Daily Times

A spokesman for the chief minister of Pakistan’s southern Sindh province said on Thursday the UAE was interested in investing in a desalination plant in the port city of Karachi as well as in transport and construction projects.

The announcement came after a meeting between CM Murad Ali Shah and the UAE Consul General in Karachi, Bakhit Atiq Al Rimithiki, on the occasion of the National Day of the Emirates.

The UAE is one of Pakistan’s largest trading partners and a major source of foreign investment, valued at over $10 billion in the last 20 years, according to the UAE ministry of foreign affairs. The UAE-Pakistan trade volume rose to $7.9 billion in 2023, up 12 percent from 2022.

“Discussions were also held on the investment of UAE companies in various projects in Karachi,” the CM’s office said. “UAE companies are interested in investing in Karachi’s desalination plant, transport and road and bridge construction sectors.” The spokesman said Shah was also arranging meetings between the provincial investment department and relevant officers of the UAE. In May this year, Prime Minister Shehbaz said the UAE had committed $10 billion to invest in promising economic sectors in Pakistan.

Earlier this month, Pakistan signed four MoUs with the AD Ports Group, a major investor in Pakistan, to explore opportunities in the maritime, air and rail sectors as well as in logistics and digital services.

With UAE partner Kaheel Terminals, AD Ports Group is already developing, operating, and managing container, bulk, and general cargo operations at the Port of Karachi, Pakistan’s major port, where it has agreed to invest almost $400 million over 15 years. The joint venture has agreed to invest $75 million over the next two years in superstructure and equipment, followed by $100 million within five years to increase efficiency and capacity by 75 percent, enabling the terminal to handle up to 14 million tonnes per annum.

Pakistan has been pushing for foreign investment in recent months in a bid to shore up its $350 billion economy as it navigates a tough reforms agenda mandated by the International Monetary Fund (IMF).