Pakistan expects $27bn investments from friendly countries over 5 years

Pakistan expects friendly countries, including Saudi Arabia and United Arab Emirates, to invest $27 billion in Pakistan over the next five years under the Special Investment Facilitation Council (SIFC), the country's Minister for Planning, Development and Special Initiatives Ahsan Iqbal told reporters on Thursday.

"Saudi Arabia will invest $5 billion, the UAE will invest $10 billion, Kuwait will invest $10 billion and Azerbaijan will invest $2 billion in the next five years," he said.

The minister disclosed that negotiations with the friendly countries were already underway and a delegation from Saudi Arabia would visit Pakistan in the coming days. Agreements would be done both on a government-to-government and business-to-business basis.

China has also shown willingness to move ahead with the second phase of the China-Pakistan Economic Corridor (CPEC), a flagship project of Beijing's Belt and Road Initiative, through which it has pledged over $60 billion in investment projects in Pakistan, according to Iqbal.

Chinese Premier Li Qiang is scheduled to visit Pakistan on October 14, he said, adding that memorandums of understanding (MoUs) would be signed on several projects during the visit.

The minister said that Pakistan has to increase its exports to stabilize and shore up its foreign exchange reserves. "Repayments of debts will be a big challenge in the future and for this purpose, we have to increase exports, remittances and foreign direct investment. If we are not able to do it, then we will have to get more loans for repayments of debts," he said.

Calling the new International Monetary Fund program "a new insurance policy for Pakistan", he reiterated the need for reforms to avoid future crises.

Answering a question about trade relations with India, he said that a conducive environment was essential.

The minister said that economic development in the country is directly linked with political stability, peace and continuity of policies.