China Pakistan Economic Corridor (CPEC) | Updates & Discussions

[Muhammad Omar]

Fiber Optic Project

Islamabad: 11 January 2016

A group of Chinese investors met Prime Minister Muhammad Nawaz Sharif at PM House Islamabad today and expressed keen interest in developing Hydropower projects in the country.

While appreciating the economic policies of the government they expressed confidence that the transparent investment regime in the country will attract more Foreign Direct Investment (FDI).

The Prime Minister, while welcoming the interest shown by the Chairman for investment in Pakistan’s hydel energy sector, said that hydro-electric sector was priority of the Government. Pakistan was resolving its energy crisis by investing in different sources of energy including solar, thermal and hydro energy projects and the Government had already secured billions of dollars from International Financial Institutions for the construction of Dasu dam in KPK. The Prime Minister said that future investment by China Three Gorges International in the hydel energy sector would enable the Government to overcome the energy shortfall.

The Prime Minister said that CPEC was a game changer and all the provinces of the country would reap benefits under the CPEC. CPEC is a window of opportunity that would bring socio-economic development in the country particularly in two least developed provinces i.e Balochistan and Khyber Pukhtunkhwa, the Prime Minister added. The meeting was informed that the priority energy projects under CPEC include Port Qasim Electric Company Coal Fired Plant (1320 MW); Sahiwal Coal-fired Power Plant (1320 MW); Engro Thar Coal-fired Power Plant (1320 MW); Surface Mine in Block II of Thar Coal field 6.5 mtpa; Gwadar Coal Power Project (300 MW); HUBCO Coal Power Plant (660 MW); Rahimyar Khan Coal Power Project (1320 MW); SSRL Thar Coal Block 6.5mpta & CPIH Mine Mouth Power Plant, Thar, Sindh; Coal Fired Power Project Thar block-I (1320 MW); Quaid-e-Azam Solar Park, Bahawalpur (1000 MW); Dawood Wind Farm, Bhambore, Sindh (50MW); UEP 100MW Wind Farm, Jhimpir, Sindh; Sachal 50MW Wind Farm, Jhimpir, Sindh; Sunnec 50MW Wind Farm, Nooriabad,Thatta, Sindh.

Prime Minister Muhammad Nawaz Sharif said that Gwadar was being uplifted as an international free port and Government was undertaking several projects for its development. Eastbay Expressway-II; Gwadar Port Authority (GPA) Expansion of Multipurpose Terminal including breakwater & dredging; Infrastructure for Free Zone & EPZs port related industries; Necessary Facilities of Fresh Water Treatment and Supply; Hospital; Technical and Vocational Institute; The only aviation project (New Gwadar International Airport); Energy projects including Gaddani, Hubco and Gwadar Power Plants (2940 MW), Free Zone of CPEC in Gwadar , Development of Smart City at Gwadar are part of the Gwadar uplift projects.

The Prime Minister stated that CPEC is a fusion of multiple development projects, aiming at the prosperity and well-being of the citizens of the country and the region at large. It was also informed that Joint Working Group was being formulated under CPEC framework under which all provinces were being consulted to give technically sound and financially viable recommendations of industrial/economic zone cooperation for scrutiny by Joint Working Group and experts.

The meeting was informed that preliminary workings on the proposed sites for construction of economic zones have been identified by BOI in KPK and Balochistan. The spotted places in KPK for construction of economic zones are Mansehra, Noshehra, Hattar, Ghazi, D.I Khan, Kohat, Karak and Bannu while in Baluchistan Turbat, Khuzdar, Dasht, Bostan, Qila Saifullah and Zhob. The Prime Minister will announce the finalized sites for construction of economic zones in KPK and Baluchistan after consultation with the provincial governments and the political leaderships. The meeting was further briefed that the existing roads are being upgraded to interconnect different areas of the country that include; 650 KM Gwadar-Surab road is being completed on priority to link the all important Gawadar Port with rest of the country. The up gradation of Quetta-DI Khan road is also imperative keeping in view its importance.

The meeting discussed in detail the CPEC projects in KPK. It was briefed that KPK will be Trade and Logistic passage zone under CPEC. The CPEC in KP includes multiple areas including Rail and Road Networks, including Swat Motorway Project (81 km) worth US $365 Million; Oil and Gas Sector; development of Industrial/Economic Zones; Mineral Processing and Development Zones; telecommunication Sector; Agriculture Sector Development and Human Resource Development among others. It was also informed that CPEC-Energy Actively Promoted Project include Gaddani Power Park Project, HUBCO coal power plant, Hub Balochistan (660 MW), Salt Range Mine Mouth Power Project, Kohala Hydel Project, AJK (1100 MW), Pakistan Wind Farm, Jhampir, Thatta, Sindh (100 MW), Thar Mine Mouth Oracle, Thar Sindh, Muzaffargarh Coal Power Project (1320 MW), Salt Range Mine Mouth Power Project including mining with the cooperation of China Machinery Engineering Company, Kohala Hydel Project, AJK and Pakistan Wind Farm II, Jhampir, Thatta, Sindh.

