ISLAMABAD, April 3: The Board of Directors of Saudi Pak Industrial and Agricultural Investment Company (Pvt) Limited has approved financing of 12 companies to the tune of Rs815 million, it was announced here on Saturday.

The companies, to be benefited by the decision, are in a variety of sectors including manufacturing, financing, construction, communication, services, sugar and energy.

The fresh financing, according to a decision by the Board in a meeting presided over by Dr Abdullah T. Al-Thenayan, would facilitate not only the expansion of existing production capacity but also help these companies create new capacity.

The projects financed by Saudi Pak, while adding value to gross domestic product, would generate new employment opportunities, the spokesman remarked.

Since its inception, he further stated, Saudi Pak had provided financing facilities totalling Rs21,356.786 million which included direct equity investment of Rs2,080.078 million and term financing of Rs19,276.708 million.

In addition, the company underwrote public issue of shares and guarantees for which a total amount of Rs2,476.217 million was provided.

Saudi Pak, a joint venture of the Kingdom of Saudi Arabia and Islamic Republic of Pakistan, has been playing an important role in promoting economic relations between the two countries.

Committed to help accelerate industrial development in the private sector, the company's financing is spread over all the key economic sectors including chemicals, engineering, textile, cement, petroleum, communications etc. The projects financed by it are located throughout Pakistan.

The paid-up capital of Saudi Pak is Rs2 billion held in equal proportion by the Governments of Saudi Arabia and Pakistan. The Board expressed satisfaction over the role performed by the Saudi Pak in promoting the growth of industrial sector in Pakistan.