Pakistan Economy - News & Updates - Archive

[Owais]

Incentives for Chinese Economic Zone finalised

ISLAMABAD (December 28 2006): The government has finalised an incentives package for the Chinese Special Economic Zone with exemption of customs duty (on import of machinery/equipment), income tax and sales tax to attract foreign investment for creating balance in $15 billion bilateral trade with China by 2011.

Sources told Business Recorder on Wednesday that three different tax incentive proposals have been finalised for the Chinese Special Economic Zone. The Board of Investment would discuss this package with the Chinese Ambassador, the foreign investors and other stakeholders to ascertain their requirements before submitting it to the Economic Coordination Committee (ECC) of the Cabinet.

They said that the Planning Commission had recently convened a meeting to review the progress on the incentives package for the special economic zone. The package for China Industrial Zones was drafted by Board of Investment (BOI) in consultation with Central Board of Revenue (CBR), provincial governments, Ministry of Industries and Production, Commerce Ministry and Ministry of Textile. These departments discussed threadbare the investment policy and major incentives being provided to companies in China.

Sources said that the importance of establishing local and foreign joint ventures would help in achieving balance in $15 billion bilateral trade with China by 2011, as envisaged in the recently signed Five-Year Development Plan between the two countries.

It was emphasised that the window of opportunity for potential Chinese investment would not be there for an indefinite period, and the opportunity needed to be best availed by offering substantial incentives at the earliest.

It was also explained that the Memorandum of Understanding (MoU) signed between Ruba Group of Pakistan and Haier Group of China for the establishment of Chinese special economic zone, during the recent visit of Chinese President to Pakistan would act as a catalyst in promotion of mutual economic ties between the two countries.

It is therefore, necessary for all ministries to finalise the incentives package and translate the Ruba-Haier Joint Venture into a reality. It was also explained that similar incentives and country-specific zones could also be offered to other countries.

The Board of Investment apprised the meeting that Ruba-Haier Group has asked for earmarking 3000 acres land near Kala Shah Kaku (Lahore-Islamabad Motorway, M2) for setting up Special Economic Industrial Zone, for which 20 Chinese companies have shown interest. Ruba-Haier Group would provide industry-wise list of the interested Chinese companies with their potential investment range in the next 2-3 days. The government has worked out following incentive proposals after thorough deliberations with the economic ministries:

PROPOSAL-I: Special Economic Zone would be treated as Export Processing Zone (EPZ), and no additional concession would be extended. Proposal-II: SEZ would be treated as EPZ for products/goods manufactured in the country.

For goods not manufactured locally (to be carefully listed) SEZs would be allowed to sell goods in Pakistan without any customs duty, but on payment of sales tax.

SEZ to be exempted from payment of income tax for a specified period.

PROPOSAL-III: SEZ to be allowed duty-free import of plant and machinery. SEZs to attract normal custom duties on raw materials. On exports, these units of SEZs would be entitled to duty drawback and rebate.

Special Economic Zone to be allowed to sell goods in Pakistan without any restriction, on payment of sales tax. This Zone to be exempted from income tax for a specified period. Sources added that all these packages would be discussed with the stakeholders to finalise one package for the Chinese investors.

 

[Janbaz]

