September 04, 2023 (MLN): A long-term economic engagement with UAE can greatly benefit Pakistan in coping with the ever-lasting foreign exchange crisis; non-existent economic growth; diversifying exports basket and enhancing workers remittances, Chairman of the Pakistan – UAE Business Council, Fakhruddin Diwan stated.
It is pertinent to note that the volume of bilateral trade between Pakistan and UAE has well-surpassed the psychological mark of $10 billion in FY22 – which makes UAE Pakistan’s largest trading partner in the entire Middle-East & North Africa Region (MENA); which consists of 21 countries.
However, the trade balance is in UAE’s favor by a significant margin.
He stressed the need to engage UAE to invest in Pakistan through joint ventures; industrial collaborations; solar energy projects; corporate farming & food processing; IT & ITeS and petrochemicals.
Fakhruddin Diwan explained that given the world-class and state-of-the-art communications infrastructure of UAE, Pakistan should work towards integrating UAE into CPEC by creating bridges with their ports, shipping, trade, financial, tourism and commercial networks.
Additionally, Pakistan’s worker's remittances from the UAE stand at $6.11bn.
Pair that with the UAE’s numerous loans and grants to shore up Pakistan’s foreign exchange reserves (FER) held by the State Bank of Pakistan during various crunch times over the last 3 decades, and the UAE is effectively one of the most trusted and indispensable economic partners of Pakistan.
Fakhruddin Diwan maintained that the UAE can play the role of a catalyst to help Pakistan sign a free trade agreement (FTA) with GCC countries and it will be a great favor in terms of transforming Pakistan into a self-sufficient country.
