Saudi Arabia’s Minister of Investment, Sheikh Khalid Bin Abdul Aziz Al Faleh, confirmed that the number of memorandums of understanding (MoUs) signed during his October visit to Pakistan had increased to 34, with five of them already in effect.
The Saudi investment minister and a Pakistani delegation led by Prime Minister Shehbaz Sharif made these remarks on the sidelines of the Future Investment Initiative (FII) event in Riyadh: “When we came to Pakistan, we concluded, in three days, 27 MOUs at 2.2 billion dollars and I mentioned at that time during various events that this was only the beginning.”
“And to demonstrate that, here we are, two or three weeks later, and I would like to announce that the number has increased from 27 MOUs and agreements to 34,” the spokesperson continued.
During a high-level Saudi delegation’s visit to Islamabad on October 10, Pakistan and Saudi Arabia had signed 27 memorandums of understanding (MOUs) worth $2.2 billion in various fields.
Regarding the increase in value, the minister stated that funding had increased to $2.8 billion. He also stated that the government was “still trying to determine exactly how much the valuation is” and that many of the items had not been assigned a value.
“I think better news yet, that I’m happy to share with you, your government, and the people, is that of the 27 we concluded, five are already working operationally, finance-funded, and creating value for the companies that have concluded them for Pakistan [and] for Saudi Arabia,” he added. “I’m happy to share this with you, your government, and the people,” he said.
The investment minister stated that some of the agreements had already led to “exports from Pakistan, especially in agriculture,” and he would allow the five agreements to be announced by the companies themselves regarding how they would be implemented.
He stated that these agreements covered crucial areas, such as healthcare facilities, for which Saudi investors “would be building an integrated medical complex in Pakistan” and had “already acquired land and assets.”
PM Shehbaz said that the investment minister, Crown Prince Mohammed bin Salman, and Prime Minister Muhammed bin Salman had a “very productive meeting” during the press conference.
He stated, “The meetings last night have been really reassuring and on the MOUs signed a few weeks ago in Islamabad — the ink hasn’t dried and implementation has started.” Additionally, the MOUs were signed in Islamabad.
He added that Pakistan and Saudi Arabia were “walking towards progress”.
In addition, PM Shehbaz stated that Pakistan had secured a program from the International Monetary Fund (IMF) with the support of the Saudi leadership, and that he hoped it would be the last.
He stated, “When I return, we will have more good news for the people of Pakistan.”
Islamabad and Riyadh, Saudi Arabia, have a long history of brotherly relations and cooperation in a variety of areas, including the economy, trade, defense, and culture.
Since taking office this year, PM Shehbaz traveled to Saudi Arabia for the first time in April. He and Crown Prince Salman had agreed to speed up the first phase of a $5 billion Saudi investment package for Pakistan during the visit. The Saudi Press Agency reported that the move confirmed Saudi Arabia’s support for Pakistan’s economy and its “sisterly people.”
During a Saudi delegation’s visit to Pakistan in May, PM Shehbaz promised Saudi investors that the Special Investment and Facilitation Council (SIFC) would provide them with the best facilities and make it easier to conduct business.
In addition to having strong bilateral ties, the Kingdom has frequently assisted Pakistan in times of economic trouble.
Riyadh contributed $2 billion to the State Bank of Pakistan (SBP) in June of last year in order to assist Pakistan in obtaining a $3 billion IMF bailout. The loan saved the nation from defaulting on its sovereign debt.
