Pakistan, Japan hold talks on investment

Islamabad: Japan and Pakistan held in-depth deliberations to increase bilateral cooperation, especially Japanese financial assistance to Pakistan. The two sides also discussed ways and means to encourage Japanese investment in the country.

Seiji Kojima, Ambassador of Japan meeting with Senator Ishaq Dar, Finance Minister on Friday reviewed overall economic cooperation, discussed ODA assistance, grant assistance, non-project grant assistance and the role of JICA for bridging the gap between the two peoples. The two sides also discussed high-level policy dialogue 2008 in Tokyo and forthcoming deliberation on aid and its effectiveness at Accra Forum and Japan ’s role as a leading development partner of Asian countries.

Pakistan appreciated Japan’s non-project grant assistance of $6 million for the development of FATA. Japan has indicated ODA assistance of $478 million for the year 2007-08.

The two sides agreed that at mutually convenient dates both would sign and exchange the notes and identify projects to be financed under this facility. Finalization of $92.6 million grant assistance for seven new projects was also discussed.

The role of JICA in promoting cooperation to engage Japanese experts and volunteers was emphasized. JICA has played an important role in human resource development through capacity building courses. It was hoped that the JICA would help Pakistan to meet its training needs for capacity building, research to increase out put in agriculture, livestock, fisheries, biotechnology, horticulture and seafood.

Pakistan sought Japanese assistance to increase ODA volume over the medium term, diversify economic assistance and explore new areas of cooperation including renewable energy. Pakistan also evinced interest in charting new country assistance strategy and enhanced Japanese support for human development projects.

Since 1961, cumulative Japanese assistance to Pakistan comes to around $5.7 billion. Its annual assistance averages to $200 million inclusive of grant and loans.

Senator Dar emphasised the need for economic dialogue between the private sectors of the two countries and hoped that bilateral trade would increase. He shared Pakistan’s financial and economic performance and his deliberations with IMF and World Bank during the recent Spring Meetings in Washington. He hoped Japan as one of the major development partners would increase its bilateral assistance to facilitate its economic growth.