EXCLUSIVE: Pakistan’s urgent diplomacy amid US-Iran tensions reveals deep economic, strategic fears

Amid rising tensions between the United States and Iran following stalled talks in Islamabad, Pakistan has launched an unusually intense diplomatic outreach, signaling growing anxiety over the fallout of a potential regional conflict. Prime Minister Shehbaz Sharif’s visit to Saudi Arabia and Army Chief Asim Munir’s parallel trip to Tehran highlight Islamabad’s urgent efforts to position itself as a mediator. The lack of progress in negotiations has triggered renewed rhetoric between Washington and Tehran, increasing fears of escalation in West Asia. For Pakistan, the stakes are exceptionally high. The country’s fragile economy, already under pressure from inflation and dwindling foreign reserves, is highly vulnerable to rising oil and gas prices. Former minister Fawad Chaudhry has openly acknowledged that surging energy costs could severely impact Pakistan’s middle class and overall stability. Strategically, Pakistan faces a delicate balancing act. Its longstanding ties with Saudi Arabia contrast with its geographic and political proximity to Iran. Any escalation could force Islamabad into choosing sides, risking diplomatic isolation or internal backlash. Meanwhile, the military’s dominant role in decision-making further complicates the country’s foreign policy direction. Beyond mediation efforts, Pakistan is also attempting to reshape its global image from a security-challenged state to a responsible diplomatic actor. However, skepticism remains high internationally. As regional tensions deepen, Pakistan’s push for ceasefire reflects not just diplomacy, but an urgent bid to avoid economic collapse and strategic marginalization.