BEIJING: Minister for Planning and Development Ahsan Iqbal has emphasized the potential of Special Economic Zones (SEZs) in Pakistan to attract Chinese investments.
In an interview during his visit to China, he highlighted that Pakistan offers foreign investment incentives and concessions that Chinese enterprises can leverage through SEZs.
Iqbal revealed that Pakistan is currently working on establishing nine SEZs, with the first one, Rashakai Special Economic Zone, set to be inaugurated later this month. Other SEZs in Sindh, Punjab, and Baluchistan are also in advanced stages of development.
The minister underscored Pakistan’s advantages, including a low cost of labour and production, which could appeal to Chinese companies facing rising costs in China and considering relocation to countries like Vietnam, Cambodia, and Laos.
He highlighted the country’s robust infrastructure and the China-Pakistan Economic Corridor (CPEC) framework as additional attractions for Chinese enterprises.
Iqbal mentioned that several Chinese companies have already invested in the Gwadar free zone. However, he expressed Pakistan’s interest in collaborating with Chinese firms specializing in seed development and research to upgrade the quality of Pakistani seeds. Pakistan also seeks new irrigation technologies to enhance water conservation and agricultural efficiency.
Furthermore, Iqbal identified opportunities in the mining sector, particularly in utilizing advanced technology to extract marble, lithium, and other resources for applications like electric vehicles.
The minister highlighted Pakistan’s potential in the information technology sector, with its young population possessing strong IT skills. He mentioned that Chinese technology companies are increasingly shifting operations to Pakistan due to the combination of affordable human resources and high skill levels.
Iqbal emphasized the promising prospects for Chinese investment in agriculture, industry, mining, IT, and the energy sector.
Regarding the housing sector, he suggested that large Chinese real estate companies could invest in Pakistan to address the country’s substantial housing shortage. He emphasized the government’s willingness to offer attractive terms for public-private partnerships in this area.
When questioned about the security of CPEC projects, Iqbal assured that the government has taken extra precautions to ensure the safety of Chinese personnel. Four layers of security have been implemented, including a dedicated force of 10,000 personnel solely responsible for CPEC project security. These personnel are integrated with local police and paramilitary forces to provide the highest level of protection.
Iqbal acknowledged that “negative propaganda” against CPEC often contains political motivations and lacks a factual basis. He highlighted the positive impact of CPEC on Pakistan, such as addressing the energy crisis, developing modern infrastructure, and enhancing the country’s image as an investment destination.
The substantial investments made by China under the CPEC framework have attracted global attention, positioning Pakistan as an appealing investment opportunity.
Expressing his personal sentiments about the CPEC project, Iqbal praised the enduring and exceptional relationship between China and Pakistan. He described the bond between the two countries as based on mutual trust and iron brotherhood, which has fostered the success of CPEC.
Iqbal commended the dedication and passion exhibited by leaders and officials from both nations in making CPEC a reality within a relatively short span of 10 years.