Pakistan enters 'Next Eleven' Club

Dr Ashfaque Hasan Khan
Prudent macroeconomic policies and structural reforms of six/seven years have transformed a fragile economy of Pakistan into a stable and resurgent one. Pakistan’s economy has continued to maintain a solid pace of expansion over the last four years (2002-03 to 2005-06). This recovery has been strong, rapid, sustained and broad-based.
With economic growth averaging almost 7.0 percent per annum during the last four years, Pakistan has positioned itself as one of the fastest growing economies in the Asian region. This strong growth has been achieved instead of several exogenous negative shocks thereby clearly reflecting the resilience of Pakistan’s economy and its capacity to absorb shocks.
The strong, rapid, sustained and broad-based economic recovery has not only helped Pakistan joining the club of the fastest growing economies in the Asian region but has started appearing on the radar screen of global financial institutions.
One such event took placed in December 2005 when a global investment Bank, Goldman Sachs, included Pakistan in the category of new emerging markets, destined to play a major role, in the world economic setting. A background and importance of this achievement needs explanation.
Goldman Sachs is an international investment bank with a strong credential of economic research as well. In 2001, they identified four emerging market economies, namely Brazil, Russia, India and China (BRICs) who, in their opinion, will play important roles in shaping the destiny of the global economy. They continued to monitor the developments in these economies and through their research continued to disseminate the performance of these economies to the rest of the world. The BRICs continued to attract attention of the world economic powers. By 2006, the BRICs have emerged as central players in the world economy and global policy-making affecting trade capital markets, investment and energy policy.
In 2003 the Goldman Sachs presented an important piece of work entitled “Dreaming with BRICs Path to 2050”, projecting long-term growth rates for these countries and suggested that the BRICs as a whole would be bigger (in US dollar term) than G-6 countries by 2041. These projections were based on a forward-looking model that stressed the importance of good economic policy and stable institutions. Goldman Sachs continued to publish research on BRICs. The importance of BRICs is now being felt in wide-range of issues concerning the global economy over the past few years.
In December 2005 the Goldman Sachs extended their coverage from BRICs alone to few other emerging markets that in their opinion, will emerge as major economic power in the world economy. They have identified countries like Korea, Mexico, Vietnam, Iran, Turkey, Egypt, Philippines, Indonesia, Bangladesh, Nigeria and Pakistan and have termed them as “Next Eleven (N-11)” on the basis of their growing economic strength and favourable demographic profile. Goldman Sachs believes that N-11 presents a healthy environment for a high-sustained growth for the next 50 years (by 2050) because of their prospects for higher investment and favourable demographics.
It is an honour for Pakistan to be included in the ‘Next Eleven (N-11)’ on the basis of its potential to emerge as, in the opinion of Goldman Sachs, major economic power.
It is also an acknowledgement of the economic success of Pakistan and its policies that it has found place in the club of ‘Next Eleven’ The Goldman Sachs projects that the size of the Pakistan’s economy will $ 2287 billion by 2050 from $ 120 billion in 2005.
In other word, Pakistan’s economy is projected to grow by 6.8 percent per annum in dollar term over the next 45 years. With this rate of increase the per capita income is projected to increase to $ 7753 by 2050 from $ 737 in 2005. If Pakistan further improves its growth environment score (GES) which include macroeconomic stability (inflation, budget deficit, external debt); macroeconomic conditions (investment rates, openness of the economy); technological capabilities (penetration of personal computers, phones, internet), human capital (education, life expectancy) and political conditions (political stability, rule of law, corruption) the size of the GDP and per capita income will improve further.
Most importantly, the premium of improving GES is enormous.
For example, if Pakistan’s economy grows by 8.0 percent per annum instead of 6.8 percent, the per capita income would improve by 70 percent. Pakistan’s demographic profile is a blessing for the country as more than half of its population is young. If we improve human capital, particularly education, technical training and health this young population will emerge as a great asset for the country and will help achieve higher economic growth.
Pakistan’s economic conditions have improved considerably in recent years and as such have attracted the attention of Goldman Sachs to become part of the ‘Next Eleven’, destined to play major roles in global economy. While Pakistan has sustained strong growth in the last several years Pakistan will have to work hard to further improve its GES.
In particular, Pakistan will have to maintain macroeconomic stability that is, to keep inflation, budget deficit low and continue to reduce debt burden; continue to improve investment climate, improve technological capabilities; invest more on physical and human infrastructure; maintain political stability in the country, further improve the rule of law and reduce corruption.
These are challenges for going forward. Pakistan has so far done well on economic front but more needs to be done to be an active member of the N-11 in general and world economy in particular.
(The writer is Economic Advisor, Finance Division, Government of Pakistan).

The Nation Pakistan.

 

[Owais]

Multinational firm to invest $150 million in Karachi


KARACHI (updated on: December 28, 2006, 21:09 PST): A US-based multinational company is willing to make investment worth $150 million in the city to set up over eight vegetable and fish markets besides modern slaughter house.

