Pak-Iran Relations

I- Introduction

The relationship between Pakistan and Iran is a dynamic interplay of shared history, shifting geopolitics, and pragmatic cooperation. Initially anchored by early diplomatic recognition in 1947 and cold-war alliances like CENTO, the bilateral bond experienced severe ideological and strategic strains following the 1979 Iranian Revolution, the Soviet-Afghan War, rising domestic sectarianism, and divergent policies toward Afghanistan in the 1990s. The post-2001 era introduced a complex mix of alignment and constraint: while both nations share counter-terrorism imperatives along their porous border, economic initiatives like the Iran-Pakistan (IP) gas pipeline and formal trade remain severely restricted by international sanctions, despite ambitious targets to scale bilateral trade to $10 billion through border markets and barter mechanisms. Security dynamics, punctuated by the January 2024 cross-border military strikes and rapid diplomatic de-escalation, highlight both the volatility of the frontier and a mutual commitment to conflict prevention. Supported by high-level diplomatic engagements, active collaboration in regional forums like the ECO and OIC, and Pakistan's delicate balancing act amid broader Middle Eastern rivalries, the relationship is increasingly defined by a resilient, interest-driven effort to overcome historical trust deficits, navigate external pressures, and secure regional stability. 

Follow CPF WhatsApp Channel for Daily Exam Updates

Cssprepforum, led by Sir Syed Kazim Ali, supports 70,000+ monthly aspirants with premium CSS/PMS prep. Follow our WhatsApp Channel for daily CSS/PMS updates, solved past papers, expert articles, and free prep resources.

Follow Channel

Advertise with Us

II. Historical Trajectory

A. Early Years of Friendship (1947-1979)

Iran was exceptionally prompt in recognizing Pakistan's independence on August 14, 1947, demonstrating an early affinity between the newly formed Muslim state and its ancient Persian neighbor. This nascent friendship was formalized with the signing of a Treaty of Friendship in 1950, laying the groundwork for diplomatic cooperation. During the Cold War, both nations found common ground in their anti-communist stance, leading them to join the Baghdad Pact in 1955, later renamed the Central Treaty Organization (CENTO) in 1959. This alliance, alongside Turkey, Iraq (until 1979), and the United Kingdom, solidified a period of close strategic alignment. Iran consistently extended support to Pakistan during its wars with India in 1965 and 1971, providing moral, diplomatic, and even some material assistance. Furthermore, in the 1970s, both countries cooperated to counter Baloch separatist movements along their shared border, recognizing a mutual threat to their territorial integrity. This era was characterized by a sense of shared destiny and strategic partnership.

B. Post-Iranian Revolution and Divergence (1979-2001)

• The 1979 Iranian Revolution and Ideological Divergence

The Islamic Revolution in Iran in 1979 marked a significant turning point. Pakistan was among the first countries to recognize the Islamic Republic, yet the revolutionary zeal and ideological shift in Tehran introduced new dynamics. Iran's newfound revolutionary fervor and its emphasis on an independent foreign policy, coupled with its focus on supporting Shia movements globally, began to diverge from Pakistan's more secular-leaning, albeit Islamic-identity-driven, state policies and its strong alignment with the US.

• Divergent Geopolitical Strategies in the Afghan and Iran-Iraq Wars

The Soviet-Afghan War (1979-1989) further complicated matters. While both countries opposed the Soviet occupation, their approaches differed. Pakistan became a frontline state, heavily supported by the US, and hosted millions of Afghan refugees, backing a diverse range of Afghan mujahideen groups. Iran, while also supporting some mujahideen factions, viewed Pakistan's deep involvement with US foreign policy with suspicion. During the Iran-Iraq War (1980-1988), Pakistan maintained a delicate neutrality, unwilling to alienate either side, a stance that was perhaps less than satisfactory to revolutionary Iran.

• Proliferation of Proxy Conflicts and Sectarian Friction

A more significant point of strain emerged with the rise of sectarian violence within Pakistan in the 1980s and 1990s. Both Pakistan and Iran have historically been accused of indirectly or directly supporting sectarian groups within the other's territory, leading to periods of heightened tension and proxy conflicts. Iran was often accused of backing Shia groups in Pakistan, while Pakistan was accused of supporting Sunni militant organizations targeting Shias.

