Pakistan stresses enhanced economic cooperation with Sri Lanka

Pakistan President Asif Ali Zardari on Monday has called for stronger economic cooperation with Sri Lanka underscoring the need to increase bilateral trade between the two countries.


Zardari had given assurance of providing soft term credit facility for the export of Pakistani cement and sugar plants to Sri Lanka when a Sri Lankan parliamentary delegation led by Speaker Chamal Rajapaksa Monday called on the Pakistani President at Governor House.

President Zardari has suggested to the delegation that Sri Lanka must provide incentives, including repatriation of investment to attract Pakistani entrepreneurs to invest in the country.

He has told the delegation to increase the exports of Sri Lankan tea to Pakistan and conduct bilateral trade in local currency.

The Pakistani leader has pointed out that the two countries can exchange the technical know-how on various trades to boost the economic cooperation between the two countries.

Zardari has reportedly suggested for example, that Sri Lanka can provide gem and stone cutting experts to Pakistan while Pakistani experts can train Sri Lankan police and intelligence officers.

Sri Lanka and Pakistan inked four agreements on defence, agriculture, health, and education in November 2010 when Zardari met Sri Lankan President Mahinda Rajapaksa during a visit to the island.

Pakistan last December offered a soft credit of US$ 200 million to Sri Lanka for exporting, barter trade, and easing its business transactions while planning to boost the bilateral trade between the two countries over three-fold from existing US$ 300 million to US$ 1 billion.

The two countries already have a Free Trade Agreement, Bilateral Investments Treaty, and Avoidance of Double Taxation to facilitate business communities.

Speaker Chamal Rajapaksa has appreciated the Pakistan's support Sri Lanka's armed struggle against the terrorists and has expressed Sri Lanka's full support for Pakistan in its efforts to curb terrorism in that country.

The Sri Lankan parliamentary delegation arrived in Karachi on Sunday (09) for a two-day visit on the invitation of the Pakistani Senate Chairman, Farooq H. Naek. Sri Lanka's Senior Minister of Urban Affairs A. H. M. Fowzie also participated in the delegation.

Senate Chairman Farooq H Naek, Speaker of the National Assembly Dr Fehmida Mirza and Chairman of Board of Investment Saleem Mandviwala were also present at the discussions.