Daily Times

The government has received a billion-dollar financial boost from friendly countries, thanks to the support of the Special Investment Facilitation Council and the government’s efforts. We are told that several Asian and European countries are ready to invest $27 billion in direct investment in Pakistan. The proposed investment includes $5 billion from Saudi Arabia, $10 billion each from the United Arab Emirates and Kuwait and $2 billion from Azerbaijan. The pledges look rosy but they lack timelines.

If timelines are added to the plans, such a massive influx of foreign capital would open a new era for Pakistan. This represents the largest foreign investment since the China-Pakistan Economic Corridor (CPEC).

CPEC is often referred to as a game-changer for the entire region, not just for Pakistan. However, tangible results of CPEC investments have been less visible. If the commitment of $27 billion is not merely talk, it is, no doubt, a plan that can change the whole scenario.

Recently, Pakistan and Saudi Arabia signed an investment agreement worth $21 billion. This includes about $10 billion for an oil refinery, $1 billion for a petrochemical complex at Gwadar port, and $5 billion in commercial investment. This is a significant move, especially considering that Saudi oil giant Aramco is set to open its first branded retail gas station in Pakistan by the end of the year after acquiring a 40% stake in Gas and Oil Pakistan Limited. China’s Shanxi Coal and Chemical Industry Group has shown interest in investing in Pakistan’s energy sector, aiming to strengthen Pakistan-China economic cooperation. Such investments have the potential to bolster Pakistan’s economy and address the challenges faced by everyday citizens, particularly in the energy sector.

However, while these agreements are promising, our institutions and government should not become complacent. They must ensure that foreign investors receive all the necessary facilities, including adequate space for projects and a conducive environment for investment. Energy supply should not only be sufficient but also affordable, as high energy costs have previously driven local investors to relocate their businesses to other countries.

Not to forget, improving the law and order situation is crucial. In the past, many Pakistani investors moved their businesses abroad due to the lack of bijli, mehngai and security concerns. If these issues can be addressed, there is a real possibility of attracting even more investment into the country. *