This was informed by Chairman and member of managing committee ICI Global Economy Group Ali Nawaz Sheikh who called on City Nazim Syed Mustafa Kamal in his office on Thursday.

In his presentation, the chairman said their company is being running such business in various countries around the world including Saudi Arabia, UAE, Korea, Malaysia and others.

He said that their company is willing to set up over eight vegetable and fish markets in the city worth $150 million which would not only provide hygienic and fresh vegetables and meat to the citizens but they will also devise to dispose their produces in all markets.

The firm has also plans to establish its own cold storage and also import cold storage vehicles for this purpose, he added.

"The company, ICI Global Economy Group, has vast experience to run such business not only in many countries of Asia but also around the world. We hope this business will run successfully in Karachi," Chairman Ali Nawaz Sheikh said.

City Nazim Mustafa Kamal pointed that the city government is initiating steps to provide maximum facilities to the investors as the city of 18 million population has vast opportunities to make investment in various sectors.

He mentioned that presently the city has two slaughterhouses while a portion of land also allocated at Northern Bypass to establish a modern abattoir to cater the need of the city.

The city government will welcome the investors in this sector and also extend all co-operation in this regard, he added.

Kamal instructed EDO Master Plan, EDO Enterprise and Investment Promotion to prepare a comprehensive report along with the representatives of the company.

 

[Neo]

Guys please provide links when posting an article and refrain flloding by posting insignificant news.

Please read the first post.
Thanks!

 

[Neo]

Good harvests seen boosting economic growth :thumbsup:

KARACHI (December 28 2006): Pakistan's economic growth is likely to receive a fillip from higher-than-expected output of major crops in the current 2006/07 fiscal year, Ashfaque Hasan Khan, an adviser to the finance ministry said on Wednesday.

Increased crops of sugar, rice, wheat and cotton will boost a sector that is the largest contributor to Pakistan's gross domestic product. "The agri sector this year is likely to grow by 4.2 percent," said Ashfaque Hasan.

Pakistan faced severe irrigation water shortages during the last fiscal year, resulting in disappointing farm sector growth of 2.4 percent. "The reversal was mostly on account of better availability of irrigation water that persisted both in the Kharif (summer) and Rabi (winter) crop seasons," Khan said.

The agriculture sector is the leading contributor to the country's GDP, accounting for 21.6 percent during the 2005/06 (June/July) fiscal year. About 113.7 million acres (46 million hectares) is farmed and 60 percent of Pakistan's 160 million people are linked to agriculture.

Pakistan's economy grew by 6.6 percent in 2005/06 and the government is aiming for growth of about 7 percent in the current fiscal year. Cotton production in the year ending in June 2007 is expected to be 12.5 million to 12.8 million bales. Cotton and textiles account for about 60 percent of Pakistan's exports. The cotton crop in the last fiscal year was 12.4 million bales.

Khan said industry would also benefit from a healthy cotton crop. Pakistan, the world's fourth-largest cotton producer, expects domestic consumption of 15 million bales in the season that started in Jully, in line with recent years The sugarcane crop exceeded forecasts by 18 percent, at 52 million tonnes.

http://www.brecorder.com/index.php?id=511996&currPageNo=2&query=&search=&term=&supDate=

 

[Neo]

GDP down to 4.4pc in privatisation era: Jobless rate jumps to 5.66pc

KARACHI, Dec 27: The annual growth rate of Gross Domestic Product (GDP) came down to 4.45 per cent during the privatisation decade of 1991-92 to 2001-02 as compared to 6.70 per cent in the pre-privatisation decade of 1981-1991. The unemployment ratio jumped up from 3.77 per cent in 1981-91 to 5.66 per cent in 1991-2001, reveals a well researched study of Action Aid International Pakistan released recently.

The average manufacturing growth ratio during decade of pre privatisation was 7.78 in 1981 to 1991 which slumped down to 4.88 per cent during the privatisation decade of 1991 to 2001. The investment ratio was 17.60 per cent of the GDP during 1981 to 1991, which increased slightly to 17.83 per cent during the privatisation decade mainly because of small investment in balancing and modernisation.

