‘SIFC’ termed ‘game-changer’ in relation to FDI prospects

ISLAMABAD: The formation of Special Investment Facilitation Council (SIFC) is a game-changer vis-à-vis Foreign Direct Investment (FDI) and transformational in nature for the economy of Pakistan, said Muhammad Zohaib Khan, chairman of Pakistan Software Houses Association (P@SHA).

The SIFC will comprise top leadership of both the government and the armed forces - and, will have apex, executive and implementation committees. This is a brilliant, timely move; and, we hail both the civilian and the state institutions for their clarity of thought and coming together for the prosperity of the country, he added.

Zohaib Khan continued that investors, entrepreneurs and business groups are not comfortable or encouraged by red tapism; dealing with numerous licensing and regulatory authorities and inconsistency in economic and investment policies. They are accustomed to investment facilitation and incentivisation through one-window-operations; and, these are exactly the issues SIFC is mandated to address.

The SIFC will focus on defense production; agriculture; mines and minerals, energy sector, and IT industry; with a target of $100 billion in FDI within a short span of three years. The penultimate goal is to reach $1 trillion in terms of nominal GDP by fiscal year 2035. State apparatus will provide full-fledged technical and strategic support to SIFC to pave the way for the seamless functioning of the council.

Khan explained that licensing for setting up new industry or businesses may involve as many as 20 NOCs; up to 18 months and countless visits to various authorities; and, this unfortunate state-of-affairs requires one-window under one-roof to bring any substantial amount of investment into the country.

P@SHA chairman highlighted the fact that information technology has been made a focus area of SIFC; and, Prime Minister Shehbaz Sharif and the state institutions have made it their resolve to promote information technology in the country to create employment; generate revenues and rapidly increase exports.

Zohaib Khan extended his full support - in the broader national interest - from the apex IT industry platform of P@SHA to facilitate the consultative process between all the stakeholders to capitalize on the IT industry’s enormous, untapped potential and assist SIFC through the same.

P@SHA stressed the fact that IT is one industry which plays a catalytic role for all the other industries through automation, digitalization, business process reengineering (BPR), artificial intelligence (AI) and bringing the operations of other industries at par with international best practices. Therefore, IT will prove to be the productivity multiplier for the other four focus areas of the SIFC, he added.

Copyright Business Recorder, 2023