• Sarina Zainab Shirazi
  • Dr. Abdul Sattar
  • Dr. Qazi Abdul Subhan


International Trade, South Asian Free Trade Agreement, Gravity Models


This paper empirically investigates the effect of various trade-related macroeconomic variables, regional trade agreements and common border effects on overall trade of Pakistan, India, and Sri Lanka. The study utilizes trade data for the period of 1985-2015 to assess the bilateral trade aspects through the use of extended gravity equation. The empirical findings are consistent with the gravity model estimates conducted by earlier studies with mild deviances experienced due to the sensitive items lists and geo-political dynamics prevailing in the region. Overall, the results reflect that the mass of the trading partner, distances, existence of regional trade agreements and common borders are significant while analyzing trade flows among trading partners. These findings are of utmost importance in the context of trade route initiatives by Asia in general, and Pakistan’s newly appointed political leadership in particular.

Author Biographies

Sarina Zainab Shirazi

Sarina Zainab Shirazi is Assistant Professor at the Bahria University, Islamabad Campus. Ms. Shirazi is an avid researcher and can be contacted via email at

Dr. Abdul Sattar

Dr. Abdul Sattar is currently working as Associate Professor at the Bahria University, Islamabad Campus. His email is

Dr. Qazi Abdul Subhan

Dr. Qazi Abdul Subhan is associated with the Bahria University, Islamabad Campus as Assistant Professor. Dr. Subhan can be reached at


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