• Strategic Distrust: The Taliban Regime and Nuclearization

The rise of the Taliban in Afghanistan in the mid-1990s created another major point of divergence. Pakistan, driven by its strategic depth doctrine and a desire for a friendly government in Kabul, recognized and supported the Taliban regime. Iran, however, viewed the Sunni-dominated and fiercely anti-Shia Taliban with deep hostility, particularly after the massacre of its diplomats in Mazar-e-Sharif in 1998, which brought Iran and Pakistan to the brink of military confrontation. Pakistan's nuclear tests in 1998, while a source of national pride, were viewed with concern by Iran, which saw them as potentially destabilizing for regional security.

C. Years of Cooperation and Competition (2001-Present)

• Post-9/11 Realignment and Shared Counter-Terrorism Interests

The post-9/11 era and the subsequent US-led "War on Terror" brought a degree of alignment as both Pakistan and Iran joined the international coalition against terrorism and supported the overthrow of the Taliban regime. This period saw renewed cooperation on border security and counter-terrorism.

• Sanctions Regimes and the Challenge of Bilateral Economic Integration

However, the persistent US sanctions on Iran over its nuclear program have profoundly impacted Pakistan's ability to fully engage economically with its neighbor. Pakistan has consistently tried to balance its commitment to international obligations with its desire to maintain a strong relationship with Iran, often advocating for Iran's right to peaceful nuclear energy.

• Border Friction, Military Escalation, and Diplomatic De-escalation (2024)

Despite a generally stable diplomatic relationship, the underlying tensions related to border security and cross-border militant activities continued. The most recent and notable instance occurred in January 2024, when Iran carried out missile strikes inside Pakistan, claiming to target the Jaish al-Adl militant group. Pakistan swiftly retaliated with strikes inside Iran, targeting alleged militant hideouts. This dramatic escalation, however, was quickly de-escalated through intense diplomatic efforts, demonstrating a mutual understanding of the severe consequences of prolonged conflict and a willingness to resolve disputes through dialogue.

III- Pillars of Bilateral Relations

A. Political and Diplomatic Engagement

Diplomatic engagement remains robust between Pakistan and Iran. High-level visits by heads of state, foreign ministers, and other dignitaries are regular occurrences, often aimed at strengthening bilateral ties, addressing common concerns, and resolving disputes. Both countries participate actively in multilateral forums such as the Economic Cooperation Organization (ECO) and the Organization of Islamic Cooperation (OIC), and engage at the United Nations, often coordinating positions on issues affecting the Muslim world. Pakistan has also historically attempted to play a mediation role, particularly between Iran and Saudi Arabia, and more recently, in efforts to de-escalate tensions between Iran and the United States. Recently, Pakistani Prime Minister Shehbaz Sharif and Iran's newly elected President Dr. Masoud Pezeshkian held a phone call, reaffirming commitment to dialogue.

B-Economic Cooperation

Economic cooperation between Pakistan and Iran is a crucial aspect of their bilateral relationship, laden with immense potential yet significantly constrained by various geopolitical and logistical challenges. Despite these hurdles, both nations are actively pursuing strategies to enhance trade, energy collaboration, and border connectivity.

Current State of Economic Cooperation (as of June 2025)

1. Trade Volume and Targets

• Current Figures: Bilateral trade between Pakistan and Iran has historically been modest, largely due to the impact of international sanctions on Iran and a lack of formal banking channels. In 2023, Iran's exports to Pakistan were approximately $943 million (primarily petroleum gas and refined petroleum), while Pakistan's exports to Iran stood at around $9.97 million (mainly construction vehicles and machinery). Some sources indicate the overall trade volume reached around $2-3 billion, with a significant portion likely being informal or barter trade.
• Ambitious Targets: Both governments have expressed a strong commitment to significantly boost bilateral trade. Pakistani Prime Minister Shehbaz Sharif, during his visit to Tehran in May 2025, reiterated the target of increasing bilateral trade to $10 billion in the coming years. This ambitious goal reflects the perceived immense, untapped potential for economic exchange between the two neighbors.

2. Trade Facilitation and Agreements

• Free Trade Agreement (FTA): Discussions for a Free Trade Agreement (FTA) are ongoing, which, if finalized, would be a significant step towards streamlining trade and reducing tariffs, thereby encouraging formal economic activity.
• Border Sustenance Markets: A key initiative to formalize and boost border trade is the establishment of border sustenance markets. The first such market was inaugurated in May 2023 at Pishin-Mand, and there are plans to establish a dozen more along the shared border. These markets are designed to facilitate legal trade, benefit local communities, and reduce reliance on informal or illicit channels.
• Reduced Business Visa Fees: Iran has assured Pakistan it would reduce business visa fees for Pakistani businessmen and facilitate trade activities to promote deeper economic cooperation, as agreed in February 2025. This aims to ease the movement of traders and foster greater interaction.

