You are here

  • Home
  • Saudi investment minister in Pakistan, will sign up to 25 agreements

Saudi investment minister in Pakistan, will sign up to 25 agreements

Special Saudi investment minister in Pakistan, will sign up to 25 agreements
1 / 2
Pakistan Commerce Minister Jam Kamal speaks during the Pak-Saudi Business Forum 2024 in Islamabad on October 10, 2024. (Screengrab/PTV World)
Special Saudi investment minister in Pakistan, will sign up to 25 agreements
2 / 2
Pakistan’s Privatization Minister Abdul Aleem Khan welcomes Saudi Investment Minister Khalid bin Abdulaziz Al-Falih as he arrives with a high level delegation at Nur Khan Airbase in Rawalpindi on October 9, 2024. (Photo courtesy: Privatization Ministry)
Short Url

https://arab.news/m2n96

Updated 10 October 2024
Follow

Saudi investment minister in Pakistan, will sign up to 25 agreements

Saudi investment minister in Pakistan, will sign up to 25 agreements
  • Al-Falih is expected finalize $2 billion business proposals while in Pakistan
  • Riyadh this year pledged to expedite $5 billion investment package for Pakistan
Updated 10 October 2024
SAIMA SHABBIR
Follow

ISLAMABAD: A high-level Saudi delegation led by the Kingdom’s Investment Minister Khalid bin Abdulaziz Al-Falih will sign 25 agreements in various fields during its three-day visit to Islamabad, the Pakistani president’s office said on Thursday. 
Al-Falih, whose visit comes ahead of the Shanghai Cooperation Organization (SCO) Summit next week, is in Islamabad from Oct. 9-11 and will take part in a joint investment forum today, Thursday, as Islamabad hopes $2 billion in investment proposals will be finalized during the Saudi dignitary’s visit. 
Al-Falih’s trip comes as Pakistan seeks closer cooperation in trade, defense, energy and other sectors with friendly countries and regional allies, with the aim to attract foreign investment and shore up its $350 billion economy, beset by a prolonged economic crisis that has drained foreign exchange reserves and weakened the national currency.
Pakistan and Saudi Arabia in particular have been working closely in recent months to increase bilateral trade and investment, with Crown Prince Mohamed bin Salman reaffirming the Kingdom’s commitment earlier this year to expedite a $5 billion investment package for the South Asian country.
“The Saudi delegation will sign 25 agreements in various fields,” President Asif Ali Zardari’s office said in a statement. “These agreements will usher in a new era of bilateral economic cooperation.”
The press release added that Saudi Arabia was planning to invest in Pakistan’s construction, infrastructure, mining, agriculture and information technology sectors. 
“The Saudi minister will have a busy schedule in Pakistan of meetings with representatives of private companies and top government officials of KSA while bilateral trade and investment between Pakistan and Saudi Arabia, mutual agreements and important Memorandums of Understanding will also be signed,” the Pakistani Prime Minister’s Office said in a statement after the Saudi delegation’s arrival on Wednesday night.
An invitation to the investment forum, which began on Thursday morning, showed it would include speeches by Al-Falih as well as Pakistan’s Petroleum Minister Musadik Malik, Commerce Minister Jam Kamal Khan and Privatization Minister Abdul Aleem Khan.
Aleem Khan on Wednesday called the Saudi visit a “welcome step,” and “an important milestone” for the investment sectors of both nations.
“Private companies of Pakistan are fully ready for investment and bilateral business from Saudi Arabia,” the PMO said, quoting Khan. 
During his visit, Al-Falih will meet top Pakistani leaders and interact with the country’s business community.
“The delegation comprises representatives from various sectors, including energy, mining, minerals, agriculture, business, tourism, industry, and manpower,” Radio Pakistan reported. 
Last month the International Monetary Fund’s board approved a long-awaited $7 billion bailout deal for Pakistan’s struggling economy. The IMF said the new program will require “sound policies and reforms” to strengthen macroeconomic stability and address structural challenges alongside “continued strong financial support from Pakistan’s development and bilateral partners.”