Railway Network official map of CPEC

CPEC-triggered investment

ALMOST nine months after President Xi Jinping’s visit to Islamabad, the China-Pakistan Economic Corridor is proving to be a major attraction for domestic investors who see it as catalyst for Pakistan to grow its economy at a pace achieved by leading regional peers.

Some major business groups have started investing in expanding their production capacity of such materials as cement, steel, electric cables and glass that they expect will be ‘in huge demand as work on the CPEC projects moves ahead at a faster pace in the months to come’.

For example, the Nishat Group is setting up a cement plant in Balochistan and the Lucky Cement in Punjab. The Younus Brothers, owner of Lucky Cement, is also establishing a coal power plant in Karachi.

CPEC is not only attracting domestic investors but also foreign capital. — Abdul Basit, chairman of the Punjab Board of Investment and Trade
A steel mill in Karachi, which is said to be the major supplier of steel for the Lahore Orange Line Metro Train project, is said to be planning to expand its capacity. A Lahore-based electric cable manufacturer — Fast Cables — has expanded its manufacturing facility to meet the future demand of CPEC-linked projects and is planning to boost it further and a Peshawar-based investor is said to have shown interest in setting up a steel plant near Lahore.

“All these investments are centred round the CPEC as the corridor acts as a magnet to pull the investors,” said Abdul Basit, chairman of the Punjab Board of Investment and Trade (PBIT). He claimed that CPEC is not only attracting domestic investors but also foreign capital. “Several foreign companies are keen on partnering with local investors and provincial government (of Punjab) to launch projects in different sectors of the economy,” he added.

Businessmen like Mian Mohammad Mansha argue that the CPEC implementation will turn Pakistan into the centre of global economic activities. Others agree.

“The CPEC is the last opportunity for Pakistan to get out of vicious cycle of low growth and improve the lives of its people,” says Ijaz A Mumtaz, former president of the Lahore Chamber of Commerce and Industry (LCCI).

Pakistan remains one of the slowest growing South Asian economies for the last several years despite being the second most populated country after India. Pakistan’s economy is estimated by the World Bank to expand by just 5.5pc during the calendar year 2016. On the other hand, growth in India is expected to speed up to 7.7pc, Bhutan to 7.2pc, Bangladesh to 6.8pc and Sri Lanka to 5.6pc. Only Maldives and Nepal are estimated to grow more slowly than Pakistan, according to a new World Bank report.

By 2018, the report estimates India to escalate its growth rate to 7.9pc and Sri Lanka to 6pc. Bangladesh and Pakistan will maintain their GDP (gross domestic product) growth rate at 6.8pc and 5.4pc respectively.

The World Bank report lists rising investments from China under the CPEC agreement to link China’s Xinjiang region with Gwadar port, low global oil prices and anticipated return of Iran into international economic community as three tailwinds to help Pakistan achieve the 5.4pc growth rate over the medium term.

Estimated at $46bn of investment until 2030, the CPEC initiative will finance a series of transport infrastructure projects ($11bn, mostly public investment) and energy projects ($33bn, mostly private).

Businessmen like Ijaz Mumtaz are worried that the ongoing spat over corridor route and federal investment plans around the CPEC initiative could derail the project. “The chances are the CPEC project will get embroiled into a controversy at the expense of our people unless our politicians and policymakers learnt from the past. Its implementation is largely predicated on political consensus on the initiative,” he warns.

A senior banker from Lahore told Dawn that his bank has recently been approached by several businessmen from Lahore and Karachi to ‘explore the possibility’ of long-term financing for medium to large projects they plan to set up along the CPEC.

“At present most businessmen are interested in setting up projects for producing materials required in construction. It is natural because we do not have enough capacity to meet the demand for such materials once the implementation of the initiative catches pace over the next few months,” he said.

He, however, is of view that private investment — barring from some large business groups — will be dependent on government policies and its ability to handle the energy shortages in the country. “I see the business confidence rising because of the anticipated opportunities that the CPEC initiative is expected to unlock for the investors. But private investors appear to be waiting for government to remove bureaucratic and energy impediments.”

Energy projects worth $25b to be completed under CPEC: Ahsan Iqbal

A view of the All Parties Conference held in Islamabad on January 10, 2016. PHOTO: ONLINE

Energy projects worth over $25 billion are set to be completed under the China-Pakistan Economic Corridor (CPEC), Federal Minister for Planning, Development and Reforms Ahsan Iqbal announced on Sunday.