3. Energy Cooperation

• Iran-Pakistan (IP) Gas Pipeline ("Peace Pipeline"): This remains the most significant and most challenging energy project between the two countries. Iran has completed its portion of the pipeline (approximately 900 km) up to the Pakistani border. However, Pakistan's segment has faced severe delays primarily due to the threat of US sanctions.
  1. Current Status (June 2025): In early 2024, Pakistan approved the construction of an 80-kilometer segment of the pipeline from the Iranian border to Gwadar in Balochistan. This move was partly aimed at avoiding potential international arbitration and an $18 billion penalty from Iran for non-completion.
  2. Commitment to Resolution: During high-level meetings in May 2025, Pakistani Prime Minister Shehbaz Sharif and Iranian President Dr. Masoud Pezeshkian reaffirmed their commitment to an early resolution of the IP gas pipeline project through mutual consultations. This indicates a desire to find a way forward, despite the persistent challenge of sanctions.
• Electricity Supply: Iran currently supplies electricity to parts of Pakistan's Balochistan province, particularly the Makran region. This supply is crucial for meeting energy demands in these areas.

4. Areas of Potential Growth in Trade

• Iran's Exports to Pakistan

Iran’s export portfolio to Pakistan is heavily anchored by energy products, including liquid petroleum gas (LPG), electricity supplying border regions of Balochistan, and refined petroleum derivatives. Beyond raw energy inputs, Tehran exports significant volumes of industrial chemicals, polymers, building materials (such as tiles, bitumen, and cement), and fresh fruits (like apples and dates). There is immense, underutilized potential for Iran to scale up the direct export of petrochemical feedstocks, heavy machinery, and plastic raw materials needed for Pakistan’s domestic manufacturing sector. Transforming informal fuel trade into formal, regulated energy corridors through specialized border trade zones would drastically expand Iran's official export earnings while providing energy-starved Pakistani border districts with affordable power.

• Pakistan's Exports to Iran

Pakistan’s primary commercial exports to Iran are dominated by agricultural commodities, most notably long-grain Basmati rice, fresh fruits (like mandarins/kinnow and mangoes), meat, and sesame seeds, alongside paper products and textiles. However, substantial unmapped export potential exists in non-traditional sectors. Pakistan is uniquely positioned to fulfill Iran’s growing demand for high-quality pharmaceuticals, surgical instruments, light engineering equipment, sports goods, and value-added textile goods. Streamlining phytosanitary certification protocols, standardizing quality inspection standards at border terminals, and establishing dedicated cold-storage supply chains would enable Pakistani exporters to secure a significantly larger share of Iran’s consumer and medical markets.

• Complementary Economies

Trade relations between Pakistan and Iran benefit from a fundamental, structural synergy: their domestic production profiles are largely complementary rather than competitive. Pakistan excels in agrarian output, textile manufacturing, surgical tools, and consumer goods, whereas Iran possesses rich hydrocarbon reserves, an established heavy industrial base, and advanced petrochemical capabilities. This natural economic alignment allows both nations to meet critical domestic deficits without directly undercutting each other’s local industries. By formalizing barter trade mechanisms, establishing joint border industrial units, and optimizing local currency settlement agreements, Islamabad and Tehran can bypass external banking sanctions, leverage these structural complementarities, and unlock vast economic potential across the shared frontier.

5. Connectivity and Infrastructure

• Chabahar and Gwadar Ports: While often portrayed as rivals due to geopolitical narratives, officials from both sides have increasingly emphasized that Iran's Chabahar Port and Pakistan's Gwadar Port are complementary assets that can boost regional trade and connectivity for both nations and the broader region. Discussions have been held on improving port-based trade and establishing financial corridors between them.
• Road and Rail Links: Efforts continue to improve road and rail connectivity along the border to facilitate faster movement of goods and people.

Challenges to Economic Cooperation

1. US Sanctions on Iran

• Major Hurdle: This remains the single biggest obstacle to robust economic cooperation. The fear of secondary sanctions from the United States deters Pakistani banks, businesses, and foreign investors from engaging in large-scale formal trade with Iran.
• Lack of Banking Channels: The absence of reliable and formal banking channels makes it extremely difficult to conduct legitimate financial transactions, forcing trade into informal or barter mechanisms, which are less transparent and efficient. In January 2025, reports highlighted how Pakistani exports to Iran plummeted due to the unavailability of banking channels, with exports dwindling to a mere $20,000 in the last fiscal year.
• Impact on IP Pipeline: The threat of US sanctions directly impedes Pakistan's progress on the IP gas pipeline, despite its energy needs and the potential for a hefty penalty from Iran.