Topics: Pakistan Saudi Ties Pakistan economy Saudi investment in Pakistan Saudi Investment Minister Khalid Al-Falih

PM says Pakistan terminating purchase agreements with 5 independent power producers

PM says Pakistan terminating purchase agreements with 5 independent power producers
Updated 18 sec ago
Follow

PM says Pakistan terminating purchase agreements with 5 independent power producers

PM says Pakistan terminating purchase agreements with 5 independent power producers
  • Sharif says move will save $215 million per year for electricity consumers and $1.4 billion to the national treasury
  • A decade ago, Pakistan approved dozens of motsly foreign-financed private projects by IPPs to tackle chronic shortages
Updated 18 sec ago
Hasaan Ali Khan

KARACHI: Prime Minister Shehbaz Sharif said on Thursday Pakistan was terminating purchase agreements with five independent power producers (IPPs) to rein in electricity tariffs as households and businesses buckle under soaring energy costs.
A decade ago, Pakistan approved dozens of private projects by independent power producers (IPPs), financed mostly by foreign lenders, to tackle chronic shortages. But the deals, featuring incentives such as high guaranteed returns and commitments to pay even for unused power, ultimately resulted in excess capacity after a sustained economic crisis slashed consumption.
Short of funds, the government has built those fixed costs and capacity payments into consumer bills, sparking protests by domestic users and industry bodies.
“After today, the take and pay system of these five IPPs has been finished, it has been completely terminated. The previous obligations of these IPPs will only be paid but without any financial cost, without any interest,” Sharif said in televised comments as he addressed the federal cabinet. 
“This will benefit electricity consumers by Rs60 billion ($215 million) annually. As a result, the national treasury will save Rs411 billion ($1.4 billion).”
The PM said tariffs would be reduced gradually by revising agreements with other IPPs in the electricity sector also.
“Five IPP owners prioritized national interest over personal interest and voluntarily agreed to terminate these agreements with the government,” Sharif added.
In a notice to the Pakistan Stock Exchange, Pakistan’s biggest private utility, Hub Power Company Ltd, unveiled on Thursday the premature termination of its pact for the government to buy power from a southwestern generation project.
The government and market operator the Central Power Purchasing Agency (CPPAG) agreed to settle the company’s outstanding receivables up to Oct 1, the company said. 
The company said its board approved an accelerated expiry date of Oct. 1 for the deal, instead of an initial date of March 2027, in an action taken “in the greater national interest.”
The need to revisit power deals was a key issue in talks for a critical staff-level pact in July with the International Monetary Fund (IMF) for a $7-billion bailout. 
Pakistan has also begun talks on reprofiling power sector debt owed to China and structural reforms, but progress has been slow. It has also vowed to stop power sector subsidies.
With inputs from Reuters

Topics: Pakistan Prime Minister Shehbaz Sharif

Pakistan’s biggest private utility says government power deal ends prematurely

Pakistan’s biggest private utility says government power deal ends prematurely
Updated 9 min 9 sec ago
Reuters
Follow

Pakistan’s biggest private utility says government power deal ends prematurely

Pakistan’s biggest private utility says government power deal ends prematurely
  • Hub Power Company says board approved an accelerated expiry date of Oct. 1 for the deal instead of an initial date of March 2027
  • Step comes after Power Minister Awais Leghari said government was re-negotiating deals with independent producers to rein in electricity tariffs
Updated 9 min 9 sec ago
Reuters

KARACHI: Pakistan’s biggest private utility, Hub Power Company Ltd, unveiled on Thursday the premature termination of a pact for the government to buy power from a southwestern generation project.
The government and market operator the Central Power Purchasing Agency (CPPAG) agreed to settle the company’s outstanding receivables up to Oct 1, it told the Pakistan Stock Exchange in a notice.
The step comes after Power Minister Awais Leghari told Reuters last month the government was re-negotiating deals with independent producers to rein in electricity tariffs as households and businesses buckle under soaring energy costs.
The company said its board approved an accelerated expiry date of Oct. 1 for the deal, instead of an initial date of March 2027, in an action taken “in the greater national interest.”
A decade ago, Pakistan approved dozens of private projects by independent power producers (IPPs), financed mostly by foreign lenders, to tackle chronic shortages.
But the deals, featuring incentives such as high guaranteed returns and commitments to pay even for unused power, ultimately resulted in excess capacity after a sustained economic crisis slashed consumption.
Short of funds, the government has built those fixed costs and capacity payments into consumer bills, sparking protests by domestic users and industry bodies.
The need to revisit power deals was a key issue in talks for a critical staff-level pact in July with the International Monetary Fund (IMF) for a $7-billion bailout.
Pakistan has begun talks on reprofiling power sector debt owed to China and structural reforms, but progress has been slow. It has also vowed to stop power sector subsidies.

