ISLAMABAD: Qatar has not offered immediate provision of$ 2 billion in cash to Pakistan but renewed its interest in buying the two LNG- fired power shops that Islamabad was originally reticent to vend without a competitive bidding process.
“ Doha seems more interested in making investments in colorful sectors than offering cash to incontinently bail out Islamabad, ” a government functionary said after the three- day visit of Prime Minister Shehbaz Sharif on Thursday.
“ After the$ 3 billion investment commitment by Qatar, there’s no backing gap, hence, no immediate demand for the$ 2 billion cash, ” Finance Minister Miftah Ismail said when communicated .
Last week, the acting State Bank of Pakistan governor had indicated that Qatar might give$ 2 billion cash to Pakistan to shore up the foreign exchange reserves.
The International Monetary Fund( IMF) has asked Pakistan to increase the gross functionary foreign exchange reserves. To $16.2 billion by June coming time, pointing out a hole of$4.5 billion that has to be filled by securing commitments from the bilateral creditors.
Qatar’s policy of no- cash but investment is in line with the programs that Saudi Arabia and the United Arab Emirates have espoused this time towards Pakistan, breaking the once practice of subscribing off big loan cheques that Islamabad noway paid back.
The king of Saudi Arabia on Thursday also directed to make a$ 1 billion investment in Pakistan after a analogous advertisement was made by the UAE a many days agone.
The materialisation of these investments worth$ 5 billion from the three countries would bear a strong commitment. From the government of Pakistan, which will also keep it on track to follow the procedure specified by the IMF.
Qatar, through its$ 425 billion autonomous wealth fund, has shown its intent to make$ 3 billion investment. In airfields, power shops, harborage outstations, solar energy and the stock request. Still, another assistant to the high minister said that the Qatar Investment Authority wasn’t keen to invest. In oil painting and gas sectors; rather it was more interested in diversifying its investments.
A member of the PM’s delegation said that Qatar again showed its interest in investing in LNG- fired Haveli Bahadur Shah and Baloki power shops. It wasn’t Pakistan that offered the power shops rather the Qatari government showed interest, he added
Last week, the government had decided to defer the plan to vend these power shops to Qatar. Due to anticipated low trade price, banning the arrears. There was a view that the government might get $ 500 million to $ 600 million. At best, which was politically delicate to vend to the people as the stylish price, they added.
The Power Division had also advised the high minister that determining the price of the shops wasn’t incontinently possible. And there was a need to hire advisers to complete the sale.
The National Power Parks Management Company Limited( NPPMCL) owns,230 megawatts( MW) Haveli Bahadur Shah and,223 MW Balloki power shops. These power shops were set up with government backing rather of the 7030 debt- to- equity rate. The Ministry of Finance had bought the equity of these power plants. A many times ago through the Pakistan Development Fund proceeds.
The government functionary said that the trade of the Roosevelt Hotel. New York, and the Pakistan International Airlines( PIA) didn’t come under discussion. The Roosevelt Hotel is possessed by the PIA through PIA- Investment Limited. The PIA- IL holds its stakes through a attachment which is registered in the British Virgin Islands. The hostel, located at a largely priced position, was closed in December 2020.
But Qatar offered to invest in the Islamabad International Airport and the Jinnah International Airport, Karachi.
The government functionary said that the materialisation of$ 3 billion investment by Qatar would depend upon how snappily the issues are being sorted out. He said that PM Shehbaz instructed to set up a monitoring and perpetration cell to materialise the investment.