Pakistan-Saudi Arabia mutual defense pact: News & Discussion

[Tamerlane]

Yes, indeed. The deep state brought him into power by massively rigging the general elections of 2018 and then soon after it started regretting for their own stupidity.

Did they massively rig the elections again to bring the Sharifs and Zardaris to power? Do they regret it?

 

[maxpane]

And the country would be begging even more had the 10 million Pakistanis not been sending the remittance to Pakistan!! The idea of the brain drain is dead brained! Pakistan has too much surplus labor, much like India and most of the poor countries. They are all desperate to 'export' their labor and the destinations are the relatively cash rich western Europe, the GCC Middle East and the Anglos countries.
Also, I don't agree with some here are implying: The expats just send money which is used in real estate investments like worthless projects. That's not what's happening. Money gets sent to families which use that in many ways, including educating their kids and the money gets pumped into different segments of the economy, creating jobs, preventing people from becoming beggars and criminals. Sure, there could be better ways to harness the huge remittance but that has to happen 'organically' and can't happen because the society, on the whole, is not smart enough for that.
But by having more educated people, with fresh ideas which the expats often bring, a smarter next generation gets formed.

Excellent post sir. you have already described a ground reality of Pakistan.
Here we are talking about skilled labour like doctors engineers technicians nurses. its 2025 and gulf is rapidly developing in tech and modern infrastructure. By sending people they not only support families but also upgrade their skills which makes them relevent in near future. Its KSA and now we should also consider their vision 2030. To sum up what i want to say that people not only serve gul countries but also upgrade their skills as gulf is adopting modern innovation and that would have trickle down effect in the families of overseaes Pakistan in thinkng in education etc.
if we are taling about land ,ab zamindari main thainga bhi nahn bachta.People are not interested in buying land and doing agriculture .

That would also have some impact on government . its slow proceelss.

Thanks for you excellent analysis.

 

[ghazi52]

Saudi Arabia defence pact could open new doors for Pakistan’s economy​

There is a huge potential to boost exports, including IT, textile, rice, seafood and leather goods

Gohar Ali Khan
September 22, 2025




KARACHI: The signing of the Strategic Mutual Defense Agreement (SMDA) between Saudi Arabia and Pakistan has opened a new chapter in bilateral relations on various fronts, experts say.

There is much potential to boost investment and explore joint ventures, foreign direct investment, oil & gas energy cooperation and IT exports, according to economic nationalists and strategists.

Talking to Business Recorder, they said it is expected that Pakistan’s textile, pharmaceutical, rice, sea food, meat, edible fruits and vegetable, dairy products, leather goods and information technology all have the potential to be exported to Saudi Arabia, which can be further developed after this defense pact.

They stressed that there is an urgent need to further deepen compliance of standards, and deal with a lack of information and lack of commercial activities between the countries.

Moreover, there is a need to negotiate trade impediments related to compliance, standardization, sanitary and phytosanitary standards (SPS), technical requirements, conformity assessment and rules of certificates of origins for enhancement of Pakistan’s exports to Saudi Arabia.

Saudi policy makers should also chalk out a comprehensive strategy for mutual recognition of standards for exports of surgical instruments, food items and pharmaceutical goods as there is a huge demand for these products in Saudi Arabia, they said.

Pakistan’s macro-economy

Speaking about the defence pact, economic strategist and regional expert Dr Mehmoodul Hassan Khan said: “Hopefully, the enhanced defence ties between the two countries will have positive implications for Pakistan’s macro-economy.“

“Additionally, extension of loans, provision of oil against deferred payments, buying of JF-17 Thunder, greater inflows of foreign direct investments and deeper trade should be expected after this historic defense pact which has become a paradigm shift.”

Moreover, the triangular Pakistan-Saudi-China partnership could be a game changer for the further strategic expansion of the Belt and Road Initiative-China-Pakistan Economic Corridor (BRI-CPEC) supporting agriculture, industrial, energy and space & sciences cooperation in the days to come.”

He also explained that chances of offering fertile land to potential Saudis investors, export of skilled labour and potential food security links, plus worker remittances would give Pakistan a chance to stabilize its economy through jobs, capital, and technology.

The immediate surge in Pakistan’s stock market after the pact reflecting investor confidence is likely to ease the country’s financial burden.

