Islamabad, November 20, 2024 — The Europe Today: Azerbaijan has committed an investment of up to $3 billion in Pakistan across multiple sectors, a move anticipated to significantly bolster the South Asian nation’s economy.
During a recent cabinet meeting, Prime Minister Shehbaz Sharif announced that Azerbaijan had agreed to sign memoranda of understanding (MoUs) for investments valued between $2 billion and $3 billion. He expressed confidence that this strategic partnership would strengthen Pakistan’s economic foundations and pave the way for mutual growth.
The Prime Minister also briefed the cabinet on the outcomes of his recent visit to Saudi Arabia, where discussions on enhancing economic cooperation in sectors such as solar energy, mines and minerals, and information technology had been initiated. He emphasized Saudi Arabia’s growing demand for skilled IT professionals, suggesting that Pakistan could readily meet this requirement. Sharif directed the Ministry of Information Technology and Telecommunication to devise a comprehensive strategy to produce an internationally competitive IT workforce.
Highlighting Pakistan’s recent economic progress, the Premier pointed to the State Bank of Pakistan’s 250-basis-point policy rate reduction, which brought the rate down to 15%. He noted that the decision reflected the government’s success in stabilizing the economy and would encourage investments across industrial, commercial, agricultural, export, and trading sectors.
The lower policy rate, Sharif explained, not only reduced the national debt burden by Rs1.3 trillion but also created fiscal space by cutting borrowing costs. He asserted that the ongoing decline in inflation and consecutive policy rate cuts had stimulated economic activity, leading to job creation, increased production, and enhanced exports.
Addressing tax collection, the Prime Minister commended taxpayers as the “true patriots and ambassadors” of Pakistan and directed the Federal Board of Revenue (FBR) to ensure their dignity. At the same time, he warned of strict measures against tax evaders and any officials complicit in facilitating tax evasion.
Sharif also announced plans for a “winter package” aimed at providing relief to electricity consumers and commended the power and finance ministries for their efforts in developing the initiative.
On the challenges posed by the International Monetary Fund (IMF) requirements, the Prime Minister assured the cabinet that steps were being taken to address issues related to tax revenues and receipts. While acknowledging the economic hurdles, he expressed unwavering confidence in Pakistan’s resilience and assured that the nation would overcome these difficulties to achieve prosperity, even if it required temporary sacrifices.
The announcement of Azerbaijan’s investment, coupled with Pakistan’s ongoing economic reforms, marks a promising chapter for the country’s economic future, strengthening its international partnerships and fostering growth across critical sectors.
