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Banks are reluctant to provide financing for infrastructure projects, which have long gestation period, Federation of Pakistan Chambers of Commerce and Industry (FPCCI) President Chaudhry Muhammad Saeed said on Tuesday.
He was talking to a team of consultants, comprising Barrister Ejaz Ishaq, Muhammad Ahmed Khan and Shaukat A Randhawa, engaged by the Infrastructure Management Unit of the Planning Commission to study constraints in investments in infrastructure projects in water, transport and energy sectors, said a press release.
FPCCI Managing Committee member Sardar Ashraf Khan also attended the meeting.
The FPCCI president called for providing adequate incentives to overseas Pakistanis to divert their investments from real estate and capital market business. He said that international donor agencies were not giving credits to private sector parties, which hampered growth of the private sector.
The consultants were informed that legal system in the country was a big hindrance in foreign investment in Pakistan, as legal disputes took very long time to resolve.
It was pointed out that the bureaucratic control was overwhelming in the country that recently the President of the country had to intervene to allow second hand power generation unit. Such matters should be left to the discretion of investors to decide in accordance with the feasibility of their projects.-PR

Copyright Business Recorder, 2006

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