Dr Khan said it appears that the launch of the Saudi Oil Facility (SOF) will support Pakistan’s oil imports, helping to stabilize energy costs amid external financing challenges. This project will strengthen Pakistan’s economic resilience by securing a stable supply of petroleum products while reducing immediate fiscal burdens.

The facility is part of broader financial cooperation between Pakistan and Saudi Arabia, which has already placed $5 billion in deposits with the State Bank of Pakistan (SBP).

Moreover, the Saudi Fund for Development (SFD) has supported more than 40 projects and programmes valued at approximately $1.4 billion to finance energy, water, transportation and infrastructure projects in Pakistan.

 

[ghazi52]

Pakistanis constitute one of the largest migrant communities in Saudi Arabia with an estimated 2.64 million working there as of 2023. While 97 percent of them are blue-collar workers, there is a growing demand for skilled labor in the Kingdom as it seeks to modernize its economy under the Vision 2030 scheme.

Innovative financial payments systems, use of fintech and panda bonds may also be considered to take leverage of the SOF.

What’s more, Saudi Arabia is going to be a technology powerhouse in years to come, and economy analysts and strategists say this augurs well for Pakistan as it plans to expand its digital and economic collaboration with the Kingdom.

Excelling in IT exports

According to the SBP, IT exports rose to $691 million during the period of July to August as compared to $584 million reported in the same period of the last year, while showing a surge of $107 milion year-on-year.

To excel in this space, the government of Pakistan has already concluded an AI policy, national fiberization policy and semiconductor policy contributing their mark Pakistan’s journey towards a tech-driven future.

Moreover, a key achievement is the passing of the Digital Nation Act 2025. Pakistan’s IT sector can earn foreign exchange from Saudi Arabia’s growing tech industry by offering skilled talent, cost-effective solutions, and specialized services through joint ventures and technology transfer agreements, and by participating in various IT expos and other bilateral forums to foster long-term business partnerships and investments.

Pakistan’s IT sector should explore opportunities in AI, fintech, cybersecurity, and cloud computing in Saudi’s market offering cutting-edge technology solutions, world-class digital services, and a highly skilled workforce seeking long-term partnerships for shared growth.

 

[ghazi52]

The economic size is growing, and the financial help requirements from friends are growing too. Saudi Arabia has almost always bailed Pakistan out in the past. In the 1990s, a $400 million loan was waived, and we received a free oil facility. In the 2010s, we got a $1.5 billion gift with the expectation to fight against Yemen, which we did not.

Now we have $3 billion in Saudi deposits in the SBP, on which we are paying 4 percent interest, while we cannot use the money. One might imagine that this money will become a gift, and the government may be allowed to use it fiscally. That would be a $3 billion stimulus, but even that might not be enough.

What Pakistan requires is an overall economic overhaul.

 

[maxpane]

cant we develped a specific area of a country for specific industry to get the best out of it. E g in south punjab , we can start a food processing and meat processing industry.its huge industry and gulf market is already there.
As its area is famous for goats and agriculture.
Similarly , Lahore ,islamabad and karachi for IT.
Sialkot for sports
Gujranwala for electric
Balochistan ,KpK should also bi divided for minerals and other sectors.
one area one industry at a time to get the best out of it.

 

[PakAl]

I am talking about ground reality. I don't live in delusions like pak didn't allow NATO to settle in afghanistan hahaha. are you joking? they all left with their own will. Pak didn't force anyone to leave afghanistan. Donald trump is man of words. Few assasinations among top taliban leadership or couple of airstrikes will force taliban to give airbases to united states which uncle sam can use to spy on PAF and to provide intelligence to IDF.United states is superpower and daddy of all countries including Pakistan so please stop this assumption that pak didn't allow this, that.

I don't believe they will allow it, unless Taliban is targeted and made weaker, then Usa can just overtake it. This is the reason ISIS and its ideology is being funded in Afghanistan by foreign agencies/nations, their literature, media is being spread to hardline the followers. Taliban responded by banning ISIS ideology, the literature, gatherings etc. This is same ISIS which was funded and given weapons in Syria but ofcourse petrodollars blind many people. Another point is Taliban maintains big connections in Pakistan, via the 40 years link to many organisations.

