Pakistan, China ink framework agreement on industrial cooperation under CPEC

Posted by : Admin on Feb 04, 2022 03:30 PM

Beijing: Pakistan and China inked the Framework Agreement on Industrial Cooperation under China Pakistan Economic Corridor (CPEC). The prime minister arrived in Beijing to attend the opening ceremony of Winter Olympics and meet the Chinese leadership.
 
The objective of the Joint Working Group (JWG) on Industrial Cooperation is to attract Foreign Direct Investment (FDI), promote industrialization and development of economic zones, and initiate, plan, execute, and monitor projects, both in public as well as private sector.
 
The engagement with China under JWG is envisaged to increase labour productivity in Pakistan, enhance industrial competitiveness, increase exports, and sustain diversification in exports basket.
 
During the 8th Joint Cooperation Committee (JCC) meeting of CPEC held in 2018, both sides had signed a Memorandum of Understanding that formed the basis for future engagements between the parties under the ambit of Industrial Cooperation.
 
As CPEC entered its second phase which primarily revolves around Special Economic Zones (SEZs) development and industrialization, the need for a comprehensive Framework Agreement became imperative. Similar agreements have also been signed for Early Harvest CPEC Projects on energy and infrastructure.
 
After extensive stakeholder consultations and with the approval of the Prime Minister, Board of Investment shared the Draft Framework with 'National Development & Reform Commission' NDRC in November 2020, which has been formulated keeping in consideration the needs of CPEC Phase II.
 
The signing ceremony of the framework agreement is a significant outcome of the prime minister's visit and a top agenda from the Chinese side as a testimony to their interest in CPEC.