Pakistan has asked Asian Development Bank (ADB) to send a review mission on Diamir Bhasha Project in order to encourage other donors interested in the project.
The meeting between Pakistan economic team led by Federal Minister for Finance, Dr. Abdul Hafeez Shaikh and Board of Directors of Asian Development Bank (ADB) led by Mr. Maurin Sitorus, Executive Director ADB held on Thursday.
The meeting aimed to exchange views on different aspects of Pakistan economy.
Maurin Sitorus, Executive Director ADB remarked that Pakistan is very important and reliable member of ADB. He appreciated government for assisting in ADB’s profile in Pakistan. He also shared that energy sector and infrastructure reforms are their focus areas.
Finance Minister gave a detail briefing on the overall national economy including the history of political economy of Pakistan. He also showed performance of government from 2008 to date. Under the current democratic government, we devolved ministries, gave more revenue to provinces in terms of new NFC awards and bring down the inflation to single digit, further said by Finance Minister. In the same way, impartial judiciary and free media are also credited to the present government.
Despite many challenges like increasing oil prices, security situation and natural disasters like flood, government remained able to give pace to economic growth. We did aggressive austerity measures in terms of controlling federal expenditures and took bold steps to enhance tax revenues, informed by Finance Minister.
On a question raised by one of ADB member regarding investment in Pakistan, Finance Minister informed the meeting that issue of declining investment is being exaggerated by media. Even some investors exaggerate the intensity of risk they face in doing business here in Pakistan. Hafeez Shaikh highlighted that we have very liberal investment regime and there are enormous opportunities for investors in Pakistan. There are special economic zones throughout the country created for facilitation for investors. In the same way, we have open and supported investment policies in many special areas like existing project of Thar Coal.
The meeting also discussed specific issues like ADB’s involvement in Thar Coal and Bhasha Diamir project. Finance Minister categorically asked ADB to send a review mission on Diamir Bhasha Project. This review mission will encourage other donors interested in this project, added by Finance Minister.
Finance Minister also highlighted that all misunderstandings or ambiguities between ADB and government should be settled in order to get early completion of Thar Coal Project.
