ISLAMABAD, Nov 29 (INP-WealthPK): Pakistan’s distinctive geo-economic and strategic position makes it an excellent investment destination for foreign investors and businesses, reports WealthPK.
The country offers both domestic and international investors eclectic and significant investment opportunities in lucrative markets because of its distinctive geo-economic position, competent human resources, and untapped development potential, according to a Board of Investment (BoI) official who spoke to WealthPK on condition of anonymity.
Additionally, the BoI provides attractive incentives and flexible rules that promote investment across the board. The official noted that the incentives offer considerable chances for the international and local business communities to invest in the country and enjoy the highest returns in both traditional and non-traditional economic sectors.
In response to the country’s current situation, the official said continued political unrest in the country made investors apprehensive about making investments given the present state of affairs. Furthermore, no investor will be prepared to invest in a country if there is political unrest or economic hardship; therefore, stability in both of these areas is necessary for increased foreign investment, he added.
According to WealthPK research, foreign direct investment as well as foreign portfolio investment is a critical component in promoting overall economic growth and development in a country like Pakistan, which is struggling with dwindling foreign exchange reserves and a trade imbalance.
According to Tuaha Adil, a specialist in foreign direct investment at the Policy Research Institute for Market Economy, Pakistan has a lot of potential in various sectors. The country has reasonable labour prices, he continued. Since most of the population is young and in desperate need of jobs, the government should offer a favourable economic landscape for both domestic and international investors.
Likewise, the government should reform the tax policies to ensure attainment of foreign direct investment because the countries with difficult or cumbersome tax policies for payment of taxes and overburdened taxes have suffered to meet economic goals, he maintained.
Recently, Pakistan’s Ambassador to the United States Masood Khan interacted exclusively with the Pakistan-American Chamber of Commerce (PACC) board in Los Angeles to express his appreciation of the chamber’s efforts to promote trade and investment between Pakistan and the United States.
The ambassador stated that Pakistan’s economy is undervalued and underestimated despite being a sizable market. He said 80 American businesses had operated in Pakistan for many years and generated considerable profits. He advised members to build up their enterprises in Pakistan and have faith in the country’s economy since doing so would inspire others to make investments.
The ambassador acknowledged their worries with regard to Pakistan’s regulatory structure but said the Pakistani government had taken a number of measures for ease of doing business. These measures include enacting cyber laws, liberalising the business visa system, enforcing intellectual property rights, and streamlining taxation.
According to him, out of $257 million in foreign direct investment from the United States last year, $203 million in profits were repatriated. In Pakistan, there are a growing number of foreign investments, particularly in the information technology sector, from countries such as France, China, Germany, Singapore, South Korea, and Japan. As part of this economic transformation in Pakistan, he invited the Pakistani American business community to participate.
