Pakistan and Canada have concluded the third round of negotiations on a bilateral investment treaty, signing the minutes of the talks in Islamabad on Saturday and moving a step closer to a deal that both governments say will give investors a clearer and safer framework. The Pakistan Canada investment treaty, once finalised, is expected to strengthen investor confidence and open wider opportunities for businesses in both countries.
Federal Minister for Board of Investment Qaiser Ahmed Sheikh and Canadian High Commissioner to Pakistan Tarik Ali Khan attended the concluding ceremony of the three-day round, where both sides appreciated the work of their negotiating teams. The minutes were signed by representatives of the two teams, formally recording the proceedings and the outcomes of the round, according to the Press Information Department.
What the Pakistan Canada investment treaty would change
A bilateral investment treaty sets out the rules of the game for investors from one country operating in the other. It typically covers fair treatment, protection against unfair expropriation and the right to move capital in and out, and it gives businesses a predictable legal basis for long-term decisions. Officials on both sides say the Pakistan Canada investment treaty is being designed to provide exactly that predictability and transparency.
The Canadian High Commissioner appreciated the constructive engagement and dedicated efforts of both negotiating teams and stressed the importance of continued cooperation on a balanced agreement that facilitates investment, strengthens business confidence and promotes mutually beneficial economic ties. Minister Sheikh, for his part, commended the teams for their commitment and professionalism throughout the round.
Pakistan used the round to pitch specific sectors to Canadian investors. The minister underlined Pakistan’s commitment to a conducive investment environment and highlighted renewable energy, mining, agriculture and information technology as the priority areas where Canadian capital and expertise are most welcome. Mining is a natural fit: Canadian firms are among the world’s biggest players in the sector, and Pakistan’s mineral belt has been drawing growing international interest.
Three rounds in a year after a long pause
The current talks are a revival. Canada and Pakistan first attempted a foreign investment promotion and protection agreement more than a decade ago, holding rounds in 2011 and 2012 before the process stalled. The effort restarted in earnest last year: the first round of the revived negotiations was held in Islamabad in October 2025, the second in Ottawa in June 2026, and the third has now concluded in Islamabad.
Momentum has been visible at the political level too. In a joint statement issued in Ottawa on November 3, 2025, the two governments welcomed the successful conclusion of the first round, and in July 2026 Canada’s foreign minister Anita Anand visited Islamabad and welcomed the progress made toward the agreement, saying both sides aimed to conclude negotiations at the earliest opportunity. The October round was hosted in Islamabad, with the Special Investment Facilitation Council among the institutions involved in the process.
Why the treaty matters for Pakistan’s economy
The negotiations come as Pakistan works to rebuild investor confidence on several fronts at once. The country’s foreign exchange position has been strengthening, as our report on Pakistan’s forex reserves hitting $21.5 billion shows, while workers abroad sent home record sums, detailed in our coverage of remittances covering the whole trade gap. Export earnings have also been improving, with Pakistan’s exports rising 17.6% in September.
Officials argue that a modern investment treaty with Canada fits into that broader picture. It would give Canadian companies a treaty-backed reason to look at Pakistan, and it would give Pakistani firms investing in Canada the same protections in return. With three rounds now complete and the minutes of the latest round signed, both sides say the foundation for long-term investment partnership is stronger than it has been in years. The successful conclusion of the round, the official statement said, reflects the continued commitment of both countries to advancing the negotiations and expanding economic engagement.
Sources
- Press Information Department, Government of Pakistan
- Global Affairs Canada
- Diplomatic News
- Dawn
- Photo: Board of Investment, via Global News Pakistan
Umar is an engineer by profession and a passionate writer by passion. He has a deep interest in sharing good news related to Pakistan and has been working hard to promote the positive image of his homeland. Umar has written numerous articles on various topics related to Pakistan, such as technology, sports, culture, and economy.