Punjab Board of Investment and Trade Untapped Investment Opportunities in Punjab 1 [ ]
Nov 07, 2014
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Punjab Board of Investment and TradeUntapped Investment Opportunities in Punjab[ ]
TODAY’S AGENDA
• Snapshot of Pakistan
• Snapshot of Punjab
• Overview of Potential Sectors
• Overview of PBIT
Potential & Opportunities in Punjab 2
SALIENT FEATURES OF PAKISTAN
• Pakistan GDP is USD 162 Billion (current USD)
• Ranked as the 46th economy in the world.
• Population of 169 Million
Source: Data @ World BankPotential & Opportunities in Punjab 3
PAKISTAN: INVESTMENT DESTINATION OF CHOICE
1: Geo-strategic LocationThe gateway to the energy rich Central Asian States, the financially liquid Gulf States and the economically advanced Far Eastern Economies
2: Trained Workforce Proficient in English, hardworking and skilled mostly in engineering and medicine
3: Positive Economic Outlook One of the fastest growing economies of the world having touched a GDP growth rate of 8.4% in 2005. Over 170 million consumers. Foreign Direct Investment has risen sharply from an average of $300 million in the 1990s to over $3.7 billion in 2008-09
4: Investment PoliciesTailor made to suit investor needs. No investment in Pakistan has ever been nationalized
5: Financial MarketsDevelopment of improved infrastructure in the stock exchanges of the country
Potential & Opportunities in Punjab 4
Potential & Opportunities in Punjab 5
• 100% Foreign Equity is allowed
• Remittance of capital, profits, dividends, etc is allowed
• Advanced tax ruling
• International arbitration enforcement guide
• All economic sectors in Punjab open to FDI
• Equal Treatment of local and foreign Investors
• No government sanction is required
• Only 5% customs duty on import of parts not available in
Pakistan
POLICY INCENTIVES
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• USA; close brush with sovereign default
• Euro zone; in sovereign debt crisis
• Middle East; heading into tumultuous era beginning with the Arab spring
• India, China, Argentina, Turkey and Brazil; turning red hot, running out of growth space.
• Where next?
PUNJAB[ ]
Potential & Opportunities in Punjab 7
• Punjab GPP 95 billion (Current USD)
• 58.5% of Pakistan’s National Economy
• Population of 93 Million
• Most industrialized province of Pakistan
• Fertile and well irrigated agricultural land
• Business conducive policy regime
• Political commitment to Private Sector
Development
PUNJAB – REGION OF UNTAPPED OPPORTUNITIES
PUNJAB
8Potential & Opportunities in Punjab
MARKET SIZE COMPARISON
Source: Data @ World Bank
Punjab
Germany
Turkey
Thailand
France
South
Korea
Argentina
CanadaNepal
Malays
ia
Australia
93
8275
6863
4940
3429 27
22
Population in million
Potential & Opportunities in Punjab 9
9588
63
52 4942
3525
2112
8 6
PUNJAB LEADS MANY COUNTRIES IN GDP
Source: Data @ World Bank
GDP in USD billion
Potential & Opportunities in Punjab 10
WORLD BANK: EASE OF DOING BUSINESS 2011
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79 83102 107 116 123 127 134
167
Source: World Bank Ease of Doing Business Index 2011Potential & Opportunities in Punjab 11
Agriculture
Mining
Livestock Infrastructure
PowerManufacturing
SECTORS IN FOCUS
PBIT[ ]
Potential & Opportunities in Punjab 13
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IMAGE BUILDING
INVESTMENT GENERATION/ CREATION
INVESTOR FACILITATIO
N/ SERVICING
POLICY ADVOCACY
PBIT’s Role and Focus as an IPA
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Services PBIT provides to Investors
1. One-to-One Relationship
2. Reduced Time to Market
3. Link Relevant Government Departments
4. Matchmaking between International businesses and local businesses
POTENTIALINVESTORS
PBIT’s ONE WINDOW
OPERATION
42 RELEVANT GOVERNMENT AGENCIES FOR ACQUIRING PERMISSIONS AND
AUTHORIZATIONS
1. Build Punjab’s image and perception
2. Identify opportunity and develop concrete sellable projects
3. Match-make investors, generate MOU/EOI/Agreements and follow-up on these with related departments till execution
4. Undertake trade promotion to boost exports
5. Carry out Business Facilitation and undertake policy advocacy
PBIT’S STRATEGIC FOCUS AREA
Potential & Opportunities in Punjab 16
Potential & Opportunities in Punjab 17
Punjab Board of
Investment &
Trade
23 – Aikmen
Road, GOR
1 ,Lahore.
Pakistan+92-42-99205201
www.pbit.gop.pk+92-42-99205171
OFFERING A ONE-WINDOW FACILITY TO BOOST
INVESTMENT AND TRADE IN PUNJAB
Get Connected
[ ]
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PHILIPPINESPopulationGDPPer CapitaEconomyHDIGINIExport Market RankingExchange rate as per US $FDI stock AbroadInvestment in PakistanInterest rateInflation rateUnemploymentGDP Growth
94 Million (12TH )$188.719 Billion (33RD)$ 2007 (7TH)46th largest0.603 (97TH)45.830th Largest Export45.11$ 6.582 Billion$1.148 Billion4.5%5.5%7.3%7.3%
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TRADE
IMPORTS
Electronic ProductsMineral FuelsMachinery Transport EquipmentIron and SteelTextile FabricsGrains ChemicalsPlastic
EXPORTS
Electronic productsSemi Conductors Transport equipmentGarmentsCopper ProductsPetroleum ProductsCoconut OilFruits
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Major Trade Partners
IMPORTS
• Japan• USA• China• Singapore• South Korea• Taiwan• Thailand
EXPORTS• USA• Japan• Netherlands• Hong Kong• China• Germany• Singapore• South Korea
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OUR TRADE WITH PHILIPINES
ExportsRicePharmaceuticals Cotton ProductsGlass and Glassware
ImportsAuto partsMachinery and its partsPaperPaper boards
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Potential Sectors for Trade
• Halal food• Vegetables• Live stock• Agriculture• Manpower Training
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Competitive Edge in Pakistan
• Low cost labor• Exchange Rate Advantage• Unsaturated Market• Foreign Exchange Earning Sector