2. Border Security and Illicit Trade

The presence of militant and separatist groups along the shared border creates security concerns that disrupt trade routes and deter investment. Moreover, the challenges of formal trade have led to a flourishing informal and illicit trade, particularly in Iranian fuel and food items. While this provides livelihoods for some border communities, it leads to significant revenue losses for Pakistan and distorts official trade figures. The Iran-Israel conflict in mid-2025 further highlighted this, as border closures led to fuel and food shortages in parts of Balochistan heavily reliant on Iranian imports.

3. Bureaucratic and Logistical Barriers

Even without the overhang of international sanctions, cross-border trade between Pakistan and Iran remains severely choked by entrenched administrative complexities, non-tariff barriers, and cumbersome customs clearance mechanisms. Outdated border management systems, inconsistent tariff structures, and arbitrary inspection procedures at key crossings like Mirjaveh-Taftan cause chronic shipment delays, perishable goods spoilage, and high demurrage costs for traders. Furthermore, weak physical infrastructure, ranging from inadequate road and rail connectivity to a lack of cold-storage facilities and specialized banking channels at border zones, drives much of the commercial activity into informal or unofficial channels. Both Islamabad and Tehran increasingly recognize that unlocking the true potential of bilateral trade requires modernizing customs infrastructure, automating border protocols, establishing specialized border sustenance markets, and standardizing trade documentation. 

4. Global and Regional Geopolitics

The broader geopolitical landscape, particularly the heightened tensions stemming from the Iran-Israel conflict and regional rivalries, exerts significant indirect pressure on the pace and scope of Pak-Iran economic cooperation. For Pakistan, expanding trade and energy ties with Iran, such as advancing the long-delayed Iran-Pakistan (IP) gas pipeline or regional power grid integration, requires a delicate balancing act against its strategic partnerships with Western nations and Gulf monarchies, most notably Saudi Arabia, which provide critical financial bailouts, oil facilities, and investments. Additionally, volatile regional security dynamics, cross-border counter-terrorism friction along the Balochistan border, and broader Middle Eastern instability raise risk premiums for major infrastructure projects. Consequently, strategic alignment, diplomatic hedging, and external geopolitical developments frequently dictate whether bilateral economic initiatives stall or move forward. 

Future Outlook

Despite the significant challenges, Pakistan and Iran continue to demonstrate a strong political will to enhance their economic partnership. The renewed focus on the $10 billion trade target, the establishment of border markets, and the ongoing discussions on the IP pipeline indicate a pragmatic approach to overcoming obstacles. For substantial progress, Pakistan needs to carefully navigate the implications of US sanctions while exploring innovative mechanisms for trade, such as strengthening barter trade agreements or exploring currency swap arrangements to bypass dollar-denominated transactions. Enhanced security cooperation along the border is also vital to ensure the safety of trade routes and formalize economic activities. Ultimately, a stable and economically vibrant Pakistan-Iran relationship would not only benefit both nations but also contribute to greater regional stability and prosperity.

2-Security Cooperation

Security cooperation between Pakistan and Iran is a vital, yet complex, aspect of their bilateral relationship, driven by shared challenges along their extensive border but often complicated by geopolitical currents and historical mistrust.

Key Areas of Security Cooperation

1. Border Management and Security

• Shared Border Challenges: Pakistan and Iran share a nearly 900-kilometer (560-mile) porous border, predominantly traversing the volatile Balochistan region. This rugged, sparsely populated terrain is susceptible to extensive smuggling (drugs, arms, human trafficking) and the movement of various armed groups.
• Militant Groups: Both countries face threats from insurgent and militant groups operating across the border. Key among these are Baloch separatist organizations like the Balochistan Liberation Army (BLA) and the Balochistan Liberation Front (BLF), as well as Sunni extremist groups like Jaish al-Adl (JAA), which target Iranian security forces. Historically, both sides have accused each other of not doing enough to counter these groups or even providing sanctuary.
• Coordination Mechanisms: To address these challenges, Pakistan and Iran engage in regular discussions and coordination. This includes:
  • Joint Border Commissions: Periodic meetings between security officials and border forces to discuss issues, share intelligence, and plan coordinated operations.
  • Coordinated Patrols: While not always extensive, there have been instances and proposals for joint or coordinated patrols to enhance security along the border.
  • Intelligence Sharing: Both countries recognize the importance of sharing intelligence on the movements and activities of militant groups to prevent cross-border attacks.

