Bilateral Relations

Pakistan-Germany Bilateral Relations

Pakistan and Germany have enjoyed warm friendly relations since the establishment of their diplomatic ties in 1951. Pakistan was one of the first Asian countries to establish relations with Federal Republic of Germany (West Germany). These relations are based on shared values of democracy, pluralism, respect for human rights, cultural and religious diversity and economic liberalism. Ever since their inception in 1951, Pakistan-Germany relations have been on an upward trajectory.

In 1959, the two countries signed the world’s first bilateral investment treaty. The two countries also entered into financial cooperation in 1961 as West Germany became a member of the consortium of countries providing development assistance to Pakistan. In 1962, the two sides established a Pakistan-German Forum. An important part of these relations is the 70,000 strong Pakistani diaspora in Germany.

Bilateral relations between the two countries encompass nearly all areas of international relations viz, political, economic, trade and investment, environment, energy, culture and education and security cooperation etc.

Strategic Dialogue:

To give a robust framework to the multi-sectoral relations between the two countries the Foreign Ministers of the two countries launched a Pakistan-Germany Strategic Dialogue on 4 September 2012 during a visit of Pakistan Foreign Minister Hina Rabbani Khar to Berlin. Besides signing the Strategic Dialogue, Pakistan Foreign Minister also met the German Foreign Minister Guido Westerwelle and Defence Minister Thomas de Maizière. The decision to sign a Strategic Dialogue was taken at the meeting between the Prime Minister of Pakistan and the Chancellor of Germany during a visit by the Prime Minister of Pakistan to Germany on 30 November-2 December 2009.

Strategic Dialogue serves as a multi-sectoral framework to further deepen and broaden the existing bilateral relations in diverse areas including political, trade, economic and investment relations, higher education, science, cultural exchanges, energy, health, education, governance, renewable energy and environment.

The Dialogue envisages annual bilateral consultation at the level of the Foreign/ State Secretary. First Round of these consultations between Pakistan Foreign Secretary Jaili Abbas Jilani and the German Secretary of State Dr. Emily Haber was held on 17 December 2012 in Berlin. The consultations reviewed progress on ongoing projects in various areas besides discussing new initiatives especially in the field of trade, investment and energy. Second Round of the Bilateral Consultations will be held in Islamabad in 2013.

Bilateral Parliamentary Relations

The two countries enjoy close parliamentary relations which are marked by frequent Parliamentary visits from both the sides. A fourteen member Pak-Germany Friendship Group was created in the Senate of Pakistan in September 2012. The Group includes members from all major political parties and all provinces and FATA. A Pakistan-Germany Friendship Group was formed in the Parliament of Pakistan in October 2009. This was the first friendship group in the Parliament.

A seven member Pakistani Parliamentary delegation visited Germany in May 2010 on the invitation of Konrad Adeneur Foundation. The delegation met the President of German Parliament Dr. Norbert Lammert as well as Advisor on Foreign and Security Policy at the Federal Chancellery Dr. Christoph Heusgen.

From the German Parliament, Mrs. Elke Hoff, member of German Parliament's Defense Committee paid a visit to Pakistan from 15 to 20 July 2012. A Six members of the Defense Committee of the German Bundestag visited Pakistan on 8 and 9 October 2012. Roderich Kiesewetter, Member of the German Parliament (Bundestag), visited Pakistan from 4 to 6 November 2012.

Trade and Investment:

Germany is Pakistan’s largest trading partner among the EU countries. Figures of bilateral trade are as under:

Year                Pakistan’s Exports    Pakistan’s Imports                Total Trade

                        (Billion US $)              (Billion US $)                          (Billion US $)

2010               1.13                             1.02                                         2.15

2011               1.56                             1.05                                         2.61

2012               1.26                             1.10                                         2.36

                                                                    Source: German Federal Bureau of Statistics

Major items of Pakistan exports to Germany are textile and textile made-ups, leather goods, carpets, surgical instruments, cutlery, rice and horticulture products. Major items of Pakistan’s imports from Germany are machinery, pharmaceuticals, motor vehicles, chemicals and dyes, iron and steel products.

Investments are an important area of Pakistan-Germany relations. German companies with major investments in Pakistan include Linde, BASF, Bayer, Merck, Hoechst, Siemens and METRO.