Saudi Arabia and Pakistan have agreed to establish a formal economic cooperation framework aimed at strengthening mutual interests and enhancing trade and investment ties between the two nations, according to an official statement released by the Saudi Press Agency (SPA) on Tuesday, October 28, 2025. The announcement followed a meeting in Riyadh between Crown Prince Mohammed bin Salman of Saudi Arabia and Pakistani Prime Minister Muhammad Shehbaz Sharif.
The newly introduced framework reaffirms the shared vision of both countries to build a long-term, sustainable partnership across various economic, commercial, and investment sectors. It emphasizes collaboration in priority areas such as energy, industry, mining, information technology, tourism, agriculture, and food security.
Among the key initiatives under discussion are joint economic projects, including a proposed memorandum of understanding (MoU) for an electricity interconnection between the two countries. Another MoU focusing on broader energy sector cooperation is also being finalized. These efforts aim to deepen bilateral integration and support private-sector engagement, while boosting cross-border trade volumes.
Both governments are actively exploring avenues to elevate their strategic relationship, with plans underway to convene the Saudi-Pakistani Supreme Coordination Council in the near future. This comes amid Pakistan’s recent progress in securing a preliminary agreement with the International Monetary Fund earlier this month for two loans totaling USD 1.2 billion under separate programs.
— news from Economy Eastern