Trade exchange between Saudi Arabia and Pakistan rose 31 percent to SR 18 billion in 2011 compared to the previous year, Commerce and Industry Minister Tawfiq Al-Rabiah announced yesterday.
Addressing the Saudi-Pakistani Joint Commission, he expressed his optimism that the meeting would boost commercial and economic relations between the two OIC countries. He urged Saudi and Pakistani businessmen and women to make use of the huge investment opportunities in both countries.
"We have to work together to mobilize our untapped potentials in various sectors including trade, investment and information technology for the welfare and progress of people in our countries," the Saudi minister said.
He said Saudi and Pakistan businessmen could play a big role in accelerating the economic progress of their countries by entering into joint ventures in vital sectors, making use of incentives offered by governments.
Al-Rabiah underscored the deep-rooted relations between Saudi Arabia and Pakistan and thanked Islamabad for hosting the commission's 9th meeting. Pakistan's Commerce Minister Amin Fahim led his country's delegation during the talks.
Al-Rabiah commended the contribution of more than a million Pakistani expatriate workers to the Kingdom's development. "We receive about 200,000 Haj pilgrims and 500,000 Umrah pilgrims from Pakistan every year."
The Saudi minister arrived here last night at the head of a large business delegation. During the commission meeting, Pakistan will seek Saudi support to finalize Pak-Gulf Cooperation Council negotiations on free trade agreement and investments in various sectors.
According to informed sources, the two sides would take up issues ranging from trade to investment and cooperation in energy during the two-day Islamabad talks.
The discussions will also cover cooperation in banking, industry, investment, power sector, energy, petroleum products and infrastructure, one source said.
Pakistan and Saudi Arabia enjoy excellent relations. The close geographical proximity, historic trade ties, religious affinity and the complementary nature of economic needs have created a strong bondage of trust between the two countries. In addition, there is a convergence of views and interests of the two countries on most of the regional and international issues. In the trade sector, Pakistan and Saudi Arabia maintain good relations that are improving with the passage of time. The Kingdom is among the top 15 major export destinations of Pakistan. Saudi-Pak annual bilateral trade stands at nearly $ 5 billion. Major items of exports from Pakistan to Saudi Arabia include raw cotton, cotton yarn, cotton cloth, readymade garments, bed linen, towels, tents and canvas, art silk and synthetic textiles, leather garments, furniture, carpets and rugs, footwear, sports goods and surgical goods, rice, fish, fruits, vegetables, spices, biscuits, jams, and juices.
Pakistan imports petroleum from Saudi Arabia. Other imports from Saudi Arabia include petrochemicals, organic chemical products, plastic and plastic products, fertilizers, steel products, electrical equipment and materials, raw skins, tanned leather, boilers and heavy equipment, copper and copper products, aluminum and aluminum products, chemicals (in-organic), components, precious metals, steel castings, tractors and other floor coverings of man-made fibers, various chemical products, rubber and rubber products.
There are more than 350 Pakistani investors in the Kingdom who have obtained licenses from Saudi Arabian General Investment Authority (SAGIA) and have established companies in various fields of construction and services.
Major joint venture investments both in Saudi Arabia and Pakistan include companies like HUBCO, Pak Electron, Attock Cement, National Tiles and Ceramics, Saudi-Pak Industrial and Agricultural Investment Company, Prime Commercial Bank, Falcon Cement, Attock Oil Refinery, Pak-Arab Refinery, Pakistan Cables Limited, Faisal Islamic Bank, Sanaullah Woolen Mills, Al-Dahlawi Sana Co. for manufacturing Surgical Strings, National Fabric Products Factory, United Spinning & Textile Factories Co., Al-Olyan Descon Engineering Co.
Kingdom-Pakistan trade surged to SR 18 bn in 2011
Kingdom-Pakistan trade surged to SR 18 bn in 2011
Kuwait to boost Islamic finance with sukuk regulation
- The move supports sustainable financing and is part of Kuwait’s efforts to diversify its oil-dependent economy
RIYADH: Kuwait is planning to introduce legislation to regulate the issuance of sukuk, or Islamic bonds, both domestically and internationally, as part of efforts to support more sustainable financing for the oil-rich Gulf nation, Prime Minister Sheikh Ahmad Abdullah Al-Ahmad Al-Sabah said on Wednesday.
Speaking at the World Governments Summit in Dubai, Al-Sabah highlighted that Kuwait is exploring a variety of debt instruments to diversify its economy. The country has been implementing fiscal reforms aimed at stimulating growth and controlling its budget deficit amid persistently low oil prices. Hydrocarbons continue to dominate Kuwait’s revenue stream, accounting for nearly 90 percent of government income in 2024.
The Gulf Cooperation Council’s debt capital market is projected to exceed $1.25 trillion by 2026, driven by project funding and government initiatives, representing a 13.6 percent expansion, according to Fitch Ratings.
The region is expected to remain one of the largest sources of US dollar-denominated debt and sukuk issuance among emerging markets. Fitch also noted that cross-sector economic diversification, refinancing needs, and deficit funding are key factors behind this growth.
“We are about to approve the first legislation regulating issuance of government sukuk locally and internationally, in accordance with Islamic laws,” Al-Sabah said.
“This enables us to deal with financial challenges flexibly and responsibly, and to plan for medium and long-term finances.”
Kuwait returned to global debt markets last year with strong results, raising $11.25 billion through a three-part bond sale — the country’s first US dollar issuance since 2017 — drawing substantial investor demand. In March, a new public debt law raised the borrowing ceiling to 30 billion dinars ($98 billion) from 10 billion dinars, enabling longer-term borrowing.
The Gulf’s debt capital markets, which totaled $1.1 trillion at the end of the third quarter of 2025, have evolved from primarily sovereign funding tools into increasingly sophisticated instruments serving governments, banks, and corporates alike. As diversification efforts accelerate and refinancing cycles intensify, regional issuers have become regular participants in global debt markets, reinforcing the GCC’s role in emerging-market capital flows.
In 2025, GCC countries accounted for 35 percent of all emerging-market US dollar debt issuance, excluding China, with growth in US dollar sukuk issuance notably outpacing conventional bonds. The region’s total outstanding debt capital markets grew more than 14 percent year on year, reaching $1.1 trillion.