Saudi Arabia condemns Karachi attack that killed two Chinese nationals

Saudi Arabia condemns Karachi attack that killed two Chinese nationals
Updated 29 min 6 sec ago
Follow

Saudi Arabia condemns Karachi attack that killed two Chinese nationals

Saudi Arabia condemns Karachi attack that killed two Chinese nationals
  • The bombing was the latest in a string of attacks against Chinese nationals in Pakistan
  • A March suicide bombing killed five Chinese engineers working on a hydropower project
Updated 29 min 6 sec ago
Muhammad Ibrahim

ISLAMABAD: Saudi Arabia on Thursday condemned a militant attack near the international airport of the southern Pakistani city of Karachi in which two Chinese nationals were killed last week.
The attack on Sunday was claimed by separatist militant group Baloch Liberation Army (BLA) which said it had used a vehicle-borne improvised explosive device to target the Chinese nationals, including engineers.
“The embassy condemns the attack by Saudi Arabia which took place near the Karachi Airport in which several people, including citizens of the People’s Republic of China, were killed and injured,” Riyadh’s embassy in Islamabad said on X.


The bombing was the latest in a string of attacks against Chinese nationals in Pakistan over the last four years, including a March suicide bombing that killed five Chinese engineers working on a hydropower project.
Beijing called on Islamabad to implement more stringent security measures.
BLA, the largest of several ethnic insurgent groups that has fought the federal government for decades, targets Chinese interests — including the strategic port of Gwadar on the Arabian Sea — as it accuses Beijing of helping Islamabad exploit local resources. It has previously killed Chinese citizens and attacked China’s consulate in Karachi.
The port development is part of Beijing’s $65 billion investment in road, rail and infrastructure building under President Xi’s Belt and Road Initiative (BRI).
With inputs from Reuters

Topics: Karachi airport attack Karachi airport Chinese national killed Chinese nationals in Pakistan Saudi Embassy in Islamabad

Pakistani religious affairs ministry announces scholarships for non-Muslim students

Pakistani religious affairs ministry announces scholarships for non-Muslim students
Updated 37 min ago
Follow

Pakistani religious affairs ministry announces scholarships for non-Muslim students

Pakistani religious affairs ministry announces scholarships for non-Muslim students
  • Non-Muslim students studying in government institutions with more than 50 percent marks eligible to apply
  • Approximately $210,000 has been allocated for scholarships this financial year, ministry spokesman says 
Updated 37 min ago
Hasaan Ali Khan

ISLAMABAD: Pakistan’s Religious Affairs Ministry on Thursday announced scholarships for non-Muslim students, aiming to enhance educational opportunities and support for minority communities who form less than five people of the population of the South Asian nation.
The government promotes educational inclusivity for non-Muslim students through various scholarship programs such as the Prime Minister’s Minority Scholarship Scheme and the Pakistan Minorities Scholarship Program. These initiatives provide financial assistance including tuition fees, stipends, book allowances, and travel grants to eligible students from minority communities.
The scholarships are awarded based on academic merit, financial need, and citizenship, enabling many students each year to pursue higher education.
“The Ministry of Religious Affairs has announced educational scholarships for non-Muslim students,” a spokesman for the religious affairs ministry said on Thursday. “Applications for this financial year’s scholarships will be submitted online through the ministry’s website.”
Approximately $210,000 (Rs60 million) have been allocated for the scholarships this financial year, he added.
Students will be required to provide an income certificate, educational institution verification and joint bank account details, the spokesman said, adding that only non-Muslim students studying in government institutions who had scored at least 50 percent marks would be eligible for the scholarships.
An advertisement published by the religious affairs ministry highlighted that an eligible candidate’s parent’s income must not exceed $259. Private institute students or students receiving any kind of financial assistance or stipend from any other source would not be eligible for the scholarship. It also advised students to apply within 30 days of the advertisement’s publication.

