KARACHI, Oct 23: A Saudi company has agreed to import 1,000 CNG buses for Karachi and help the city government complete its five projects.

An agreement to this effect was signed here on Thursday by the City Nazim, Niamatullah Khan, with the SAS Gulf Group International Pakistan, represented by its chairman Sheikh Mohammad Fahad Ramzani Al- Naimi, a Qatari national, and Mohammad Humayun Khan, managing director of the firm.

Under the agreement, the company has agreed to import 1,000 brand new CNG buses to Karachi for operating them on a mutually agreed fare.

The company has also agreed to consider possibility of establishing a manufacturing plant of buses in Karachi.

The city government agreed to allow import of buses under the policy of Urban Transport Scheme already in vogue in the metropolis. Cost of import will be borne by the company.

The Saudi company has also agreed to cooperate with the city government in the five other development projects in the city.

These projects include recycling and treatment of sewage treatment plant at Mauripur; desalination plant; housing projects, including low-income housing around Karachi northern bypass and coastal area; Mass Transit system for five corridors (excluding corridor No.1), including extension in other areas; and Karachi Circular Railway.

According to a memorandum of understanding signed with the City District government, the SAS Gulf Group International will also provide 100 per cent financing and technology transfer and technical support to the city government.

It has also agreed to pay percentage of net profit to the City District Government on a long term joint venture basis for projects listed as may be mutually agreed.

It has also agreed to assist in study for planning and designs of all projects as mutually agreed whereas the city district government has agreed to provide land for the five development projects identified above.