Russia keen to invest billions of dollars in Pakistan's economy

Russian companies seek a $2.5 billion gas pipeline project from Karachi to Lahore. The construction of a railw
10 Dec, 2019
  • Russian companies seek a $2.5 billion gas pipeline project from Karachi to Lahore.
  • The construction of a railway line from Quetta to Tifatan could be discussed during Pak-Russia IGC meeting.

A new chapter of economic relations between Pakistan and Russia are on the brink of a new beginning, with a 64-member Russian high-level delegation present in the country keen to invest up to $10 billion in Pakistan.

As per local media reports, the Russian companies are looking to invest in Pakistan’s energy sector. The companies seek a $2.5 billion gas pipeline project from Karachi to Lahore. The meeting will discuss the construction of a railway line from Quetta to Tifatan.

The 64-member high-level delegation from Russia will also reportedly attend the sixth meeting of the Pak-Russia Inter-Governmental Commission (IGC), as per sources. The Russian companies can invest up to $1 billion in steel mills.

Russia is also keen on major investment in the aviation sector and could offer Pakistan their most advanced passenger aircraft.

Just days ago, Russia and Pakistan signed an agreement to settle mutual financial claims and obligations on operations of the former Soviet Union, according to which Pakistan will repay the debt to Russia in the amount of $93.5 million.

The agreement was signed between Deputy Finance Minister Sergey Storchak and Pakistan envoy to Russia, Ambassador Qazi Khalilullah. The debt repayment will reportedly give green signal to Russia to invest billions of dollars in different sectors in Pakistan, including energy and steel.

Back in November, Pakistan authorized its ambassador in Russia to sign a deal with the country.

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