Ambassador of Germany Ina Lepel said on Tuesday that Pakistan’s diplomatic efforts for peace have been an amazing feat.
She appreciated Pakistan’s diplomatic efforts in regional peace-building and acknowledged its role in facilitating dialogue and de-escalation in sensitive geopolitical situations.
She was talking to business community during her visit to Lahore Chamber of Commerce and Industry (LCCI), where LCCI President Faheem Ur Rehman Saigol, Senior Vice President Tanveer Ahmed Shiekh, Vice President Khurram Lodhi, Executive Committee members were also present. The meeting discussed in detail bilateral trade, investment opportunities and institutional cooperation.
The German Ambassador mentioned that Pakistan and Germany share long-standing friendly and economic relations, but significant untapped potential still exists in trade diversification, investment expansion, and business-to-business cooperation.
She noted that both German and Pakistani businesses are increasingly looking to diversify their global partnerships. Bilateral trade, despite being stable, has remained relatively stagnant compared to its potential, she asserted. The Ambassador said, German industry is actively seeking diversification of supply chains and new global partnerships, creating fresh opportunities for countries like Pakistan. She added that this shift is encouraging greater engagement with emerging markets.
She observed that while Pakistan has made progress in infrastructure and energy availability, structural challenges in taxation, governance, and regulatory consistency continue to limit investor confidence and export competitiveness.
She also referred to the importance of ongoing IMF-supported reforms and stated that sustained implementation is essential for long-term macroeconomic stability. She noted that Germany, within the framework of the European Union, closely monitors trade arrangements such as GSP Plus, which are linked to compliance with international conventions on labour rights, human rights, and environmental standards.
She further shared that Germany has committed approximately 114 million Euros in development cooperation focused on climate, energy, private sector development, health, and social protection. She added that German technical assistance programmes are increasingly focusing on sustainability, circular economy, and labour compliance across multiple sectors in Pakistan.
She concluded by emphasizing the importance of stronger institutional linkages between chambers and business organizations to improve matchmaking, enhance cooperation, and promote joint ventures between Pakistani and German companies, particularly SMEs.
Earlier in his welcome address, the LCCI President stated that Germany remains Pakistan’s largest trading partner in the European Union, with bilateral trade exceeding USD 2.5 billion. He said, Pakistan’s exports to Germany stand at USD 1.7 billion, while imports are USD 880 million, reflecting a stable trade balance in Pakistan’s favour.
He added that Pakistan’s key exports include textiles, surgical instruments, sports goods, rice, cotton yarn, and footwear, while imports from Germany consist of machinery, pharmaceutical products, chemicals, medical equipment, and iron and steel products. He appreciated Germany’s continued support for the GSP Plus framework, which has played a significant role in supporting Pakistan’s export growth.
He further stated that there is strong potential for expanding cooperation in automobile manufacturing, renewable energy, engineering, pharmaceuticals, tourism, and SME development. He also emphasized strengthening collaboration with German development and technical agencies, particularly GIZ, which has been actively supporting technical and vocational training and skills development in Pakistan.
He underscored Pakistan’s commitment to economic diplomacy and regional stability, noting its constructive role in supporting peace and de-escalation efforts in recent geopolitical developments.