ISLAMABAD, March 23: Italy has agreed to write off a $100-million loan extended to Pakistan as part of relief and rehabilitation contribution in quake-hit areas of the country, Minister for Information Technology Awais Ahmad Khan Leghari said on Thursday. “Italy has told us it is waiving a $100 million loan it granted us to assist in the relief and rehabilitation work being carried out in the quake-hit areas,” he said in a statement received here from Rome.

The minister is heading Pakistan’s delegation at a meeting of the Pakistan-Italy Joint Economic Commission that has been formed, following high-level meetings between Pakistani and Italian leadership in recent months. Secretary Economic Affairs Division Khalid Saeed and other senior officials are also part of the Pakistani delegation.

Mr Awais said that Italy had also decided to send a high-level delegation, comprising oil and gas industry experts, to Pakistan to explore business opportunities and explore ways bringing Italian investment in the oil refineries and oil pipeline projects being negotiated with Iran, Turkmenistan and Qatar. “The cost of these pipelines is expected to touch $10 billion dollars which can be met only through international funding and investment,” he said.

He said the Italian government had also minimized the country-risk investment rating of Pakistan, declaring Pakistan a no-limit investment zone for prospective Italian investors. “The Italian government and investors are keen to invest in the energy sector, including oil, gas and hydro-electric generation, in Pakistan,” he added.

The IT minister said Rome recognized Pakistan’s progress achieved during the last six years due to progressive and business-friendly policies introduced and patronized by President Gen Pervez Musharraf and Prime Minister Shaukat Aziz in recent years.

He said Italian businessmen looked at Pakistan as a place for potential investment not only in the energy sector, but also various other areas such as agriculture, olive plantation and furniture. “Besides these sectors, Italian businessmen have also shown credible interest in investing in alternative energy-generation projects, including wind and solar energy,” he said.—Online