Cooperation in finance, banking sectors to be promoted: joint statement issued

Pakistan and Sri Lanka on Saturday agreed to promote financial and banking sector co-operation including opening of bank branches and trading in local currencies. This understanding was reached during the two-day state visit of Sri Lankan President Mahinda Rajapaksa to Pakistan from February 10 to 11 2012 on the invitation of President Asif Ali Zardari.
According to a joint statement issued here on Saturday on conclusion of the visit, the two sides reached broad consensus on ways and means to further strengthen their bilateral co-operation in a comprehensive manner and on their common endeavours for promoting peace and security in the region and the world.
It stated that the talks between the leaders of Sri Lanka and Pakistan were held in a friendly and cordial atmosphere and were marked by full trust and complete understanding. "Both sides also agreed to promote financial and banking sector co-operation. It was agreed that the Governors of their Central Banks will take all requisite steps to promote such co-operation, including the opening of bank branches and trading in local currencies," said the joint statement issued here by Foreign Office.
It stated that both sides attached importance to the Free Trade Agreement between Pakistan and Sri Lanka and considered this to be a valuable instrument to optimally utilise their considerable economic potential. "They expressed satisfaction on the work of their Joint Economic Commission in taking all requisite steps to enhance two-way trade. It was agreed to make special efforts to increase the bilateral trade to over $2 billion by 2015," it added.
It added that the two sides also agreed to create an enabling environment to facilitate and to provide incentives to their private sectors to develop mutually-beneficial project co-operation and joint ventures. Both sides underscored the importance that they attached to the special bonds of affinity that existed between the two countries, which were based on their rich historical and cultural interactions as well as the shared aspirations of their people for peace, progress and prosperity. It said that the two sides also agreed to hold frequent summit level meetings, promote parliamentary exchanges and enhance the process of consultations, co-operation and co-ordination between their respective institutions.
It was agreed to give further impetus to their co-operation in the fields of education, science and technology, healthcare, agriculture, tourism, sporting contacts, cultural exchanges and people to people contacts. Both sides also agreed to prioritise co-operation in the field of gems and jewellery. Pakistani side offered training facilities in the field of banking, information technology, engineering and medical sciences to Sri Lanka. The two sides would also develop institutional links between their universities and research institutions.
Both sides expressed satisfaction on the defence and security co-operation and also agreed to take steps to enhance air and sea connectivity including joint ventures between their respective shipping corporations. The statement added that the Prime Minister of Pakistan and the President of Sri Lanka witnessed the signing of three agreements/MoUs: a) MoU for Co-operation in the Field of Media between the Ministry of Mass Media and Information of Sri Lanka and the Ministry of Information and Broadcasting of Pakistan. b) MoU between Tertiary and Vocational Education Commission of Sri Lanka and National Vocational and Technical Education Commission of Pakistan. c) MoU between the Governments of the Islamic Republic of Pakistan and the Government of the Democratic Socialist Republic of Sri Lanka on a credit line up to a sum of $200 million.
Pakistan expressed its gratitude and thanks to the Sri Lankan Government for its valuable assistance in coping and containing the outbreak of the Dengue fever in Pakistan last year. Both sides agreed to continue their co-operation in regional and international fora and to work together to promote regional co-operation under the SAARC auspices.
Both sides expressed their complete satisfaction on the outcome of the state visit by the Sri Lankan President to Pakistan, which constituted another milestone in the joint endeavours of the two countries to take Pakistan-Sri Lanka relations to new heights.
Earlier, on his arrival in Islamabad, President Mahinda Rajapaksa was accorded a warm welcome. He held talks with President Asif Ali Zardari and Prime Minister Syed Yousuf Raza Gilani. Both the President and the Prime Minister of Pakistan hosted banquets in honour of the visiting Sri Lankan President. The Sri Lankan President also visited Taxila, which was the first centre of Buddhist learning and a testimony to Pakistan''s rich Gandhara heritage.
Meanwhile, Sri Lankan President also held separate meetings with Defence Minister Chaudhry Ahmed Mukhtar and Chairman Board of Investment Saleem H Mandviwala. On occasion, President Rajapaksa said that his government was keen to invest in various sectors of Pakistan and for the purpose a committee has been constituted to visit Pakistan soon for the purpose to identify various fields.
He said that Sri Lanka would like to import sugar, basmati rice, textile goods and high quality milk, adding that Sri Lankan investors'' delegations would soon the country for the purpose. Mandviwala said that Pakistan has already sent a delegation comprising representatives of textile sector to Sri Lanka and it has been decided to send 2000 buffaloes to the friendly country.
Defence Minister during his meeting with the visiting dignitary, said that Pakistan and Sri Lanka enjoy good relations and the visit of President Rajapaksa was reflection the good ties between the two countries. He said that Pakistan has suffered huge losses, which also resulted in slash to our economy. Sri Lankan President on the occasion recognised Pakistan sacrifices and the efforts in war against terrorism.