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Saudi Prince is investing $20 billion in Pakistan – 7 reasons why this will be a bad decision

Saudi prince investing in Pakistan

Saudi Prince is investing $20 bn in Pakistan

The Saudi Arabia prince, Mohammed Bin Salman has shown forth a good eye towards the Pakistan economy by coming to their aid in terms of money provision. There has been great anticipation for the visit of the Arabian crown prince visit as this is a very great invitation and it is believed to have a great impact on the Pakistan economy. However, the Saudi Arabian prince has invested a sum of $20 billion dollars in the refinery,  oil and gas sector of the Pakistan economy and this is believed to bring about a great development and it is believed that this investment and possible investments in the nearest future will foster a great relationship between the two countries.

The Saudi Arabian prince has also shown mercy to over two thousand Pakistan criminals in Saudi Arabia by granting their release.  Pakistan will not only be grateful for this, but they will always and forever will be.

7 reasons why this is a bad business plan

However, there may be some repercussions from the investment of the crown prince and they may include :

  1. This investment can create a long term investment result and it may lead to lower income for the prince as Pakistan is practically struggling to stabilize their economy.
  2. The release of thousands of Pakistan prisoners can pose a problem to citizens of Saudi Arabia.
  3. It might result in overdependence of Pakistan on Saudi Arabia.
  4. As a result of some terrorist issues that Pakistan is facing, this can have an effect on the prince, as some believe he can be a way to overshadow the issue.
  5. The Pakistan economy is still young in the refinery sector and it will take a while to meet the required standard.
  6. This investment will reduce the resulting gain of Pakistan as over 50% of the investment is coming from outside the economy.
  7. There will be a reduction in foreign reserve.

However, as a way of showing gratitude for the help shown by the Prince to the nation, the Pakistan country has promised to honor the prince in her possible way. The crown prince has however promised to always support Pakistan no matter what.