Pakistan Defence Exports Could Transform Economy
Pakistan Defence Exports are expected to become a major driver of economic growth between 2026 and 2030 according to a report by KASB Securities.
The report says Pakistan’s defence export pipeline already includes tracked and potential deals worth nearly 13 billion dollars which could significantly strengthen external economic indicators.
Impact on Foreign Exchange and Exports
Pakistan Defence Exports could result in a major boost to foreign exchange reserves.
According to the report if these defence orders are realised they could lead to:
An 82 percent increase in foreign exchange reserves
Strong support for the 60 billion dollar export target under Uraan Pakistan by 2029
This would mark a structural shift in Pakistan’s export profile toward high value manufacturing.
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Key Defence Products and Markets
Pakistan Defence Exports cover a wide range of advanced military products.
These include:
- Fighter aircraft
- Naval vessels
- Armoured vehicles
- Unmanned systems
- Precision guided munitions
Primary target markets are Asia Africa and the Middle East.
Pakistan Defence Exports : JF 17 Aircraft Driving Demand
Pakistan Defence Exports are seeing the strongest demand for the JF 17 Thunder fighter jet.
Countries that have expressed interest over time include:
- Iran
- Sri Lanka
- Zimbabwe
- Algeria
- Ethiopia
- Argentina
- Uzbekistan
Current operators include Myanmar Nigeria and Azerbaijan.
Major Ongoing Pakistan Defence Exports Negotiations
Pakistan Defence Exports negotiations during 2025 and 2026 include several high value deals.
- Saudi Arabia is in talks for a potential JF 17 deal worth around 6 billion dollars
- Libya is negotiating a defence package valued at approximately 4 billion dollars
- Azerbaijan is discussing additional JF 17 Block III aircraft worth around 1.6 billion dollars
- Sudan is negotiating a 1.5 billion dollar defence package
- Bangladesh is also considered a potential buyer
Biggest Strategic Pakistan Defence Exports Development
Pakistan Defence Exports gained momentum after the Pakistan Saudi Strategic Mutual Defence Agreement signed in September 2025.
The agreement covers:
- Intelligence sharing
- Joint military exercises
- Defence production
- Technology transfer
- Capacity building
Turkey has expressed interest in joining as a third partner while Jordan has shown intent to deepen cooperation.
Economic Significance of Defence Exports
According to the report if current projections materialise Pakistan Defence Exports could account for 3.7 percent of GDP.
This would represent a major transformation of Pakistan’s export base toward strategic and industrial sectors.
Historical Context Pakistan Defence Industry
Pakistan has steadily developed its defence industry over several decades through institutions such as:
- Pakistan Aeronautical Complex
- Pakistan Ordnance Factories
- Heavy Industries Taxila
- Karachi Shipyard and Engineering Works
In recent years defence exports have become closely linked with foreign policy and economic strategy.
Frequently Asked Questions FAQs
What is the value of Pakistan defence export deals
The report estimates tracked and potential deals at around 13 billion dollars.
Which product is in highest demand
The JF 17 Thunder fighter jet is attracting the strongest international interest.
How will defence exports help the economy
They can boost foreign exchange reserves exports and GDP growth.
Which countries are negotiating with Pakistan
Saudi Arabia Libya Azerbaijan Sudan and Bangladesh are among key prospects.
What is the long term impact
Defence exports could become a core pillar of Pakistan’s high value manufacturing sector.
Official Information Source
More details are available through:
https://www.kasbsecurities.com
