China pledges 50 million yuan grant: agreement signed on economic cooperation
BEIJING (July 08 2010): Pakistan and China on Wednesday reaffirmed at the highest level to strengthen strategic relationship between the two countries, increase the level of economic co-operation by an order of magnitude and take concrete measures to further bring their peoples closer.
As a measure of this reiteration the two countries signed an agreement on economic and technical co-operation and four MoUs witnessed by the two Presidents and a pledge of 50 million Yuan grant by China to new projects in Pakistan.
"The two countries have worked together and will continue to work together to further deepen the people-to-people contacts. China is a friend and a strategic partner committed to the promotion of stability and economic progress of Pakistan" is how President Hu Jintao summed up the strategic relations. President Zardari responded by saying, "It is our belief that Pakistan can act as a force multiplier for China and we will continue to work towards this end".
The reiteration to strengthen political, economic, security relations and people-to-people contacts was made on Wednesday in the Great Hall of Peoples in Beijing where the two Presidents met; first on a one-to-one basis and later along with their delegations followed by a banquet by President Hu Jintao.
Presidential Spokesperson Farhatullah Babar said that the one-to-one meeting that was scheduled for 30 minutes initially continued for one hour during which the two leaders discussed a host of issues relating to strategic partnership reviewing the steps taken thus far and charting also the future course of action.
Bilateral relations, situation in the region and international relations also came under discussion during the one-to-one meeting followed by delegation level meeting that was dominated by specific issues of economic co-operation and developing soft power to boost the ties between the two countries.
President Hu Jintao reaffirmed China's support to Pakistan in its fight against militancy saying also that China deeply appreciated the struggle the people and government of Pakistan were waging against the militants. Welcoming President Zardari the Chinese President said that he had directed his Foreign Minister to take steps for the exchange of youth delegations, cultural and writers' delegations between the two countries and also increasing scholarships for young Pakistanis for studies in China.
He said the Chinese government was determined to make the relationship "more vibrant". He said that China valued Pakistan's support to it on regional and international forums. China will continue to support Pakistan at various multilateral forums like SAARC and SCO, he added. Addressing President Zardari, the Chinese President said, "You are old friend. You have paid five visits to China and contributed in great measure to the growth of relations between the two countries. Your trip will further consolidate our strategic partnership to a higher level". President Hu Jintao also appreciated Pakistan's one China policy.
Hu Jintao said that China had become Pakistan's second largest trading partner and pledged to make "steady progress in co-operation with Pakistan in energy, telecom sectors, Neelum Jhelum project and Pakistan telecommunication satellite project". Hina Rabbani Khar signed an agreement on economic and technical co-operation on the occasion. Instruments of ratification were also exchanged as a follow-up of the Agreement on Mutual Legal Assistance in Criminal Matters between the two countries.
A Memorandum of Understanding (MOU) of co-operation between Pakistan Broadcasting Corporation and China Radio International for Urdu service broadcasts in selected Pakistani cities on FM channel was also signed by Ambassador Masood Khan and head of the China Radio International (CRI). Three other MoUs pertaining to the fields of health, geological survey, and agriculture were also signed on the occasion.
Zardari urges China to invest in energy
BEIJING (July 08 2010): President Asif Ali Zardari on Wednesday met the leaders of a dozen of China's corporations specialising in defence, petroleum, banking, industrial and construction sectors to further Islamabad's quest for attracting Chinese entrepreneurs to invest in Pakistan in return for liberal economic incentives and security to Chinese manpower.
The corporate leaders with whom the president met separately in the State Guest House included the chief executive officers and their delegations of the EXIM Bank of China, the Three Gorges Dam Project Corporation, China Northern Railways Corporation, China Northern Industries Corporation (NORINCO), China Petrochemical Corporation (SINOPEC Group) Sinotruk, Tebian electric and Apparatus Stock Co, Sinohydro Corporation and Industrial and Commercial bank of China.
Briefing the journalists presidential spokesperson Farhatullah Babar said that the president informed the corporate leaders that Pakistan had a Free Trade Agreement with China in goods, services which ensured full security to Chinese investment in Pakistan.
He said that low cost and hard working labour together with liberal incentives and access to huge markets of countries in the region Pakistan offered unique opportunity to Chinese investors to invest in Pakistan.
The president thanked the Chinese corporations already doing business in Pakistan and said that the true potential of business partnership between the entrepreneurs of two countries had yet to be fully realised. Zardari said that despite adverse geopolitical situation and global financial crisis Pakistan had maintained steady growth. To sustain this growth Pakistan had embarked on private-public partnership mode of development model, which was most suited to investors in infrastructure and energy sectors.
Farhatullah Babar quoted the president as saying that the government planned to launch a mega housing project in the country to overcome housing shortage particularly for the government employees. For this purpose high rise apartment buildings are planned to be constructed in major cities of the country which will be given to public officials on mortgage basis. The president invited Chinese builders and construction companies to form consortiums with Pakistani firms on the basis of equity partnership.
He said that the state partnership in the project could be in the form of land and some other essential inputs and facilities. The president said that Pakistan was facing acute power shortage and intended to add tens of thousands of megawatts of power to its national grid in the next 25 years through combined hydro, coal, gas, nuclear and renewable energy sources. The president apprised the corporations dealing in alternate energy of the enormous potential of solar and wind energy in Pakistan and invited them to join in partnership with Pakistani entrepreneurs.
Meanwhile talking to media persons, the president of the EXIM Bank Li Rougu said, "He discussed long term co-operation between the two countries in financial sector" with emphasis on expanding co-operating in banking sector. The Chairman of China's Three Gorges Corporation Cao Guagjing after meeting with Zardari said, "We are in agreement with government of Pakistan to develop hydro and other means of power generation including wind energy".
The Director General International Water and Electric Corporation who was also part of the delegation and according to Chinese investors, said that in the coming years, Chinese companies intended to make investment of around $10 billion in power generation sector. The Chairman China Poly Technology Zhang Liansheng said that he had inform Zardari that his company was fully interested in making investment in big way in energy sector.
He said that president had invited a delegation of his company to visit Pakistan and see for themselves the vast potential of investment his country offers. The Chairman Sino-Hydro Liu Qitao told the media after meeting with President that his company has presence in Pakistan for two decades. The Sino-Hydro specialises in building the infrastructure for power and irrigation projects. He pointed out that the Sino-Hydro will carry out a big irrigation project by building Darwat dam.