BoI working to introduce fund for SME sector: Mandviwalla

WASIM IQBAL

ISLAMABAD: Board of Investment (BoI) in collaboration with USAID and Bank Al-Falah has been working to introduce a fund for the development of SME sector in Pakistan.

“Four funds are being created of $50 million each out of which 50 percent is USAID share while the remaining 50 percent is of BoI and other participants,” Minister for State and Chairman BOI, Saleem Mandviwalla informed the media in an informal chat on Wednesday.

Responding to a question, he said that a proposal is under the consideration of the Prime Minister on amendments in rules of Business to make the process of foreign inflow more efficient. The amendment will allow them to approach directly to decision-making forums like Cabinet and Economic Coordination Committee of the Cabinet to seek approval on investment proposals.

He admitted that there have been some differences on changes in the rules between Secretary Cabinet and Management of BOI, but the prime minister is the final authority.

The minister further elaborated that the board did not want to curtail the authority of various ministries, but requested for additional power to BoI. This will also help counter the vested interests of lobbyers, which may be the ministry itself or private sector.

He said Japanese Companies Yamaha and a company of Czech Republic faced strong resistance in investment in Pakistan from certain quarters. The Czech Republic Company interested in investment in up-gradation of capacity of Wah Brass Mills (Pvt), a project of Wah Industries and strong resistance was shown on the part of Fauji Foundation.

He further said that three parties have showed their interest in Special Economic Zones (SEZs)—-two locals and one Chinese. The board is engaged in formulating the rules and regulations for setting up the SEZs.