Superficially, Finance Minister Muhammad Aurangzeb was only putting forward an anodyne idea when he said while talking to the press at the recent conference on emerging market economies in Alula, Saudi Arabia, that Pakistan looked to learn from the Saudi experience of its Vision 2030. However, this remark indicated that Mr Aurangzeb could not distinguish between the Pakistani and Saudi economies. He might be right, but it would depend on the sort of lessons that had been learnt. It might be remembered that Pakistan had followed the Saudi example of setting up a Sovereign Wealth Fund, but the idea was shot down by the International Monetary Fund, which went as far as making its abolition condition of the present programme. It also shows lack of comprehension of the dynamics in the relationship. Saudi Arabia is interested in Pakistan as an investment destination, which implies that Pakistan has more investment opportunities than Saudi Arabia. Also of significance is the fact that Saudi Arabia has a labour-deficit economy, while Pakistan is a labour-surplus country, and thus the two countries have completely different requirements. While the former emphasizes labour saving and mechanization, the latter needs labour-intensive economic activity.
Another factor could be that Saudi Arabia is not really known as being on the cutting edge of economic thought, but if its best practices are applicable to a Pakistani context, no one should quarrel with any idea on the ground of its origin. Mr Aurangzeb might be suspected of a desire to flatter; if so, his attempt was a trifle ham handed. His expression of the Vision 2030. One of the factors he pointed out Pakistan needed to learn was how Vision 2030 was proceeding ahead of schedule. If it turns out that all Saudi Arabia has been doing is to provide more money and more labour, then that is not a solution Pakistan can put into practice.
Mr Aurangzeb should note that the Vision 2030 positions Saudi Arabia for a future without oil. If he wishes for one take away from it, he should be careful to notice whether Pakistan is so positioning itself, and what role is his own ministry playing in the sea-change that is about to occur.