 

[A1Kaid]

MBS and his business delegation team are expected to visit Pakistan soon. I think we will hear more about investment plans then.

 

[arsalan345]

Duh, the US and NATO blamed Pakistan for two decades for all the instability in Afghanistan through the Afghan Taliban which made it unfeasible for NATO in Afghanistan any longer.

Don't you remember?


The Taliban fought the Americans and whole of NATO for two decades.


Isn't that what they were doing between 2001-2021?

Can't the US do that from Qatar?

Does the US not have a satellite network that can cover Pakistan and the movements of military assets in Pakistan.


I think he's definitely your "daddy" by the sound of it. (Bloody darpoke).

I think americans left after 21 years and i don't remember when NATO withdrawal happened. So are you saying we took 15 to 20 years for them to fail in afghanistan? haha it's laughable. no offense. United states is powerful like a daddy that can beat anyone in the family haha. It's united states and it's allies that we ae talking about and not russia or ukraine.

Why trump is desparate for bagram? one day, he urged them, next day he threatened talibans. They need bagram to shoot down our missiles heading towards israel or to keep a check on paf and to alert IDF about pakistani involvement in a future war. United states can do anything for israel. it can attack pakistan just for israel. wake up man!

 

[RajaBaja]

Are you for real raja ?.....on the one hand you are going gaga about the accomplishments of the present setup and then you are portraying them as dummies who will let the Americans takeover Bagram and keep Pakistan under check....get it in your head sir , we have been playing balls with the Americans for more than 60 years. . we never let the Americans play foul with us and get away without paying the penalty.

I don't think you understood my post. My post has no relation to the Pakistani setup. I am just stating a fact or a few facts based on the little I know:

- The US wants the Bagram airbase. Like I said before, it's finalized from their side. The base will be taken at whatever cost that Americans will need to pay. I don't control the US military obviously, so I'm just stating what they are wanting to get done here.

- They can't sit at the Bagram base and eat Ice Cream. It's really a huge battle management complex so we'll call it a complex. So they will perform their operations like before. They aren't going to war with Pakistan or China, so they will continue to use sensors, generate data and report back to Washington on whatever their orders are.

It's really an Afghan-America issue. We or the Chinese or the Russians will just be spied on per their missions.

Bro, people are asking "intelligent" questions but you keep providing foolish answers.

Everything you say sounds like a conspiracy theory.

Again, why does the US need the Bagram airbase to spy on Pakistan?

Does the US currently not have the ability to spy on Pakistan from the Indian ocean, Qatar and space?

If you and the darpoke @arsalan345 believe that the US and Zion are too powerful for Afghans, what makes you think Pakistan can ignore their request to station their assets at the Shamsi airbase, if that were the case?

Which YouTube channel do you guys learn these conspiracy theories from? It's very childish but I am interested.

That's really a question to ask "how can Israel get data from Bagram airbase"?

Secondly, I've not ordered my personal "Raja military" to take over Bagram (if I really had my own military ).

The Americans are doing it. So instead of shi8ing over the topic. If you don't like world events and what's going on, well ignore the post and move on. You don't need to engage me and ask dumb questions and accuse me of starting global conspiracy theories!

I'm no Trump in disguise here. So just do your thing and avoid starting sh8 fest.

 

[Dalit]

But you must give Indians credit, they convinced Americans that they will eventually become their strategic partners. Just take 4 million Indians and have $230bn annual deficit with us. Along with shifting all your supply chain to India. Like someone said must one sided partnership in history of USA.

Damned. These Indians absolutely did an Italian job. The heist of the century. How the Americans fell for it is beyond comprehension. Zero China containment in the end. On the contrary, India has today moved more towards Russia and China.

 

[arsalan345]

I don't believe they will allow it, unless Taliban is targeted and made weaker, then Usa can just overtake it. This is the reason ISIS and its ideology is being funded in Afghanistan by foreign agencies/nations, their literature, media is being spread to hardline the followers. Taliban responded by banning ISIS ideology, the literature, gatherings etc. This is same ISIS which was funded and given weapons in Syria but ofcourse petrodollars blind many people. Another point is Taliban maintains big connections in Pakistan, via the 40 years link to many organisations.

our current problem is not only talibans but groups that they control. Talibans need cash. United states will give them money so that they can fund ttp etc. in return, united states will build pressure on pakistan. PAF will not be allowed to become regional power. If we fire projectiles towards israel, they will intercept them midway. They want it for the protection of israel so that israel can attack arabs freely. United States is a christian country but controlled by jews.