2. Counter-Terrorism Efforts

• Mutual Threat: Both Pakistan and Iran have suffered from terrorism and extremism. They acknowledge that militant groups operating in the border region pose a threat to both their national security.
• Commitment to Eradication: Public statements from leaders on both sides consistently emphasize the mutual commitment to eradicate terrorism and deny terrorists any space to operate from their respective territories. During a meeting in Tehran in May 2025, Iran's Chief of Staff of the Iranian Armed Forces, Mohammad Baqeri, and Pakistan's Chief of Army Staff, Asim Munir, reiterated their "decisive determination" to fight terrorism along the shared border.
• Addressing "Gaps": Iranian officials, including Foreign Minister Seyed Abbas Araghchi in November 2024, have acknowledged "gaps" in coordination on border security and called for clear mechanisms to improve liaison and intelligence sharing to prevent cross-border terrorist attacks.

3. Maritime Security and Naval Cooperation

• Joint Naval Exercises: In a significant sign of growing military collaboration, Pakistan and Iran have increased their naval interactions. For instance, in January 2025, Pakistan and Iran conducted a joint naval exercise, "Passage Exercise," during the visit of Pakistani Navy ships to Iran's Bandar Abbas Port.
• Multilateral Drills: Iran's participation in Pakistan's multilateral naval exercise "AMAN-2025" in February 2025 was highlighted by Pakistan's Navy chief, Admiral Naveed Ashraf, as important for promoting regional cooperation and stability. This signifies a move towards enhancing interoperability and demonstrating a united front against maritime crimes.
• Discussions on Joint Production: During the January 2025 meeting between Pakistan's Army Chief and Iran's Chief of Staff, discussions reportedly included proposals for joint production of military equipment, signaling a potential deepening of defense industry collaboration.

Recent Developments and Dynamics (2024-2025)

• January 2024 Cross-Border Strikes: This incident, where Iran launched missile strikes into Pakistan (targeting Jaish al-Adl) and Pakistan retaliated with strikes into Iran (targeting Baloch separatist groups), was a severe test of their security relationship. While it led to a temporary diplomatic downturn (ambassadors recalled), the rapid de-escalation demonstrated a mutual understanding of the need to prevent further conflict. Both sides quickly moved to normalize ties, underscoring the importance of their security relationship despite the flare-up.
• Iran-Israel Conflict and Pakistan's Stance: The ongoing conflict between Iran and Israel has placed Pakistan in a delicate position. Pakistan has strongly condemned Israeli aggression against Iran, defended Iran's right to self-defense, and called for de-escalation through diplomatic means.
  • Border Closure: Pakistan temporarily closed five border crossings with Iran in Balochistan in June 2025, primarily due to concerns about security in the province if the conflict escalated and led to increased movement of armed groups across the porous border.
  • No New Military Pacts: While existing security coordination continues, Pakistan's Defense Minister Khawaja Asif stated in June 2025 that no new military cooperation had been initiated with Iran since the Israeli attacks, beyond the established border security framework. This indicates Pakistan's careful balancing act, avoiding direct military alignment in the broader Iran-Israel conflict while maintaining its core bilateral security engagement with Iran.
  • Mediation Role: Pakistan continues to emphasize dialogue and diplomacy, positioning itself as a potential mediator in the broader regional context.

