As per reports, Saudi Arabi has plans of investing $7billion in the power sector of Pakistan.
Shah Mahmood Qureshi—the foreign affairs minister made an announcement on Wednesday that a total of 8 memorandums of understandings (MoUs) have been inked between Pakistan and Saudi Arabia.
The investments would be made in various sectors which includes renewable energy, finance, security, power, media, internal security and others. These investments have got extensive potential since there is a chance of special economic zones being established by the government which would permit the middle eastern countries like United Arab Emirates and Saudi Arabia to make an investment in CPEC.
Abdul Razak Dawood—the adviser to the PM on Commerce, Industries, Production, Textile and Investment informed that Saudi Arabia has got plans to invest $7billion in the power sector of Pakistan.
He added that the Kingdom has also shown interest to make an investment of $2billion in the renewable energy and solar sector. It should be mentioned that exploring the oil refinery of Pakistan is one of the major objectives of the Saudi delegation, but, the feasibility analysis by experts on the petrochemical complex and hydro-cracking could take up 12-15 months.
This two-way deal between the two nations, would also mark the biggest investment by Saudi Arabia in Pakistan in the form of an oil refinery at Gwadar.
As per Dawood, Saudi Arabia is looking for making an investment of $2billion in the food and agriculture sector. These investments would signify that Saudi Arabia intends a long-term investment in Pakistan.
Interestingly enough, the present government of Saudi Arabia is planning to develop the 2 new cities in the Kingdom, which would subsequently need a huge investment amount of labor workforce which Pakistan could provide easily.
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