Baku: Azerbaijan has committed to a $2 billion investment in Pakistan, focusing on key sectors such as energy, infrastructure, mining, and defence production. The agreement was finalized during a high-level meeting between Prime Minister Shehbaz Sharif and Azerbaijan’s President Ilham Aliyev in Baku.
As part of the discussions, both leaders expressed their commitment to strengthening economic ties and boosting bilateral trade, which has remained relatively low. President Aliyev noted that Azerbaijan had received concrete project proposals from Pakistan, and both sides aim to finalize agreements by April 2025.
During the visit, an amendment agreement was signed for the Sale and Purchase of LNG cargoes under the Master LNG Sale and Purchase Agreement. Additionally, a strategic deal was inked between Azerbaijan’s State Oil Company (SOCAR) and Pakistan’s Frontier Works Organisation (FWO) and Pakistan State Oil (PSO) for collaboration on the Machike-Thallian-Tarujabba White Oil Pipeline Project.
Speaking at a joint press conference, Prime Minister Shehbaz Sharif emphasized that this investment would mark the first “quantum jump” in Pakistan-Azerbaijan economic relations. He assured that Pakistan would ensure smooth implementation of these projects and that no bureaucratic hurdles would slow down the process.
President Aliyev reaffirmed Azerbaijan’s interest in expanding trade and economic cooperation with Pakistan, particularly in defence production. He highlighted that Azerbaijan had already acquired defence equipment from Pakistan and expressed satisfaction with its quality. Both leaders also explored opportunities for joint manufacturing in the defence sector.
Beyond trade and investment, the two sides discussed regional connectivity and transportation, aiming to strengthen people-to-people ties. The expansion of direct flights between both countries was cited as a key step in promoting regular business and tourism exchanges.
With agreements set to be finalized in April, this multi-sector investment is expected to deepen economic collaboration between Pakistan and Azerbaijan, opening new avenues for trade, energy cooperation, and industrial growth.
Samra Zulfiqar, a real estate analyst at Zameen.com, is passionate about finding projects that offer buyers the best returns. Her keen insights spotlight the market’s most promising opportunities.
