PM invites Chinese firm to invest in Pakistan mining sector seeking to boost foreign investment

ISLAMABAD: Prime Minister Shehbaz Sharif has invited Chinese firm, MCC Tongsin Resources, to invest in Pakistan’s mining sector and assured it of maximum facilitation, Sharif’s office said on Friday, amid an increase in bilateral engagements with longtime ally Beijing to boost foreign investment in Pakistan.
The statement came after Sharif’s meeting with a delegation of MCC Tongsin Resources, led by Chairman Wang Jaichen, in the federal capital of Islamabad, according to a statement issued from Sharif’s office.
MCC Tongsin Resources, a research and investment company, is part of the China Metallurgical Group Corporation (MCC Group), which describes itself as the world’s largest and strongest metallurgical construction contractor and operation service provider.
In his meeting with the Chinese delegates, Sharif said his government would extend all-out facilitation to the company in mining of minerals and their export from Pakistan.
“The government is taking steps on priority basis to increase foreign investment in the country,” Sharif was quoted as saying by his office. “In order to increase the exports of Pakistan, investment for the extraction of minerals, their processing and export will be fully facilitated.”
The Chinese firm expressed “keen interest” in increasing its investment in the mining and mineral sector in Pakistan.
“The company gave a detailed briefing to the prime minister regarding the construction of a mineral park in Pakistan and informed about further investment plans,” Sharif’s office said.
The development comes amid an increase in bilateral engagements between Pakistan and China in recent weeks as Islamabad attempts to boost foreign investment.
Deputy Prime Minister Ishaq Dar, who is in China since May 13, has held several meetings with Chinese business officials and entrepreneurs, and invited them to establish labor-intensive industries in Pakistan. The visit is aimed at bolstering Pakistan’s relations with China and assuring Beijing that Pakistan would enhance the security of Chinese nationals working in Pakistan.
Beijing has been one of Islamabad’s most reliable foreign partners in recent years, readily providing financial assistance to bail out its often-struggling neighbor. In July last year, China granted Pakistan a two-year rollover on a $2.4 billion loan, giving the debt-saddled nation much-needed breathing space as it tackled a balance-of-payments crisis.
China has invested over $65 billion in energy and infrastructure projects as part of the China-Pakistan Economic Corridor (CPEC). The project is part of President Xi Jinping’s ambitious Belt and Road Initiative. CPEC is designed to provide China with a shorter and safer trading route to the Middle East and beyond through Pakistan.
Dar’s visit comes amid Pakistan’s recent push for foreign investment, with Islamabad seeing a flurry of high-level exchanges from diplomats and business delegations in recent weeks from Saudi Arabia, Japan, Azerbaijan, Qatar and other countries.
Prime Minister Shehbaz Sharif has vowed to rid the country of its chronic macroeconomic crisis through foreign investment and efficient handling of the economy.