The Economic Affairs Division (EAD) has finally awakened to ratify the framework economic co-operation agreement signed between Pakistan and GCC countries after seven years. The GCC consists of six Arab nations-Bahrain, Kuwait, Oman, Qatar, Saudi Arabia and United Arab Emirates (UAE).
Sources told Business Recorder that a framework economic co-ordination agreement between Pakistan and GCC was signed by the Minister for Foreign Affairs on August 26, 2004. The Cabinet in terms of Rule 16(1)(h) of the Rules of Business 1973 accorded ex post facto approval of the agreement on March 24, 2005.
The framework agreement provides a formal dialogue forum between Pakistan and GCC states to enhance and promote economic co-operation, exchange of information, expansion and liberalisation of trade relations, encouraging business communications as well as training and technology transfer, making appropriate arrangement for capital flows, setting up joint investment projects and facilitate corporate investment. It also envisages setting up of a joint committee for economic co-operation to follow up implementation of this agreement and other bilateral agreements or protocols.
Under Article 9(1) of the agreement, contracting parties have to formally convey completion of the internal legal procedures to bring this agreement into force. The Ministry of Foreign Affairs said in August 2004 that necessary steps were being taken for ratification of the agreement.
EAD, sources said, has expressed its willingness to take necessary action on articles applicable to the EAD. Pakistan has recently initiated strategic dialogue with GCC. Ministry of Foreign Affairs has now indicated that GCC has ratified the framework agreement and has asked for early completion of formalities by Pakistan.
Approval of the Cabinet has been solicited under Rule 16(1) of the Rules of Business 1973 for ratification of the agreement signed between the Pakistan and GCC. On March 8, 2011, Pakistan and the GCC countries issued a press statement on the conclusion of the first joint ministerial meeting of the GCC-Pakistan Strategic Dialogue. The press statement underscored that the strategic dialogue constituted a "momentous step forward" to forge a "comprehensive partnership for peace, progress and development".
Pakistan and GCC agreed to hold annual meetings of the strategic dialogue at Foreign Ministers' level. They also expressed determination to conclude free trade negotiations between Pakistan and the GCC as soon as possible. They stressed on the full implementation of the Framework Agreement for Economic Co-operation.
Pakistan and GCC reviewed the global and regional situation and agreed to intensify consultation, co-ordination and co-operation at the regional and global levels. The GCC countries reiterated full support for the security, stability and development of Pakistan and expressed solidarity with the people of Pakistan. GCC countries welcomed the resumption of the dialogue between Pakistan and India on all issues, especially on the Jammu and Kashmir dispute, and underscored that dialogue was the only way forward.
On the sidelines of the Pakistan-GCC Strategic Dialogue, Minister of State for Foreign Affairs Hina Rabbani Khar had a detailed meeting with Sheikh Abdullah Bin Zayed Al Nahyan, Foreign Minister of UAE. The two Ministers exchanged views on issues of bilateral interest including UAE investments and development projects in Pakistan, the regional situation with particular focus on Afghanistan and Pakistan-India relations. Sheikh Abdullah assured Hina Rabbani Khar of his country's continued support to Pakistan.