ISLAMABAD, Aug 24: Pakistan and Afghanistan pledged on Tuesday to take part in a regional electricity grid, remove irritants in the Afghan Transit Trade (ATT) and stop cross-border smuggling to enhance bilateral trade and economic relations.

Afghan Finance Minister Mohammad Ashraf Ghani along with Commerce Minister Syed Mustafa Kazemi called on Finance Minister Shaukat Aziz to discuss matters related to the ATT, bilateral trade and expansion of cooperation in economic and social sectors.

The two sides agreed to enhance cooperation and facilitate each other in solving common issues. The Afghan side showed its keenness to build railway link between Chaman and Kandahar via Spin Boldak. They indicated that Afghanistan was making efforts to mobilize financial support from international donors for the project.

The visiting delegation also requested for building a small airport at Khost out of the $100 million grant allocated for Afghanistan by Pakistan. They requested to build a road between Ghulam Khan and Spin Boldak, so that a third border point between Pakistan and Afghanistan can be quickly put to operations.

The Afghan side indicated that they were establishing a power grid station with Central Asian Republics in the north, which would supply power to Kabul with the possibilities of its extension in the South.

The team members said Pakistan could join the power grid station project. The Afghan side said that the Mazar Sharif-Herat ring road was near completion which would enable Pakistan quick access to the Central Asian Republics.

Mr Aziz said Pakistan was keen to strengthen bilateral economic relations between the two countries. He expressed satisfaction over the growth of both transit and bilateral trade to Afghanistan.

The bilateral trade was likely to reach a billion dollar during the current calendar year. He assured the Afghan officials that Pakistan remained committed to remove all irritants in the ATT and all agencies of the government were under instructions to facilitate the process.

He said Pakistan would be happy to consider the requests for building an airport at Khost and the Ghulam Khan-Spin Boldak road. About the rail link, he said pre-feasibility report was ready and as soon as donors support was firmed up, detailed feasibility study would be under taken.

He said Pakistan would be keen to participate in the regional power grid station so that additional power could be made available. Mr Aziz welcomed the ring road between Mazar Sharif and Herat because it would facilitate quicker link between Pakistan and Central Asian states.

He also welcomed the ban on import of right-hand vehicles in Afghanistan and urged that the ban on betel nuts should also be imposed. Mr Aziz informed the Afghan side that X-ray machines to facilitate the customs clearance process were starting to come in and installed and it would significantly improve the clearance process of the ATT.

He expressed satisfaction on the air links between the two countries and the working of National Bank and the Habib Bank in Afghanistan. The minister urged for early opening of new border points between so that trade and investment could be improved.

They agreed to consider opening of commercial counsellors in their respective consulate generals. Furthermore, it was also agreed to hold meeting of officials on the border points on a fortnightly basis.

It was agreed that a bilateral transportation agreement would be negotiated to facilitate the movement of trucks across the border and that the work ongoing projects in health, education and communications sectors would be expedited out of the Pakistani grant. The two countries resolved to check smuggling of drugs and illegal timber across the border.

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