The fiscal deficit during pre-privatisation era is, however, on the higher side at 7.35 per cent as against 6.56 per cent during the privatisation decade because of provision of budgetary resources for the public sector enterprises.

“These figures indicate that the privatisation programme has not made positive impact on economic growth, investment and employment,” argues the report that discloses the number of employees in industries including Pakistan Steel, banking and financial institutions, telecommunications. Wapda and the OGDC came down from about half a million in 1991 before the privatisation process was set in.

“By the year 2000, the transfer of many of these units to the private sector, downsizing, Golden Hand Shake (GHS) and other such measures reduced this number to one-third. It shows that unemployment might have increased manifold in the current phase of privatisation during Musharraf’s regime after the year 2002,” the report apprehends.

“Hit by the vicious process of privatisation, downsizing and detachment that has taken place over the last 10 years, more than half a million workers have lost their jobs and are living in abject poverty,” it says.

A survey conducted by the Workers Federation of Pakistan found that the fringe benefits in the private sector are lower and workload is higher as companies start focussing on core function—profitability setting aside all social considerations like transport, healthy working environment, healthcare, safety nets and facilities for the family members.

Now almost 80 per cent of the workforce in manufacturing sector, road transport, and trade and most of the services sector are part of the informal sector.

Workers in informal economy are neither recognised nor registered. They are also not regulated or protected under labour legislation and social protection. The workers in informal economy suffer from low wages, long working hours, lack of social protection, lack of job security and absence of trade unions.

The study estimates 24.35 per cent of Rs14.62 billion bid money received in privatisation of public sector automobile, cement, chemicals, fertiliser, engineering, ghee, rice, roti plant, newspapers and miscellaneous categories during 1991 to 1997 was given as golden hand shake as 63.30 per cent of more than 35,000 employees opted for it.

Most of the workers, who opted for GHS tried to create self-employment opportunities, lost their money as they had no experience. Many of the retired workers deposited money in banks and national saving schemes but were let down when interest rates were reduced. Quite a few were cheated by the swindlers and big sharks in the stock exchange.

“Privatisation has crippled the workers socially, economically and emotionally. They have lost faith in struggle and trade unions as many trade union leaders have betrayed them for their personal interests,” the study says.

-----The report gives the name of 20 public sector units privatised during 1992-94 that are now closed. These are Naya Daur Motors, Dandot Cement, Zeal Pak Cement, National Cement, General Refractories, Pak PVC, Swat Elutriation, Nowshera PVC, Nowshera Chemicals, Pak China Fertiliser, Karachi Pipe Mills, Metropolitan Steel, Pak Switchgear, Quality Steel, Indus Steel Pipe, Fazal Vegetable Ghee, Haripur Vegetable Oil, Khyber Vegetable, Suraj Ghee Mills and Hyderi Vegetable Ghee.

According to the report the privatised units formed cartels and mentioned cement and ghee syndicates that made good profits.

http://www.dawn.com/2006/12/28/ebr3.htm

 

[Janbaz]

Poland keen to expand trade with Pakistan

OUR STAFF REPORTER
KARACHI - Poland is keen to further expand trade, economic ties with Pakistan and co-operate in oil, gas, energy, mining, infrastructure, chemicals, food processing and developing Small and Medium Enterprises said the Polish Consul General Lreneusz Makes during a diplomats gathering at his residence with PML(Q) Senator Nisar Memon as chief guest to celebrate Christmas on Wednesday. The volume of two-way trade in first nine month was $ 692.3m which did not reflect close relationship between the two countries and there was a constant need for more trade ties, he added.
Poland exported goods worth USD 29.5 million, while Pakistan exports were valued at USD 62.8 million. Balance of trade is in favour of Pakistan.
Polish Consul General in Karachi also said, he welcomed government’s decision to declare 2007 as year of tourism in Pakistan and said the country had many beautiful places like Himalayas, which would attract many foreign tourists including Polish who are charmed by beautiful landscapes and hospitality of Pakistani people.

http://www.nation.com.pk/daily/dec-2006/29/bnews8.php

 

[Neo]

World Bank 'moderately satisfied' with reforms

ISLAMABAD (December 29 2006): The World Bank (WB) is 'moderately satisfied' with the reform plans and has asked the government to regularly convene meetings of the Cabinet Committee on Fiscal Reforms (CCFR) to monitor implementation of reform in the Central Board of Revenue (CBR).

