Pakistani FM concludes Iraq visit with agreement to strengthen ties in agriculture, water, ports

Pakistani foreign minister Bilawal Bhutto-Zardari (left) meets Dr. Abdul Latif Jamal President of Iraq, in Baghdad, Iraq on June 5, 2023. (Photo courtesy: @BBhuttoZardari/twitter)
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Updated 08 June 2023
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Pakistani FM concludes Iraq visit with agreement to strengthen ties in agriculture, water, ports

  • Relations between the two countries have received a boost with a number of ministerial-level exchanges in recent years
  • The two sides set up Pak-Iraq Business Council to provide a structured platform to businessmen and investors for cooperation

ISLAMABAD: Pakistan and Iraq agreed to strengthen bilateral cooperation in multiple areas during foreign minister Bilawal Bhutto-Zardari’s three-day official visit to the Arab state, according to a joint statement issued by the two countries on Thursday.

Bhutto-Zardari arrived in Baghdad on Monday morning on a three-day visit which began with meetings with the President of Iraq, Abdul Latif Rashid, Iraqi Prime Minister Mohammed Shia Al Sudani, and Iraqi Foreign Minister Dr. Fuad Hussein.




Pakistani foreign minister Bilawal Bhutto-Zardari and Iraqi foreign minister Dr. Fuad Hussein address a joint press conference in in Baghdad, Iraq on June 6, 2023. 

Relations between Pakistan and Iraq have received a boost with a number of ministerial-level exchanges in recent years. Iraq’s foreign minister visited Islamabad in August last year.

“In the high-level interactions of the Foreign Minister, the two sides agreed to expand bilateral cooperation in diverse areas including Agriculture, Water Management, inclusion of Pakistan in the Iraqi Development Corridor, establishing sister port cities relations between Basra and Karachi, defense production, health, textile, pharmaceutical and supporting Iraq’s efforts in their reconstruction and rehabilitation,” the joint statement, circulated by Pakistan’s foreign office in Islamabad, said.

“Both countries would strive to strengthen and expand the bilateral economic, trade and investment ties in the traditional and non-traditional sectors, including by exploiting the existing complementarities and opportunities,” it continued.

The two sides agreed to promote parliamentary diplomacy through the exchange of visits and regular contacts among people’s representatives.

The foreign minister’s Iraq visit also opened up space for greater collaboration between the business communities of the two states.

The two sides welcomed memorandum of understanding signed between the Federation of Pakistan Chambers of Commerce and Industry and Iraq Chamber of Commerce to build a robust economic partnership.




Pakistani foreign minister Bilawal Bhutto-Zardari attends the memorandum of understanding signing ceremony between the Federation of Pakistan Chambers of Commerce and Industry and Iraq Chamber of Commerce in Iraq on June 6, 2023. (Photo courtesy: @ForeignOfficePk/twitter)

“First edition of Pakistan Iraq Business Forum was organized in Baghdad on 5 June 2023 during the visit which was very well attended and afforded a good opportunity of engagement for the businessmen and investors from both sides,” said the statement. “Both sides also witnessed the announcement of creation of Pak-Iraq Business Council which would provide a structured platform for the businessmen and investors from both countries to develop proper business to business linkages and networking for enhancement of bilateral trade ties.”

Recognizing the huge tourism potential in both countries, Pakistan and Iraq decided to strengthen bilateral cooperation in the fields of religious tourism and hospitality.




Pakistani foreign minister Bilawal Bhutto-Zardari meets Governor of Karbala, Nassif Al-Khattabi on his visit to Iraq on June 7, 2023. (Photo courtesy: @ForeignOfficePk/twitter)

“The Foreign Minister underscored the vital importance of a flexible visa regime for the Zaireen [pilgrims] and the businessmen,” said the statement. “The Iraqi side assured of their full support and extending flexible visa regime. The MoU in this regard is scheduled to be signed during the forthcoming visit of Iraqi Interior Minister to Pakistan.”

Bhutto-Zardari concluded his visit by extending invitations to the Iraqi president, prime minister and other officials to Pakistan.




Pakistani foreign minister Bilawal Bhutto-Zardari and Iraqi foreign minister Dr. Fuad Hussein jointly performed the groundbreaking of the new Pakistan Embassy complex in Iraq on June 6, 2023. (Photo courtesy: @ForeignOfficePk/twitter)

The Iraqi leaders also agreed to visit the South Asian country on mutually convenient dates determined through diplomatic channels.

 


Pakistan PM calls PIA privatization ‘vote of confidence’ as government pushes reforms

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Pakistan PM calls PIA privatization ‘vote of confidence’ as government pushes reforms

  • The loss-making national flag carrier was sold to a Pakistani consortium for $482 million after two failed attempts
  • Finance minister vows to continue economic reforms, engage international partners through trade and investment

KARACHI: Prime Minister Shehbaz Sharif said on Tuesday the privatization of state-owned Pakistan International Airlines marked a “vote of confidence” in the country’s economy, as the government presses ahead with structural reforms aimed at easing pressure on public finances and attracting investment.

The sale of the loss-making national carrier by a Pakistani consortium, which secured a 75 percent stake for Rs135 billion ($482 million), follows two previous attempts to privatize PIA. The development comes as Pakistan seeks to build on macroeconomic stabilization after a prolonged balance-of-payments crisis, with authorities trying to shift the economy toward export-led growth and policy continuity.

“It was our firm commitment to the people of Pakistan that speedy and concrete steps would be taken to privatize loss-making state-owned enterprises that have been a burden on the economy,” Sharif said in a post on X. “The successful completion of the transparent and highly competitive bidding process for the privatization of PIA marks an important milestone in fulfilling that commitment.”

“The strong participation of our leading business groups and some of Pakistan’s most seasoned and respected investors is a powerful vote of confidence in our economy and its future,” he added.

https://x.com/cmshehbaz/status/2003498418984128908?s=46&t=SApcAZAv0zK56lMSgiF_fg

The government has made privatization of state-owned enterprises a key pillar of its reform agenda, alongside changes to taxation, energy pricing and trade policy, as it seeks to stabilize the economy and restore investor confidence.

Meanwhile, Finance Minister Muhammad Aurangzeb told an international news outlet Pakistan had reached a critical turning point, with macroeconomic stability and sustained reforms helping shift the economy from stabilization toward growth.

“Macroeconomic stability, sustained reforms and policy continuity are restoring confidence, shifting the economy from stabilization to export-led growth,” he said in an interview with USA Today, according to a statement issued by the finance ministry, adding that the government was opening new opportunities for domestic and global investors.

Aurangzeb said inflation had eased sharply, external balances had improved and foreign exchange reserves had risen above $14.5 billion, while Pakistan had recorded both a primary fiscal surplus and a current account surplus for the first time in several years.

The finance minister noted that economic growth remained insufficient to meet the needs of a fast-growing population, pointing out the importance of continuing structural reforms and encouraging investment in sectors such as agriculture, minerals, information technology and climate resilience.

Despite ongoing risks from global commodity prices, debt pressures and political uncertainty, Aurangzeb said the government remained committed to staying the reform course and engaging international partners through trade and investment.