According Pakistani reports, Saudi Arabia has extended an invitation to Prime Minister Shehbaz Sharif to perform Umrah because it anticipates that during his visit, he will meet Crown Prince Mohammed bin Salman.
The invitation is extended at a time when Pakistan is in dire need of foreign investment to boost its faltering economy, which has been severely impacted by the depreciation of the currency, ongoing inflation, and historically high interest rates.
The sources claim that once the prime minister’s meeting with the Saudi crown prince, who serves as the de facto ruler of the oil-rich Gulf State, is finalized, he will depart for Saudi Arabia.
The two presidents will discuss a number of these endeavors as talks to formally define several projects for Pakistan are already under way.
According to the sources, a delegation from Barrick Gold recently visited Pakistan and spoke with Shehbaz and other high-ranking officials. As a result, it is anticipated that Saudi Arabia will spend $1 billion in the Reko Diq project in the coming weeks.
50% of Reko Diq is owned by Barrick, with the remaining 50% being jointly held by the province of Balochistan and the Pakistani government.
Chief Executive Officer of Barrick, Mark Bristow, has earlier praised Saudi Arabia’s participation in the billion-dollar Reko Diq project, one of the largest undeveloped ventures with enormous deposits of gold and copper.
In the meantime, Saudi Arabia and Pakistan are already investigating methods to strengthen cooperation in fields other than mining and energy, such as agriculture. It is anticipated that Pakistan will benefit from several development initiatives as a result of the prime minister’s visit.
Any investment from Saudi Arabia will help the country’s stocks and investors’ spirits, as the Pakistan Stock Exchange is once again setting new records following a strong decrease in inflation that reignited expectations for early interest rate reduction.
However, Riyadh, led by Mohammed bin Salman, usually referred to as MBS, has been focusing on economic diversification in an effort to lessen the kingdom’s reliance on fossil fuels and establish itself as a hub for entertainment, sports, and tourism in addition to manufacturing.
As a result, Saudi Arabia is not only drawing in international capital for a variety of industries, but it has also been sending billions of dollars abroad, a move that will strengthen its position as a major player in the world economy.
However, the World Bank noted in a recent report that Pakistan must simultaneously implement reforms and remove obstacles to draw in foreign investment on a consistent and long-term basis by attracting investors in a variety of industries.