Challenges to Deeper Security Cooperation

• Trust Deficit: Despite diplomatic engagements and joint border declarations, a lingering historical trust deficit continues to color Pak-Iran security relations. This friction stems from cross-border accusations regarding support for sectarian proxies and divergent strategic interests during key regional crises, particularly in post-Soviet and post-2001 Afghanistan. Historical rivalries, coupled with periodic border incidents, such as cross-border shelling, kidnapping of border guards, and targeted attacks by non-state actors, feed mutual suspicions. As a result, both capitals frequently view each other’s border security measures with hesitation, which slows the institutionalization of deep, high-level intelligence sharing and long-term military collaboration. 
• External Pressures: Pakistan’s crucial geostrategic and economic alignment with the United States and Gulf monarchies, particularly Saudi Arabia, places strict geopolitical boundaries on its security cooperation with Iran. Because Tehran remains locked in intense confrontation with Washington and Tel Aviv, and navigating complex dynamics with Riyadh, Islamabad must exercise delicate diplomatic hedging. Deepening defense ties or entering formal strategic security frameworks with Iran carries the immediate risk of inviting diplomatic friction, loss of economic aid, or secondary sanctions from Western powers. Consequently, Pakistan often keeps its security engagement with Iran transactional, low-profile, and strictly focused on immediate border management to avoid unsettling its primary financial and strategic partners. 
• Differing Priorities/Perceptions of Threat: Although both nations publicly commit to countering terrorism, their operational definitions and threat perceptions regarding specific insurgent groups are rarely aligned. Islamabad primarily views anti-Pakistan Baloch separatist factions operating from or taking refuge near the Iranian border, such as the Baloch Liberation Army (BLA) and Baloch Liberation Front (BLF), as its top national security priority. Tehran, on the other hand, focuses its security architecture on Sunni militant networks like Jaish al-Adl and Ansar Al-Furqan operating in Sistan-Baluchestan. This fundamental mismatch in threat hierarchy creates significant friction during joint operations, as each country often feels the other is not acting aggressively enough against the specific groups threatening its core national interests. 
• Porous Border Complexity: The roughly 900-kilometer shared frontier traversing the desolate terrain of Balochistan and Sistan-Baluchestan presents an extraordinary geographic and operational challenge to border security. The combination of rugged mountain ranges, vast desert expanses, and poorly demarcated lines makes comprehensive physical surveillance exceptionally difficult for both militaries. This administrative vacuum, combined with deep-rooted tribal networks spanning both sides of the border, creates ideal conditions for drug trafficking cartels, human smugglers, and mobile insurgent cells to exploit blind spots. Despite ongoing fencing projects and joint border patrols, the sheer remoteness of the region allows non-state actors to melt away into local populations, continuously destabilizing the border environment. 

3-Political and diplomatic engagement 

Political and diplomatic engagement forms the bedrock of Pakistan-Iran relations, enabling both nations to navigate complex regional dynamics, address bilateral challenges, and foster cooperation. Despite historical fluctuations and geopolitical pressures, there's a consistent effort to maintain open channels of communication and uphold diplomatic ties.

I. High-Level Visits and Exchanges

High-level political and diplomatic interactions are a hallmark of Pakistan-Iran relations, serving as crucial mechanisms for dialogue, decision-making, and reaffirming commitment to bilateral ties.

• Presidential and Prime Ministerial Engagements:
  • April 2024 (Pre-elections): The then Iranian President Ebrahim Raisi paid a significant three-day visit to Pakistan. This visit was particularly notable as it occurred shortly after the cross-border strikes in January 2024, demonstrating a rapid normalization and a shared desire to move past the brief military flare-up. President Raisi held talks with Pakistan's top leadership, including Prime Minister Shehbaz Sharif, emphasizing regional and bilateral relations, trade, and border security.
  • May 2025: Pakistani Prime Minister Shehbaz Sharif held a phone call with Iran's newly elected President Dr. Masoud Pezeshkian. This swift engagement after the Iranian presidential elections underscored Pakistan's commitment to maintaining close ties with the new Iranian leadership and discussing ongoing regional developments. Sharif also visited Tehran earlier in May 2025, where he expressed gratitude for Iran's support during Pakistan's conflict with India and discussed economic cooperation.
• Ministerial and Parliamentary Interactions:
  • June 2025: Pakistan's Senate Chairman Syed Yousuf Raza Gilani and Iranian Ambassador Dr. Reza Amiri Moghaddam held detailed discussions on the regional situation and strengthening bilateral relations. Gilani praised Iran's "effective strategy" in preventing further escalation of the conflict with Israel and reaffirmed Pakistan's strong condemnation of Israeli aggression.
  • Foreign Ministers and other key ministers from both sides regularly meet on the sidelines of international conferences and for bilateral consultations to review progress and address specific issues.

II. Bilateral Consultative Mechanisms

To ensure continuity and depth in their engagement, Pakistan and Iran have established various mechanisms:

• Joint Economic Commission (JEC): This body meets periodically to review progress on economic cooperation, discuss trade agreements (like the FTA), and identify new avenues for collaboration, particularly in energy and infrastructure.
• Joint Border Commissions: These commissions bring together security officials and border management authorities to address issues of border security, counter-smuggling, and prevent the movement of militant elements.
• Strategic Dialogues: Regular strategic dialogues between foreign policy experts and security officials help in understanding each other's perspectives on regional and global issues and coordinating responses where possible.