“Energy projects worth $7.1 billion, $6.9 billion and $11.5 billion will be completed in Balochistan, Punjab and Sindh respectively under the CPEC,” Radio Pakistan quoted Ahsan as saying, during an All Parties Conference (APC) in Islamabad convened; by the Balochistan National Party-Mengal (BNP-M).

Fighting for western corridor: K-P parties reaffirm stance on CPEC

The APC was called to discuss the on-going dispute over the alleged changes in the route of the multi-million dollar project. Pakistan and China had signed an agreement on April 20 last year to commence work on CPEC development projects worth over $46 billion, which comes to roughly 20 per cent of Pakistan’s annual GDP.

The corridor aims to connect Gwadar port in Balochistan to China’s Xinjiang region via a network of highways, railways and pipelines spread over 3,000km. Work on several sections has already commenced but the entire project is expected to take several years to complete.

Federal ministers Ahsan Iqbal, Khwaja Saad Rafiq, Leader of the House in Senate Raja Zafar ul Haq, Sardar Akhtar Mangal, Maulana Fazalur Rehman, Aftab Ahmad Khan Sherpao, Mahmood Khan Achakzai, Afrasiyab Khattak, Farhatullah Babar, Liaqat Baloch, Khyber-Pakhtunkhwa Chief Minister Pervez Khattak, and former chief minister Balochistan Dr Abdul Malik Baloch attended the conference.

K-P and the CPEC

Earlier on Saturday, the Chinese Embassy in Islamabad had urged the government, its allies and the opposition parties to resolve their difference to strengthen communication and coordination on the CPEC to create favourable conditions for the project.

On Friday, a two-member delegation of the Pakistan Tehreek-e-Insaf comprising former foreign minister Shah Mehmood Qureshi and MNA Dr Shireen Mazari had met the Chinese ambassador. Sharing details of his meeting, Qureshi told The Express Tribune that “we gave an assurance to the ambassador that we don’t have any issue with China and we are in favour of the CPEC”.

Qureshi said it was pledged in an all parties’ conference (APC) that the western route would be completed first. He accused the government of retreating from this pledge. “Building just the road is not enough. Our demand for work on the western route includes development of infrastructure, rail tracks, fiber optics, LNG and uninterrupted supply of electricity,” he added.

Opposition parties are demanding the government take them into confidence while addressing their concerns on the government’s plan to execute the CPEC. During the recent session of parliament, not a single day passed without opposition parties’ protesting against the government’s approach on the CPEC.

CPEC: Aftab Sherpao doubts govt’s plans for western route

Meanwhile, Leader of Opposition in the National Assembly Khursheed Shah also wrote a letter to Prime Minister Nawaz Sharif expressing reservations on projects related to the CPEC and called the initiatives taken on the project ‘Punjab-centric’. He asked the premier to adhere to the decisions reached at the APC held over the project in May last year

 

[Muhammad Omar]

China Powers up Pakistan: The Energy Component of the CPEC

China and Pakistan held a ceremony beginning construction for the planned Karot hydropower plant on January 10, marking the start of one more energy project on the China-Pakistan Economic Corridor. The $1.65 billion hydropower plant, spearheaded by China’s Three Gorges Corporation, was the first project to receive funding from China’s Silk Road Fund. Upon completion (scheduled for 2020), the Karot plant will provide 720 MW of energy harnessed from the Jhelum River.

The Karot plant is part of the broader China-Pakistan Economic Corridor, or CPEC, which itself is part of China’s “Belt and Road” initiative to link China with Europe (and all the regions in between). Though the CPEC is often understood solely in terms of transportation infrastructure – developing the Chinese-controlled port at Gwadar and linking it to China via rail and road – that’s not the only aspect of the project. Under the “1+4” cooperation framework unveiled during Chinese President Xi Jinping’s April 2015 visit to Pakistan, the CPEC is the “1,” with the “4” representing key areas of the larger strategy. Energy is one of those four areas, along with Gwadar Port, transport infrastructure, and industrial cooperation. In fact, China and Pakistan officially broke ground on five new energy projects, all of them considered part of the CPEC, during Xi’s visit to Pakistan last year.

Along with the Karot hydropower project, the CPEC also includes Chinese construction of the world’s largest solar plant in Punjab Province. The first section began providing electricity in August 2015; the second portion is currently under construction by Chinese firm Zonergy. When completed by the end of this year, the entire solar plant is expected to produce up to 1,000 MW of power.

Another project is a coal power plant at Port Qasim, which was in fact the first energy project included under the CPEC framework. According to China Daily, the plant, being constructed by Powerchina Resources Ltd., will cost $2 billion and should be finished by the end of 2017. The project will consist of two 660 MW coal plants, for a total energy generation of 1320 MW.

