#Kuwait Seeks to Invest $750 Million in Pakistan Projects - Bloomberg

Kuwait Seeks to Invest $750 Million in Pakistan Projects - Bloomberg

Kuwait-backed units are planning several projects in Pakistan valued at $750 million, marking one of the largest proposed investments in the South Asian country in recent years.

Kuwait Investment Authority’s Enertech Holding Co. and Pakistan Kuwait Investment Company have applied for a digital bank license and proposed a hydrogen plant and two smart cities, said Mohammad Al Fares, chairman at Pakistan Kuwait Investment Co. The two are already working on a $200 million water pipeline.

The proposed investments are a boon for Pakistan, which has seen muted foreign investment for more than a decade because of energy outages, terrorism and political instability. Recent turmoil has led to a regime change while the nation’s foreign exchange reserves have dropped to less than two months of imports.

Newly elected Prime Minister Shehbaz Sharif is currently visiting Saudi Arabia, which has provided loan support in the past. Pakistan is also negotiating with the International Monetary Fund to release $3 billion this year. Although loans have been the main stop-gap for financial support, the nation has long sought to increase foreign investment to reduce its reliance on borrowing.

Enertech and Pakistan Kuwait Investment Company have formed an alliance to explore opportunities in Pakistan, said Al Fares. The latter was established in 1979 by the governments of Pakistan and Kuwait, and holds multiple investments including a 30% stake in Meezan Bank Ltd., Pakistan’s fastest growing bank by deposits.

Turkey, #Saudi to revive great economic potential, Erdogan says | Reuters

Turkey, Saudi to revive great economic potential, Erdogan says | Reuters

Turkey and Saudi Arabia have a common will to "reactivate a great economic potential" between the two countries, Turkish President Tayyip Erdogan said on Saturday, after his first trip to the kingdom since 2017.

Speaking to reporters on a flight back from Saudi Arabia, where he sought to mend frayed ties, Erdogan said the sides were determined to accelerate efforts for the common interests and stability of the region, Turkish media reported.

The media readout did not mention a possible currency swap line nor specifics of any other planned investments that could help relieve Turkey's economic strains.

"We agreed with Saudi Arabia to reactivate a great economic potential through organisations that will bring our investors together," Erdogan said.

On his two-day visit, Erdogan met Saudi King Salman bin Abdulaziz Al Saud and Crown Prince Mohammed bin Salman, and discussed various international, regional and bilateral issues. read more