ISLAMABAD: The United Kingdom’s Department for International Development (DFID) will provide up to 200 million pounds for enterprise and asset growth initiative in Pakistan.

Finance Minister Ishaq Dar held a meeting with British High Commissioner and country head of the DFID Richard Montgomery on Wednesday and discussed various aspects of the new initiative aimed at providing financing facilities to small and medium enterprises.

The DFID committed to providing 76m pounds as seed money which will be increased to 200m pounds in due course of time. The initiative is expected to create 400,000 jobs.

The two sides also discussed Prime Minister Nawaz Sharif’s visit to the UK later this month and finalised its agenda. British high commissioner briefed the minister on the agenda of Pakistan’s investment conference to be held in London on April 30.

The finance minister expressed the hope that the prime minister’s visit to the UK would provide an opportunity to the leadership of the two countries to discuss important issues to strengthen the ties.

The high commissioner greeted the Pakistan government on successful launch of its Eurobond in the international market and said it reflected confidence of international investors growing in favour of Pakistan because of its prudent economic policies.

Ishaq Dar said that international investors’ response was overwhelming and the bond’s subscription was 14 times higher than the original estimation.

He said Pakistan had returned to the international bond market after seven years and this would also save Rs90m every year if the amount was borrowed from the domestic capital market.

The finance minister also held a meeting with representatives of lead managers of the Eurobond — Citibank, Deutsche Bank, KASB Bank and Barclays — and expressed satisfaction over the transaction.

He said the successful launch meant a lot for the economy as the country pursued reform efforts to bring the economy on path to growth.

It will increase confidence of investors in government’s economic policies and result in foreign direct investment in energy, communications and infrastructure sectors.

The minister said that the government would also launch Islamic bond.