Saudi fast food chain Al Baik coming to Pakistan

Rating Justification

The iVerify Pakistan team has reviewed this content and determined that it is misleading.

The iVerify Pakistan team reviewed the official press releases and referred to the terms of the memorandum of understanding (MoU) terms shared by the government.

Posts circulating on social media since October 10, 2024, claimed that Saudi fast food chain Al Baik was set to open its branches in Pakistan. However, the MoU signed between the chain’s owner and a Pakistani firm said it would merely “explore the possibility” of Al Baik establishing a partnership to operate in Pakistan.

A Saudi delegation arrived in Pakistan on October 9. The delegation signed 27 MoUs with Pakistan, with one being between Al Baik Food System Company and Gas and Oil Pakistan Ltd under the Saudi Ministry of Investment.

The signing ceremony was held under the patronage of Saudi Minister of Investment Engineer Khalid Al-Falih with high-ranking delegations from both Saudi and Pakistani sides in attendance.

HOW IT STARTED

After the MoU was signed on October 10, X was abuzz with the news of the famous fast-food chain coming to Pakistan.

Users on X were found to be talking about Al Baik’s MoU with posts by digital media outlets Startup Pakistan and Urdu Point going viral.

A post dated October 11 by Startup Pakistan on X shared a news graphic with the title: “Saudi fast food giant Al Baik soon coming to Pakistan”. The post gained over 10,000 views.

Meanwhile, the caption read: “Memorandum of Understanding (MoU) has been signed between Saudi Arabia’s Al Baik Food System Company and Gas and Oil Pakistan Ltd (GO) to explore expansion opportunities for the renowned Saudi fast food chain in Pakistan.”

Similarly, Urdu Point posted a video on October 12 featuring montages of Al Baik’s franchises with a voiceover artist detailing the history of the fast food chain and details of the MoU.

The title and the caption of the news video read, “Famous Saudi food chain Al Baik has come to Pakistan. Where is it opening its branches?”

The post received 4,807 views on X.

The alleged development was also widely shared by other users and accounts on X as can be seen here, here and here with over 81,000 views collectively.

Posts by digital media outlets Verified Pakistan, MangoBaaz and Dialogue Pakistan on Facebook also gained over 20,000 likes collectively.

METHODOLOGY

A fact check was initiated to determine the veracity of the claim due to its virality and significant public interest in the development due to the chain’s popularity.

A keyword search for “Al Baik”, “partnership” and “Pakistan” led to a news story published by the state-run Associated Press of Pakistan titled “Al Baik, GO Ink Strategic Partnership to Bring Saudi Expertise to Pakistan”.

According to the report, an MoU was signed between Saudi Arabia’s Al Baik Food System Company and Gas and Oil Pakistan Ltd (Go), under the Saudi Ministry of Investment.

“The agreement is aimed at exploring the possibility of establishing a strategic partnership to set up and operate Al Baik restaurants in Pakistan, aligning with Saudi Vision 2030 to expand Saudi brands globally,” the report said, clearly stating that the agreement was regarding exploring potential opportunities and did not definitively confirm that the chain would open stores in Pakistan.

Regarding the nature of MoUs, Georgia Tech defines them as “formal but non-binding agreements between parties that outline roles, intentions, and objectives without creating legal obligations or liability for non-compliance.”

Unlike contracts, MoUs are not legally enforceable, do not involve financial commitments and rely on mutual cooperation instead of legal dispute resolution.

Similarly, Harvard University defines MoUs as agreements between two or more parties or institutions that are not legally binding but document each party’s expectations or intentions.

Moreover, an interview on October 10 by Waseem Abbasi, the head of news at digital media platform WE News, of Al Baik CEO Rami Abu Ghazalah was posted by the outlet.

Abbasi asked the CEO when Al Baik would be coming to Pakistan to which Abu Ghazalah did not give a definitive answer or timeline. Instead, replied with “God willing” and that the company was still in the survey stage.

FACT-CHECK STATUS: MISLEADING

The widespread claims that Saudi fast food chain Al Baik is opening its branches in Pakistan are misleading.

The company is only exploring the opportunity of opening branches in Pakistan at the moment, something which might or might not pan out. The chain’s CEO himself did not give a definitive answer on the topic and said the company was still surveying.

To present the MoU signed as an agreement or contract or deal has the potential to misguide the public by giving the wrong impression about what document has been signed and what it entails. The outlets sharing the alleged claim also shared the part about the chain merely exploring opportunities at this time and yet they still went ahead with sharing the news as Al Baik coming to Pakistan, which is not the case.

Evidence and References

October 11, 2024, Associated Press of Pakistan report:
https://www.app.com.pk/national/al-baik-go-ink-strategic-partnership-to-bring-saudi-expertise-to-pakistan/

Definition of MoU by Georgia Tech: https://generalcounsel.gatech.edu/legal-affairs/memorandums-understanding-mous#:~:text=Legal%20Affairs&text=A%20Memorandum%20of%20Understanding%20

Definition of MoU by Harvard University:
https://hcsra.sph.harvard.edu/memorandum-understanding-mou#:~:text=A%20memorandum%20of%20understanding%20

October 10, 2024, WE News X post:
https://perma.cc/PNH8-BNPX