Saudi Arabian and Pakistani investors have launched a joint private equity fund worth several hundred million dollars to strengthen trade and investment ties between the two countries. The fund will direct 75% of its investments towards Pakistan, with the remaining 25% earmarked for projects in Saudi Arabia.
The Saudi-Pakistan Joint Business Council (SPJBC), established by the governments of both countries, announced the initiative on November 9. The fund’s initial size has been described as “multi-hundred million” and could expand as investment opportunities emerge.
Private investors from Saudi Arabia and Pakistan will contribute equally to the fund.
Agriculture, Mining and Infrastructure in Focus
The fund will target high-growth private businesses in agriculture, mining and industrial sectors, including construction. It will also explore commercial opportunities linked to Pakistan’s plan to monetise government-owned land and assets.
Potential projects include airports, motorways, ports and maritime infrastructure. In Saudi Arabia, the fund will explore investment opportunities across different sectors, including projects in Makkah and Madinah.
Major Business Groups Join Initiative
The signing ceremony brought together prominent business and financial sector representatives from both countries.
Pakistan’s participants included Arif Habib, Bank of Punjab President Zafar Masud, HBL President Nassir Saleem, Faysal Bank CEO Yousaf Hussain and representatives of other major business groups.
Saudi Arabia was represented by SPJBC Chairman Prince Mansour bin Mohammed Al Saud and other business leaders.
The memorandum of understanding allows institutions from both countries to participate in the equity of the fund management company.
Regulatory Approvals Pending
The fund’s final structure and first investments will proceed after the necessary regulatory approvals in Pakistan and Saudi Arabia.
The initiative forms part of broader efforts by Islamabad and Riyadh to translate their longstanding political and diplomatic relationship into stronger private-sector partnerships and commercial investments.