Sources said on Thursday that the World Bank review mission has given rating of 'Moderately Satisfactory' to the development objective of the reforms.

The WB was of the view that progress on reforms could easily slip over coming months, unless project management is strengthened and the Board enhances its oversight of the program. A full time Member Tax Policy and Reform and Project Director would ensure proper implementation of the reform projects.

The Bank team also recommended that the Cabinet Committee on Fiscal Reforms (CCFR) be reconvened again on quarterly or six monthly basis to maintain the momentum of the reform and provide support to the reform process as it meets new challenges in the coming year.

According to the WB, the government and CBR management remain committed to the reform program, and the project has shown clear achievements vis-à-vis taxpayer's facilitation. The project has gained momentum in recent months, however, it carries significant delays of the past.

The preparatory work for reforming revenue operations and introducing technology has proved more difficult as envisaged during the project preparation. The project management has been very weak, and CBR has faced difficulties finding solid international consultants due to circumstances beyond its control, the WB said.

In recent months, the project has gained momentum and key issues that were highlighted during the March 2006 supervision mission or August 2006 interim supervision mission have been resolved or their resolution is advanced.

The Integrated Tax Management System (ITMS) bidding document has been finalised; the bidding documents for a national customs computerised system with full functionality; a data warehouse are under preparation and the CBR has formulated a staff rationalisation plan.

The CBR has selected a project manager/tax administration advisor with extensive international experience. An international audit consultant has been working at CBR since late August 2006 and an international HR since September 2006. A new Member Audit was appointed in May 2006, the WB added.

http://www.brecorder.com/index.php?id=512324&currPageNo=1&query=&search=&term=&supDate=

 

[Neo]

We'll complete first fase of reforms in fiscal year 2007/08. Looking back to the developments during last five years, we've all the reason to be proud.

Only six years ago we were on the verge of bankcruptcy but we've emerged as one of the fastest growing economies in the world and developped ourself to be the third most lucrative place for international investors.
Thas a direct result of economic reforms initaited by Aziz and Musharraf!

Second fase reforms are being designed to take us to the next level, with projected economic growth between 8-10%!

:flag::flag::flag:

 

[Neo]

Ibad declares 2007 year of development

KARACHI (December 29 2006): Sindh Governor Dr Ishratul Ibad Khan has said 2007 would be the year of development and prosperity for the province, especially for Karachi, as extraordinary development activities would be initiated besides the kicking off many mega projects.

He said not only a number of ongoing projects would be finalised but many more projects would also be initiated. This he stated in a reception held at Bara Dari, Bagh-e-Jinnah on Wednesday night. City Nazim Syed Mustafa Kamal hosted the reception in the honour of governor for completing four years in the office.

Provincial ministers, advisers, MNAs, MPAs and senators, foreign diplomats, City Naib Nazima Nasreen Jalil, town nazims, industrialists, businessmen besides a large number of people from different walks of life attended the reception. The governor said the satisfactory law and order situation in Karachi had brought local and foreign investment in the metropolis.

"I believe that the situation in all sectors of the province is more satisfactory today than in the past four years. When we took charge some four years ago, we had identified our priorities, which resulted today the improvement in every sector", he mentioned.

He said that earlier the situation in all universities was pathetic but now projects worth billions of rupees running in these academic institutions. "One can witness the confidence of government as the president along with prime minister presenting themselves for accountability at the mausoleum of Quaid-i-Azam, which was not proved in the past. Perhaps the faces of previous leadership was not suitable to present them selves for the accountability, he further added.

The governor said that if the situation became chaos in Sindh, its results would affect the entire country. "The political stability in the country prevails due to the better law and order situation in Sindh", he added.

