness and response mechanism against winter-related disasters such as cold weather, smog and earthquakes. 

Simulation exercises are used to test and improve a community’s preparedness for disasters and help it prepare contingency plans. 

Pakistan is ranked as the 5th most vulnerable country to climate change, according to the Global Climate Risk Index. In 2022, devastating floods affected over 33 million people and caused economic losses exceeding $30 billion, highlighting the country’s high susceptibility to extreme weather events.

“The National Disaster Management Authority (NDMA) conducted a National Simulation Exercise (SimEx), titled ‘Winter Freeze’ from 3rd to 4th December 2024 at NDMA HQs,” the NDMA said. 

It said the simulation included a series of challenging scenarios such as a severe blizzard hitting Pakistan’s northern areas that triggered snowstorms, road blockages and power outages and caused tourists to be stranded in different parts of the country.

“The exercise also simulated a major earthquake in northern Balochistan and southern Khyber Pakhtunkhwa, testing the effectiveness of rescue operations, medical response and mobilization of humanitarian response in remote areas,” the authority said. 

Heavy smog covered parts of Pakistan’s Punjab province in October and November while the country has suffered from devastating earthquakes, floods and other disasters in the past. 

The simulation also addressed severe smog conditions in Punjab, particularly in Lahore, focusing on the health impacts, emergency medical responses and measures to prevent the dangers of air pollution, the NDMA added. 

The provincial disaster management authorities, the Gilgit-Baltistan Disaster Management Authority (GBDMA), law enforcement bodies and representatives of humanitarian organizations participated in the exercise. 

“Participants acknowledged the platform provided by NDMA for preparedness and timely measures to deal with disasters and also gave their feedback and suggestions so that possible future disasters can be avoided,” the NDMA said.


China Pakistan’s biggest lender, Saudi Arabia at second place — World Bank

China Pakistan’s biggest lender, Saudi Arabia at second place — World Bank
Updated 30 min 25 sec ago
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China Pakistan’s biggest lender, Saudi Arabia at second place — World Bank

China Pakistan’s biggest lender, Saudi Arabia at second place — World Bank
  • China’s share of Pakistan’s total external liabilities stands at 22 percent, Saudi Arabia’s at 7 percent
  • Islamabad has eyed trade, investment with Riyadh and Beijing to ward off economic crisis

ISLAMABAD: China remains Pakistan’s biggest lender with its debt comprising 22 percent of Islamabad’s total external liabilities, followed by Saudi Arabia with its share of debt comprising seven percent, the World Bank said in its latest report this week. 
According to the annual International Debt Report 2024 released by the World Bank on Tuesday, Pakistan’s total debt in the report showed that Islamabad’s total external debt stood at $130.847 billion at the end of 2023. China remains Pakistan’s top bilateral creditor with its debt comprising 22 percent of Pakistan’s total external liabilities or $28.786 billion.

Saudi Arabia comes in second place with its debt comprising 7 percent of Pakistan’s total external liabilities or $9.16 billion. 

The South Asian region saw the biggest yearly increase in interest payments in 2023, the report said. 
“The increase was most noticeable in Bangladesh and India, whose interest payments increased by more than 90 percent in 2023,” the World Bank’s report said. “Pakistan made the second-largest interest payments in the region.”

The World Bank’s share of debt comprises 18 percent of Pakistan’s total external liabilities, the Asian Development Bank’s comprises 15 percent while other multilateral creditors’ debt comprises 13 percent of Islamabad’s external debts. 

Other bilateral lenders’ share comprises 8 percent of Islamabad’s total external liabilities while bondholders comprise 8 percent as well. 

Pakistan considers China and Saudi Arabia close regional allies that have invested in the South Asian country for trade and investment purposes. Beijing has invested billions in Pakistan for an infrastructure project that Islamabad hopes will modernize its economy and improve its infrastructure considerably. 

Pakistan and Saudi Arabia also enjoy close economic ties. The Kingdom and Islamabad in October signed agreements, including investments in agriculture, semiconductor manufacturing, and energy, worth $2.8 billion.

Pakistan has increasingly eyed closer cooperation with the two countries, with a keen focus on enhanced trade and investment, as it attempts to break free of a macroeconomic crisis that has drained its resources and weakened its national currency. 

Islamabad last year avoided a sovereign default by clinching a last-gasp $3 billion loan deal from the International Monetary Fund (IMF). After a fresh 37-month bailout program and declining inflation this year, Pakistan’s economy has registered some gains, with its stock market enjoying a bullish trend for days.


