KARACHI, Sept 29: Sindh Governor Dr Ishratul Ibad Khan said on Wednesday that direct foreign investment had started to flow as many US, European and Middle Eastern investors were now showing interest in the field of housing, information technology, and desalination and effluent treatment plants.
Speaking at the annual function of the Korangi Association of Trade and Industry (KATI), the governor said a marked improvement in law and order had greatly change foreign investors' perception about Pakistan.
He said there was an opening for investment, and the government would do its best to facilitate local as well as foreign investment. "This is the only way for generating employment and resolving poverty problem in the country."
Referring to some points raised by KATI Chairman Mian Zahid Hussain, the Sindh governor said that he had already taken up the issue of power tariff with the federal government.
He suggested that KESC power rates be brought on a par with Wapda. Dr Ibad said he also met President Pervez Musharraf who had already forwarded the issue of higher power tariff to the federal government.
Similarly, he said the issue of gas connection and power generation through capacity power plants run on gas by individual industries would also be taken up with the federal government. He expressed the hope that the issue would be resolved at the earliest.
Agreeing with another point that the cost of doing business in Karachi is much higher, the governor said higher power tariff was one of the major factors and once this was resolved other related matters would also be taken up with the federal government.
He said the issue of high power connection charges had been resolved as KESC had reduced the same after the matter was taken up with the federal government. Dr Ibad said the government had taken short- and long-term policies but the direction and focus of economic planners should be correct. He expressed the hope that the impact of these policies would tickle down to masses.
The Sindh governor said the people would see a marked improvement and visible change by the year 2007, as ongoing mega projects like Lyari Express Way, Northern Bypass and water project K-III would be completed by that time. He said the K-III water project would be completed by the end of next year which would provide an additional 100 mgd to Karachi.
In reply to a point raised by S.M. Muneer, Patron-in-Chief of KATI, the governor said the Sindh industries department was already working on development of more industrial estates. He said these industrial estates would have all infrastructure facilities and would help bring down cost and benefit small and medium sized industrial units.
The Sindh governor said industrialization was important to generate employment and eradicate poverty. There was a need to boost the agriculture sector, industry, oil and gas as well as the IT sector for generating more jobs, he added.
Dr Ibad agreed that the industry was faced with infrastructure problems but hoped that industrial boards set up by the government would help over come such problems.