Invest in Pakistan, believe in us, Dar lures in investors

• Finance minister says government committed to bringing micro economic stability in country, ensuring seven percent growth rate by 2018

Reiterating government’s commitment to cope with country’s economic challenges, Finance Minister Senator Muhammad Ishaq Dar Tuesday invited foreign investors to explore investment opportunities in various sectors as Pakistan was “the choicest place for investment”.

While addressing International Investment Conference organised by Board of Investment aiming to highlight the investment regime, the minister said, “Pakistan was focussed on improving investment climate through implementation of Investment Strategy 2013-17. Investors from across the globe are welcome to invest in Pakistan and the government would ensure level playing field.”

More than 350 invitees including 241 foreigners from all over the world including Australia, Bahrain, China, Denmark, France, Finland, Italy, Japan, Korea, Malaysia, Neatherland, Newzealand, Qatar, Russia, Saudi Arabia, Singapore, Thailand, Turkey, UAE, UK and USA participated in the conference.

Talking about economic policies, the minister said the government has embarked upon an economic reform agenda that focuses on “four Es” including Economy, Energy, Extremism and Education-Health. He said that despite the challenges at domestic as well as external front, the government was committed to put the economy on the right track and ensure micro economic development in the country.

“We will put the economy on the path of sustainable growth, no matter what impediments,” the finance minister remarked, adding that the government would not tolerate any obstacle or hindrance in its will to reform the economy.

The minister said that long-marches and sit-ins have delayed some transactions and important visits of foreign dignitaries, however, the government was determined to continue its journey towards progress.

The minister said that the government was committed to bringing micro economic stability in the country and would ensure seven percent growth rate by 2018.

The inflation would be contained in single digit, forex reserves will be boosted to $22 billion while the investment-to-GDP ratio would go up to 20 percent and tax-to-GDP-ratio up to 14 percent.

The industry would grow at 8 percent, public debt would be reduced at 55 percent, and expenditures on education would go up 4 percent. He said the economy was in a shabby condition when his government came into power.

The growth rate was less than potential, inflation at an average of 12 percent for the past five years, tax to GDP at 8 percent, Fiscal Deficit at 8.8 percent, the public debt at 63.9 percent and above all there were international predictions that Pakistan would default by June 2014.

The minister said the energy sector was on the brink of collapse when the government inherited that and after coming into the power, the government cleared off the circular debt that helped to bring into system about 1,700 megawatt electricity, reducing load-shedding and helping enhance industrial growth.

The government performed well as shown by various indicators as FBR revenues increased by 146 percent in last fiscal year, home remittances went up from $ 13.93 billion to 15.83 billion, showing a growth of 13.7 percent whereas inflation remains in single digit.

The trade deficit also decrease whereas large sector manufacturing witnessed 4 percent growth, agriculture credit went up from Rs 336 billion to Rs390 billion, forex reserves reached at $ 14 billion and overall GDP was recorded at 4 percent and forex reserves reaching to $ 14 billion.

He said the government has been successful in tapping international capital market after a gap of seven years while it was in process of divestment of 7.5percent OGDCL shares costing $800 million and launch of Sukuk bond next month.