PBF Calls for Economic Dividend from Regional Peace
The Pakistan Business Forum (PBF) has welcomed the recent de-escalation of tensions between Pakistan and Iran, urging that the improved regional environment be translated into tangible economic benefits for the people of both nations. According to PBF Chief Organiser Ahmad Jawad, Pakistan's constructive diplomatic engagement in promoting dialogue and regional stability has created a unique opportunity to reset economic relations with its western neighbour.
Jawad emphasized that political goodwill must now be converted into practical economic cooperation through trade, investment, and energy connectivity. He noted that despite sharing a 900-kilometre border, historical ties, and complementary economies, official bilateral trade between Pakistan and Iran remains close to $2 billion annually—far below its true potential.
Targeting $10 Billion in Bilateral Trade
“There is no reason why Pakistan and Iran cannot increase bilateral trade to US$5 billion within the next few years and ultimately achieve US$10 billion annually through policy reforms, improved border infrastructure, banking arrangements and stronger private-sector collaboration,” Jawad said. He highlighted that Pakistan has significant export opportunities in rice, textiles, fresh fruits, surgical instruments, pharmaceuticals, sports goods, leather products, halal food, cement, engineering goods, and information technology services.
On the other hand, Iran can become an important supplier of natural gas, petrochemicals, fertilisers, chemicals, construction materials, and dry fruits, creating a mutually beneficial trade partnership. The PBF believes that one of the most important confidence-building measures would be to revive discussions on the Iran-Pakistan Gas Pipeline.
Iran-Pakistan Gas Pipeline as Strategic Asset
Jawad stated that the pipeline, designed to deliver up to 750 million cubic feet of natural gas per day, has the potential to help address Pakistan’s long-standing energy shortages, strengthen industrial production, improve electricity generation, support the fertilizer sector, and reduce the cost of doing business. “The future of Pakistan’s economy depends on affordable and reliable energy. Energy security is directly linked with industrial growth, exports, employment and investment. If implemented within an appropriate legal and diplomatic framework, the Iran-Pakistan Gas Pipeline can become a strategic economic asset for Pakistan,” he said.
Proposed Joint Economic Council and Border Upgrades
Jawad further stressed that both countries may establish a Joint Economic Council with strong private-sector representation, modernise border crossings, operationalise additional border markets, improve customs procedures, facilitate business visas, encourage joint ventures, and strengthen transport and logistics connectivity. He also proposed expanding cooperation in agriculture, mining, tourism, renewable energy, digital technology, and manufacturing, saying these sectors can generate employment and enhance regional economic integration.
“Peace should not only be measured by the absence of conflict but by the presence of economic opportunity,” Jawad said. “The people of Pakistan and Iran deserve a future built on trade instead of uncertainty, investment instead of isolation and prosperity instead of missed opportunities.” The PBF urged policymakers to unveil a vision for Pakistan-Iran Economic Cooperation, turning diplomacy into development.
