Pakistan, June 5 -- A potential US-Iran peace agreement could generate economic benefits worth up to $20 billion for Pakistan, according to a KTrade Securities report. The study identifies Pakistan as a major beneficiary of improved regional stability and restored trade routes. Businesses, exporters, investors, and energy consumers could all gain from a reduction in geopolitical tensions.

The report says a phased settlement between Washington and Tehran could normalize traffic through the Strait of Hormuz and improve Pakistan's economic outlook. It projects stronger foreign exchange reserves, lower inflation, and improved trade flows with Gulf countries. Analysts estimate Pakistan could recover nearly $4 billion in exports to GCC markets...