Pakistan will help to establish Chinese SEZ

Islamabad: Prime Minister Syed Yousuf Raza Gilani said Pakistan would extend all possible help to establish the first-ever Chinese Overseas Economic Zone in the country.

PM welcomed the Haier Ruba joint venture and said the government would encourage more joint ventures to promote economic cooperation between the two countries.

Talking to Lu Keng, chairman of the Haier Group and Haji Koch Muhammad, chairman Ruba Group at PM House, he said joint ventures between the private sectors was the best way to promote trade and investment between our two countries.

He said foreign investment was fully protected in Pakistan and all economic sectors were open to Foreign Direct Investment.

Pakistan makes no distinction between local and foreign investors, as 100 percent foreign equity, remittance of royalty, profits and dividends is allowed under Pakistani laws, he said.

Mr Keng informed the PM that Chinese entrepreneurs were keen to invest in Pakistan and the establishment of the Special Economic Zone (SEZ) would go a long way in facilitating Chinese investment in Pakistan.

He said the Haier Ruba has already brought in initial investment of $35 million and also gave an overview of the SEZ to the PM, which he said would comprise industrial park, science and technology park, supply chain industry, skill development centre and research and development centre.

SEZ is being established under the Free Trade Agreement (FTA) between Pakistan and China and all goods manufactured in this zone have tariff-free entry into Chinese market, which would boost the country’s exports.

Chinese ambassador to Pakistan, Luo Zhao Hui also present on the occasion.