Pakistan may fail to reach trade accord with Russia dominated EEU due previous PML (N) government policy
ISLAMABAD - Pakistan may fail to reach a trade accord with the Eurasian Economic Union (EEU), the Russia dominated alliance after a fall in exports during the previous government’s tenure.
The EEU bloc is constituted of Armenia, Kazakhstan, Russia, Kyrgyzstan, Belarus and since Pakistan has no diplomatic relations with Armenia would make it difficult to reach a trade accord, reports *Express Tribune.*
Officials believe the absence of diplomatic ties with Armenia could inhibit the finalization of the trade deal with EEU.
Pakistan has largely been reliant on the US and EU markets where it tends to export its textile products.
After the signing of a civilian nuclear deal with India, US ties with Pakistan have remained tense and bilateral relations have deteriorated.
Relations with the US worsened after Pakistan and China commenced work on the $60 billion China-Pakistan Economic Corridor (CPEC).
An official said in the current situation, Pakistan risked the threat of US sanctions and in the previous government’s tenure, overall exports declined by $4 billion.
As per the official, trade potential with Central Asian states is immense, however, Pakistan’s record of enabling bilateral trade with the region isn’t that good.
The official added issues of border tax and corruption in Central Asian states contributed to Pakistan failing to make headway on trade expansion.