RAWALPINDI, Sept 7: Visibly perturbed over the growing commercial activities in residential localities, the Rawalpindi Development Authority (RDA) on Tuesday approved establishment of an economic zone on an area of 200 acres (1,600 kanals) near Rawat.

The objective behind the establishment of the economic zone is to shift out business activities including furniture industry, steel manufacturers, truck/bus stands, printing presses and other companies from the city areas.

The RDA would develop infrastructure in the economic zone, including land acquisition, roads, bus stands, buildings and other utilities, while the RCCI and other chambers would take businessmen into confidence to shift their outlets to the new place.

The RDA will bear the cost of the project on its own and has already set aside Rs110 million as initial allocations. Directorate of Land Development and Estate Management (LDEM) has been asked to acquire the land for the project.

Director General RDA Makeen Shahbaz told Dawn that the project was the first of its kind in Rawalpindi, adding it was need of the hour to shift the focus of business activities from the city to the new zone in order to reduce burden on the infrastructure of the city.

He acknowledged that commercial activities in city areas had increased alarmingly; therefore, it was essential to bring all business activities under one roof at a place which is near the city but out of the city area.

The RDA chief said businessmen dealing in furniture manufacturing, steal, juices, polythene bags, sanitary equipment, glasses and marbles had been taken into confidence to shift to the new economic zone.

Director LDEM RDA Shuja Ali told this reporter that land owners in Rawat had been convinced to provide plots for the project, adding his office would pay them the market price.

It may be mentioned that both legal and illegal commercial activities have spread to all residential areas in the city thus changing the once residential characters of localities and causing acute problems for the inhabitants.

According to an estimate, more that 20,000 residential areas in the city have been converted into commercial outlets while furniture shops and showrooms of marbles and other businesses have swamped residential localities.

When asked why crackdown was not launched against the menace of illegal conversion of residential properties, the RDA chief said a fresh survey had been ordered to assess the number of shops in residential areas, adding action would be taken against the violators.