ISLAMABAD: Federal Minister for Planning Ahsan Iqbal directed the immediate release of allocated funds for M-8 motorway in two portions this year and stressed the importance of expediting China-Pakistan Economic Corridor (CPEC) infrastructure projects to enhance Gwadar's connectivity.
The federal minister for planning chaired a progress review meeting on the development of Gwadar Port and Free Zone in Islamabad on Tuesday.
The meeting was attended by high-ranking officials from various ministries and divisions.
In the opening discussion on transport infrastructure, relevant departments briefed that while partial connectivity to Gwadar is currently available via the N-10 Coastal Highway and N-85 (linking Gwadar to Quetta) the completion of the M-8 motorway and other critical roads remains pending due to funding needs.
The minister also directed the relevant departments to resolve Gwadar Free Zone, land disputes swiftly as per agreements with China Overseas Port Holding Company (COPHC).
On the topic of Gwadar’s tax exemption policy, officials explained that under the Finance Act, COPHC and other Free Zone businesses are entitled to tax holidays and incentives. However, these companies still face turnover tax and various import duties.
Iqbal clarified that there is no turnover tax in Gwadar, and any ambiguity in tax exemption policies should be removed to encourage investment.
The minister further reviewed the infrastructure projects in Gwadar aimed at providing power, water, and sewage services to the local residents.
The minister directed the Quetta Electric Supply Company (QESCO) to complete pending transmission lines within three months to enhance Gwadar’s power supply and to submit weekly progress reports to the CPEC Secretariat on Gwadar’s electricity situation.
Discussing the Gwadar Smart Port City Master Plan and the Gwadar Port Master Plan, it was noted that the master plan, originally developed in 2005-06 with Chinese support and formally approved in 2019, is progressing rapidly.
Minister Iqbal emphasised the need to initiate more projects through public-private partnerships to make Gwadar an attractive destination for private investment. He suggested offering incentives to foster a favourable investment environment, encouraging diverse companies to explore opportunities in Gwadar.
He also highlighted the recent completion of Gwadar Airport and stressed the need to stimulate local economic activities to promote tourism. He directed the development of a comprehensive roadmap to implement the Gwadar Master Plan over the next three years, ensuring a sustainable growth model for Gwadar’s development.
Copyright Business Recorder, 2024
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