Of course, Chinese investment in Pakistan’s energy sector predate the CPEC — just look at perhaps the most famous joint project, the $10 billion expansion of the Karachi nuclear power plant. But the scale of the CPEC energy projects are mind-boggling.

All told, 14 Chinese-constructed energy projects in Pakistan tied to the CPEC are supposed to provide anadditional 10,400 MW of electricity by March 2018 – more than enough to make up for Pakistan’s 2015 energy shortfall of 4,500 MW. And that’s only part of the story. According to China Daily, there are a total of 21 planned energy projects in the works under the CPEC framework. Altogether, these projects should eventually produce 16,400 MW of power, roughly the same as Pakistan’s current capacity.

As they say, the best-laid plans often go awry, so it’s likely not every project will be completed on schedule (or even at all). But the sheer scale of China’s energy plans for the CPEC ensures that it has a chance to be a game-changer for Pakistan, where rolling blackouts are common due to energy shortages.

Source: China Powers up Pakistan: The Energy Component of the CPEC

 

[Muhammad Omar]

Thar's coal fields: mining for power


MITHI: Mining in Thar's 9,600 kilometre coal fields are gaining momentum after the arrival of experts from China.

After the arrival of China under the China-Pakistan Economic Corridor (CPEC), work on two blocks and particularly on Block II has picked up pace.

Farhan Ahmed Ansari from Engro told Dawn.com that the arrival of Chinese engineers and technical staff has accelerated the pace of work on Block II. "More and more experts are arriving every day," he added.

Almost 3,000 technicians and engineers are expected to arrive on site to help locals in running the heavy machinery and developing open-pit mining.

Ansari said that over 80 per cent of landowners have been monetarily compensated for the lands aquired by Engro and the Thar Coal Authority.

The project's first phase involves the relocation of villagers from Sahri Dars and Tharyo Halepoto in Islamkot taluka. In order to evacuate the site chosen for open pit mining completely, villagers will we rehabilitated to nearby locations. Ansari claimed they will be provided with modern facilities, and given housing and employment.

Meanwhile, high school students are being trained in operational areas so they can be gainfully employed in the mega-project later.

The villagers of Sahri Dars and Tharyo Halepoto said they would resist if the commitments and promises made to them were not fulfilled. About 4,000 people are set to be relocated after their model houses are built.

An official from Thar Coal Mining Authority said that all preparations have been made for the inauguration of the country's mega-project, which comprises of 12 blocks on over 9,000 square km of Tharparkar district. Buried under this land lies an estimated 175 billion tones of coal.

Partab Shivani, a local activist in Mithi, hopes that the mega project brings prosperity to the backward region. He urges concerned authorities to keep their promises and feels that steps should be taken to ensure the environment, ecology, demography of the area.

A view of the site where a model park is being built in Thar. — Photo by author

A view of the coal fields in Thar where excacation work is underway. —Photo by the author

A view of heavy machinery being used during the construction and axcavation process at the coal fields in Thar. —Photo by the author

A view of machinery being for contruction work at a mining pit in Thar. —Photo by the author

Contruction workers and experts can be seen in this picture at the coal fields in Thar. —Photo by the author

A view of the coal fileds in Thar from an elevated position. —Photo by the author

A view of a runway being built in Thar. — Photo by author

A view of the coal fileds in Thar from an elevated position. —Photo by the author

 

[Edevelop]

Fiber Optic Project

Yaar ye Khattak kya chata hai. Seriously can't he see 5% in Punjab and 35% in KPK ?

 

[Muhammad Omar]

Yaar ye Khattak kya chata hai. Seriously can't he see 5% in Punjab and 35% in KPK ?

Wo chahta hai K Motorway Railway Fiber optic Manki sharif Nowshehra se guzre

 

[ghazi52]

...............................

.....

 

[Salik]

When CPEC completes, Pakistan will be among top ten most polluted countries of the world. Reasons are clear, traffic of several countries passing in short sphere has no example in the world. Then there'll be industrial units, making rivers full of waste material etc.

Its time to make planning, to avoid that situation in future. Do one thing now, grow trees along the routes, as trees take several years to grow. Of course it will increase the beauty of routes as well. And habitat for birds and other species. Overall a healthy environment.

Then locate the areas where you'll need waste material treatment and recycle plants.

 

[Passionaire]

• Addressing inaugural session, Commerce Minister Khurram Dastgir hopes that trade volume between two countries to be increased to $13b this year.
  
  
  A five-day Pakistan-China Business Friendship Conference began in Islamabad on Monday.
  
  The conference has been organized by Ministry of Commerce in collaboration with the Board of Investment and Trade Development Authority of Pakistan.
  
  The Conference participants will discuss different aspects of China Pakistan Economic Corridor and investment opportunities.
  
  Inaugurating the Conference, Minister for Commerce Khurram Dastgir Khan said improved law and order situation in Pakistan will attract foreign investment.
  
