Dar invites ICBC for infrastructure development of Gwadar

[Salman]

Federal Minister of Finance Senator Ishaq Dar met with Industrial and Commercial Bank of China (ICBC) Chairman Jiang Jianqing at Beijing and suggested that infrastructure development of Gwadar was one the key area where the bank’s cooperation could be useful.

At the outset, Chairman Jian Jianqing expressed his gratitude to the government of Pakistan for bestowing him with Hilal-i-Quaid-e-Azam award. He said he was honoured and pledged support to strengthening the Pak-China relationship.

Minister Ishaq Dar appreciated the ICBC’s continued support and expansion of its operations by opening bank branches in Pakistan. He said being the 6th largest in terms of population in the world, having sizeable middle class, a vibrant consumer market and owing to its geographic location, Pakistan was an ideal location for enterprises eyeing the regional market. Together with a liberal investment regime and an enormous natural resource endowment, Pakistan offered promising prospects in assuring attractive investment returns in various sectors including energy, power, mining, agriculture and infrastructure, he added. He hoped the ICBC’s partnering with the enterprises in developing the potential would make it a mutually win-win situation for all parties.

Talking about the China-Pakistan Economic Corridor, he said both the countries had agreed to a profile of early harvest projects. The ICBC could seize the investment opportunities thus available, he said, and pointed out that the infrastructure development of Gwadar was one key area where the bank’s cooperation could be useful.

He said Pakistan’s policy regime in the power sector was very rewarding. The government has set tough targets for itself in their vision document 2025, he said, and expressed the government’s determination to cut down on wasteful expenses and following strict financial discipline to indicate its resolve.

Chairman Jian Jianqing said that the ICBC’s current portfolio of projects in Pakistan consists of 24 projects with a cost of USD10 billion. He said the ICBC was talking to a number of Chinese companies for energy projects including solar, wind and hydel. Other sectors wherein the Chinese companies are exploring options are in the Gawadar Industrial Zone where the Chinese entrepreneurs are willing to set up cement and other manufacturing industry. The development of such zones would trigger economic growth and drew attention of the finance minister stating that the government support is essential for such ventures.

He said the ICBC was also trying to introduce textile sector of Pakistan to the Chinese companies. If the GOP could provide preferential policies to the Chinese companies investing in Pakistan, it could propel accelerated investment in Pakistan from China.

The ICBC chairman suggested that Pakistan should focus on development of its light engineering sector to improve its economy. He expressed satisfaction on learning that Pakistan was taking special steps to cater to the security needs of the Chinese working in Pakistan.