ISLAMABAD/beijing – Federal Minister of Finance, Senator Mohammad Ishaq Dar met with president of China Development Bank (CDB) Zheng Zhijie in Beijing Monday.
During the meeting, the minister acknowledged CDB’s support on projects in Pakistan. He said that mega projects in Pakistan of dams and water reservoirs for flood control and agriculture could also benefit from CDB financing. He mentioned that Pakistani policy regime in the power sector was very rewarding and commercially viable projects had attracted the private sector in particular to invest.
Zheng Zhijie said that CDB had maintained to be the largest cross border financier in China since the last six years. The bank had seen great results of cooperation with Pakistan and hoped to achieve more support for further business expansion in the country. He mentioned that Pakistan China Investment Company had also performed well last year.
Zheng Zhijie expressed appreciation for Pakistan’s cooperation. He said that the China Pakistan Economic Corridor had opened up avenues of opportunities and the bank would continue to play an important role in CPEC.
Ishaq Dar said that owing to deep rooted structural reforms and stabilization measures that had been introduced by the present government Pakistan’s economy had performed well and the GDP growth in the current fiscal year was at a seven year high. He said deep rooted structural reforms had been introduced by the present government and stabilization measures had also been taken. Developmental spending had doubled, social safety net expenditure had tripled for the people who live below the poverty line. A tight fiscal and monetary policy had yielded great results in the last 30 months putting the country’s economy on the right track, he elaborated.
Among others, Ambassador Masood Khalid and Secretary Economic Affairs Division Tariq Bajwa also participated in the meeting.
Finance Minister, Senator Mohammad Ishaq Dar also held a meeting with the Vice President of Export and Import Bank (EXIM) of China, Sun Ping in Beijing. Both sides on the occasion discussed various projects underway in Pakistan and matters relating to their financing.
Ishaq Dar appreciated EXIM’s great support rendered for the country’s economic development and for China-Pakistan Economic Corridor (CPEC).
Minister Ishaq Dar highlighted the rewarding policy regime in the power sector expressing appreciation for EXIM’s support in installing power stations under the rubric of CPEC and in other power and communications infrastructure projects.
Both sides shared their views on various financing technicalities of projects.
Meanwhile, Federal Minister Ishaq Dar also met chairperson of the Silk Road Fund Madam Jin Qi in Beijing.
Minister Ishaq Dar appreciated Silk Road Fund for their interest in various projects particularly those related to power generation. He highlighted the positive economic outlook of the country and said that Pakistan’s economy had performed well in the last fiscal year and the GDP growth in the current fiscal year was at a seven year high whereas the forex reserves had touched a record all time high.
He said deep rooted structural reforms introduced by the present government and stabilization measures had yielded the desired results. The developmental spending had doubled, social safety net expenditure had tripled for the people who live below the poverty line. A tight fiscal and monetary policy had yielded great results in the last 30 months, putting the country’s economy on the right track, he added.
Silk Road Fund has invested in the Karot project and is considering several other renewable and nonrenewable energy generation projects. The Minister also explored the prospects of hydro electricity and water reservoir project possible funding by SRF.