The United Arab Emirates (UAE), a land of towering skyscrapers, vibrant culture, and endless opportunities, continues to strengthen its economic ties with Pakistan. Known for its ambitious vision and global appeal, the UAE is more than just a hub of luxury and innovation—it is a gateway to the world for businesses and investors alike. As Pakistan and the UAE deepen their partnership, new doors are opening for trade, investment, and collaboration in key sectors.
From the bustling metropolis of Dubai to the cultural heart of Abu Dhabi, the UAE stands as a testament to human ingenuity and determination. With a diversified economy that extends beyond oil, the country has established itself as a global leader in finance, logistics, technology, and tourism. Against this backdrop, Pakistan is emerging as a key partner, with both nations working together to unlock economic potential and foster sustainable growth.
Growing Economic Collaboration Between Pakistan and the UAE
Pakistan’s Ambassador to the UAE, Faisal Niaz Tirmizi, has reaffirmed the commitment of both nations to expanding trade and investment. The UAE remains Pakistan’s largest trading partner in the Middle East and its third-largest globally, highlighting the depth of economic integration. The two countries have been focusing on diversifying their trade avenues, strengthening cooperation in critical industries, and leveraging their strategic complementarities to unlock new business opportunities.
Tirmizi noted that multiple agreements have been signed recently to enhance cooperation in banking, mining, infrastructure development, and railways. Several new Memoranda of Understanding (MoUs) are currently in the pipeline, aiming to deepen collaboration in emerging sectors such as food security, artificial intelligence (AI), tourism, and culture. These efforts reflect the commitment of both nations to fostering innovation-driven partnerships and tapping into new markets.
High-Level Visits Reinforce Strong Bilateral Relations
A series of high-level visits in recent months have further cemented the economic and diplomatic ties between Pakistan and the UAE. Prime Minister Shehbaz Sharif’s participation in the World Governments Summit in February 2025 was a significant step in advancing economic cooperation. This was followed by the visit of Sheikh Khaled bin Mohamed Al Nahyan, Crown Prince of Abu Dhabi, who led a high-profile delegation to Pakistan.
These visits have resulted in tangible progress, with bilateral trade growing by 28 percent during the first eight months of the current financial year compared to the same period last year. This growth highlights the increasing collaboration in infrastructure development, mining technology, banking, and financial services.
During Sheikh Khaled bin Mohamed bin Zayed Al Nahyan’s visit on February 27, 2025, several MoUs were signed to strengthen cooperation in banking, mining, infrastructure development, and railways. This builds on an earlier milestone from November 8, 2024, when Abu Dhabi Ports Group signed agreements with Pakistan’s Ministries of Maritime Affairs, Aviation, Railways, and the Federal Board of Revenue. These agreements are set to enhance customs operations, rail connectivity, airport infrastructure, maritime shipping, and logistics, boosting overall trade efficiency.
Advancements in Shipping and Logistics Between Pakistan and the UAE
The shipping and logistics sector has seen a major boost with the launch of the first feeder shipping service between Dubai’s Jebel Ali Port and Karachi by DP World and Pakistan’s National Logistics Corporation (NLC). This service, which began operations in January 2025, has streamlined trade and cargo movement between the two nations, reducing transit times and improving supply chain efficiencies.
Both Pakistan and the UAE are leveraging their strategic locations as key regional trade hubs. With enhanced port connectivity and improved logistics infrastructure, businesses from both countries are poised to benefit from smoother trade operations and increased export potential.
Key Sectors Driving Economic Growth and Investment
Several sectors have emerged as high-potential industries for boosting trade and investment between Pakistan and the UAE. One of the most significant areas is banking and financial services, where both countries are expanding collaboration in fintech, Islamic banking, and investment financing. The UAE’s advanced financial ecosystem provides a strong platform for Pakistan’s banking institutions to integrate with global markets.
Mining is another area of focus, given Pakistan’s vast untapped mineral resources. Recent agreements aim to facilitate investment in exploration and development, bringing new technologies and expertise to Pakistan’s mining sector.
