Previously, it was reported that Pak-Suzuki had planned to invest approximately $460 million in Pakistan following the announcement of the new auto policy. However, the company is now considering to scrap their investment plan due to non-serious attitude of the concerned authorities.
It is reported that the Ministry of Finance and the Board of Investment (BoI) are not cooperating with the company. Reports indicate that Pak-Suzuki has already filed all the paperwork and the company is still waiting for a reply from the relevant authorities. The Finance Minister, Ishaq Dar, has now asked the company to contact the Chairman of Bol, Dr. Miftah Ismail.
The main aim of the company behind this investment is to enhance its production capacity in Pakistan by setting up another manufacturing unit in the country.
The company is constantly negotiating with the government to avail the tax breaks for the next three years, similar to those accorded to the new entrants as per the new auto policy. Pak-Suzuki officials said that the company is still waiting for approval of 2-3 year tax concession from the government, after which they will start investing in Pakistan.
Experts believe that $460 million is a big investment for Pakistan and will also create numerous jobs in the country. Any further delay from the government will only force the company to invest in some other market, probably India and Pakistan will lose a great opportunity which could be really beneficial for the economy.
In any case, we’ll keep a tab on the upcoming trends of the company to keep our readers updated.