Six private-sector Special Economic Zones (SEZs) across Punjab, Sindh, and Khyber Pakhtunkhwa have been approved by the Federal Board of Investment’s Board of Approval (BoA). These SEZs are anticipated to attract over $500 million in infrastructural investment to Pakistan.
Officials stated that Chaudhary Salik Hussain, the federal minister for the Board of Investment and Special Initiatives, presided over the meeting instead of the prime minister, who typically chairs BOA, the highest-approving panel.
Four of these SEZs have been approved for construction, while two are multi-industry SEZs. The six SEZs are all privately funded initiatives. Together, the four sole enterprise SEZs will invest $540 million in infrastructure, advance the manufacturing industry, promote export diversification, and strengthen the national economy.
The six SEZs are not included in the CPEC’s structure.
The SEZs comprised the Roshan Sun Tao Paper Mill (Pvt) Limited in Sheikhupura, Punjab, the Fatima Cement Limited in Dera Ismail Khan, KP, the Premier Cement Limited in Dera Ismail Khan, KP, the Challenge Fashion SEZ in Lahore, and the IVI Junction SEZ in Rajanpur, Punjab.
As per the sources, four of the six SEZ projects would be situated in urban areas with little development. The two other SEZs are the first export-focused SEZ of its kind and the first-ever multi-industry Chinese SEZ project with 100% private investment, respectively.
Showing his confidence, Salik said, “The newly approved SEZs will not only contribute towards industrialization but also help export generation and transfer of technology while creating job opportunities across the board.”
Moreover, the formation of SEZ committees for the recently approved zones, which would speed up their operationalization, was also agreed upon by the conference. In addition, Minister Salik underlined the need for a robust enforcement system to guarantee that the promoters keep their promises and that the investment is completed on schedule.
According to a senior BOI official, the federal government has so far approved or notified 21 SEZs around the nation, most of which are in the private sector.