  He said meetings between Chinese delegation and traders of Pakistan will promote trade between the two countries. He expressed the hope that the trade volume between the two countries will be increased to thirteen billion dollars this year.
  
  Khurram Dastgir said the Government is working on improving and security situation in the country. He said good results are coming out of the Government's prudent policies and efforts.
  
  The Commerce Minister said China is a major partner and reliable friend of Pakistan.
  
  The conference is being attended by a hundred member delegations from China, heads of Chinese Companies working in Pakistan and prominent traders and businessmen of Pakistan.

http://www.radio.gov.pk/newsdetail/82012/1

Source: Pak-China Business Conference opens in Islamabad

 

[Muhammad Omar]

Federal Minister for Petroleum Shahid Khaqan Abbasi on Saturday met Punjab Chief Minister Mian Shehbaz Sharif and discussed matters of mutual interest and energy projects especially power plants to be operated on gas.
Speaking on the occasion, the Chief Minister said that work was speedily in progress on 3600 megawatts gas-based power project and a huge sum of Rs 112 billion of the nation had been saved through maintaining the highest standard of transparency in these projects.
He said that gas-based power projects would be completed by the end of 2017. He said that vigorous efforts had been made during the last two and a half years for execution of energy projects for overcoming shortage of electricity.
Chief Minister Shehbaz Sharif said that under the leadership of Prime Minister Nawaz Sharif, the economy had improved due to policies of the government, confidence of investors had increased and foreign exchange reserves are at the highest level in the history of the country.
Special Assistant to Prime and Chairman Board of Investment Pakistan Muftah Ismail was also present on the occasion.

 

[Muhammad Omar]

Pakistan-China Business Friendship Conference from today

ISLAMABAD - Pakistan-China Business Friendship Conference, organized by the Ministry of Commerce in collaboration with the Board of Investment and Trade Development Authority of Pakistan (TDAP), will commence from Monday till Friday.

A 100-member Chinese delegation will take part in the conference which will be attended by prominent Pakistani businesspersons, traders and executives of Chinese companies working Pakistan.

Federal Minister for Commerce, Engr.
Khurram Dastgir Khan, Minister for Planning, Development and Reforms, Prof.
Ahsan Iqbal and Ambassador of Peoples Republic of China to Pakistan Sun Weidong will inaugurate the Conference on Monday.

The first leg of the Conference will be held in Islamabad on 18th and 19th January from where the delegates would travel to Lahore for a day where business-to-business (B2B) sessions with prominent CEOs and senior executives of top companies headquartered in Punjab will be organized by Lahore Chamber of Commerce and Industry (LCCI).
The Government of Punjab will arrange field visits for the delegation to major industrial areas.

At the last leg of the visit, the delegation would proceed to Karachi, where Pakistan Business Council (PBC), with support of Government of Sindh and TDAP, would host an event, which would include B2B sessions with premier Karachi based businesses on 21st and 22nd January 2016.

The Chinese delegates will explore trade and investment opportunities in energy, infrastructure, textiles, agriculture, renewable energy, privatization, engineering, information and Communication technologies and mining sectors.
Ministry of Commerce, LCCI and PBC will send invites to matching 100 to 120 eminent Pakistani businesspersons to the events in Islamabad, Lahore and Karachi, respectively.

China is Pakistan’s major trading partner with volume of trade reaching an all-time high of US$ 12.
299 billion in 2014-15.
The two countries signed the China-Pakistan Free Trade Agreement (CPFTA) on 24th November 2006, which became operational from 1st July 2007.
Later, a Free Trade Agreement on trade in services was also signed on 21st February 2009 and is operational since 10th October 2009.
Prior to signing of CPFTA the volume of trade between the two countries was in vicinity of US$ 4 billion out of exports from Pakistan were US$ 575 million.
Over the years the trade volume has leapfrogged to US$ 12 billion with Pakistan exports bourgeoning to US$ 2.
1 billion in 2014-15, a more than three and a half times increase.

The signing of MoU on China-Pak Economic Corridor will provide have evoked a lot of interest in the prospective trade and investment opportunities arising from this game-changing project among the Chinese and Pakistani businesses.
A special session will be dedicated to present the contours of CPEC in detail and the investment opportunities which may arise from it.

 

[Muhammad Omar]

Karachi Hyderabad Motorway (M-9)

 

[Muhammad Omar]

 

[Muhammad Omar]

CPEC NOT A ROUTE, BUT ECONOMIC REVOLUTION FOR ENTIRE REGION: PM

Invites international tycoons to invest in Pakistan

Saturday, January 23, 2016 - Davos (Switzerland)—Prime Minister Muhammad Nawaz Sharif Friday said the China Pakistan Economic Corridor (CPEC) was not mere a route, but was an “economic revolution for the entire region” and would strengthen economies of the regional countries.

