Pak-Saudi defence pact to usher in era of economic transformation: PIAF

LAHORE: The Pakistan Industrial & Traders Associations Front (PIAF) has hailed the recently signed Strategic Mutual Defence Agreement between Pakistan and Saudi Arabia as a landmark breakthrough that will reinforce national security while opening the door to sweeping trade, investment, and industrial opportunities.

In a joint declaration, PIAF Chairman Faheem Saigol, Senior Vice Chairman Nasrullah Mughal and Vice Chairman Tahir Manzoor Chaudhary commended the government’s resolve to deepen relations with the Kingdom of Saudi Arabia, calling the accord a turning point for Pakistan’s economic and geopolitical trajectory.

Chairman Faheem Saigol emphasized that the agreement—endorsed at the highest level by Prime Minister Muhammad Shehbaz Sharif and Saudi Crown Prince Mohammed bin Salman — reflects an unshakeable bond of trust between the two brotherly nations.

He highlighted the pact’s central clause, under which aggression against one state will be considered aggression against both, describing it not merely as a military guarantee but as a solid foundation for investor confidence. “When capital feels secure, it flows without hesitation. This agreement sends exactly that signal to global investors, assuring them that Pakistan is a stable, predictable, and safe destination for their ventures,” Saigol remarked.

Senior Vice Chairman Nasrullah Mughal noted that economic prosperity and security are inseparable, observing that the new defence framework acts as a protective shield for Pakistan’s economy.

He said the business community views the accord as a model of “security-driven economic stability” that can accelerate cooperation in energy, infrastructure, technology, and trade.

“This is a transformative opportunity for our industrial sector,” he said, adding that the Pakistani private sector must gear up to meet new demand for high-quality goods and services in Saudi Arabia.

Vice Chairman Tahir Manzoor Chaudhary underscored that Saudi Arabia is already Pakistan’s largest source of remittances, with millions of Pakistanis working in the Kingdom and sustaining both economies.

“This pact consolidates that bond and sets the stage for joint ventures in construction, oil refining, renewable energy, and manufacturing. It even opens the door to creating joint special economic zones where Saudi capital and Pakistani expertise can combine to produce value-added exports,” Chaudhary stated.

The PIAF chairman credited the vision of COAS General Asim Munir for steering Pakistan through turbulent regional challenges and ensuring that defence cooperation translates into tangible economic dividends.

“The Field Marshal’s hallmark has been integrating national security with economic security,” Saigol said.

“This agreement exemplifies that approach, giving Pakistan the geopolitical leverage to attract not just Saudi investment but also financing from other Gulf states and international partners who value regional stability.”

He pointed out that Saudi Arabia’s ambitious Vision 2030 reforms create an unmatched opening for Pakistan to align its export industries with the Kingdom’s diversification strategy. From food security to IT services, skilled manpower to industrial technology, Pakistan can position itself as a natural partner in Saudi Arabia’s transformation—provided supportive policies are enacted at home.

Copyright Business Recorder, 2025