Egypt has proposed establishing a commercial corridor linking the Suez Canal Economic Zone (SCZONE) with Pakistan’s Gwadar Port, Foreign Minister Badr Abdelatty said on Sunday, as Cairo seeks to expand its logistics footprint in South Asia.
During a meeting with Pakistani Prime Minister and Foreign Minister Ishaq Dar in Islamabad, Abdelatty discussed facilitating economic linkages between the two strategic hubs and exploring the potential for localising value-added industries within the Egyptian zone.
The proposal aims to connect two vital nodes in the global maritime network. The SCZONE, a 455-square-kilometre special economic area spanning six ports along the strategic waterway, handles roughly 12% of global trade and serves as a major gateway to African and European markets. Gwadar, a deep-sea port in Balochistan operated by the China Overseas Port Holding Company, is the flagship project of the $62bn China-Pakistan Economic Corridor (CPEC).
Integrating these hubs could theoretically streamline the flow of goods from China and Central Asia through the Arabian Sea to the Mediterranean, reinforcing the “Maritime Silk Road” component of Beijing’s Belt and Road Initiative.
The proposal was part of broader discussions on enhancing economic cooperation, which included a potential joint action plan between Egypt’s General Authority for Investment and Free Zones and the Pakistan Board of Investment. Both sides also stressed the importance of reactivating the Joint Business Council to support the private sector.
Abdelatty highlighted Egypt’s recent economic reforms, including the adoption of a flexible exchange rate system and monetary policies that have improved the country’s credit rating and investment climate.
Beyond trade, the ministers addressed the situation in Gaza. Abdelatty called for the urgent implementation of UN Security Council Resolution 2803 and the second phase of the “Trump peace plan”.
Resolution 2803, adopted by the Security Council earlier this month, endorsed the US-backed framework for a permanent ceasefire and authorised the creation of a temporary International Stabilization Force (ISF) to oversee the withdrawal of Israeli forces and the disarmament of non-state groups.
Abdelatty emphasised the need to empower this international force to maintain the ceasefire and discussed preparations for an international conference on Gaza’s early recovery and reconstruction.
On security, Abdelatty outlined Egypt’s “comprehensive approach” to counter-terrorism. He explained that this strategy combines security measures with development initiatives to address root causes such as poverty and unemployment, alongside the ideological role of Al-Azhar in dismantling extremist networks.
Abdelatty concluded by reaffirming Egypt’s commitment to regularising institutional dialogue with Pakistan, particularly through the Joint Committee headed by the two foreign ministers.