He was talking to Bill Winters, Group Chief Executive of Standard Chartered who called on him here on the sidelines of the meeting of the World Economic Forum.

Bill Winters said the CPEC would attract the banking sector as with the initiation of the second phase of the project, a number of industrial and economic zones would be established. He said his bank has already started work in this regard.

Prime Minister Nawaz Sharif said his government has complete faith in the private sector and its contribution in growth of the national economy.

“We are facilitating the private sector through a liberal economic regime,” he said.

He said country’s foreign exchange reserves were at their highest level and were increasing at a fast pace, owing to the confidence of investors and the robust economy.

Bill Winters said his bank has an “overwhelmingly positive view of economy in Pakistan where investment and capital were growing.”

He said Standard Chartered Bank was one of the biggest conduits in Pakistan for overseas capital. He said keeping in view the positive trends in Pakistan’s economy, he was looking up for doubling his business in Pakistan.

“Fast growth of Pakistan economy is one of the major attractions for foreign investors,” he said and added that his bank was investing in power, infrastructure, PIA and other sectors of economy.

Winters said Pakistan was offering exciting business opportunities to foreign investors and the banking sector.

Meanwhile, Prime Minister Muhammad Nawaz Sharif Friday invited Swiss and international investors to Pakistan’s energy, telecom, infrastructure, urban development, agro-industry and textiles sectors that offer exciting opportunities for investment.

“I invite you to be our partners in realizing our vision for Pakistan. Our vision is of a Pakistan which is business friendly; a Pakistan where foreign investors feel safe and secure; and a Pakistan which is modern, progressive and forward-looking,” he told a group of investors here at a breakfast meeting.

“I assure you that my business-friendly government will extend all possible assistance to you in your business endeavours in Pakistan,” the Prime Minister said as he shared with the gathering, country’s greatly improved internal security situation, and robust economic indicators.

He was speaking at a Breakfast Meeting, hosted by Ikram Sehgal, Chairman of the Pathfinder Group on “ Pakistan - A land ofBusiness Opportunities.”

Finance Minister Ishaq Dar, Commerce Minister Engineer Khurram Dastgir, Special Assistant to Prime Minister on Foreign Affairs Tariq Fatemi and Miftah Ismail attended the meeting along with around a hundred participants of the World Economic Forum.

The Prime Minister said investment incentives in Pakistan were diverse and business friendly.

“Our primary objective is to create an environment conducive for investment inflows. We offer a liberal investment policy, which includes 100 percent equity ownership, full repatriation of capital, tax-breaks, and customs duty concessions on import of machinery and raw materials,” Nawaz Sharif told the investors.

“We offer prospects of co-production, joint ventures with local partners and joint marketing arrangements. The taxation regime is one of the lowest in the region and its collection is undertaken through a dedicated Large Taxpayers Unit. A multiplicity of tax concessions is available along with provisions of tax exemptions to specific businesses,” he said.

Prime Minister Nawaz Sharif told the investors gathered in the Swiss town for the 46th World Economic Forum that Pakistan’s economic upturn was now being acknowledged and appreciated worldwide.

Prime Minister Nawaz Sharif said his government was committed to effectively tackling the whole range of economic, security and energy related challenges confronting Pakistan today.

He mentioned that a comprehensive National Action Plan to combat terrorism was being implemented. He said the Plan provides for a multi-pronged strategy, combining military action, law enforcement operations, choking terrorist financing and countering the extremist narrative.

He said it has led to a significant improvement in the security situation and to a peaceful and stable environment wherein businesses can grow and flourish.

The Prime Minister said his government has adopted a comprehensive agenda for real change to transform Pakistan into a favoured destination for business, trade and investment.

“The Pakistan of 2016 is a confident and safe country, open for business, trade and investment. We assure you of ease of business and healthy dividends on your investments in Pakistan,” he added.

He also informed the gathering that his government has launched ‘Vision Pakistan 2025’, at the national level, which, he added, puts people’s economic development first.

The Prime Minister also shared some of the measures that his government has taken to set the country on the trajectory of inclusive growth and job-creation.

He said these include wide-ranging economic structural reforms aimed at ensuring sound macroeconomic policies to reduce budgetary deficits, curb inflation and enhance self-reliance.

He said the government was also carrying forward a process of privatization through strategic partnerships in the state-owned enterprises.

He said through a wide range of policy measures, his government was transforming human capital into a driver for growth and development.

“Nearly 60 percent of our population is under the age of thirty, thus offering huge demographic dividends,” he said and mentioned his government’s internship programme to pay college students.

He also mentioned the loans programme for the youth to help them start small businesses and provide employment to others.

The Prime Minister said his government was committed to providing women greater access to education, economic resources, and employment opportunities, to enable them to become equal partners in economic development.

