CPEC to play vital role in sustainable & inclusive growth of Pakistan economy: Minister Zaidi

Islamabad   –  China is poised to become leading foreign investor in Pakistan after the government recently decided to grant special incentives to the Chinese investors to expedite industrialisation in the country.

Background discussions with industry sources revealed that China would be leading in making investment in Pakistan, which has unveiled special concessions for the Chinese investors.

These concessions largely include two years business visas and priority to the Chinese investment companies through one window operation.

Pakistan on Friday launched commercialisation of ‘Rashakai Special Economic Zone (RSEZ)’ project under CPEC where China’s enterprise Century Steel Private Limited would make 366 million dollars investment.

Chinese private companies would also be encouraged to make investment in other Special Economic Zones being developed under the CPEC across Pakistan.Interestingly, Rashakai Special Economic Zone (RSEZ) because of its strategic location would ultimately link CPEC to Afghanistan. “Negotiations with Afghan authorities are underway in this connection”, a senior government official confided to The Nation.

He pointed out that trade and investment ties between Pakistan and China would usher a new era development, prosperity and regional connectivity as the flagship of President Xi Jinping’s visionary Belt and Road Initiative (BRI).

The official further said that China Export and Credit Insurance Corp (SINOSURE) would also play key role in industrialization of Pakistan.

When asked about the mode of investment by the Chinese companies, the official said that joint ventures between the private sectors of the two countries would be encouraged for the transfer of latest technology to Pakistan.

With private sector investment, process of industrialization in Pakistan would be bolstered in addition to creation of jobs and boost in Pakistan’s exports.

A Chinese company has also unveiled plan to set up a “Pakistan-China Chilli Industrial Park” in Lahore or Karachi, and the project is under planning stage.

Pakistan has also signed a number of agreements with Chinese government to benefit from its expertise in agriculture and number projects under the planning stage.

Experts believed this bilateral cooperation would also give tremendous boost to Pakistan’s agriculture sector, which despite being in shambles encompasses 25 per cent of country’s GDP.

Under the flagship China Pakistan Economic Corridor (CPEC) project, China has so far invested 13 billion dollars and would be investing 12 billion dollars more over the next few years.

Chinese investment under the CPEC has largely been on infrastructural in energy and road connectivity.