RIYADH, March 1: The board of directors of Saudi Pak Industrial and Agricultural Investment Company (Pvt) Ltd. has approved a total financing of Rs377 million in key manufacturing and financial sectors, it was learnt here on Friday.

The decision was taken at the board meeting of Pak-Saudi held here under the chairmanship of Dr. Abdullah Thenayan, who is also the director general of Arab Company for Livestock Development in Riyadh.

The approval would facilitate expansion of existing production facilities and creation of additional capacities.

After the board meeting a spokesperson of company told the newsmen that the Pak-Saudi joint venture earned a net profit of Rs177.2 million in 2001 compared to Rs155.7 million in 2000.

Mohammad Anwar, Secretary of Pak-Saudi joint venture, also divulged that the board has recommended distribution of cash dividend worth Rs140 million to the shareholders. This would be the ninth such distribution among the shareholders of the company.

During the period under review the company approved financing of Rs2,315 million as against Rs1,390 million in 2000, an increase of 66.5 per cent.

The company also achieved record recoveries of Rs1,292.6 million during 2001 as against Rs1,214.8 million in 2000. The overall collection thus improved to 93.5 per cent in 2001 from 93.3 per cent in 2000.

The board during its Riyadh meeting also reviewed the company’s operating performance for the year ending December 31, 2001, and expressed satisfaction on performance in key areas of operations of the Pak-Saudi joint venture.

The paid-up capital of the company is Rs2 billion held in equal proportion by the Saudi and the Pakistani governments, he told the newsmen.