He said the development expenditure has been more than doubled in third fiscal year 2016 and special focus has been given on the social safety net expenditure to help the vulnerable population.

He said budgetary allocations for this purpose have been gradually enhanced to over 300 percent of the baseline of Fiscal Year 2013, with 50 percent increase in the cash income support and over 60 percent increase in the number of families covered under this programme.

The Prime Minister said his government has particularly focused on key areas of the energy sector, regional connectivity, and promotion of investment.

“We are taking steps to strengthen the energy sector, including through increase in power generation, use of better technology in power distribution, controlling line losses, energy conservation, and diversifying the energy mix,” the Prime Minister said.

Prime Minister Nawaz Sharif said Pakistan’s three stock exchanges had been merged into Pakistan Stock Exchange (PSE) and pointed out that erstwhile Karachi Stock Exchange Index, which stood at 19,916 in May 2013 at the time of the General Election 2013, has now surged to over 30,000.

He said the Pakistan Stock Exchange has shown greater stability as compared to other regional markets in the recent stock market turmoil.

Prime Minister Nawaz Sharif said he believed that future prosperity and economic development was largely linked with peace and security in the region.

“Peace is vital for development and development is essential for durable peace,” he said and added “building a peaceful neighbourhood is central to the realization of Pakistan’s vision for regional peace and economic prosperity.”

“It is this philosophy that underpins our outreach efforts to our immediate neighbours,” he added.

Nawaz Sharif said Pakistan desires to forge cooperative relations with India, in the interest of the peoples of the two countries and of the region.

“We believe that dialogue is the only way forward to resolve the outstanding issues between our two countries, which would pave the way for fully realizing the tremendous growth potential of South Asia.”

He said Pakistan responded promptly and positively in welcoming the brief stop-over by Indian Prime Minister Modi to Pakistan on 25 December.

Mentioning bilateral ties with Afghanistan, he said Pakistan was sincerely committed to peace and stability in its western neighbour, and mentioned the co-hosting with Afghanistan, the fifth Ministerial Conference of the Heart of Asia-Istanbul Process with the theme “Enhanced Cooperation for Countering Security Threats and Promoting Connectivity in the Heart of Asia Region” in Islamabad.

“Pakistan is supporting various reconstruction and development projects in Afghanistan. We also wish the international community to remain engaged in supporting Afghanistan’s reconstruction and economic development.”

“We also remain committed to the full implementation of the Afghan-Pakistan Transit Trade Agreement. We are willing to expand its coverage to include other Central Asian States,” he said.

The Prime Minister expressed gratitude to the Pathfinder Group and Ikram Sehgal for hosting the important event with prominent business leaders, intellectuals, academics and diplomats.

He said the Pathfinder Group has been a leader in fostering a series of informed dialogues on international issues.

Prime Minister Nawaz Sharif mentioned the increase in the well-head prices of oil and gas for the exploration companies and said it has led to renewed interest in exploration activities.

He said new terminals and pipelines were being laid to import natural gas for homes and industries.

The Prime Minister said his government was adding to the electricity generation capacity of the country by about 10,000 MW in the next two years.

He said active progress was underway on an additional 14,000 MW approximately beyond Fiscal Year 2018.

The Prime Minister said one of the key pillars of his government’s policy were to support and encourage greater regional integration and connectivity.

“This is where we have our biggest opportunities to reap the dividends of peace for the common good of our peoples,” he said.

He said his government has devised a policy to integrate the region through trade and economic corridors as he strongly believes that real prosperity was ‘shared’ prosperity.

“Given our geo-strategic location, we are well placed to act as the prime movers for promoting regional connectivity,” he said.

He also shared with the investors the scale and number of regional projects launched recently and said these include the China-Pakistan Economic Corridor (CPEC), the Turkmenistan- Afghanistan-Pakistan-India (TAPI) gas pipeline, the Central Asia-South Asia (CASA) 1000 electricity project, and the Torkham-Jalalabad Road.

He said the CPEC embraces multiple infrastructure and development projects, including road infrastructure, energy generation and transmission, development of Gwadar port, up-gradation of railways infrastructure, development of industrial and commercial zones, and medium and long term planning for country’s core economic sectors.

The first phase of CPEC projects is estimated to bring in an investment of US$ 46 billion, primarily in the energy and the road and rail infrastructure sectors.

He said this mega project will serve as a “game-changer” in ushering in a new era of peace, cooperation and development in the region and beyond, as it envisages building advanced infrastructure, energy and communication networks, linking the western regions of China with Pakistan.

“I am confident that CPEC would revolutionize trade and investment in the region.”

The Prime Minister said Pakistan has already started to reap the dividends of the measures taken by his Government and said country’s GDP has grown by 4.24 % in Fiscal Year 2015, the highest in the last seven years. Inflation was at 4.6% in the same year, and in the first half of the Current Fiscal Year, was at a historic low of around 2%.

