August 29, 2007	Wednesday	Sha’aban 15, 1428

KARACHI, Aug. 28: Foreign Minister Khurshid M. Kasuri has said the foreign policy of Pakistan with a focus on the role of economic diplomacy was need of the time.This he said while addressing the members of Karachi Chamber of Commerce and Industry here on Tuesday.

The foreign minister said the present government’s vision was to develop Pakistan as a modern, progressive, moderate and forward looking Islamic welfare state with stable democracy, strong national defence and a knowledge-based economy.

Pakistan today has all the attributes of a modern emerging economy, with a clear sense of direction and commitment to maintain a stable and peaceful environment, internally as well as externally, he said.

He said that the foreign policy was essentially shaped and underpinned by national security concerns and well-being of the people of Pakistan.

Within these parameters, our primary objective is to safeguard the country’s independence, sovereignty and territorial integrity and to strive for promoting political, economic and trade relations with other countries and project true image of the country in the international community.

He said the country’s strategic location not only offered immense opportunities but also posed enormous challenges.

The government is, therefore, working to develop transport and trade corridors to leverage and benefit from this location. The strategic concept of the National Trade Corridor, which aimed at upgrading and expanding our rail, road, air and port networks, would serve as the gateway for the access of goods and services, as well as a convenient transit route for other countries to the Central Asian markets.

The minister said Pakistan’s foreign policy was focused on the promotion of regional and international peace and security as well as the economic and social development of its people and as a result of Pakistan’s principled and dynamic foreign policy, positive trends were being witnessed in our relations with neighbours including China, the Islamic world, USA, EU, Russia, East Asia and Japan.

Mr. Kasuri said Pakistan had been pursuing the path of peace and stability in its own region and beyond. “We have done so through dialogue for peaceful settlement of disputes, exercise of strategic restraint and strengthening of regional cooperation.” “We offer the shortest access to the sea for the Central Asian States and western China. We have the potential to become the hub of cooperation for energy, trade and tourism”.

He said Pakistan was the only country that was a member of both ECO and Saarc, and has observer status in the Shanghai Cooperation Organisation. Pakistan is also a leading member of the OIC, he said.

The minister said a proactive economic diplomatic engagement was crucial as the thrust of international relations was shifting from geo-politics to geo-economics.

The emerging new international trade and economic dispensation, influenced in several different ways by the process of globalisation, presents both opportunities as well as challenges to developing countries like Pakistan.

The ministry of foreign affairs and Pakistan missions abroad are active partners in the government efforts leading to the economic revival of Pakistan which had seen the size of Pakistan’s economy being doubled, a phenomenal increase in exports (from $7.8 billion in 1998-99 to $17 billion in 2006-07), having one of the highest per capita incomes in South Asia ($925) and foreign investment touching its highest ever level of $8.4 billion (FDI $5.1 billion) in 2006-07.

Pakistan is ahead of many countries in implementing economic reforms and improving governance as well as very well positioned to make the best of the available opportunities.

Pakistan has been ranked as one of the top ten reformers globally and the top reformer in the South Asian region in a recent study conducted by the World Bank, he said

It is the quality of our reforms which have made Pakistan an attractive destination for local and foreign investment and put it on a high growth trajectory.

The remittances, which are the third largest source of foreign exchange inflows in the country, totalled $5.5 billion in 2006-07- the highest ever in the country’s history, the minister said.

He said that the current global trading environment was rapidly transforming the world into an integrated single market with most countries bringing down tariff walls and eliminating or reducing non-tariff measures. Global tariff reductions by most countries have spawned exciting opportunities.-APP