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ISLAMABAD: Prime Minister Shehbaz Sharif has constituted a 13-member committee to review and resolve bottlenecks and problems faced by Japanese investors on a monthly basis and submit a report periodically to him, official sources told Business Recorder.

The Committee headed by Minister for Finance and Revenue, Dr Miftah Ismail and comprising Minister for Industries and Production, Minister for Commerce, Minister for Science and Technology, Minister for Board of Investment (BoI), Attorney General for Pakistan, Secretary Finance, Secretary Commerce, Secretary Science and Technology, Secretary Industries and Production, Governor State Bank of Pakistan, Chairman FBR and Secretary BoI will recommend measures to ensure early resolution of issues of Japanese companies working in Pakistan and to attract further investment.

The other Terms of Reference (ToRs) of the Committee are as follows: (i) to ensure and facilitate early resolution of policy and administrative issues of existing Japanese investors and encourage them for further investments, promoting localization and establishing export-oriented manufacturing in Pakistan;(ii) to review and improve existing incentive packages for investors in existing sectors and to explore opportunities for further investment by Japanese companies in new sectors especially focusing on renewable energy, agriculture and IT, etc.; and (ii) make short-term, medium-term and long-term recommendations for promoting investment in existing and new sectors.

A delegation of Japan Association of Commerce and Industry (JACI) on 6th June 2022 met the Prime Minister and submitted recommendations for resolution of issues. The Association suggested seamless implementation of industrial policies for stable auto market development on the following grounds: (i) fostering automobile market environment that should be supported by the policy incentives which cover not only manufacturers but also consumers;(ii) continuous policy of tax incentives to stimulate demand for locally manufactured new automobiles (i.e., withdrawal of tax increase, sales tax and FED by Income Tax amendment Ordinance 2022 announced in January 2022); and (iii) continuous implementation of policy to curb imports of reconditioned used vehicles imported - total 33,318 used vehicles were imported in 2021, 73 per cent increase year over year.

Copyright Business Recorder, 2022

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