Task force set up to attract investors

Islamabad: Pakistan is creating a special task force to protect investment and provide security to potential investors in the country.

It comprises officials from the ministries of interior, defence, investment and finance.

The task force will "protect investors round the clock", Pakistan's first Federal Investment Minister Senator Waqar Ahmad Khan said. Khan said the new Ministry of Investment has been created to safeguard investor interests.

In an interview with Gulf News recently, Khan unveiled his plans to lure investment to bail out Pakistan from one of the worst economic crisis in the country's history. He said the target is to get $20 billion in foreign investment by the end of 2009.

Gulf News: How are you going to restore the confidence of investors who are scared of unrest in Pakistan, especially when the war against terrorism is now being fought within its borders?

Waqar Ahmad Khan: We are aware of the security concerns and that is why we are creating a special task force to protect investors and [their] investment. Pakistan is fighting back. We do not want to sound as if there is no security in Pakistan but there are certain issues. We do not want the security to be visible but it will be detailed in a manner that an investor must feel comfortable here. The task force will be in place later this month.

Why did the government feel the need to create this new Ministry of Investment?

President Asif Ali Zardari wants to give a corporate image to Pakistan and he himself is going abroad to different friendly countries to win their confidence. The ministry has been created to [realise] his vision and ensure return of investment. We are not seeking any financial relief directly and this was not the thrust of President Zardari's visits to different countries. We are immediately looking at deferred oil payments from Saudi Arabia and the UAE to get some economic relief.

How much investment is needed to boost economic activity and how much do you expect to receive in one year?

We need more than $40 billion of investment and our target is to get $20 billion investment by the end of 2009. We are very optimistic to achieve it.

Investors complain of red-tape and complications in getting their projects materialised even when they invest heavily. Any measure to ensure smooth ride for them?

Our president is concentrating on good governance. To facilitate the investors, we have proposed to the government that the Ministry of Investment will be the facilitator [of projects] and for inter-provincial coordination, federal government coordination and for the coordination of information before an investor comes into the country to ensure a successful trip. It is a win-win and we mean business.

How will you make sure of the continuation of policies - one of the main concerns for investors?

Continuation of policies has been a major concern for investors. Now we have a democratic government and we have proposed legislation to ensure continuation of projects even if there is a change of government.

The world is facing an economic crisis, why do you think investors should come to Pakistan?

Pakistan, currently, is the best place to invest. What is happening in the world is not happening in Pakistan because our economy is not highly governed by debts and we do not have a liquidity market. Pakistan's infrastructure interests still have high returns. We are not worried about the meltdown in the world.

What are your priority areas for investment?

Pakistan is open for investments in any field. But our priority areas are oil and gas, energy, food, agriculture, information technology and infrastructure.

What incentives do you offer to foreign investors?

Hundred per cent repatriation of money has been ensured. Special commercial zones have also been created for investors. We also give five-year tax exemption for investors and ten years of tax exemption to investors who help us set up a commercial zone. There are also customs duty and general sales tax exemptions on certain items.

We are also looking for investors who are able to enhance our existing infrastructure. We are the fifth largest milk producer in the world but 70 per cent of it does not reach the market. We need people to exploit this huge market. We are also focusing on public-private partnerships to develop our infrastructure.

What are your specific plans to attract investors?

We are working on rebuilding the image of Pakistan. A massive media campaign will be launched soon to lure investors. We make sure that the new Ministry of Investment plays the role of a trouble shooter to ensure quick and safe investments. We will ensure one-window operation as all problems an investor faces will be solved by this ministry. We have already introduced a toll free number for quick response and to avoid red-tape. In future, there will be no problems for investors.

background

a shortbiography

Senator Waqar Ahmad Khan became Pakistan's federal minister of investment in November this year.

Born on July 20, 1963, in Dera Ismail Khan in North West Frontier Province (NWFP) of Pakistan, he was elected to the Pakistan Senate for the first time in 1994 as the youngest member of the upper house of Parliament.

He is son of Senator Gulzar Ahmad Khan, an eminent political leader. His family has a historic parliamentary representation in the Upper House as Senator Waqar's father and his uncle Mukhtar Ahmad Khan were elected to the Upper House. His mother Razia Sultana served as a member of the National Assembly, the lower house of parliament. Khan has held various positions in the government.

He has a bachelor's degree in Business Administration and Comparative Economic Systems from the University of Miami.

- A.A.

By Ashfaq AhmedChief Reporter

Islamabad Pakistan has finalised its plans to offer ownership of agricultural lands to investors for farming, revealed Senator Waqar Ahmad Khan, Federal Investment Minister of Pakistan.

"We are extremely enthusiastic in providing areas for farming with great incentives," he added. Investors can own the land, cultivate it and export 100 per cent of its crop. "We are specially targeting investors from the UAE and other Gulf countries for agricultural farming projects because it would help these countries have their own food resources," he said.

Khan said the agriculture sector is very dear to Pakistan and still more than 60 per cent of its population is dependent on it but free land is available. "Plans are in place and we have already negotiating with investors," he said.

He said that leasing and transfer of land will be facilitated by the ministry which is now working in close association with the Law Ministry. "Once an investor shows his interest, we will have draft agreements ready for him," he made sure.