Pakistan's Economic Gains from US-Iran Agreement
The recent agreement between the US and Iran, facilitated by Pakistan's mediatory role, is expected to have a positive impact on the country's economy. The deal, which includes a waiver on oil sanctions, is likely to increase Pakistan's oil imports from Iran, potentially reducing its reliance on other countries. This, in turn, could lead to lower oil prices for Pakistani consumers and businesses.
The agreement is also expected to boost trade between Pakistan and Iran, with the two countries aiming to increase their bilateral trade volume. According to a report, Pakistan's exports to Iran stood at $315 million in 2020, with the country hoping to increase this figure significantly in the coming years.
The US-Iran agreement is also likely to have a positive impact on Pakistan's ports and shipping industry, with the country's strategic location making it an ideal transit point for trade between Iran and other countries. The Port of Karachi and the Port of Gwadar are expected to see an increase in traffic, with more ships passing through the ports to transport goods to and from Iran.
Additionally, the agreement is expected to attract foreign investment to Pakistan, particularly in the energy and infrastructure sectors. The country's construction industry is also likely to benefit from the increased economic activity, with new projects and developments expected to be announced in the coming months.
The overall economic impact of the US-Iran agreement on Pakistan is expected to be significant, with the country's GDP potentially increasing by a small margin. As the agreement is implemented and trade between the US, Iran, and Pakistan increases, Pakistani businesses are likely to see an increase in demand for their products and services