(Maria Mansab)
The Special Investment Facilitation Council (SIFC) functions as a dynamic ‘Single Window’ to ensure smooth facilitation of investors, thereby avoiding intricate business procedures and unnecessary delays. The platform offers a centralized platform for stakeholders to engage in cross-sectoral reforms and provide a conducive policy framework, which is essential for enhancing the investment environment. SIFC enhances the recognition of Pakistan’s unexplored capabilities, enabling investors to make well-informed decisions and explore investment prospects that correspond with their goals. The primary objective is to enhance the efficiency of corporate operations by promoting effective coordination among relevant stakeholders and facilitating rapid decision-making and implementation.
SIFC has granted preliminary approval for a total of 28 projects with a projected value in the billions of dollars. These projects are intended to be presented to Gulf nations for investment purposes, encompassing the development of the Diamer-Bhasha Dam and mining activities at Reko Diq. SIFC is undeniably moving towards pragmatism, according to Al-Zaabi, the ambassador of UAE to Pakistan. Major UAE corporations are eager to engage in many sectors such as aviation, agriculture, renewable energy, education, and healthcare in Pakistan. Pakistan has effectively obtained a significant investment of $25 billion from Saudi Arabia and has also successfully concluded 10 profitable multibillion-dollar agreements with Kuwait.
The overarching goal of SIFC and the Green Pakistan Initiative (GPI) represents a positive advancement towards the modernization of agricultural methods in Pakistan. Furthermore, the Land Information and Management System (LIMS) serves as the foundation for the forthcoming Green Revolution. The LIMS and GPI programs present a potential avenue for corporate agriculture as a means to stimulate economic revitalization.
One of the primary objectives of SIFC is to facilitate the advancement of corporate farming. In pursuit of this objective, Pakistan and China have agreed to collaborate in fostering international cooperation in agricultural technology within the framework of the Belt and Road Initiative.
In a noteworthy development, National Transmission and Dispatch Company Limited (NTDC) has effectively acquired the land for the construction of a 600 MW solar power project in Muzaffargarh. The 600 MW solar power plant is expected to mitigate the dependence on costly fuel-based power generation. Additionally, NTDC is currently engaged in the acquisition of land for two further solar power projects located in district Layyah (1200 MW) and district Jhang (600 MW). Constructing these projects will contribute 2400 MW of solar power to the system, thereby addressing the energy demand and enhancing the proportion of solar energy in the thermaldominant energy mix.
Significantly, Cynergico PVT LTD has announced the enhancement of two of its refineries to manufacture Petrol and Diesel that adhere to euro V criteria. The projected capital outlay for this project exceeds one billion dollars. The SIFC has played a crucial role in facilitating communication and collaboration between the Government and oil refineries. The recent approval of the ‘brownfield oil refinery policy’ signifies the increase in local oil refining capability. The aforementioned policy, which underwent revisions in February 2024, is anticipated to generate approximately $5-6 billion in investment within the refining industry.
The implementation of the upgrade is expected to enhance the refinery’s capacity to generate higher profit margins and produce premium products such as petrol and diesel, as opposed to furnace oil. This will lead to a substantial decrease in the importation of costly processed goods and substantial savings in foreign currency. The company has set a goal to increase its stored processing capacity by twofold, reaching a total of 50,000 Barrels.
With the broader objective of SIFC to revolutionize Pakistan’s IT sector, the Capital Development Authority (CDA) has approved the establishment of the largest IT Park in Islamabad. Approximately 5,000 to 6,000 freelancers will have the opportunity to engage in employment within the park, which will be managed through public-private collaboration. Similarly, designated areas within the park will be allocated for the establishment of a library and a center dedicated to showcasing IT products.
Furthermore, private IT companies will have the opportunity to establish their offices by leasing various locations within the park.
Notably, InfoTech Group, a Pakistani IT company, and Valyrian Systems Inc., a US-based company, have formed a partnership with Saudi Arabia’s Obeikan Investment Group to revolutionize global healthcare delivery. The cooperation seeks to quickly implement and smoothly incorporate Online Doctors’ health platforms, demonstrating a dedication to worldwide healthcare progress and marking the beginning of a new era of innovation.
In November 2023, KTrade, an educational application based in Pakistan, entered into a formal collaboration with Prince Mohammad bin Fahd University. The primary aim of this collaborative effort is to impart knowledge and understanding to students in Saudi Arabia regarding the topics of stocks and savings. The SIFC played a crucial role in eliminating obstacles among departments and enabling the IT industry. Pakistan possesses the capacity to enhance its IT/ITeS export revenues to a range of $10–$18 billion by the year 2028, thereby consolidating its status as a prominent global IT center. Furthermore, this proposed growth would lead to a proportional increase in the domestic sector, exceeding an annual estimate of $6 billion.
It is evident that SIFC is now operating as an effective and productive mechanism to facilitate foreign investment opportunities in Pakistan’s key sectors, including agriculture, information technology (I.T.), mining, minerals, and renewable energy.
The columnist is an Mphil scholar from Quaid i Azam University and a freelance writer. She can be reached at mariamansab@ir.qau.edu.pk
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