Pakistan, Jordan move toward preferential trade pact

February 06, 2026 (MLN): Pakistan and Jordan have agreed to begin consultations on a preferential trade agreement (PTA) and expand bilateral cooperation across 16 priority sectors, a move aimed at improving market access and translating long-standing diplomatic ties into concrete economic outcomes.

The agreement was formalized during the 10th session of the Pakistan–Jordan Joint Ministerial Commission (JMC) held in Islamabad on February 4–5, where both sides signed a protocol outlining sector-specific cooperation and follow-up mechanisms, according to the press release.

The session was co-chaired by Pakistan’s Minister for Commerce Jam Kamal Khan and Jordan’s Minister of Industry, Trade and Supply Yarub Qudah, marked the first JMC meeting between the two countries in several years under a framework established in 1975.

As a central outcome, both countries decided to initiate PTA consultations to reduce trade barriers and enhance bilateral trade flows, which currently remain modest relative to potential.

A Joint Working Group on Trade and Investment will steer the process, while efforts will also be made to revive the Pakistan Jordan Business Council to strengthen private-sector and business-to-business engagement.

Beyond trade liberalization, the protocol covers cooperation in banking and finance, including coordination between the two countries’ central banks, as well as industry, agriculture, halal standards, education, skills development, healthcare, energy, mining, climate change, maritime affairs, media, culture and tourism.

The Commission also took note of a separate MoU on Information Technology and Telecommunications, aimed at facilitating collaboration in digital services and technology development.

Secretary of the Ministry of Economic Affairs Muhammad Humair Karim Kidwai emphasized the need for structured follow-up to ensure implementation of the agreed measures, showing a broader focus on execution rather than declarations.

Both sides agreed to hold the Joint Ministerial Commission on a regular basis, positioning it as the primary institutional platform to deepen Pakistan Jordan economic cooperation, diversify trade, and support investment-led engagement across multiple sectors.

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