“Our per capita income has risen by 12.91% in the first two years of our Government. Budget deficit has been brought down from the projected 8.8% for Fiscal Year 2013 to 5.3% in Fiscal Year 2015, and is projected to be further brought down to 4.3% in Current Fiscal Year 2016.”

The Prime Minister said in the first two fiscal years, tax revenues have increased by over 33%, due to tax-net broadening and removal of special exemptions, while the medium term plan was to increase tax-to-GDP ratio from 8.6% in Fiscal Year 2013 to around 13% by Fiscal Year 2018.

Prime Minister Muhammad Nawaz Sharif Friday met Professor Klaus Schwab, Chairman of the World Economic Forum here at the WEF Congress Centre.

The Prime Minister appreciated the holding of the WEF forum and the role it was playing.

Professor Schwab was born in Germany in 1938 and is Founder and Executive Chairman of the World Economic Forum, the international organization for public-private cooperation.



He founded the Forum in 1971. He believes that the management of a modern enterprise must serve not only shareholders but all stakeholders to achieve long-term growth and prosperity.

The Forum has been a driver for reconciliation efforts in different parts of the world, acting as a catalyst of numerous collaborations and international initiatives.—APP

CPEC to accelerate economic activities in Sindh too: Gov

KARACHI - Governor Sindh Dr Ishrat-ul-Ebad Khan has said China-Pak Economic Corridor (CPEC) would accelerate economic activities in Sindh too, particularly in energy sector and businessmen should be prepared to avail this opportunity to ensure rapid economic growth and prosperity of province.
Governor Ebad expressed these views during a meeting with a delegation of young entrepreneurs standing committee of FPCCI at Governor House here on Thursday.
He observed that young businessmen and industrialists engaged in various sectors are beacon of hope for fast paced economic growth and prosperity of the province and Government would encourage and facilitate them in all possible Ways. With the expansion of economic activities in Sindh many job opportunities for unemployed youth would also be created and in turn it would contribute largely for the prosperity and growth of the province. He opined and said that with the smooth running of industries in the province, unemployment could be minimized to a great extent.
Governor Sindh further said that Karachi is main economic artery of not only Sindh but also of Pakistan and keeping in view the same, Government was attaching high priority in maintaining law and order and ensuring promotion of energy and power sector and infrastructure. With the consultation of FPCCI and its affiliated organizations, all relevant government offices have been directed to provide all basic amenities in industrial zones, and estates so as to ensure utmost productivity from existing industrial units and also encourage establishment of new industries, he added.
He said, that the facilities of electricity, gas, water and roads in various industrial zones have been ensured and improved, which have been appreciated by the business community.
During the meeting delegation members briefed Governor Sindh about the working of industries of various sectors.
They thanked Governor Sindh for facilitating and resolving the issues confronted by them. They also presented shield of FPCCI to Governor Sindh on the occasion.

Neelum Jhelum: First unit to be commissioned in June 2017

The power house and the switchyard of the project are scheduled to be completed in November this year. PHOTO: FILE

LAHORE: The first unit of the 969MW Neelum-Jhelum Hydropower project will be commissioned in June 2017, while the other three – one at a time – will also come online by December 2017, said Water and Power Development Authority (Wapda) Chairman Zafar Mahmood.

During his visit, the chairman observed that progress on most of the components was ahead of the revised schedule.

He appreciated project authorities, consultants and contractors for their efforts in expediting the construction work and directed them to continue working at the same pace to complete the strategically important project on time.
ECNEC says yes to Neelum-Jhelum, CPEC road projects

The chairman visited the dam site at Nauseri, river crossing at Majohi to attend the break-through ceremony of the right tunnel and power house at Chattar Klas.

It is pertinent to mention that the two sections of the right tunnel – one excavated from the dam site and the other from the power house – were connected on January 9 against the target date of January 15.

“The Neelum Jhelum project is a monument of the Pak-China friendship towards the development of hydropower in Pakistan,” said the chairman while performing the connecting ceremony of the two sections. He was also briefed that the overall progress of the project currently stood at 76%; out of the 68km long tunnel, so far 59km have been excavated while 74% of the dam construction is complete.
Hydroelectric power plant: Financiers stop $433m loan for Neelum-Jhelum project

The power house and the switchyard of the project are scheduled to be completed in November this year.

Upon completion, the Neelum Jhelum Hydropower Project will contribute 5.15 billion units of electricity every year to the national grid.

 

[zaidigee72]

Govt. seems guitly in CPEC, regarding equal distribution.

 

[Muhammad Omar]

Govt. seems guitly in CPEC, regarding equal distribution.

Please don't try to derail this thread... make another for stupid posts