- Saudi Arabia’s investment in IT, energy and banking will shape Pakistan’s economy
Interview with Mr. Muhammad Shahid — Chairman, Lahore Branch Council of ICMA International
Muhammad Shahid, FCMA, is working as Senior Officer Accounts in SNGPL. He is a seasoned professional with decades of experience. He is also Chairman Lahore Branch Council of ICMA International.
PAGE: How would you comment on the bilateral relationship between Pakistan and Saudi Arabia?
Muhammad Shahid: It’s very important bilateral relationship with Saudi Arabia, not only for human resource of Pakistan but also for the procurement of oil, which Pakistan is availing on credit. Over two million Pakistanis are serving in Saudi Arabia which eventually ramps up the foreign exchange reserves of Pakistan through remittances which Pakistan desperately needs at present.
PAGE: What is your standpoint on the Saudi investment in energy, IT, banking and mining sectors in Pakistan?
Muhammad Shahid: Foreign Investment is backbone of any country and Pakistan in much need of investment. Saudi direct investment in IT, energy and banking will substantiate the economic condition of Pakistan but Pakistan needs to see the contracts are viable in future for country.
PAGE: Food security has become a perennial stumbling block for the entire world. How could Pakistan benefit from Saudi investment in agriculture sector?
Muhammad Shahid: First of all we need to see how they want to invest in agriculture sector. Either they want to invest in value-added products or to grow products. If they want to invest in land cultivating then they want to purchase the land in Pakistan. Pakistan should see the land selling to other country will not breach the sovereignty of the country.
PAGE: What is your take on Saudi deposits in SBP to shore up foreign exchange reserves?
Muhammad Shahid: Saudi deposit is only to boost the reserves and Pakistan is paying huge interest on these deposits. It is only seeing to save Pakistan from default, although this deposit has nothing to do for Pakistan.