He expressed thanks for Quaid-e-Tehreek Altaf Hussain, for choosing him for the governorship and supported during the last four-year tenure. He also thanked President General Pervez Musharraf and Prime Minister who extended all cooperation towards him.

The governor also appreciated City Nazim Syed Mustafa Kamal and described him as an active, diligent, hard-worker and intelligent who accelerated the pace of development work in the city without any compromise. He recalled that the IT Ministry was created only for political purpose but Mustafa Kamal had motivated the ministry in a right direction.

City Nazim Syed Mustafa Kamal said the credit goes to the Sindh governor "for completing four years in his office in the history of country as no any single government lasted for such period. The present governor has established such a good example of good governance in the province which resulted into the development in the province as well as in the city on a right direction," he said.

http://www.brecorder.com/index.php?id=512449&currPageNo=1&query=&search=&term=&supDate=

 

[Owais]

Pak-Korea trade reaches $843 million

KARACHI (December 30 2006): The volume of bilateral trade between Pakistan and Korea has amounted to 843 million dollars in the first 10 months of the current calendar year. This was stated by the Consul General of the Republic of Korea, Sukchul Chang. Talking to journalists, he pointed out that last year the bilateral trade between the two countries had topped one billion dollars.

Chang informed that from January to October this year the trade volume between Korea and Pakistan amounted to 843 million dollars. Of this, exports from Korea to Pakistan was 550 million dollars whereas imports from Pakistan was 293 million dollars

http://brecorder.com/index.php?id=512690&currPageNo=1&query=&search=&term=&supDate=

 

[Neo]

Sector-wise project information may help attract Chinese investment: ACEP

LAHORE (December 30 2006): Potential Chinese investors are keen to make investment in Pakistan but they are unable to make it only because of non-availability of proper information. If some sector-wise projects were made available to them, it would help the Chinese businessmen to work out their investment plans for Pakistan, which has now become a land of opportunities.

Li Hong, chairman, Association of All Chinese Enterprise in Pakistan (ACEP) expressed these views, while speaking at the Lahore Chamber of Commerce and Industry (LCCI), here on Friday. LCCI president Shahid Hassan Sheikh, senior vice president Yaqoob Tahir Izhar, former presidents Mian Anjum Nisar, Mian Shafqat Ali also spoke on the occasion.

Li Hong maintained that there were ample opportunities for Sino-Pak trade and joint ventures in number of sectors and this could only be materialised if chambers of commerce play their role in this regard. He said that textile equipment, appliances manufacture and agriculture sectors were potential areas where businessmen from both the sides can initiate joint ventures for the rapid economic growth of Pakistan and China.

He said that rapid industrialisation and increasing foreign trade and economic co-operation demonstrate the unique appeal of China. He also urged the LCCI leaders to arrange a business delegation to China so that the Pakistani business community could be able to have firsthand knowledge about the available opportunities there.

Speaking on the occasion, the LCCI president Shahid Hassan Sheikh appreciated the recent visit of Chinese President to Pakistan and termed it a historic event. He said that the FTA and other agreements signed during President Hu Jin Tao's visit to Pakistan would bring the business communities of the two countries further closer besides increasing the volume of two-way trade.

http://www.brecorder.com/index.php?id=512776&currPageNo=1&query=&search=&term=&supDate=

 

[Neo]

Pakistan set to dominate world economies in 21st century: Advisor

ISLAMABAD (December 30 2006): Goldman Sach, one of the leading investment banks of world has predicted that Pakistan's economy would dominate world's economies in 21st century, Advisor to the Prime Minister on Finance, Dr Salman Shah said on Friday.

Talking to PTV, he said, the same bank is used to advise world's top business organisations about the potential countries where they should invest. Goldman Sach, a leading investment Bank of the world has included Pakistan's economy among 11 most fastly growing economies of the world, saying that Pakistan is set to take control of the world's economy in next 40 years.

These economies of several countries especially of Pakistan will surpass the economies of even G-6 countries in 21st century, the investment bank report said. They have invented a new term (BRIC) consisting of Brazil, Russia, India and China five years ago predicting that Pakistan, Turkey and Egypt will progress faster than the BRIC countries.

