RIYADH, 27 April 2003 — Saudi Arabia and Pakistan have approved the financing of SR57 million for a group of companies. A meeting of the Saudi-Pak Industrial and Agricultural Investment Company (SPIAIC), jointly founded by the Saudi and Pakistani governments to promote investment and industrialization, has approved this financing.
“The financing of a total of 19 companies will facilitate the expansion of existing production facilities,” said a SPIAIC statement.
The projects financed by SPIAIC will generate new employment opportunities and add value to Pakistan’s gross domestic product. Since its inception, SPIAIC has lent and advanced millions of riyals to Pakistani companies for expansion and modernization.
The establishment of a joint business council of Saudi and Pakistani businessmen has been a substantial help in setting up joint projects. The joint council was set up by the Federation of Pakistani Chambers of Commerce and Industry (FPCCI) and the Council of Saudi Chambers of Commerce and Industry (CSCCI). The FPCCI, which includes 36 chambers of commerce and 120 associations of trade and industry, is a high-level commercial body in Pakistan which seeks to boost business links with the Kingdom and other Gulf states. A total of 250 businesses are members of the FPCCI.
Private initiatives have led to a substantial investment flow to Pakistan from the Kingdom. A recent report said that a consortium of some 50 overseas Pakistanis based in Saudi Arabia had pledged investments totaling SR750 million to various projects in Pakistan.
