IFC and World Bank to invest $4.5 billion for economic transformation
in Pakistan
In a groundbreaking development set to revolutionize
Pakistan's economic landscape, the International Finance Corporation (IFC) and
the World Bank have jointly announced an ambitious investment of $4.5 billion
in the country. This momentous revelation was unveiled in a press release
issued on Thursday.
This transformative initiative was disclosed during a
meeting at the Board of Investment (BOI) office, where Muhammad Sohail Rajput,
Secretary of the Board of Investment, and Zeeshan Sheikh, the Country Manager
for Pakistan and Afghanistan at IFC, presented a visionary investment plan
aimed at propelling Pakistan into a new era of prosperity and development.
International
Finance Corporation announces $1.5 billion investment blueprint for Pakistan
At the heart of this initiative lies the resolute commitment
of the IFC to inject more than $1.5 billion into Pakistan's economy through a
combination of short-term and long-term investments.
This remarkable commitment comes on the heels of the IFC's
successful mobilization of $1.5 billion in Pakistan during the fiscal year
ending June 2023, representing a substantial doubling of investments compared
to the previous year.
The World Bank's unwavering dedication to Pakistan, even in
the face of economic challenges, underscores the country's strategic
significance on the global stage.
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Zeeshan Sheikh emphasized the IFC's mission to unlock
Pakistan's private sector potential by focusing on critical areas, including
improving access to finance, enhancing technical and digital infrastructure,
strengthening the pharmaceutical sector, and supporting export-oriented industries.
These strategic investments are poised to generate jobs, stimulate economic
growth, and drive innovation, aligning with Pakistan's economic vision for the
future.
Furthermore, he highlighted the significant potential for
investments in Pakistan's climate-focused sectors, pharmaceutical space,
agriculture, industrial, and energy sectors, demonstrating a strong commitment
to sustainable development.
In addition to the IFC's contribution, the World Bank will
allocate over $3 billion for infrastructure development in Pakistan's energy
sector. Zeeshan Sheikh mentioned that two substantial agreements were inked
with the government, providing loans worth $500 million to the Punjab and
Khyber Pakhtunkhwa provinces for critical projects. Additionally, a memorandum
of understanding was signed with the Sindh government to address a crucial
societal need by providing clean drinking water to a significant population in
Karachi.
Sohail Rajput, Secretary of the Board of Investment,
reaffirmed the government's unwavering commitment to attracting foreign
investment and fostering a conducive environment for investors. He showcased
the vast potential across various sectors for foreign investors, positioning
Pakistan as a prime destination for business opportunities.
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Bank urges Pakistan to implement real estate sector taxation
Addressing concerns regarding the Specialized Investment
Facilitation Council (SIFC), Zeeshan Sheikh clarified its alignment with the
BOI, ensuring a seamless and coordinated approach. Sohail Rajput assured
investors about the active and effective role of the SIFC under the BOI, with
unequivocal support from the Prime Minister and his Cabinet.
This historic collaboration between the World Bank, IFC, and
BOI heralds a new era for Pakistan's economic development, promising
unprecedented opportunities for both short-term and long-term investments.
Together, these organizations are not only driving economic growth but also
creating jobs and ushering in a transformative era for Pakistan.
Source: https://mettisglobal.news/