 

[Oscar]

And the country would be begging even more had the 10 million Pakistanis not been sending the remittance to Pakistan!! The idea of the brain drain is dead brained! Pakistan has too much surplus labor, much like India and most of the poor countries. They are all desperate to 'export' their labor and the destinations are the relatively cash rich western Europe, the GCC Middle East and the Anglos countries.
Also, I don't agree with some here are implying: The expats just send money which is used in real estate investments like worthless projects. That's not what's happening. Money gets sent to families which use that in many ways, including educating their kids and the money gets pumped into different segments of the economy, creating jobs, preventing people from becoming beggars and criminals. Sure, there could be better ways to harness the huge remittance but that has to happen 'organically' and can't happen because the society, on the whole, is not smart enough for that.
But by having more educated people, with fresh ideas which the expats often bring, a smarter next generation gets formed.

You mistaking brawn movement to brain drain.

Brain drain is real - when you have a smart person leave Pakistan it is a flawed assumption somehow that another smart person is ready to take their place.

A smart person creates more smart people through mentoring and interaction. When that is removed there is no guarantee that the next generation will be smarter nor that more of them will happen because of this remittance.

If anything, the ONLY way to create smarter people is Pakistan is to keep existing top performers in with better pay and a stable economy, bring in additional smart people from other places to teach in guest lectures and then enable smart people to innovate.

The military-industrialist-feudal complex DOES EVERYTHING POSSIBLE to prevent this in their unofficial alignment of personal interests.

The only thing they enable is real estate and that is all they will ever understand or be capable of.

All other positive spins are grounded in isolated success which also happens DESPITE of and not because of it.

You just went to PK
Go ask ANY of the kids in universities how they fell
Their lecturers
Go to Daftarkhwan and other co working spaces

Ask the employees there
The owners there about talent

Yes to all the construction , petrol station, factory, maritime, retail, janitorial labor etc Pakistan can export.

But then so can India, Bangladesh, Nepal, Sri Lanka, Philippines, Indonesia , Malaysia etc

 

[mythbuster]

I don't think you understood my post. My post has no relation to the Pakistani setup. I am just stating a fact or a few facts based on the little I know:

- The US wants the Bagram airbase. Like I said before, it's finalized from their side. The base will be taken at whatever cost that Americans will need to pay. I don't control the US military obviously, so I'm just stating what they are wanting to get done here.

- They can't sit at the Bagram base and eat Ice Cream. It's really a huge battle management complex so we'll call it a complex. So they will perform their operations like before. They aren't going to war with Pakistan or China, so they will continue to use sensors, generate data and report back to Washington on whatever their orders are.

It's really an Afghan-America issue. We or the Chinese or the Russians will just be spied on per their missions.



That's really a question to ask "how can Israel get data from Bagram airbase"?

Secondly, I am not orders my personal "Raja military" to take over Bagram (if I really had my own military ).

The Americans are doing it. So instead of shi8ing over the topic. If you don't like world events and what's going on, well ignore the post and move on. You don't need to engage me and ask dumb questions and accuse me of started global conspiracy theories!

I'm no Trump in disguise here. So just do your thing and avoid starting sh8 fest.

That's a balloony sir , nothing can happen between Afghanistan and America without the middleman called Pakistan....... what's America offering to Pakistan ?

 

[arsalan345]

Bro, people are asking "intelligent" questions but you keep providing foolish answers.

Everything you say sounds like a conspiracy theory.

Again, why does the US need the Bagram airbase to spy on Pakistan?

Does the US currently not have the ability to spy on Pakistan from the Indian ocean, Qatar and space?

If you and the darpoke @arsalan345 believe that the US and Zion are too powerful for Afghans, what makes you think Pakistan can ignore their request to station their assets at the Shamsi airbase, if that were the case?

Which YouTube channel do you guys learn these conspiracy theories from? It's very childish but I am interested.

Shamsi airbase to provide intel about paf to israel? hahahaha it's funny. They need bagram to keep a close eye on us. you said NATO left because of pakistan hahaha. i mean ask this to any think tank and he will laugh as well. no offense.