Pakistan to curb movement of Chinese nationals, diplomats during SCO summit

Pakistan to curb movement of Chinese nationals, diplomats during SCO summit
Updated 10 October 2024
Follow

Pakistan to curb movement of Chinese nationals, diplomats during SCO summit

Pakistan to curb movement of Chinese nationals, diplomats during SCO summit
  • Balochistan Liberation Army separatist group claimed responsibility for attack in Karachi in which two Chinese nationals killed 
  • Meeting of the SCO, which comprises nine full members including China, India, Iran, Russia, will take place in Islamabad on Oct. 15-16
Updated 10 October 2024
Arab News Pakistan

ISLAMABAD: Pakistani authorities are seeking to curb the movements of Chinese citizens during the Shanghai Cooperation Organization meeting next week because of a security risk from militant groups targeting them, according to three security officials and an internal security note.
The decision came after two Chinese engineers were killed in a bombing near Pakistan’s Karachi international airport on Sunday. The suicide bombing was claimed by separatist militant group, the Baloch Liberation Army (BLA). 
The meeting of the SCO, which comprises nine full members, including China, India, Iran and Russia, is scheduled for Oct. 15 and 16 in Islamabad. Chinese Premier Li Qiang is expected to arrive in the city prior to the meeting.
“Orders have been received from concerned authority that Chinese move of all types including intra-city/ inter-city/ airport etc to be ceased from 14 to 17 Oct 24 in connection with SCO summit and various delegations visit,” the security alert, shared with several Pakistani security agencies and seen by Reuters, said.
Three top security officials who received the alert said it had also been conveyed to Chinese authorities.
“All concerned to make sure that Chinese are conveyed it in advance so that important moves are adjusted before that. No violations will be accepted during this period,” the alert said.
The Chinese embassy in Islamabad and Pakistan’s interior ministry did not respond to a Reuters request for comment.
The bombing was the latest in a string of attacks against Chinese nationals in Pakistan over the last four years, including a March suicide bombing that killed five Chinese engineers working on a hydropower project.
Beijing has called on Islamabad publicly to implement more stringent security measures.
BLA, the biggest of several ethnic insurgent groups that has fought the federal government for decades, targets Chinese interests — including the strategic port of Gwadar on the Arabian Sea — as it accuses Beijing of helping Islamabad exploit local resources. It has previously killed Chinese citizens and attacked China’s consulate in Karachi.
The port development is part of Beijing’s $65 billion investment in road, rail and infrastructure building under President Xi’s Belt and Road Initiative (BRI).
The security officials said senior staff responsible for Chinese security in Karachi had been removed from service following the latest attack, which took place in a highly secure area. 
Pakistan’s interior ministry is primarily responsible for the security of Chinese nationals and their interests.
“Let’s wait two, three days, things will be clear,” Interior Minister Mohsin Naqvi told a press conference in Islamabad when asked about the security lapse.
Separately, as part of SCO summit security arrangements, a foreign office letter requested diplomats and UN personnel residing in Islamabad to restrict their movements and remain confined to the Diplomatic Enclave and Red Zone areas during the conference days. 
The Diplomatic Enclave houses foreign embassies and residents of diplomats working in Pakistan and is located inside the Red Zone, home to important government buildings like the Prime Minister House, President House, National Assembly and the Supreme Court.
“In this regard, it is advised that all diplomats may consider limiting their movements during this period [Oct. 15-16], both within and outside the city,” the ministry of foreign affairs said in a notification this week. “It is further advised that activities be confined primarily to the diplomatic enclave and Red Zone areas.”
The notice said the Pakistani government had put in place “heightened” security measures for the safety of incoming dignitaries and delegates to ensure the summit’s success, urging diplomatic missions to follow daily traffic updates.
“The Ministry appreciates the understanding and cooperation of all diplomatic missions ... and looks forward to their support in ensuring the success of this [SCO] event,” it added. 
With inputs from Reuters

Topics: Pakistan foreign office Shanghai Cooperation Organisation (SCO)

Latest updates

Andy Flower hopes to see more than two UAE players starting in future editions of the DP World ILT20
Andy Flower hopes to see more than two UAE players starting in future editions of the DP World ILT20
Christina Aguilera to perform in Abu Dhabi
Christina Aguilera to perform in Abu Dhabi
Shooting at Israeli company in Sweden, no injuries: police, media
Shooting at Israeli company in Sweden, no injuries: police, media
Rafa Nadal announces retirement from professional tennis at end of season
Rafa Nadal announces retirement from professional tennis at end of season
REVIEW: ‘Joan’ gives Sophie Turner the chance to shine
REVIEW: ‘Joan’ gives Sophie Turner the chance to shine

Search form

Print Edition
Read pdf version Subscribe now
© 2024 SAUDI RESEARCH & PUBLISHING COMPANY, All Rights Reserved And subject to Terms of Use Agreement.