ISLAMABAD, Jan 3: Board of Directors of Saudi Pak Industrial and Agricultural Investment Company limited approved a total financing of Rs506 million to seven companies in manufacturing, communications and financial sectors.

According to a statement issued here the approval was made in the 93rd Board of Directors meeting held at Dubai on Sunday under the Chairmanship of Dr. Abdullah T. Al-Thenayan, who is also Director General of Arab Company for Livestock Development, Kingdom of Saudi Arabia.

The companies in the manufacturing sector belong to energy, textile, oil and electronics industries. The financing will facilitate expansion of existing production facilities besides setting up new projects. The projects financed by Saudi Pak will generate new employment opportunities and add value to gross domestic product.

Since inception Saudi Pak has provided financing facilities of Rs27,916 million, which includes equity investment of Rs2,456 million, and term financing of Rs22,784 million.

Furthermore, the underwriting of public issues of shares and guarantees has also been provided for a total amount of Rs2,676 million. Saudi Pak, a joint venture of Saudi Arabia and Pakistan, is playing an important role in promoting brotherly relations between the peoples of the two countries.

It is committed to accelerate industrial development in Pakistan by providing loans and investment facilities to industrial projects sponsored by private sector. Its financing is spread over all the key economic sectors including chemicals, engineering, textile, cement, petroleum and communications, etc.

The projects financed by Saudi Pak are located throughout the country. The paid up capital of the company is Rs2 billion held in equal proportion by the Saudi Arabia and Pakistan. The board expressed satisfaction over the role performed by Saudi Pak in promoting growth of industrial sector in Pakistan.