ROME, July 14: Islamabad and Rome on Thursday signed two agreements to promote small and medium business in Pakistan and strengthen economic and diplomatic ties between the two countries. Under the one pact, Italy will give a grant of 7.7 million Euros to promote small and medium enterprises. Prime Minister Shaukat Aziz and his Italian counterpart were present when the pacts were signed after their meeting.

“There was commonality of views on the UN reforms. Both countries share the same views,” an official spokesman told reporters while briefing them about the hour-long meeting between Prime Minister Shaukat Aziz and his Italian counterpart Silvio Berlusconi here.

Foreign Minister Khurshid Mehmood Kasuri, Minister for Privatisation Hafiz Sheik and Minister for Information and Broadcasting Sheik Rashid Ahmad witness the signing.

He said Prime Minister Aziz told his Italian counterpart that a strong and stable Afghanistan was in Pakistan’s interests. He said that the world should help accelerate the reconstruction process in Afghanistan and also help eradicate poppy cultivation.

“Afghanistan is strategically important for Pakistan,” he quoted the prime minister as telling Mr Berlusconi.

He said the prime minister called for a long-term strategy to stabilize the political system in Iraq in which all segments of the society would have representation. Pakistan strongly believed in the territorial integrity of Iraq, he quoted the prime minister as saying.

Prime Minister Aziz renewed his invitation to Mr Berlusconi to visit Pakistan and said Islamabad looked forward to a strategic partnership with Italy. “We want strategic economic ties with Italy,” he quoted Mr Aziz as saying.

He said the Italian prime minister agreed and held out assurance that he would look into the possibility of relocating some industries to Pakistan for outsourcing their products.