Pakistan Singapore trade is now a stated priority for both governments. Singapore’s Foreign Minister Dr Vivian Balakrishnan, on the first visit by a Singaporean foreign minister to Islamabad in more than two decades, agreed with Pakistan on Friday to make expanding bilateral trade a priority, Dawn reported. The starting point is lopsided: Singapore sold Pakistan about $1.7bn of goods in 2025, while Pakistan’s exports to Singapore are estimated at only $196m to $278m.
The short version
- Pakistan and Singapore agreed on 30 October to make trade expansion a priority during the Singapore foreign minister’s visit to Islamabad.
- Pakistan has reopened its Trade and Investment Office at its High Commission in Singapore.
- Singapore sells Pakistan roughly six to nine times what it buys from it, and there is no free trade agreement (Knock-On calculation).
- The two sides also discussed carbon markets and exchanged a disaster-management memorandum.
What happened
Dr Balakrishnan met Deputy Prime Minister and Foreign Minister Ishaq Dar, Prime Minister Shehbaz Sharif and Field Marshal Asim Munir, according to Dawn, citing official statements. He described expanding commercial links as the “first order of business” and said the two countries needed to facilitate greater trade and investment flows. Mr Dar said the two sides had welcomed the growth in bilateral trade and discussed ways to build on it.
Pakistan reopened its Trade and Investment Office in Singapore. Pakistan’s National Disaster Management Authority and the Singapore Civil Defence Force exchanged a memorandum of understanding, and the ministers discussed carbon markets and university links between NUST and Singapore’s NTU and NUS, Dawn reported. Mr Dar had invited his counterpart to Islamabad in August, when the two countries marked 60 years of diplomatic relations, the Associated Press of Pakistan reported at the time.
Pakistan Singapore trade runs almost one way
Goods trade between Pakistan and Singapore, US$ millions, 2025
Why it matters
On the figures reported by Dawn, Pakistan runs a deficit with Singapore of roughly $1.4bn to $1.5bn a year (Knock-On calculation). Narrowing it would mean selling more Pakistani goods into Singapore or using it as a gateway to Southeast Asia. Singapore takes over the chair of ASEAN next year, while Pakistan currently leads the Shanghai Cooperation Organisation, Dawn noted, which gives both sides a reason to keep the momentum. This comes as Pakistan tries to widen its export markets, as in the new Pakistan–China green channel for farm goods and the Punjab PIVOT export plan.
The knock-on effects
First order: a trade office back on the ground
The reopened trade office gives Pakistani exporters a direct contact point for buyers and investors in Singapore. Its value will depend on how actively it is staffed and funded.
Second order: talk of a trade framework
There is no free trade agreement between the two countries. If trade expansion is now a priority, a framework to cut tariffs or ease customs could follow, but neither side has announced talks.
Third order: carbon markets and investment
The ministers’ discussion of carbon markets could, in time, open a route for Pakistani forestry or clean-energy projects to sell credits. This is an opportunity, not yet a deal. Exporters will also watch how it fits with Pakistan’s existing access to Europe, discussed in our look at GSP+ and India’s EU trade deal.
Who could benefit
- Pakistani exporters: the reopened trade office offers a new contact point with Singapore buyers.
- Universities and research: proposed links between NUST and NTU/NUS.
- Carbon project developers: if carbon market cooperation becomes concrete.
Who may face pressure
- Pakistan’s trade balance: if imports from Singapore keep outpacing exports, the deficit grows.
- Exporters expecting quick gains: without a trade agreement, tariffs and rules are unchanged for now.
What to watch
- Coming months: whether either side proposes free trade or investment treaty talks.
- 2027: Singapore’s ASEAN chairmanship and any outreach to Pakistan.
- Trade data: whether Pakistan’s exports to Singapore rise from the $196m–$278m range.
Sources
- Dawn, Pakistan, Singapore agree to prioritise trade expansion, 31 October 2026
- Associated Press of Pakistan, Pakistan, Singapore reaffirm resolve to deepen ties as diplomatic relations mark 60th anniversary, 24 August 2026
This is analysis, not investment advice. Figures are as of 31 October 2026. Knock-On is not affiliated with any political party.
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