Investments by ‘Saudi Pak’ reach Rs 10b, plans more

[T-Faz]

Blind obsession has no cure.

It sure doesn't, look what you people have done to Pakistan.

 

[Luftwaffe]

From a perspective US-Saudi investment is the same, fuel the fire and give a little to live on.

I take US-Saudi investment the same way both have invested in our economy to a point to push it a little and both have funded religious groups/parties/sects and terrorist groups.

In a long run however funding the terror in Pakistan has become lucrative productive business for Saudis-Americans.

 

[r3alist]

I don't have any bearing on these failures, what i do know is who is involved and it certainly is these "brothers" with snakes from within that have destroyed Pakistan.

and they are the only ones to blame?

 

[Faiez]

really????

i bow before you oh great and enlightened one . what an economist

A foreign company only invests when it is sure that it can make profit from the country.
Initially you will see an inflow of capital due to the investment. But 2, 3, 4, 5 years later you will see that there is a net outflow of capital as the foreign company has broke even and is making a profit. This is bad for the economy. But if its a public limited company and has little foreign ownership, then things will be different depending on how much foreign ownership is there.

Benefits of foreign investment is that u can get quick foreign cash and employment and technology.
The downside is the outflow of capital in the longrun.

If there is strict foreign ownership laws which dont allow too much foreign ownership, then a country can benefit from foreign investment. But to my knowledge there is isnt any law in pakistan that restricts foreign ownership. So we cannot benefit from it in the long run.
thank you