SHENZHEN: Prime Minister Shehbaz Sharif on Wednesday described China as a role model and emphasized that the world should follow China’s example. He highlighted how the Asian giant discarded redundant practices and implemented policies to modernize its economy and society.
“I am here for trade and development, not loans,” the prime minister stated, inviting Chinese companies to invest in Pakistan, which has mineral resources worth around $10 trillion.
Shehbaz stressed the need to learn from China and urged Pakistani companies to replicate the Chinese model. Addressing the Pakistan-China Business Forum in Shenzhen, he noted that Pakistan’s macroeconomic indicators were better than China’s in the 1950s and 1960s.
He praised President Xi Jinping and his predecessors for investing in the younger generation and focusing on human resource development, which lifted 700 million Chinese out of poverty and enabled China to become the world’s second-largest economy and a global military power.
The prime minister described the Shangla suicide bombing as one of the saddest days of his life and promised to provide blanket security to Chinese nationals and companies working in Pakistan.
He offered his “sincere apologies” and condolences to the families of the Shangla attack victims and to the Chinese people, noting that China had invested billions of dollars across Pakistan.
Shehbaz said the Belt and Road Initiative (BRI) provided a guaranteed roadmap to development and added that Pakistan had greatly benefited from the multibillion-dollar China-Pakistan Economic Corridor (CPEC).
Regarding creating an environment conducive to investors, the prime minister stated that work had begun on structural reforms in Pakistan and that the government was working to eliminate corruption from the country.
Earlier, Deputy Prime Minister Ishaq Dar, in his speech, said the Special Investment Facilitation Council (SIFC) was taking steps to encourage investors and businesses, adding that Pakistan offered ample investment opportunities in a wide range of fields.
Pakistan is considering the privatization of 84 state-owned enterprises (SOEs), said Dar, who also holds the finance ministry portfolio.
Finance Minister Muhammad Aurangzeb told the gathering that Pakistan had been witnessing continuous improvement in macroeconomic indicators, including a drastic decline in inflation. He added that the issue of interest rate cuts would be addressed during the current year.
It is not the first time that the finance minister has indicated rate cuts, as he previously said that the rate cut cycle would start in June.
With the consumer price index (CPI) dropping to a 30-month low of 11.3% in May, it is now widely believed that the Monetary Policy Committee will go for a rate cut of around 300 basis points (3%) at its next meeting scheduled for June 10.
Read more: Pakistan Seeks to Emulate Chinese Economic Model: Premier Shehbaz
