The World Bank has offered $2 billion to help in rehabilitating Pakistan's entire logistics network, including roads, railways and port facilities. The World Bank experts team made this offer during a presentation to Prime Minister Shaukat Aziz at the Prime Minister House here on Thursday. While accepting the offer, Shaukat directed to establish a co-ordination cell to evolve implementation plan at the earliest.
The presentation was made within a day of the departure of World Bank President Paul Wolfowitz, who was in Pakistan on his first visit to South Asia and had raised the level of assistance to Pakistan to $1.5 billion annually for three years.
Speaking on the occasion, the prime minister said, "An efficient logistics network is essential to meet high trajectory growth in the economy."
He directed the Planning Commission to set up a co-ordination cell and come up with a plan along with the World Bank experts within four weeks so that appropriate decisions could be taken on a fast track basis.
The prime minister said that improvement in logistics chain includes improvement in roads, railways network, de-bottlenecking of ports and streamlining of customs and document procedures. These measures, he said, would reduce operating costs and transit time.
Shaukat said that an efficient infrastructure can save at least 1-4 percent of the GDP, but this would require high level of investment, change in processes and adoption of modern techniques and technology.
In its presentation, the Work Bank team of experts analysed in detail the present condition of infrastructure in the country with particular reference to ports and shipping facilities, roads and railways network.
The team in its presentation stressed upon the need to improve logistics, which will not only save costs, but would also meet future requirements of a growing economy.
Industries and Production Minister Jehangir Khan Tareen, Railways Minister Shamim Haider, Adviser to the Prime Minister on Finance Dr Salman Shah, Minister of State for Economic Affairs Hina Rabbani Khar and other senior government officials were present on the occasion.