Deepening Pak-Turkish Collaboration
Pakistan Announces Special Economic Zone for Turkish Entrepreneurs in Karachi
In a significant move to strengthen economic ties with Turkey, Pakistan has announced a Special Economic Zone (SEZ) for Turkish entrepreneurs in its commercial capital, Karachi. The announcement was made during a meeting chaired by Deputy Prime Minister and Foreign Minister of Pakistan, Senator Mohammad Ishaq Dar, and attended by senior officials from various departments.
The SEZ is designed as a dedicated business hub, aiming to attract Turkish foreign direct investment and industrial expertise in sectors such as manufacturing, construction, technology, and services. The SEZ is part of broader economic cooperation, including energy collaboration agreements signed earlier in 2025, such as joint offshore oil and gas exploration near Karachi by Turkish and Pakistani firms.
Senator Mohammad Ishaq Dar emphasized the need for fast-tracking the implementation of agreed proposals and projects, reaffirming the government's commitment to advance multifaceted cooperation with Turkey for the mutual benefit of the two brotherly nations. The SEZ was unveiled and announced publicly during a joint press conference by Senator Mohammad Ishaq Dar and Turkey’s Foreign Minister, Hakan Fidan, on July 9, 2025.
The initiative represents a tangible step in the strategic partnership and economic collaboration outlined for upcoming joint ministerial and strategic council meetings between the two countries. Along with the SEZ, Pakistan is pursuing the revival of the Istanbul–Tehran–Islamabad freight train and considering Turkish involvement in major infrastructure projects like the Jinnah Medical Complex and Danish University.
This SEZ initiative reflects Pakistan’s openness to boosting foreign investment, especially from Turkey, and deepening bilateral trade and industrial ties as part of a wider economic and strategic cooperation framework. The exact location and size of the SEZ have not been specified, and no timeline for its implementation has been discussed. The meeting did not discuss any changes in the existing agreements or proposals for cooperation, nor did it discuss any new agreements or proposals beyond those already mentioned.
[1] The News International. (2025, July 10). Pakistan, Turkey to establish SEZ for Turkish entrepreneurs in Karachi. Retrieved from https://www.thenews.com.pk/latest/839847-pakistan-turkey-to-establish-sez-for-turkish-entrepreneurs-in-karachi
[2] Dawn.com. (2025, July 10). Pakistan, Turkey announce special economic zone for Turkish entrepreneurs in Karachi. Retrieved from https://www.dawn.com/news/1664927/pakistan-turkey-announce-special-economic-zone-for-turkish-entrepreneurs-in-karachi
- This SEZ initiative showcases Pakistan's push towards strengthening the health-and-wellness sector, as the Jinnah Medical Complex is among the key infrastructure projects in which Turkish involvement is being considered.
- As part of the broadened economic cooperation, discussions regarding joint finance projects between Turkey and Pakistan may be a potential addition, considering the energy collaboration agreements already signed in 2025.
- With the unveiling of the SEZ, general news outlets are covering the political implications and potential benefits for both countries, as they work on reviving trade routes such as the Istanbul–Tehran–Islamabad freight train.
- Business leaders are keeping a keen eye on the energy industry, as the joint offshore oil and gas exploration project near Karachi demonstrates the industry's potential role in shaping the economic partnership between Turkey and Pakistan.