He said the bank has particularly appreciated population mixture of Pakistan terming it most vibrant. Out of a population of 160 million almost 55 percent consist of under nineteen years of age. Youngsters of Pakistan will play key role in economic dynamics of next 40 years. The young manpower of Pakistan will come into arena when labours of other countries already retired.

They will provide Pakistan demographic dividend, he remarked. These people not only help enhance production but also create demands of consumer goods. Currently country's per capita income is at $850.Where the personal income increases up to $3000 accelerating consumer goods production to meet increasing demands, he remarked.

Pakistan's middle class is emerging fast while its industry will also move from textile to high tech goods production in the next 25 years, he said. Responding to a question he said import of surplus wheat have been allowed to private sector for creating space for next crop adding that due to good rains Pakistan expects a bumper wheat production this year.

He said that government is also checking the prices of the commodity in order to maintain these. Dr Shah said that Petroleum prices in country are still lower than India and other South Asian countries. Core inflation ratio is up to 5.6 percent. The focus of the government is to bring down food inflation ratio from 10 percent to a lower level, he added.

http://www.brecorder.com/index.php?i... rm=&supDate=

 

[Neo]

$150 billion investment planned under Vision 2030 in energy sector

ISLAMABAD: December 31, 2006: The government has planned an investment of 150 billion dollars under the Vision 2030 to ensure additional power generation of 1,43310 Megawatt by the end of 2030 to meet energy requirements due to fast growing economy.

Under this plan, the government will invest two billion dollars annually while private sector is expected to invest four billion dollars per annum.

Major focus would be on enhancing Hydel power generation as the country has a potential of about 41722 megawatt electricity while it is generating only 6595 MW at present.

The government besides concentrating on enhancing Hydro power generation has also planned to establish power generation units based on coal, furnace oil and gas to meet growing energy requirements.

Under the Vision 2030, the provinces will also work for promoting public private partnership by engaging them building power generation units on major Canals at about eight hundred sites, which will generate over seven hundred MW electricity.

Source: Brecorder.com 31 Dec.

 

[Neo]

EAPCL to invest $ 250 million in PVC sector
Sunday December 31, 2006

KARACHI: Infrastructure of all the big cities including Karachi should be developed and aliened with the modern technology before starting any mega project, otherwise these project despite providing facilities would become burden on the cities.
This was stated by Ajaz Ahad, President Institute of architects Pakistan at the occasion of GREEN ARCH 2006 organized by the Engro Asahi Polymers & Chemicals Limited (EAPCL) in collaboration with the Institute of Architects Pakistan at a local hotel.

Giving a presentation on "Pakistan - Trends in Urban Development" he said that in order to develop the metropolis technical skill, education and health sector should be developed on war footing basis and the mass migration of people from rural areas to the metropolis be stopped.

He further elaborated that every year 0.35 million people from rural areas move in the metropolis, which put enormous burden on the already limited resources of the city and in order to stop this mass movement of the people government should develop cottage industry and should also established agriculture-based industries so that people of the rural areas would able to get batter opportunity in their own environment so they would not move towards urban population.

Nasir Qureshi, Section Head Pipes, Market Development Department, EAPCL in his presentation on "PVC pipe advantages and uses in households" said that the PVC industry in Pakistan is in its early stages of development.

Nasir querashi said that looking at the future prospects, EAPCL and its joint venture partners decided to further invest in Pakistan and the planned investment is to the tune of US $ 250 million, he added.

He maintained that the investment would done for an immediate expansion in PVC manufacturing facility from existing 100,000 MT per year to 150,000 MT per year within next year. Further, expansion to 200,000 MT per year will be done by 2010.

The programme was followed by programme "Loose Talk" by the famous duo of Anwer Maqsood and Moin Akhtar, with the thunderous applause of the guests.

Later, Syed Ashar Hussain, Marketing and Sales Manager, EAPCL, distributed the mementos to the participants.

http://www.paktribune.com/news/index.shtml?164684