Healthcare is also a growing sector of interest, with potential collaborations in hospital management, pharmaceuticals, and medical tourism. Pakistan’s well-established pharmaceutical industry can contribute to the UAE’s healthcare sector, while joint ventures in hospital management could improve medical services in both countries.
Infrastructure development, particularly in railways and aviation, remains a priority. Ongoing projects aim to enhance operational efficiencies and connectivity, benefiting trade, tourism, and passenger movement between the two nations.
The Vital Role of Overseas Pakistanis in Economic Growth
The Pakistani expatriate community in the UAE plays a crucial role in supporting Pakistan’s economy. Last year, remittances from Pakistani workers in the UAE exceeded $5 billion, and this figure is expected to reach $6 billion in the coming year. To encourage the use of official remittance channels, the Pakistani Missions in the UAE, in collaboration with the State Bank of Pakistan, National Bank of Pakistan, and exchange companies, conduct regular awareness sessions.
The government has also introduced the Sohni Dharti Remittance Programme, a loyalty initiative that offers incentives such as duty payments, fee waivers for passport and NICOP renewals, school fee payments at OPF schools, and discounts on PIA air tickets. These measures aim to further increase remittance inflows while benefiting overseas Pakistanis.
The introduction of the Roshan Pension Plan (RPP) has also provided overseas Pakistanis with a structured retirement savings scheme. Managed by the State Bank of Pakistan in collaboration with Roshan Digital Account (RDA) banks, the RPP offers various investment options, including equity-based, debt-based, and money market-based funds. With benefits such as insurance coverage and tax incentives, the RPP ensures financial security for overseas Pakistanis in their later years.
Roshan Digital Account Enhances Investment and Remittance Flows
The Roshan Digital Account (RDA) has proven to be a transformative initiative, simplifying remittance flows and boosting Pakistan’s economy. Pakistan has received the highest inflows from the UAE under this program, demonstrating its success in attracting overseas investment.
To enhance its appeal further, the State Bank of Pakistan is considering additional features such as National Savings plans and prize bonds, which are highly trusted by overseas Pakistanis. These additions would provide more investment options and strengthen the RDA’s value proposition for expatriates.
Addressing Visa Challenges and Expanding Employment Opportunities
Despite strong economic ties, some Pakistani expatriates face visa-related challenges in the UAE. The country remains a top destination for expatriate workers, tourists, and investors, thanks to its diversified economy. However, to address visa-related issues, the Government of Pakistan is working on governance reforms and human resource development initiatives.
With the UAE’s growing demand for skilled professionals in emerging sectors such as information technology, healthcare, renewable energy, and financial services, Pakistan is optimistic about improved visa facilitation in the near future. These initiatives will help skilled Pakistani workers integrate more effectively into the UAE job market.
Improved Consular Services for Pakistani Citizens in the UAE
The Pakistani Embassy and Consulate in the UAE have implemented several new initiatives to improve consular services for citizens. A token system has been introduced to streamline document submissions and collections, reducing wait times. A dedicated WhatsApp helpline has also been established to address consular inquiries promptly.
Infrastructure upgrades at the consular hall have enhanced the visitor experience, while the National Database and Registration Authority (NADRA) has launched an online appointment system to further reduce waiting times. The passport section now operates under a one-window system, with home delivery services available. Document attestation processes have been improved, with most documents now being delivered within an hour on the same day.
Guidelines for Pakistanis Planning to Visit the UAE
Ambassador Tirmizi has advised Pakistanis to conduct thorough research before visiting the UAE, whether for employment, business, or tourism. Job seekers should familiarize themselves with market trends, skill requirements, and employer verification processes to avoid fraudulent job offers.
Understanding UAE labor, immigration, and business laws is also essential, along with awareness of cyber laws and social media regulations to prevent unintended legal violations. To assist expatriates and visitors, the embassy has developed a comprehensive 14-minute tutorial video that provides essential information, including important dos and don’ts.
As Pakistan and the UAE continue to strengthen their partnership, these developments highlight the shared commitment to fostering economic growth, enhancing trade opportunities, and improving services for overseas Pakistanis. With sustained collaboration and strategic initiatives, both countries are poised for a future of mutual prosperity and progress.
