Pakistan, Saudi Arabia set to sign major economic agreement

Government believes that stronger economic engagement with Saudi Arabia will create new opportunities for growth and stability

Prime Minister Shehbaz Sharif said on Friday that Pakistan and Saudi Arabia are ready to finalize and sign a wide ranging economic agreement under the guidance of Crown Prince Mohammed bin Salman.

The statement came after a phone call between the two leaders. During the conversation, both sides discussed ways to further strengthen economic cooperation and expand bilateral ties. The Prime Minister said the planned economic package will help deepen relations between the two countries and support future development goals.

He added that Pakistan values its strong partnership with Saudi Arabia and looks forward to expanding collaboration in key sectors.

ISLAMABAD: 19 june 2026.

Prime Minister Muhammad Shehbaz Sharif held a telephone conversation with His Royal Highness Crown Prince Mohammed bin Salman bin Abdulaziz Al Saud, of the Kingdom of Saudi Arabia, this evening.

During their warm and cordial conversation, the Prime… pic.twitter.com/Y5IPdhXSuQ

— Prime Minister’s Office (@PakPMO) June 19, 2026

The two leaders also reviewed ongoing regional and international developments during their exchange. According to the official statement, the discussion was warm and focused on mutual interests. The prime minister also congratulated the Saudi crown prince on the signing of the Islamabad Peace Deal, calling it an important step toward regional stability.

Pakistan and Saudi Arabia already share close relations, including cooperation in defence, trade, and investment. Last year, both countries signed the Strategic Mutual Defence Agreement, which states that any attack on one country will be considered an attack on both. This agreement marked a major step in strengthening long-term security ties between the two nations.

Officials said the upcoming economic package is expected to further enhance cooperation in areas such as investment, trade, energy, and development projects. It is also seen as part of broader efforts to support Pakistan’s economy and improve foreign investment inflows.

The government believes that stronger economic engagement with Saudi Arabia will create new opportunities for growth and stability. Both sides are expected to continue discussions in the coming weeks to finalize the details of the agreement before formal signing.