Top SIFC body to meet today: Investment accord with Riyadh, Doha to be considered

ISLAMABAD: The apex committee of Special Investment Facilitation Council (SIFC) is scheduled to meet under the chairmanship of Caretaker Prime Minister Anwar-ul-Haq Kakar on Wednesday (today) to deliberate on a bilateral investment treaty with Saudi Arabia and Qatar aimed at attracting multi-billion dollar investments.

The apex committee will also receive an update on the summary for National Economic Council (NEC), excluding inclusion of provincial development projects in the Federal Public Sector Development Programme (PSDP), except for the least developed districts and regions. 

Despite provincial reluctance to finance devolved projects, it remains to be seen how the federal government’s wish list could be fulfilled at the SIFC forum, where provinces are expected to participate. Regarding the Bilateral Investment Treaty (BIT), sources indicate that Pakistan has previously signed BITs with various countries. In the case of KSA and Qatar, Islamabad is making extensive efforts to attract substantial investments, addressing all demands from potential investors. However, the extent to which these efforts will facilitate investment is yet to be determined, according to the sources.

The seven-page agenda of the SIFC’s apex committee includes a briefing by the finance minister and secretary on expenditure sharing for devolved subjects, an update on the resolution of pending issues with Etisalat, and progress on a memorandum of understanding (MOU) with the UAE for investment cooperation in the banking and financial services sector.

The FBR chairman will provide a briefing on tax net expansion reforms, data integration through point of sale (POS), track and trace, technology and data usage and PRAL performance audits, including monitoring indicators.

The Governor of the State Bank of Pakistan will brief the SIFC on settlements in Chinese currency RMB, settlements through the Asian Clearing Union, restoration of cash over-the-counter facilities, discouragement of hoarding US dollars and barter trade mechanisms.

The petroleum secretary is set to share a briefing on the MoU between Reko Diq Mining Corporation and Gwadar Port Authority, along with updates on Saudi Arabia’s interest in procuring stakes in this multibillion-dollar project.

The petroleum and foreign secretaries will provide a detailed briefing on Saudi Arabia’s Aramco Refinery Project, expected to establish a refinery in Hub with an investment of $10 to $12 billion.

The petroleum secretary, along with other federal secretaries, will brief the meeting on the IP Gas Pipeline, 5.4 TAPI gas pipeline, recommendations for a dedicated Mines and Mineral Division at the federal level, updates on the maximum Gas Bill limit amid tampering of gas meters, requirements and future demand of gas projects, domestic LPG production with timelines and milestones, MoU with UAE on Investment Cooperation in the mining sector, and agreement with Kuwait for the establishment of Mining Fund (US$1 billion).

The IT and Telecom Ministry will brief on a dedicated online dashboard and internet-based cross-cutting sectoral working group, MoUs with the UAE, a framework agreement with Kuwait, funding for digital integration of public sector entities, finalisation of projects for establishment of regional centre of excellence with FDI from Kuwait under the Framework Agreement, and the development of a national plan for liberation.

The Water and Power secretary and provinces will provide a briefing on the revision of Abyana rates, National Canal and Watercourse Desilting Plan campaign, targets, and community mobilization strategy, agreements with Kuwait and installation of a telemetry system across Pakistan. The Privatisation Commission will brief the SIFC on the proposal of the National Industrial Development and Regulatory Authority (NIDRA), an update on loan liabilities and vendor payables issues of PIA, and transactions on the completion date of the Heavy Electrical Complex (HEC).