III. Cooperation in International and Regional Forums

Both Pakistan and Iran are active members of several international and regional organizations, where they often coordinate positions on issues of mutual concern:

• Economic Cooperation Organization (ECO): Both are founding members of ECO, a ten-member intergovernmental regional organization established for the promotion of economic, technical, and cultural cooperation among its member states. They actively participate in ECO summits and ministerial meetings.
• Organization of Islamic Cooperation (OIC): As prominent Muslim-majority nations, Pakistan and Iran play significant roles in the OIC. They frequently voice concerns on issues affecting the Muslim Ummah, such as the Palestinian cause and Islamophobia, often aligning their diplomatic efforts.
• United Nations (UN): Both countries actively participate in UN forums, advocating for their respective national interests and often collaborating on resolutions related to peace, security, and development. Pakistan, as a non-permanent member of the UN Security Council, has recently played a crucial role in condemning Israeli and US strikes on Iran and emphasizing Iran's right to self-defense under Article 51 of the UN Charter.

IV. Pakistan's Mediation Efforts and Balancing Act

Pakistan has consistently sought to play a constructive role in de-escalating tensions in the broader Middle East, often attempting to mediate between Iran and its regional rivals.

• Iran-Saudi Arabia Mediation: Pakistan has historically offered its good offices to mediate between Iran and Saudi Arabia, recognizing that regional stability is crucial for its own security and economic interests. While these efforts have had mixed success, they underscore Pakistan's desire to foster peace in the Muslim world. Saudi Crown Prince Mohammed bin Salman also reportedly played a significant role in defusing tensions between Iran and Israel in mid-2025, with Prime Minister Shehbaz Sharif confirming a detailed phone conversation with him on the matter.
• Iran-Israel Conflict (June 2025): The recent escalation of tensions and military exchanges between Iran and Israel placed Pakistan in a delicate yet significant diplomatic position.
  • Strong Condemnation of Attacks: Pakistan unequivocally condemned Israeli and US strikes on Iranian nuclear facilities and military infrastructure, stating that these actions constituted a "serious violation of international law" and posed a risk of dangerous escalation.
  • Support for Iran's Self-Defense: Pakistan firmly stated Iran's "legitimate right to self-defense" under Article 51 of the UN Charter, a stance reiterated by its Deputy Prime Minister and Foreign Minister Ishaq Dar, and Prime Minister Shehbaz Sharif in calls with Iranian President Pezeshkian.
  • Calls for De-escalation and Diplomacy: Pakistan has consistently urged all parties to exercise restraint, avoid further escalation, and resolve tensions through dialogue and diplomacy. This position was conveyed by Prime Minister Sharif to both President Pezeshkian and US Secretary of State Marco Rubio in separate phone calls.
  • Role as a Mediator/Facilitator: Prime Minister Sharif mentioned that Iran had expressed "rare gratitude" to Pakistan's political and military leadership for their constructive role during the recent conflict, suggesting Pakistan's diplomatic efforts, including consultations by Army Chief Asim Munir with US President Trump, were appreciated in Tehran. Pakistan has reaffirmed its commitment to playing a "constructive role for peace" as a member of the UN Security Council and in forums like the OIC.
  • Rejection of Misinformation: Pakistan also actively refuted false claims, such as those suggesting it offered nuclear support to Iran, reaffirming its policy of nuclear restraint and its commitment to international non-proliferation norms.

V. Challenges and Opportunities in Political and Diplomatic Engagement

Challenges

• Sectarian Dynamics

Historical instances of sectarian proxy conflicts and the overarching Iran-Saudi Arabia regional rivalry continue to cast a subtle shadow over bilateral political relations. While Pakistan maintains a strict policy of non-alignment in Middle Eastern cold wars, domestic sectarian sensitivities and external regional rivalries require constant diplomatic recalibration. The challenge lies in ensuring that external sectarian divides do not spill over into bilateral diplomatic communication or undermine domestic socio-political stability within Pakistan.

• External Pressures

Pakistan's deep strategic, economic, and security ties with the United States and Gulf nations, coupled with strict international financial sanctions on Tehran, frequently constrain the operational scope of Pak-Iran political and economic initiatives. Unilateral U.S. sanctions and FATF compliance requirements act as a significant deterrent against large-scale state-to-state economic projects, such as the Iran-Pakistan (IP) gas pipeline. Consequently, Islamabad is often forced to navigate a precarious diplomatic tightrope, balancing its energy imperatives against the threat of secondary economic penalties from Western financial networks.

