Pakistan eyes major Chinese investment in 10 sectors as agriculture summit opens

Federal Minister for National Food Security and Research Rana Tanveer Hussain addressing the Pakistan–China Investment Conference in Islamabad, on January 19, 2025. (PMO)
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Updated 19 January 2026
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Pakistan eyes major Chinese investment in 10 sectors as agriculture summit opens

  • More than 300 Chinese and Pakistani firms attended the event focusing on fertilizers, seeds, smart farming and irrigation techniques
  • Islamabad expects the conference to lead to investments in agriculture, food processing, livestock, farm machinery and renewable energy

KARACHI: Pakistan is expecting “heavy” Chinese investments across 10 key sectors, including agriculture, renewable energy and technology, the Pakistani food security minister said on Monday, as officials and business leaders from both countries gathered for a major agriculture investment summit in Islamabad.

The Pakistan-China Agriculture Investment Conference was billed by Pakistan as a platform for deepening bilateral agricultural ties and supporting broader economic engagement between the two countries.

Around 120 Chinese companies and over 190 Pakistani firms participated in the event that focused on fertilizers, seed varieties, machinery, precision farming and smart irrigation systems, according to the organizers.

Speaking at the event, National Food Security Minister Rana Tanveer Hussain said the conference’s objective was to project Pakistan as a place where Chinese enterprises could grow, innovate and succeed alongside Pakistani partners.

“Heavy investments worth millions of dollars are expected, with multiple MoUs [memorandums of understanding] likely to be finalized by the end of the day across 10 key sectors, including agriculture, food processing, livestock, fisheries, agri-inputs, farm machinery, renewable energy, logistics, technology and value-added exports,” Hussain said on Monday evening.

Pakistan’s exports to China reached approximately $2.38 billion in Fiscal Year 2024–25 that ended in June, while imports stood at $16.3 billion, reflecting growing demand on both sides despite global economic headwinds, according to the minister.

This performance demonstrated resilience and expanding opportunities under the China–Pakistan Free Trade Agreement (CPFTA) framework.

Hussain said Islamabad was committed to supporting Chinese investors from regulatory processes to seamless coordination with all government departments and institutions.

“Together, Pakistan and China can push the boundaries of innovation, transform agri-technology, strengthen food security and reshape the economic landscape of the region,” he said.

The completion of the China-Pakistan Economic Corridor (CPEC) Phase I and the launch of CPEC Phase II marked a decisive shift toward industrialization, technology transfer, renewable energy and people-centric development, according to Hussain.

Both sides had signed over 40 MoUs in Sept. 2025, covering modern farming, livestock, fisheries, farm mechanization and advanced technology transfer.

“These initiatives are not just projects; they are lifelines of growth, confidence and mutual trust,” he said, adding that they aim to enhance productivity, expand exports, strengthen food security and ensure sustainable and inclusive economic growth.

Pakistan and China have been expanding cooperation in agriculture under the CPEC framework. Officials say stronger agricultural ties could help Pakistan boost exports, ensure food security and create jobs, while offering Chinese companies access to a large farming market and new investment opportunities.

Addressing the conference, Prime Minister Shehbaz Sharif urged Pakistani and Chinese agriculturists and experts to strengthen their existing partnership, saying that their sustained hard work and productivity gains could turn Pakistan into a surplus agricultural economy.

“Chinese experts are there to assist us and support us all the way to achieve this wonderful target [of becoming a surplus agricultural economy],” he said. “Now it’s up to us to generate this trade surplus through higher yields, comparative cost and, of course, highest quality.”

The prime minister noted that Pakistan’s policy rate was down to 10.5 percent down from 22 percent two years ago, exports were gradually increasing and macroeconomic indicators were stable.

“Now we have to move toward growth,” he said. “But then it requires solid, hard work, untiring efforts, blood and sweat. Without that, you will not be able to achieve your targets.”


Pakistan assures US of facilitating foreign investment, increasing business engagement

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Pakistan assures US of facilitating foreign investment, increasing business engagement

  • Finance Minister Muhammad Aurangzeb meets US deputy assistant secretary of South and Central Asian Affairs
  • Both sides discuss Pakistan’s progress in implementing reforms, avenues for increasing economic cooperation

ISLAMABAD: Pakistan’s Finance Minister Muhammad Aurangzeb on Wednesday reaffirmed Islamabad’s commitment to facilitating foreign investment and enhancing engagement with the American business community, the Finance Division said in a statement. 

The statement was issued after Finance Minister Muhammad Aurangzeb met Mark Pommersheim, the US deputy assistant secretary of the Bureau of South and Central Asian Affairs. Pommersheim called on the Pakistani finance minister along with US Chargé d’Affaires Natalie Baker at the Finance Division. 

Both sides discussed Pakistan’s economic outlook, reform agenda and avenues for enhancing bilateral economic cooperation, the statement said. 

“The finance minister reiterated Pakistan’s commitment to facilitating foreign investment and maintaining regular engagement with the US business community, including the US Chamber of Commerce and the American Business Council,” the Finance Division said. 

Aurangzeb informed the US officials about the progress regarding Pakistan’s macroeconomic stabilization reforms. He shared that Pakistan’s fiscal deficit has declined in recent months while the country’s current account has improved due to strong remittance inflows and growth in IT exports.

The finance minister noted that reforms in Pakistan’s state-owned enterprises and “right-sizing” of the public sector are being accelerated to improve efficiency and reduce fiscal risks.

The Finance Division said Pommersheim acknowledged Pakistan’s efforts toward fiscal stabilization, welcoming improvement in key macroeconomic indicators. 

“He emphasized that the United States values a stable and prosperous Pakistan and noted that strengthening the investment climate remains a shared priority,” the statement said. 

“He observed that US businesses are closely watching reform progress and that improved policy consistency would further support commercial engagement.”

Pakistan has sought to re-energize economic diplomacy with Washington as it attempts to enhance its exports, attract foreign investment and stabilize its economy under an International Monetary Fund-backed reform program.

Relations between Pakistan and the US have improved significantly under President Trump’s administration. In July 2025, the two countries agreed to a bilateral trade deal that included reciprocal tariff reductions. 

Since 2025, the two sides have increased diplomatic contacts, including meetings between Prime Minister Shehbaz Sharif, Pakistan’s military leadership and US officials, alongside discussions on trade, minerals, security cooperation and regional stability.