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ISLAMABAD: Planning Minister Ahsan Iqbal has said that Special Economic Zones (SEZs) will facilitate Chinese investment in Pakistan.

According to a statement issued here on Sunday in connection with his recent visit to China, the minister said, the first Rashakai SEZ will be inaugurated later this month.

The launch of other economic zones is at the advanced stages in Sindh, Punjab, and Balochistan, he said.

CPEC projects: Direct investment worth $25.4bn attracted from China in 10 years

Pakistan, he said, has a great advantage in low cost of labour. “As in China, many industries are experiencing high costs of production due to increased levels of cost and are now moving to Vietnam, Cambodia and Laos. Pakistan also has a great advantage in terms of low cost of production,” the statement quoted Iqbal as saying.

The minister said Pakistan has a very good infrastructure and China-Pakistan Economic Corridor (CPEC) framework.

He said several Chinese companies intend to start businesses in Pakistan and many Chinese companies have invested in Gwadar Free Zone.

Copyright Business Recorder, 2023

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Tariq Qurashi Jul 17, 2023 03:05pm
The SEZs have been given little attention, and most are either underdeveloped or non-existent. Many are also too remote from the Urban Centers. For example, for the Islamabad SEZ, as far as I know, even the land has not yet been acquired. The red-tape needed for setting up new industries is extremely cumbersome, and some of the rules governing SEZs are unnecessary and too restrictive. We need to make investors, both foreign and local feel welcome, and simplify and streamline the investment process. Foreign or local investment that has an export component needs to be given priority, otherwise the FDI may just become a drain on our foreign exchange when profits are repatriated.
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