The Foreign Private investment starts in Pakistan
since 1990. The government has taken several measures to increase the flow of
foreign private investment. The privatization, deregulation policies of the
government has greatly widened the scope of foreign investment in the country.
They can now avail of monetary and fiscal concession at par with local
counterpart.
Foreign investors are allowed to select any field
of investment of their own choice from the allowed list. Some of the areas worth
mentioning are power generation, petrochemical, petroleum, gas, fertilizers, hi-tech
industry, agro based ad export oriented industries.
Now the economy of Pakistan has come out of crisis.
The Government of Pakistan has redoubled its efforts to attract foreign
investment. The foreign private investment in Pakistan has come down to $4.3
million in 1998-99 and $ 203 million in 1997-98. While very recent terrorism foreign
situation has slow down investment.
The flow of foreign private investment in country
helps in filling the resources gap between the targeted investment and locally
mobilized savings, fill the trade gap, raise the revenue for development,
provide capital for development, and provide encouragement to local enterprise
to invest more in the development projects.
Foreign investment not only helps in raising
production of goods but also provides employment to the people in the country.