Tax incentives offered for investment in economic zones

ISLAMABAD: The government offers one-time exemption from customs duties and 10-year income tax amnesty for 10 years to encourage investment in the special economic zones in the Pakistan’s capital, a top official said on Monday.
Chairman Board of Investment (BOI) Dr Miftah Ismail, talking to Belarus investors, invited them to take maximum benefits of Islamabad’s special economic zones (SEZ) scheme, under which all capital goods, machinery and equipment will get one time exemption from the customs duties and the entrepreneurs will also be exempted from income tax for 10 years.
Dr Ismail was speaking during the Pak-Belarus business forum in which businessmen from both the sides interacted regarding augmenting of bilateral cooperation, fueling economic activities, cementing economic relationship and exploring new areas of cooperation.
A dozen of memoranda of understandings were signed during the meeting between the companies of Pakistan and Belarus in the field of tractors, chemicals, leather footwear manufacture, milk products and tyres.
Belarus is expert in mechanized agriculture and its tractors are popular in Pakistan.
Dr Ismail, who is also the minister of state, urged Belarus government to establish tractor manufacturing unit in Pakistan to help in mechanisation of agri-sector of the country.
The event aimed at creating strategic partnership between both the countries to encourage and attract investment in all the economic sectors, including infrastructure and financial, real estate, social and tourism sectors.
BOI chief said the government has established special economic zones across the country and announced special tax incentives for machinery import.
He asked Belarusian investors to take advantage of these lucrative investment opportunities and start businesses in the zones much like others.
The forum was organised by BoI to finalise the areas of cooperation in different sectors of economies before the first-ever official visit of President of Belarus, who is arriving today (Tuesday).
Chairman BoI reiterated the government’s resolve to increase Pakistan-Belarus bilateral traded from the existing $30 million/year by motivating the businessmen of both the countries.
He added that every sector of the national economy, including energy generation, infrastructure development, fruit processing, textile, spinning, mining, oil and gas, is open for investment.
Dr Ismail said Pakistan offers safe and secure investment opportunities with 100 percent ownership and special incentives for establishment of business.
Minister for Industry of Belarus Vitaly Vovak said the investment forum will enable the businessmen of both the countries to share their knowledge and experiences for promoting the bilateral trade and investment. Vovak said Belarus is manufacturing around 60,000 tractors annually, besides producing other high quality agriculture machinery and modern trucks.