- UAE remittances hold strong at $7.83b despite sharp drop in registered workers
- UAE investor interest in Pakistan’s fine dates driving value addition and expanding farmers’ earnings
Interview with Mr. Hamad Rasool Bhullar, analyst
PAGE: Tell me something about yourself, please:
Hamad Rasool Bhullar: Basically, I am humble learner in business and financial analysis. I have been working for both the private and public sectors over the last about 35 years in multiple roles with almost 28 years in professional trainings and teaching in multiple areas of Finance, Accounting, Audit & Compliance with Corporate legal issues. With respect to my work with the financial sector, I have been involved in research and training for almost 28 years so far, and conducted over 350 trainings on different aspects of Finance, Business Ethics, Audit and Corporate Governance from basic concepts to professional applications in Projects Finance, Shariah Compliant risk management, investment management and Financial Analysis etc. in addition to the freelance consultancy and Financial Advisory in these fields. I remained a non-executive member on the Board of an Investment Bank for almost 4 years. My qualifications and experience over the last 36 years, have mainly been in Accountancy, Corporate Law, IT, Economics, Corporate Finance and Islamic Finance, Takaful, Business Turnarounds, Projects Finance, Audit & ethics with Trainings and business advisory in multiple areas of Corporate Sector as well as Public Sector within and outside Pakistan. I have a privilege to have issued the first Sukuk in Pakistan’s Investment Canvas with some other first such initiatives in Economics and Finance.
PAGE: What is your perspective about Pakistan & UAE trade?
Hamad Rasool Bhullar: The trade between UAE and Pakistan is gradually improving everyday, which is bringing more mutual confidence. The future looks bright as both the countries are trying and showing keenness in enhancing the volume and SIFC is also making progress in this context. Over the period of 2018-25, exports from Pakistan to United Arab Emirates increased at an annualized rate of 33.6% which grew from $869M in 2018 to $3.7B in 2023 and $5.08 billion. Recently, the total bilateral volume of trade between Pakistan and UAE reached approximately $10.1 billion in the first half of the fiscal year 2025, making a major impact already by 20.24% on the rise. The refined petroleum was the major component in both directions. Pakistan is intending to double the trade volume to $20 billion in the next 3-4 years. This expected rise is expanding not only in volume but also in variety of products being traded, especially petroleum products, edibles & fruits processing, cosmetics, chemicals, Information Technology, Counterterrorism and Security, fisheries and real estate etc.
PAGE: Pakistan has signed a free trade agreement (FTA) with the Gulf Cooperation Council (GCC). How could this benefit Pakistan in its trade with the UAE?
Hamad Rasool Bhullar: The Gulf Cooperation Council (GCC) — comprising Saudi Arabia, United Arab Emirates (UAE), Qatar, Kuwait, Bahrain, and Oman was established in 1981. In fact, the free trade agreement (FTA) between Pakistan and GCC was only signed by the Pakistan side in September 2023 which awaits approval from the GCC. This agreement is the result of a long-term and shared vision on both sides for an economic bonding between them. Pakistan needs to pursue it with the relevant office at GCC to actualize its desired targets, as it is over two years past now. The FTA covers various aspects of trade and commerce which includes customs procedures, investment, e-commerce, dispute resolution, trade remedies, competition, intellectual property, and the promotion of small and medium enterprises.
With the establishment of the Special Investment Facilitation Council (SIFC), in June 2023, further progress was planned to attract FDI into Pakistan. Sharing a close geographical proximity both the sides have great potential of trade in multiple products and services. As Pakistan is already working on a mega Project like China-Pakistan Economic Corridor (CPEC), Pakistan can create a mutually beneficial opportunities for the GCC members attracting targeted investments towards the Special Economic Zones (SEZs) within the CPEC as well. We can achieve the target of $20 billion within the next 3-4 years by closing this FTA on both sides at the earliest. Recently new agreements have been made with the GCC countries in defence products as well.
PAGE: Pakistan produces over half a million tonnes of dates annually. The United Arab Emirates intends to establish three date processing plants in major date-producing regions such as Sindh and Balochistan? What is your take on it?
Hamad Rasool Bhullar: This is a great thing to happen in Pakistan as a serious talk has been held between the two countries last month regarding the collaboration aimed at promoting value addition and boosting Pakistan’s global competitiveness in the dates processing sector. Ms. Simisola Nicola Abere, a venture Capitalist representing the UAE has shown interest in setting-up three dates processing plants in Sindh and Balochistan in a Virtual Meeting with Federal Minister for National Food Security and Research, Rana Tanveer Hussain. Pakistan produces fine quality dates at around a hundred thousand hectares of land which requires value addition thereby enhancing the farmers’ earnings from exports. A good amount of popular varieties such as Aseel, Muzawati, Dhakki, Rabbi, Begum Jangi, Karbala, and Khudri are grown in Pakistan rich in sweetness and taste. This structural development in this sector will enable Pakistan to explore larger market share in the global markets in future.
PAGE: The UAE is Pakistan’s third-largest trading partner and is home to over a million Pakistanis. What is your standpoint on remittances from the UAE?
Hamad Rasool Bhullar: After the Saudi Aribia, UAE stands 2nd only in remittances by Pakistanis working abroad. according to the State Bank of Pakistan data, Saudi Arabia led all contributors during FY25, with remittances totalling $9.34 billion, followed by the United Arab Emirates at $7.83 billion
Nevertheless, the share of people registered to work in United Arab Emirates as reported by Bureau of Emigration & Overseas Employment. Government of Pakistan (BE&OE) decreased hugely from 230,000 in 2023 to 64,130 people in 2024 bringing a sharp decline from 27 per cent to 9 per cent of total registered workers overseas, which requires special concern and immediate corrective actions, as to why it happened and how can we improve this deficit as we have already a huge number of skilled workers yet unemployed. Either there is some mismatch of skills or some other issues of registration.
The United Arab Emirates’ authorities measure to target hawala transactions leads to a clear decline in informal transaction flows as per a report by “Gulf news”. Measures to encourage the use of formal remittance channels may explain this 19 per cent decline from the UAE from FY23 to FY24, despite a decline in the number of workers registered for employment there.
It is the remittances that keep Pakistan afloat in these difficult times that enable it to record a current account surplus otherwise we are at deficit in trade terms.