ISLAMABAD, Feb 10: The chairman Board of Investment, Wasim Haqqie has claimed that power and telecom sectors would attract foreign investment worth $10 billion in 2005 and 2006. "There will be $5 billion investment in each year," he maintained.

Talking to Dawn he said that Foreign Direct Investment (FDI) has started picking up due to an improved environment and increased investors' interest in Pakistan.

"We will cross $1 billion foreign investment during 2004-05 against roughly $850 million of the last financial year," he added. He said foreign investment in first half of this financial year stood at $450 million against $277 million in the corresponding period of 2003-04, registering 61 percent increase.

Responding to a question, he said that Private Power and Infrastructure Board (PPIB) had signed 35 Expressions of Interest (EoIs) with foreign investors.

He said that PPIB was scheduled to hold road shows on February 21 in Dubai and in March in the United States to attract more foreign investment in the power sector.

A number of international conferences, Mr Haqqie said, had been arranged to lure foreign investors who have started looking towards Pakistan as a safe and attractive destination for investment.

"We will be holding these conferences in Malaysia and Singapore in April, in the United States and Canada in June, Japan in July, France and the United Kingdom in August, Germany in September and Turkey in November," the BoI chairman said.

He said that 60-member Japanese investors' team was arriving here in the last week of this month to hold meetings with their counterparts and heads of the various organisations to make investment in Pakistan.

"Then the Malaysian investor's team, comprising about top 60 businessmen is reaching on 16 of this month to explore possibilities for making new investment here," the BoI chairman added.

With the setting up of textile city in Karachi, education city in Islamabad and marble city in Balochistan, he pointed out, one could hope for increased foreign and local investment coming in.

"Perhaps it would be surprising for you that a decision has been taken to construct top ten highest buildings in Karachi city which were likely to be inaugurated by President Gen. Pervez Musharraf within four to six weeks time," he said.

These highest buildings, he said, would be built on Karachi Port Trust (KPT) land that has just been purchased.

He said that a number of car manufacturing companies including Chevrolet of the United States and Reno of France had decided to establish their plants in Pakistan.

Mr Haqqie pointed out that there were 1,15,000 cars were manufactured in Pakistan during 2004 and their number would reach to 1,50,000 in 2005 and 200,000 in 2006 which showed increased economic and business activity.

"New players are coming both in the production of cars and motorcycles," he said adding that motorcycles production which was 1,50,000 four years ago would reach to one million in next two years.

He said five new cement plants were being set up in Karachi, Hyderabad and Chakwal and, "this clearly shows that business activity is greatly picking up in this part of the world."

The BoI chairman said that 220 foreign trade and business delegations have visited Pakistan from 40 countries during the last two years including the United States, UK, China, Germany and Japan.