Pakistan anticipates about $1 billion investment from Saudi investors in different sectors of the economy with agriculture and petroleum considered the most attractive sectors, Business Recorder learnt reliably. Sources said that a two-day Saudi-Pak investment conference attended by investors from Pakistan and Saudi Arabia will be held in Jeddah and Riyadh on October 20-21 to explore investment possibilities.
Pakistani delegation would be leaving for Saudi Arabia on October 17 and will include over 125 private investors from different sectors of the economy. Informed sources revealed that the government of Pakistan will be carrying a wish list from 12 sectors desperately seeking financial injection from Saudi investors. These sectors include: petroleum and petro-chemical, power sector, textile, manufacturing, banking and financial sector, fertiliser, Small and Medium Enterprises (SMEs), agriculture, infrastructure, construction, tourism industry and IT telecom sector.
The major thrust is to be on the agriculture sector with the government seeking Saudi investment in dairy, livestock and fisheries sub-sectors. An official told this scribe that the government of Saudi Arabia has bought 60,000 acres of land in Thailand to grow rice and become less dependant on food items' import.
The Pakistan delegation is expected to propose a similar idea to the Saudi government and investors. The deal is envisaged to be between the private sectors of the two countries and the official informed this scribe that the Saudis would be offered land on a lease basis. The details have not yet been worked out and would be firmed up after consultation with the Saudi investors. Joint ventures may also be possible between Pakistani landowners and Saudi investors.
Saudi investment will also be sought in petroleum and power sectors. Pakistan needs two oil refineries with a capacity of 6 million tonnes each; and power projects to overcome electricity shortage that has been affecting industry as well as domestic households. The government is expected to ask Saudi investors to set up coal, hydel and gas based power plant in Pakistan.
The conference is being jointly organised by the Pakistani Board of Investment, Saudi Ministry of Finance and Council of Saudi Chambers to effectively promote and encourage investment in the potential sectors and joint ventures between the businessmen of both the countries. The Pakistani investors' delegation will be led by Finance Minister, Housing Minister, Deputy Minister of Investment and Federation of Pakistani Chambers of Commerce and Industry (FPCCI).
In Jeddah, the conference will commence on October 21 in the auditorium of the Jeddah Chambers of Commerce and Industry, followed by business-to-business meetings and sector wide group meetings between the businessmen of both the countries. The event will be provided full coverage by local and foreign media through conducting media sessions and press briefings.