Pakistan calls for independent commission on minorities, activating mosques as community centers

Pakistan calls for independent commission on minorities, activating mosques as community centers
Updated 04 December 2024
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Pakistan calls for independent commission on minorities, activating mosques as community centers

Pakistan calls for independent commission on minorities, activating mosques as community centers
  • Non-Muslims constitute about three percent of Pakistan’s estimated population of 240 million
  • Pakistan’s minorities regularly come under attack by militant groups, complain of discrimination

ISLAMABAD: Pakistan on Wednesday called for granting financial and administrative autonomy to the National Commission for Minorities and said an interfaith harmony policy should be launched to activate mosques as community centers to promote religious tolerance. 
Non-Muslims constitute about three percent of Pakistan’s estimated population of 240 million people. Pakistan’s minority communities complain of facing discrimination in nearly all walks of life and regularly come under attack by militant groups. They have also sometimes been accused of blasphemy, which is punishable by death in the South Asian nation.
On Wednesday, the Prime Minister’s Adviser on Political Affairs and Federal Minister for Inter-Provincial Coordination, Rana Sanaullah, chaired a meeting in Islamabad to review the National Commission for Minorities Bill 2024. Law Minister Azam Nazeer Tarar proposed at the meeting to make the National Commission for Minorities “independent and autonomous from ministerial pressure.”
“The subcommittee also proposed granting financial and administrative autonomy to the commission. The commission will consist of 13 members, 9 of whom will be from minority communities,” the ministry of religious affairs said in a statement. 
“The committee directed the Ministry of Law and Justice to finalize the National Commission for Minorities Bill 2024 within three days.”
A new interfaith harmony policy for promoting religious tolerance was also reviewed. 
“Sanaullah emphasized the significant importance of mosques in Islam and suggested that the interfaith harmony policy should include a proposal to activate mosques as community centers,” the statement said. 
“The committee directed the Ministry of Religious Affairs and Interfaith Harmony to present the interfaith harmony policy and the policy for promoting religious tolerance to the federal cabinet meeting for final approval, incorporating the subcommittee’s amendments related to both policies.”


With Champions Trophy looming, Pakistan rest Afridi for South Africa tests

With Champions Trophy looming, Pakistan rest Afridi for South Africa tests
Updated 04 December 2024
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With Champions Trophy looming, Pakistan rest Afridi for South Africa tests

With Champions Trophy looming, Pakistan rest Afridi for South Africa tests
  • Pakistan wants to keep the speedster fresh for the Champions Trophy at home next year
  • Left-arm quick picked for six limited-overs matches in South Africa beginning Dec. 10

LAHORE: Speedster Shaheen Afridi has been left out of Pakistan’s squad for a two-test series in South Africa in a bid to keep him fresh for the Champions Trophy at home next year, the country’s cricket board said on Wednesday.
However, the left-arm quick has been picked for six limited-overs matches in South Africa beginning on Dec. 10, the Pakistan Cricket Board (PCB) said in a statement.
“Shaheen Afridi, who also missed the last two tests against England, has been picked for the white-ball matches as part of his workload management so that he is in his best fitness and form for the ICC Champions Trophy 2025,” the statement read.
Fellow fast bowler Naseem Shah and batting mainstay Babar Azam, both of whom missed the last two matches against England, were recalled for the test matches in Centurion and Cape Town.
Off-spinner Sajid Khan, whose tally of 19 wickets in two tests was key to Pakistan’s 2-1 series victory against England in October, was dropped.
“Leaving out Sajid Khan, despite his stellar performances against England, was an extremely tough and difficult decision,” selector and interim test team coach Aqib Javed said.
“However, considering the pace-friendly conditions at Centurion and in Cape Town, we opted for Mohammad Abbas instead, who is an outstanding exponent of seam bowling.”
Pakistan squads:
Tests: Shan Masood (captain), Saud Shakeel, Aamir Jamal, Abdullah Shafique, Babar Azam, Haseebullah (wicketkeeper), Kamran Ghulam, Khurram Shahzad, Mir Hamza, Mohammad Abbas, Mohammad Rizwan (wicketkeeper), Naseem Shah, Noman Ali, Saim Ayub and Salman Ali Agha
ODI: Mohammad Rizwan (captain and wicketkeeper), Abdullah Shafique, Abrar Ahmed, Babar Azam, Haris Rauf, Kamran Ghulam, Mohammad Hasnain, Muhammad Irfan Khan, Naseem Shah, Saim Ayub, Salman Ali Agha, Shaheen Afridi, Sufyan Moqim, Tayyab Tahir and Usman Khan (wicketkeeper)
T20I: Mohammad Rizwan (captain and wicketkeeper), Abrar Ahmed, Babar Azam, Haris Rauf, Jahandad Khan, Mohammad Abbas Afridi, Mohammad Hasnain, Muhammad Irfan Khan, Omair Bin Yousuf, Saim Ayub, Salman Ali Agha, Shaheen Afridi, Sufyan Moqim, Tayyab Tahir and Usman Khan (wicketkeeper)