Prime Minister Shehbaz Sharif’s recent state visits to Azerbaijan and Uzbekistan from February 23 to 26, 2025, mark a pivotal moment in Pakistan’s diplomatic engagement with Central Asia. These visits underscore Pakistan’s strategic commitment to deepening ties with the region and expanding cooperation across key sectors, including trade, energy, defense, connectivity, and cultural exchange.
The Significance of Central Asia for Pakistan
Central Asia holds immense strategic and economic significance for Pakistan. Rich in natural resources, particularly energy reserves, the region offers a viable solution to Pakistan’s growing energy demands. Establishing energy corridors with countries like Azerbaijan and Uzbekistan can help Pakistan diversify its energy mix while providing Central Asian nations with access to South Asian markets via Pakistan’s ports of Gwadar and Karachi. This mutually beneficial arrangement strengthens economic interdependence and regional connectivity.
Beyond energy, Central Asia’s collective GDP of over $207 billion and a population of 66 million represent a substantial market for Pakistani exports, including textiles, pharmaceuticals, and agricultural products. Strengthening trade and investment linkages with these countries can foster economic growth, promote stability, and lay the foundation for a regional economic bloc that benefits all stakeholders.
Pakistan’s Commitment to Central Asian Relations
Pakistan has consistently pursued stronger ties with Central Asian states under its “Vision Central Asia” policy, which prioritizes economic integration, trade expansion, defense cooperation, regional connectivity, and people-to-people exchanges. This policy aligns with Pakistan’s broader vision of fostering regional connectivity through projects like the China-Pakistan Economic Corridor (CPEC), which can serve as a conduit for Central Asian trade to global markets.
Key Highlights of PM Shehbaz Sharif’s Visits
Visit to Azerbaijan (February 23-25, 2025):
During his visit to Azerbaijan, Prime Minister Sharif engaged in extensive discussions with President Ilham Aliyev, focusing on trade, investment, energy cooperation, and defense collaboration. A landmark outcome of the visit was Azerbaijan’s pledge to invest $2 billion in Pakistan, reflecting the deep-rooted fraternal ties between the two nations.
Several Memoranda of Understanding (MoUs) were signed, covering areas such as:
Trade and Investment: Encouraging bilateral trade and industrial collaboration.
Energy Cooperation: Facilitating the import of Azerbaijani oil and gas to Pakistan.
Defense Collaboration: Enhancing joint military training and defense production.
Cultural and Educational Exchange: Strengthening people-to-people ties through academic and cultural programs.
Visit to Uzbekistan (February 25-26, 2025)
In Uzbekistan, Prime Minister Sharif was warmly received by President Shavkat Mirziyoyev at the Tashkent Congress Centre. The two leaders engaged in high-level talks aimed at boosting trade, connectivity, and economic collaboration.
Key agreements signed during the visit included:
Trade Facilitation: Reduction of tariffs and removal of trade barriers.
Transportation and Connectivity: Development of road and rail links between Pakistan and Uzbekistan.
Scientific and Technological Cooperation: Joint research initiatives in AI, science, and technology.
Education and Culture: Student exchange programs and language training initiatives.
Strengthening Bilateral Relations and Economic Integration
The agreements signed during these visits are expected to significantly strengthen Pakistan’s relations with Azerbaijan and Uzbekistan. The $2 billion investment from Azerbaijan is a crucial step toward deepening trade and economic ties, while agreements with Uzbekistan pave the way for expanded cooperation in multiple sectors.
These initiatives will not only enhance bilateral trade but also contribute to regional economic integration. Pakistan’s strategic location offers landlocked Central Asian states access to the Arabian Sea, enabling them to expand their trade footprint beyond their immediate neighborhood.
Expanding Trade and Investment Horizons
The recently signed MoUs and trade agreements are expected to bolster economic activities between Pakistan and Central Asia. Particular focus areas include:
Energy Sector: Pakistan seeks to benefit from Azerbaijan’s and Uzbekistan’s vast energy resources. The agreements aim to facilitate Pakistan’s imports of oil, gas, and electricity.
Agriculture: Central Asia’s expertise in agricultural technology can help modernize Pakistan’s farming sector, improving productivity and food security.
Industrial Cooperation: Joint ventures in textile manufacturing, mining, and pharmaceuticals are being explored to increase industrial collaboration.
Financial Integration: Establishing banking channels to ease trade transactions and facilitate investments in key sectors.
Diversifying trade partners and expanding economic collaboration with Central Asian states will reduce Pakistan’s dependence on traditional markets, strengthen economic resilience, and create job opportunities.
Broader Areas of Cooperation
Pakistan’s engagement with Azerbaijan and Uzbekistan extends beyond trade and investment to include a wide array of sectors:
Defense and Security: Joint military exercises, intelligence sharing, and defense production agreements to enhance regional security.
Artificial Intelligence (AI) and Technology: Collaborative research and innovation in AI, automation, and digital transformation.
Education: Expanding academic partnerships, scholarships, and student exchange programs to foster knowledge sharing.
Science and Technology: Joint research in renewable energy, biotechnology, and space exploration.
People-to-People Contact: Promoting cultural diplomacy through art exhibitions, tourism exchange, and language programs.
Connectivity: Infrastructure projects to improve road, rail, and air connectivity between Pakistan and Central Asia.
Aviation and Trade Routes: Expanding direct flights to facilitate tourism, business, and cargo transport.
A Way Forward: Strengthening Regional and Global Impact
To build on the progress achieved during these visits, Pakistan and its Central Asian partners must take concrete steps to ensure long-term sustainability and mutual benefit. The following measures can help sustain momentum:
Timely Implementation of Agreements: Ensuring that signed MoUs and agreements are swiftly implemented through dedicated oversight mechanisms.
Establishment of Joint Economic Commissions: Setting up permanent bodies to oversee economic collaboration and resolve trade-related challenges.
Investment in Infrastructure: Accelerating infrastructure projects, including highways, railways, and logistics hubs to facilitate smoother trade.
Cultural and Educational Engagement: Strengthening academic ties through scholarships, joint research, and cultural programs to deepen mutual understanding.
Enhanced Business Collaboration: Establishing platforms where business communities from Pakistan and Central Asia can interact, explore opportunities, and expand investments.
Regional and Global Impact
Pakistan’s proactive diplomacy with Azerbaijan and Uzbekistan is expected to have broader regional and global implications. Strengthened economic ties will contribute to regional stability, reduce external dependencies, and enhance economic self-reliance. Furthermore, deeper connectivity with Central Asia will position Pakistan as a key player in Eurasian trade dynamics, bridging South Asia with Central Asia, the Middle East, and beyond.
As Pakistan continues to solidify its relationships with Central Asian states, the long-term benefits will include economic prosperity, strategic security, and enhanced regional integration. Prime Minister Shehbaz Sharif’s successful visits to Azerbaijan and Uzbekistan are a testament to Pakistan’s unwavering commitment to regional diplomacy and economic collaboration, laying the groundwork for a more interconnected and prosperous future for all involved.