Bangladesh and Pakistan are deepening bilateral engagement after years of limited contact, yet an analysis by Daily Waadaa raises pointed questions about the tangible benefits Dhaka stands to gain — particularly given a persistent trade imbalance and unresolved historical grievances. The renewed relationship, while symbolically significant, is yet to translate into measurable economic gains for Bangladesh.

Renewed Ties on the Surface

Recent months have witnessed a notable uptick in bilateral exchanges. Pakistan's national carrier has expanded connectivity, vessels from Karachi now regularly dock at Chattogram, and scholarship programmes have been launched. Official and private-sector delegations have travelled in both directions, signalling a warming of relations that had long been constrained by historical tensions rooted in the 1971 Liberation War.

The Trade Imbalance Problem

However, the underlying trade figures reveal a stark asymmetry. According to State Bank of Pakistan data cited in the analysis, Pakistan's exports to Bangladesh stood at $67.2 million in fiscal year 2025–26, reflecting an approximately 11-to-1 trade ratio in favour of Pakistan — compared to $71.6 million in the preceding year. Much of Pakistan's export basket to Bangladesh comprises cotton and textile raw materials, sectors that have grown more competitive following the sharp depreciation of the Pakistani rupee.

This comes amid a pattern that analysts say has consistently disadvantaged Dhaka. Bangladesh enjoys a dominant position as a supplier of raw jute and jute yarn — products Pakistan imports almost entirely from Bangladesh — yet significantly higher duties are imposed on value-added jute products, effectively restricting Bangladesh's access to deeper market segments. Industry representatives reportedly attribute a sharp decline in Bangladesh's jute earnings from Pakistan to this tariff structure.

Asymmetric Ambitions

The analysis also flags an imbalance in publicly stated trade ambitions. Pakistan has articulated goals of substantially raising its exports to Bangladesh, while no comparable target has been outlined for Bangladeshi exports into the Pakistani market. Critics argue this signals a transactional rather than reciprocal approach to the relationship, with Islamabad seeking market access without an equivalent commitment to opening its own doors.

Digital and Institutional Cooperation: A Silver Lining

Beyond trade, the report identifies potential value in digital and institutional cooperation. While Bangladesh has performed strongly on several international digital indicators, Pakistan has made notable progress in linking financial institutions, digital wallets, and government services through shared platforms. According to the analysis, such technological and institutional collaboration could ultimately offer Bangladesh greater long-term value than merchandise trade alone.

What Dhaka Must Weigh

The analysis cautions, however, that Bangladesh will need to carefully balance any prospective gains against a set of complicating factors: unresolved historical disputes, persistent market access concerns, and domestic political sensitivities that continue to shape public and policy discourse around the relationship. For Dhaka, the strategic calculus involves navigating the expectations of a citizenry for whom 1971 remains a live issue, while pursuing economic pragmatism. How Bangladesh manages this tension will likely determine whether the current diplomatic thaw yields durable outcomes or remains largely symbolic.