ISLAMABAD: Pakistan on Wednesday offered facilitation to Japanese banks and investors, with Prime Minister Shehbaz Sharif telling the Director General of Mining and Metal Finance at the Japan Bank for International Cooperation that his government would extend “all possible support” to boost investment in key sectors.
The offer comes as Pakistan steps up economic diplomacy to expand trade ties and attract foreign capital after emerging from a prolonged financial crisis that nearly pushed it into default in mid-2023.
Islamabad has since set up the Special Investment Facilitation Council (SIFC), a civil-military body designed to cut red tape and provide a one-window operation for businesses.
“Pakistan and Japan have a long history of cooperation in industry and trade, and both countries are determined to renew their economic partnership,” the prime minister said during a meeting with the visiting Japanese official, Taro Kato, according to a statement from his office.
“Pakistan will provide every possible facilitation to Japanese investors and banks investing in the country,” he continued. “In agriculture, IT, textiles and other sectors, Pakistan can benefit considerably from Japanese innovation and professional expertise.”
Sharif added that global financial institutions and international investors were showing strong interest in Pakistan’s major economic and development projects, pointing to the country’s cost-effective labor market and his government’s commitment to making Pakistan a safe destination for investment.
Kato thanked the Pakistani government for its hospitality and conveyed Japanese investors’ growing interest in economic projects in Pakistan, expressing hope to further expand cooperation.
Pakistan and Japan established diplomatic and economic relations in 1952.
Since then, Japan has been a major development partner, financing infrastructure such as roads, power plants and water systems, while extending technical assistance and yen loans.
Earlier this month, in a meeting in Tokyo, the two sides agreed to deepen industrial cooperation, particularly in the automotive and IT sectors, with Japan emphasizing the need for regulatory clarity and incentives to encourage new investments.