• Differing Regional Approaches

Despite overlapping interest areas, divergent strategic alignments present ongoing diplomatic hurdles. Tehran's historic cooperation with New Delhi, particularly regarding the development of India's commercial presence at the Chabahar Port, creates strategic anxiety in Islamabad regarding potential Indian intelligence footprint near the Balochistan border. Conversely, Pakistan's deep-rooted strategic alignment with China and its close military ties with Gulf states introduce distinct regional priorities. Additionally, while both nations seek a stable Afghanistan, their tactical approaches toward the Taliban administration and regional security management do not always perfectly align.

• Historical Trust Deficit

While recent high-level diplomatic visits and crisis-management channels have stabilized relations, historical friction points continue to linger in institutional memory. Traumatic historical episodes, such as the 1998 Mazar-e-Sharif crisis in Afghanistan or recurring cross-border insurgent attacks in Balochistan and Sistan-Baluchestan, have left structural traces of skepticism within security establishments on both sides. Overcoming this inertia requires continuous diplomatic reassurance, transparent intelligence sharing, and consistent institutional engagements to build enduring strategic trust.

Opportunities

• Shared Interest in Regional Stability

A peaceful, stable neighborhood serves as a foundational driver for sustained political cooperation between Islamabad and Tehran. Both nations face direct national security risks from instability in post-American Afghanistan, including cross-border terrorism, narcotics smuggling, human trafficking, and massive refugee inflows. By institutionalizing joint security intelligence and coordinating regional diplomatic stances regarding Afghan stabilization and border management in Balochistan, both capitals can transform shared vulnerabilities into a durable framework for regional peace.

• Economic Diplomacy as a Strategic Bridge

The ambitious target to scale bilateral trade to $10 billion, alongside the operationalization of border sustenance markets, provides a tangible, interest-driven agenda for high-level political dialogue. Leveraging economic diplomacy through institutionalized barter trade mechanisms, local currency settlement systems, and border market hubs offers a viable route to bypass international financial sanctions. Transforming the shared border from a security friction point into a commercial corridor creates mutual economic stakes that insulate broader diplomatic relations from external pressures.

• Multilateral Coordination in Regional Forums

Active, synchronized participation in regional and international organizations, such as the Economic Cooperation Organization (ECO), the Organization of Islamic Cooperation (OIC), and the Shanghai Cooperation Organisation (SCO), provides a powerful platform to amplify shared diplomatic priorities. Coordinated positions on global issues, Islamic solidarity, counter-terrorism, and regional economic integration allow both nations to project a unified front, enhance their bargaining leverage in international politics, and strengthen bilateral diplomatic alignment.

• Pakistan's Mediation and Bridge-Building Capacity

Pakistan occupies a unique geopolitical position as a nation that maintains robust diplomatic and military ties with Saudi Arabia and Western nations while sharing an extensive physical border and historical relationship with Iran. This positioning enables Islamabad to act as a valuable diplomatic bridge and de-escalation channel during times of heightened Middle Eastern tensions. By facilitating dialogue, mitigating regional friction, and supporting broader normalization efforts, Pakistan can elevate its diplomatic standing as a responsible regional peace-builder while securing its own national security interests.

3.5-Month Extensive Compulsory Subjects Course for CSS Aspirants

Struggling with CSS Compulsory subjects? Crack Pakistan Affairs, Islamiat, GSA & Current Affairs in just 3.5 months with Howfiv’s expert-led course. New batches every April, August & December! Secure your spot now – WhatsApp 0300-6322446!

Join Now

Advertise with Us

VI- Conclusion

The bilateral relationship between Pakistan and Iran remains a complex tapestry of shared history, ideological divergences, and pragmatic cooperation. While early post-independence solidarity gave way to strategic friction following the 1979 Revolution and the Soviet-Afghan War, modern realities have compelled both nations toward calculated, functional alignment. Persistent structural barriers, most notably third-party US sanctions, non-functional banking channels, and border insurgencies by non-state actors, continue to constrain formal trade and infrastructure projects like the Iran-Pakistan Gas Pipeline. However, rapid diplomatic de-escalations, such as the resolution of the January 2024 cross-border strikes, combined with evolving military-to-military engagement and local economic initiatives like border sustenance markets, demonstrate a mutual recognition that regional stability is paramount. Moving forward, sustaining a resilient partnership will depend on converting shared security concerns along their 900-kilometer border into institutionalized cooperation while leveraging economic synergies between Gwadar and Chabahar to navigate broader geopolitical shifts.