ISLAMABAD, Feb 14: Minister of State for Finance and Chairman Board of Investment Saleem H. Mandviwalla rebuffed speculations that local businessmen were leaving Pakistan and moving their businesses to Bangladesh but instead were expanding their businesses in the neighbouring country.
“It is a positive sign that they were expanding their businesses into other countries as well as their profits are going to have a far-reaching impact on the economic growth,” Mandviwalla said while addressing members of Islamabad Chamber of Commerce and Industry here on Thursday.
He was of the view that due to the sound policies of the government, the Koreans have also started to invest in Pakistan.
However, members of the chambers of Islamabad, Chakwal, Jhelum and Attock cautioned Senator Mandviwalla that due to the prevailing energy crisis, foreign investors were hesitant to invest in Pakistan.
Mandviwalla stated that due to the investor-friendly policies of the government, foreign direct investment (FDI) has in fact shown an increase and it will increase further more if issues like energy crisis and terrorism are resolved.
The Chakwal Chamber of Commerce and Industry demanded the creation of a special economic zone near motorway where ample opportunities were available for investment.
The minister explained that SEZ is the great achievement of the government and its rules were being drafted and approved.
Under the bill, an investor whether local or foreign, would directly benefit from the industries, rather than going to through the government.
Through the SEZ bill, the minimum level of the amount of investment has also been abolished, which will act a great incentive for the investors, Mandviwalla said.
Meanwhile, Czech company ‘Vitkovice Machinery Group’, during a meeting with Mandviwalla on Thursday showed interest to invest in the natural gas sector amid the prevailing energy crisis.
The Czech group is stated to be one of the most significant groups in the field of heavy machinery, not only in Czech Republic, but also in Central Europe. The group already has two projects of brass manufacturing and steel manufacturing in Pakistan, and it has expertise in CNG products which can be manufactured in Pakistan.
The company’s owner, Joe Svetilk offered to launch a project for natural gas, with transportation and storage facilities. The offer includes conversion of bio-gas into CNG for which they can tap resources. He also offered to set up a mobile refuting container for the transportation of CNG. He estimated that Pakistan has abundance in the excreta of cows, where 5000 cows can produce about 1 megawatt of gas.
Mandviwalla welcomed the Czech offer and asked the group to start the project since Pakistan is suffering from an acute shortage of natural gas, and projects like these could help to improve the grave situation.