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Indonesia, Pakistan Seek to Expand Economic and Social Cooperation

Pakistan

Karachi, January 12, 2026 – The Europe Today:  Indonesia and Pakistan are seeking to broaden economic and social cooperation, with Jakarta proposing to upgrade an existing trade pact into a more comprehensive agreement aimed at boosting investment, empowering women and strengthening resilience to climate change.

Indonesian Deputy Minister of Trade Dyah Roro Esti met Pakistan’s First Lady Aseefa Bhutto Zardari in Karachi on Saturday to discuss ways to expand bilateral ties and identify new areas of collaboration between the two countries.

In a statement issued on Sunday, Esti said Indonesia hopes to elevate the Indonesia–Pakistan Preferential Trade Agreement (IP-PTA) into a Comprehensive Economic Partnership Agreement (CEPA) by 2027, providing a stronger framework for long-term economic cooperation.

“Upgrading our cooperation from the IP-PTA to a CEPA would give greater certainty to businesses and open new opportunities to increase trade and investment flows between Indonesia and Pakistan,” Esti said during the meeting at Bilawal House.

Discussions focused on enhancing cooperation in women’s empowerment, climate resilience, social welfare and sustainable development, as well as strengthening people-to-people exchanges. Esti noted that Indonesia and Pakistan share a long-standing relationship based on friendship, solidarity and a shared commitment to inclusive and sustainable growth.

Climate change featured prominently in the talks, with both sides acknowledging extreme weather as a common global challenge requiring coordinated responses and the exchange of best practices. Esti expressed interest in learning from Sindh Province’s experience in developing large-scale, climate-resilient housing following the devastating floods of 2022 that displaced millions of people.

She also praised policies granting home ownership to women, describing them as a progressive measure aligned with Indonesia’s agenda to strengthen women’s economic and social empowerment.

The deputy minister highlighted opportunities to expand economic cooperation in sectors including edible oil production, investment, food security and the development of regional value chains.

First Lady Aseefa Bhutto Zardari welcomed Indonesian President Prabowo Subianto’s recent visit to Pakistan, calling it a positive signal for strengthening bilateral relations. She also expressed appreciation for Indonesia’s Free Nutritious Meals programme, noting that Pakistan is pursuing similar social welfare objectives through initiatives such as the Benazir Income Support Programme to support women and children.