PAKISTAN'S SOLID ECONOMIC PROSPECTS & FRIENDLY POLICIES GAVE CONFIDENCE TO INVESTORS- says USPBC Mission leader Ahmet Bozer during meeting with Hafeez Shaikh

Islamabad, March 16, 2005

Pakistan's solid economic prospects and friendly policies have given confidence to the investors. Mr. Ahmet Bozer Chairman U.S-Pakistan Business Council (USPBC) Mission leader stated during a meeting with Dr. Abdul Hafeez Shaikh Federal Minister for Privatisation & Investment while leading 17-member US Business delegation here today.

The mission leader who is also President Eurasia and Middle East Division  Coca Cola said that the bold decisions by President General Pervez Musharraf  has shifted the focus towards policies implementation, which has started  yielding the results by showing improvement on the economic front where  privatisation was picking up and now the reality was far better than the perception. USPBC was committed to increase investment in Pakistan, as the  country's economy was moving in the right direction, he added.

Dr. Abdul Hafeez Shaikh Federal Minister for Privatisation & Investment while addressing the delegation said that the government was trying to further accelerate the pace of privatisation for improvement in efficiencies, revenue generation and to provide job opportunities through the private sector. The slogan 'Privatisation for the people' was the hallmark of our privatisation program, which has set a dramatic and historic record of sharing prosperity through public participation by public offerings of OGDCL, SSGC, PPL and KAPCO shares, benefiting 716,000 common citizens through appreciation in the shares value to the tune of Rs.75 billion on their investment of Rs.25 billion during a short span of time, he said.

Elucidating the salient features of improvement in the infrastructure, the Minister said that the country's gas production has been doubled during the last three years, progress made in the development of roads network, problems in Telecom tackled efficiently, which has made this sector a dynamic market for the investors, the cement sector switched to coal fuel as Pakistan has the world's sixth largest coal reserves mines in Tharparker estimated at 200 billion tones. The strategic sale of two major banks i.e. United Bank Limited (UBL) and Habib Bank Limited (HBL) and Karachi Electric Supply Company (KESC) has been completed while UBL for the first time after the first year of its privatisation has given 22.5 % dividend on 49 % shares retained by the government, he added.

Dr. Shaikh further stated that the strategic sale of Pakistan Telecommunication Limited (PTCL), Pakistan State Oil (PSO) and National Refinery Limited (NRL) has attracted quality players from all over the world on a massive scale, which proved the investors confidence in the transparency of the privatisation process and in the country's overall economic policies.

Earlier, Mr. Waseem Haqee Chairman Board of Investment (BOI) informed the  delegation regarding the investment climate and opportunities in Pakistan and said that employment opportunities could be generated through SMEs. There existed vast scope for foreign investors in the Power, Telecom, I.T, Agriculture, Textile and leather industry of Pakistan, he said.

The other members of the delegation including top ranking CEOs of multinationals and other American companies termed the progress made by  Pakistan in the economy as remarkable and hoped that the potential of FDI and taking advantage of market condition for IPO strategy would further improve the economic scenario. Later in the matchmaking session chaired by Minister of State for Privatisation & Investment Mr. Umer Ghumman, 15 prominent Pakistani businessmen held discussion with the delegates.