Task force of Pakistanis working on Wall Street set up: Shaukat seeks long-term investment

Prime Minister Shaukat Aziz has constituted a task force of Pakistani nationals working on Wall Street for attracting investment from hedge funds, private equity, venture capital and other fund management into Pakistan.
At an interactive meeting with a group of Pakistanis Friday evening from across the US arranged by the Pakistan embassy, the Prime Minister said under the new paradigm we are already tapping the capital market with bond and GDR issues.
But besides this, we want to attract long-term investment from the surplus pool of money and use it intelligently as a driver of the economy. He said our neighbour is doing it-so these funds have already reached South Asia. We need to pull some towards us and create the absorption capacity, he added.
Responding to the Prime Minister''s plea for help, the Wall Street gurus said these funds were meant for seven to 10 years. The investors want security capital and an exit strategy. For this to happen the legislative system must provide guarantee that these funds are not usurped by successive governments.
The Prime Minister assured participants that the government was prepared to provide the enabling environment as well as the necessary legislative guarantees.
He asked them to come up with definite proposals and asked the minister of state for finance to co-ordinate with the task force comprising to channelise these funds into Pakistan.
Talking to media on Saturday, Prime Minister Shaukat Aziz said in order to enhance tourism the government has decided to focus on Trekking and Mountaineering clubs in North America, the Sikh community wanting to visit their religious sights and the Pakistani Diaspora wanting to know their roots.
He also said during his visit he has interacted with some members of the Democratic leadership. In the past, we also dialogued with them as the minority party. However, once various committees in the Congress are constituted we would further interact with them. He said the conduct of foreign policy is in pursuit of national interest.
"Our contacts will be used for the nation and not for personal gains," he added.
APP adds: Speaking about the upward trend in investment, the prime minister said a lot of foreign and domestic investment was taking place in power generation. The government, he said, was trying to attract people to set up power generation stations and provide electricity through public-private sector partnership.
The prime minister listed IT, telecom, oil and gas exploration, refining and distribution, hotel, tourism, construction and retail and wholesale supply chains as sectors offering promising opportunities. He said that there was tremendous potential for agro business as more and more companies were investing in dairy and other farm products. This would increase income of farming community in rural areas and help eradicate poverty.
He said that in textile and engineering sectors the country has skilled people who produce textile and engineering goods. He pointed out that wages of Pakistani workforce are lower and their productivity is high.
Aziz said the government left the IMF mode and went into international market by issuing bonds in order to achieve economic sovereignty and set a benchmark for the private sector to follow.
Now the private sector is coming into the bond market and liquidity is high in the Pakistani market, he informed the gathering. He said the focus of the government is on change of approach from conventional to unusual methods as no country can grow unless it attracts foreign savings.
Pakistan, he said, is poised to see a sustained upsurge in economic activity. He referred to the forthcoming visit of Chinese President Hu Jin Tao to Pakistan and hinted at establishment of economic zones for Chinese companies in Pakistan to produce and export goods. The Prime Minister said some Middle Eastern entrepreneurs were interested in establishing oil refineries in Pakistan for export to other countries. This would also create job opportunities for Pakistani people, he added.
Aziz asked the Pakistani Americans to identify sectors for their investment in the country. During interactive session with investors, he sought their suggestions and assured them that the government would ensure proper protection for their investment.