Islamabad, The Islamic Republic of Pakistan and the Government of Dubai have taken a significant step towards enhancing their bilateral relations, particularly in the marine and logistics sectors. This development was formalized through a pivotal Inter-Governmental Framework Agreement signed at the World Economic Forum in Davos, Switzerland.
According to Press Information Department, the agreement was inked by H.E. Shahid Ashraf Tarar, Federal Minister of Communications, Railways, and Maritime Affairs for Pakistan, and H.E. Sultan Ahmed bin Sulayem, Chairman of Ports, Customs and Free Zone Corporation (PCFC), Government of Dubai. The ceremony was attended by dignitaries and industry leaders, signaling a major commitment to collaboration between the two governments.
This historic accord paves the way for collaborative initiatives such as the exploration of a Dedicated Freight Corridor and the establishment of an Economic Zone near Karachi. DP World, nominated by the Dubai Government, and the Port Qasim Authority, representing the Pakistani Government, are set to play key roles in these projects. The agreement includes the significant undertaking of dredging the navigation channel at Port Qasim to enhance maritime infrastructure. Additionally, an economic zone will be established at Port Qasim, with DP World leading its development, aiming to attract over US$3 billion in foreign direct investment.
Port Qasim, operational since 1980, is Pakistan’s primary energy hub and the only LNG Port in the country. It boasts 18 berths and an annual handling capacity of 89 million tons. The port’s strategic location and advanced terminals facilitate trade routes to Afghanistan, Central Asian Republics, and the CPEC routes.
Speaking at the signing, H.E. Sultan Ahmed bin Sulayem expressed enthusiasm about Pakistan’s economic growth and its significance as a trade corridor to Central Asia. He commended DP World’s commitment to enhancing Pakistan’s trading capabilities and its collaboration with government organizations to develop new freight systems and enhance port connectivity.
H.E. Shahid Ashraf Tarar emphasized the strategic importance of Pakistan as a gateway to Asia and highlighted the deepening economic cooperation between the two nations. The Investment Framework Agreements represent a major step forward in regional economic integration and underscore both governments’ commitment to mutual growth and prosperity.