Qatar’s powerful Al-Thani Group, a key investor linked to the country’s ruling family, is preparing to withdraw from Pakistan’s Port Qasim Power Project, a flagship component of the China–Pakistan Economic Corridor (CPEC), amid growing frustration over unpaid dues and Pakistan’s worsening financial instability.
According to a report by Business Recorder, the Al-Thani Group’s decision stems from Islamabad’s continued failure to clear hundreds of millions of dollars in outstanding payments owed to the project’s developers. The group had earlier approached Prime Minister Shehbaz Sharif, urging immediate repayment, but Qatar’s requests reportedly went unheeded.
The move underscores a larger exodus of multinational firms from Pakistan, driven by payment defaults, currency volatility, and the state’s poor fiscal management. Over the past four years, at least nine major foreign corporations have exited the country, reflecting growing unease among international investors over Pakistan’s financial credibility.
The $2.1-billion Port Qasim Power Project, located east of Karachi, was developed as a joint venture between Qatar’s Al-Mirqab Capital — the investment arm of the Al-Thani family — and China’s Power Construction Corporation. The Qatari investors hold a 49 percent stake, contributing over $1 billion to the project, while the Chinese partner retains a controlling interest.
However, the project has been plagued by chronic delays in payments from Pakistan’s Central Power Purchasing Agency Guaranteed (CPPAG), the state body responsible for settling dues with independent power producers. Outstanding arrears across Pakistan’s energy sector are estimated at around PKR 400 billion (approximately $1.4 billion), reflecting a deepening liquidity crisis.
Pakistan’s financial situation continues to deteriorate. As of late October 2025, the country’s foreign exchange reserves hover near $14.5 billion — barely sufficient for three months of imports. Mounting external debt, weak export performance, declining remittances, and persistent political turmoil have compounded the crisis, forcing Islamabad to depend on successive bailouts from the International Monetary Fund (IMF) and other lenders.
The potential exit of the Al-Thani Group — one of the Middle East’s wealthiest dynasties, with a collective fortune exceeding $335 billion — marks a significant setback for Pakistan’s efforts to retain foreign investment. The family, which has ruled Qatar since the mid-19th century, controls vast global assets including stakes in luxury brands, prime London and Manhattan properties, and strategic holdings through Al-Mirqab Capital.
If the group proceeds with its divestment, it would deal another blow to Pakistan’s energy infrastructure and further erode confidence in CPEC, which has already faced delays, stalled projects, and rising Chinese apprehension over financial returns. The development reflects a growing perception that Pakistan’s chronic payment defaults and fragile economy are driving even its most strategic allies to reconsider their commitments.
