PESHAWAR, Nov 8: The NWFP chapter of Smeda, the Industrialists’ Association of Peshawar (IAP) and the US Consulate jointly organised a seminar on "Venture capital: a source of funding for industries in the NWFP" at the FAST University in Hayatabad on Wednesday.

Representatives of the IAP, the largest body of industrialists in the NWFP, executive members of the Sarhad and Mardan Chamber of Commerce and Industry and industrialists from all over the province attended the seminar. US Commercial Counsellor Michael Abel and representatives of the RTG Group were also present on the occasion. Josh Miller, economic secretary, US consulate, was the guest speaker.

Mr Miller delivered a presentation and explained the concept of venture capital. He said that capital was the most important requirement for growth of any business and venture capital was the most effective mode of attracting foreign investment to the local business.

He said that the concept was new for Pakistan and with the support of businessmen and the government, it could help in attracting foreign investments in the country.

Mr Miller added that the business environment and law and order situation in the NWFP were conducive for foreign investment.

IAP president Nauman Wazir hailed the concept of venture capital and said that it could help in industrial development of the province. He added that concept of venture capital was different from bank loans and other modes of financing as it did not involve any mark up or interest.

“Venture capital provides funding for business without any collateral and is based on the principle of profit/loss sharing and is therefore complaint with Islamic principle of financing,” he said and added that the concept would help the NWFP in promoting Islamic mode of financing. He appreciated Smeda and US consulate for organising the event and said that Smeda and the IAP would jointly work for promotion of the idea to ensure maximum benefits for the industrialists of the province.