Islamabad, October 6, 2025 — Pakistan and Saudi Arabia are reportedly in advanced discussions to establish a joint economic corridor, modeled on the China–Pakistan Economic Corridor (CPEC), following the recent signing of a defense cooperation agreement between the two countries.
According to diplomatic and government sources, the proposed Pakistan–Saudi Economic Corridor (PSEC) aims to enhance connectivity, trade, and infrastructure development, linking Gwadar Port with key Saudi industrial and investment hubs.
Officials suggest the plan will include energy, logistics, and investment projects, with potential integration into broader regional trade routes. The initiative is being described as a “strategic complement” to Pakistan’s existing partnerships under CPEC, with the goal of deepening economic and defense ties between Islamabad and Riyadh.
The new corridor comes shortly after a bilateral defense pact was finalized, signaling a broader alignment between the two nations across security and economic domains.
Economic experts view the move as part of Saudi Arabia’s effort to expand its Vision 2030 investments into South Asia, while Pakistan hopes the collaboration will bring fresh foreign direct investment (FDI) and strengthen its regional role as a trade hub.
