Pakistan completes survey of special economic zones to attract Chinese industries, foreign investment

ISLAMABAD: Pakistan has completed a survey of Special Economic Zones (SEZs) as part of efforts to facilitate the relocation of Chinese firms and make these zones suitable for international businesses, Federal Minister for Investment Abdul Aleem Khan said on Wednesday.
The government aims to attract foreign investment from friendly nations, including China and Gulf countries, and established the Special Investment Facilitation Council (SIFC), a hybrid civil-military body, last year to eliminate bureaucratic hurdles and provide a one-window operation for foreign businesses.
The survey, which included aerial assessments using drone technology, identified the resources and challenges of SEZs across the country.
“These zones will incorporate special measures to facilitate the relocation of Chinese industries,” the investment minister was quoted as saying in an official statement, though he added the country would also welcome investments from other countries.
Officials in Islamabad and Beijing launched the multibillion-dollar China-Pakistan Economic Corridor (CPEC), which initially focused on energy and infrastructure projects but now plans to transition into the next phase with an aim to boost industrial production and exports.
Earlier this year, Prime Minister Shehbaz Sharif undertook a five-day visit to China, where he met representatives of leading Chinese businesses and urged them to invest in Pakistan and relocate their operations to SEZs.
The development came as Pakistan recovers from a prolonged economic crisis with external financing, while the government acknowledges the need to enhance industrial and agricultural output and exports through increased international investment.
Khan directed Pakistani embassies to engage foreign investors actively and asked relevant officials to establish a “Pride of Pakistan” group for key international stakeholders.
He said the government aimed to introduce about 150 reforms to enhance SEZ operations and improve their overall efficiency.
The steps would include environmentally sustainable practices under the “Green Pakistan Investment” model, focusing on eco-friendly infrastructure, renewable energy and sustainability measures to attract global investors.
Specific zones, such as Karachi’s industrial hub, will be linked to Port Qasim with enhanced infrastructure and facilities.
The minister and other officials also discussed the construction of a business facilitation center in a meeting and reviewed the “Ease of Doing Business Act 2024,” which aims to streamline investment processes further.