http://www.dubaiinteract.com/Media_Section...bd-faa61aa00b08



UAE investments in Pakistan touch 9 billion dollars

The United Arab Emirates has invested more than 9.5 billion US dollars in Pakistan during the last four years and its investment will reach 15 billion by 2007, according to UAE envoy in Pakistan.

Pakistan's "the News" daily quoted Ali Mohammed Al Shamsi, UAE Ambassador in Islamabad as saying that Major UAE investment in Pakistan has been made in real estate including housing projects, construction of shopping malls and telecommunications.

"The UAE has taken a deliberate decision to make investment in Pakistan in a big way in the backdrop of the longstanding brotherly ties between the two countries. Presently, Pakistan is the biggest destination for UAE foreign investment," he said.

Al-Shamsi said the most sophisticated two German power plants that were installed in Abu Dhabi would be moved to Karachi soon. UAE government has provided Pakistan with the 300 - Megawatt capacity plants as a gesture of goodwill and brotherly sentiments. He also mentioned setting up of the Lahore Sports City.

Al Shamsi said the UAE understands that investment in Pakistan is secure and the country has no problem with regard to the stability and security.

"My country has resolute faith in the vision of Pakistan's leadership that is determined to proceed ahead on the path of progress and prosperity," he added.

"The UAE has taken a deliberate decision to make investment in Pakistan in a big way in the backdrop of the longstanding brotherly ties between the two countries. Presently, Pakistan is the biggest destination for UAE foreign investment," he said.

"UAE government has provided Pakistan with the 300 - Megawatt capacity plants as a gesture of goodwill and brotherly sentiments."

bad arabs, very bad arabs!

thats a lot of money!

so the Arabs are finally looking East to invest their money. Good for them and good for us.

step in the right direction but thats not that much, i read in the papers the other day that GCC countrys will invest $400-$500 billion over the next 4 years mainly in europe and US, money made thanks to soaring oil prices.

i just wish the bulk of that money went to china they would have been alot better off

The report that your talking about mentioned $360bn that Arabs made this year, due to soaring oil prices. But, the report never mentioned that the arabs would invest that money in the US & Europe. The report said the arabs were thinking about where to invest that money.

and btw.. $9 billion is A LOT of money !

and also they are gona invest 500 millions $ in lahore sports city wich will creat more jobs and also better players for the future in all kind of sports

i think pakistan and countries like bangladesh, malaysia, indonesia, and other developing muslim countries will see a lot of that money. naturally, most of it will go in safe investments in europe and the US. but the arabs have started to link economics with politics. so for them putting money into countries that are killing muslims has become a matter of ego. go figure. took them 20 years to finally get the message. pakistan stands to gain from this situation. expect much more arab investment in pakistan in the coming years.

arabs have lkearned economics now. and moreover the insulting treatment of arabs in yankyland and the constant threats of confesticating money has also motivated them to seek other destinations. europe is one, but china, japan and other countries like india, pakistan etc. are also in focus.

Arabs have employed top-notch investment analysts to do the job for them. So these companies are doing the investment for them. Dont tell me they are foolish. The Arabs should be welcomed like any other investor. Pakistan needs investment.

In the context of investment its alot.

Not when your pumping 11bpd of crude, its nothing for a country of GDP if 100s of billions

9 billion dollars is over 500 billion rupees which IS a lot of money and also money follows money as well, so investment will attract more investment.

The Arabs have realised their investments are not 100% safe in the West after 9-11 so they want to take their money East (some of it anyway).

Hope they get desired return too because if the will get it, they will invest more. besides what else arabs have except money

surprisingly all arab bashers are silent, dead silent!

Finally, we are getting help from our brothers in the Middle East. Let's hope that this trend continues and let's hope that even more money is invested into our economy.

why is it that the outlook of most of the people here is based purely on material basis, if they get money from xyz xyz is a brother, if they dont xyz is evil? Khair there is alot more to uae and paksitans ties than money, but for our part we must ensure we safeguard what we have been entrusted with, THAT is our responsibility first of all.

Okay. Its UAE and everyone have started saying the Arabs have realized and that the Arab money is flowing. Besides UAE, only Saudis have a little bit investment which have come mostly in the last 4 years. So no need to generalize for all Arabs.

Pakistan and UAE have a distinct relation. Many might not know but Sheikh Zayed bin Nahyan who died a while ago had a Pakistani wife and he has two sons from her who are now their ministers. So there is a deep rooted Pakistani link. Plus Pakistan is the second home of the UAE's royal family. They have palaces in several locations in Pakistan the famous one being on the Raiwind Road near Lahore and they are regular visitors.

But economically, the money naturally flows towards potential growth. And Pakistan's growth no doubt has been more than impressive. So I personally think this is just the beginning or the tip of the investment iceberg.

well said. no-one is doing us any favours, they make money we make money.

if it were that simple, then why has not france, germany or others invested 9 billion in pakistan? Mutual relations play a large role in investment decisions. Arabs have those relations with us, so they are doing it. France or germany are far behind so they aint.

UAE investors launch Islamic bank in Pakistan

DUBAI, Sept 8 (Reuters) - A UAE investment fund said on Thursday it would launch Emirates Global Islamic Bank (EGIB), a $35 million institution based in Pakistan.

A spokesman for Emirates Investment Group (EIG) said it would provide half the bank's $35 million capital, with the other half raised through a stock market listing or private placement, probably in the United Arab Emirates.

"We feel that there is an untapped demand for a new Islamic bank offering in Pakistan," said EIG chairman Sheikh Tariq Bin Fasel Al Qassimi.

He said the new bank would offer retail, commercial and investment banking services from a base in Karachi.

Pervez Said, director of the Islamic banking department at the State Bank of Pakistan, told Reuters in Karachi on Wednesday it had approved EGIB's application "in principle", along with applications from five other Islamic banks.

Islamic banking is gaining popularity among those in Muslim-majority Pakistan who consider conventional interest-based banking to be against Islamic tenets.

Islamic law forbids interest-bearing investments and investments in companies whose main business involves pork, gambling or alcohol.

Pakistani officials said total assets of Islamic banking institutions grew 244 percent in 2004 to 44 billion Pakistani rupees ($736.6 million), while deposits grew 263 percent to 30.5 billion rupees.

Investors from the UAE, which is home to a large Pakistani expatriate population and has strong trade and political ties with Pakistan, are targeting investments there.

Dubai Bank, a subsidiary of Emaar Properties , said on Wednesday it plans to buy an 18.75 percent stake in BankIslami Pakistan Ltd.

http://asia.news.yahoo.com/050908/3/26z3v.html

Dubai Bank to buy stake in Pakistan's BankIslami

KARACHI, Sept 7 (Reuters) - Dubai Bank, a subsidiary of Emaar Properties of the United Arab Emirates, plans to buy an 18.75 percent stake in BankIslami Pakistan Ltd, a spokeswoman for the Pakistani bank said.

BankIslami was granted a licence to operate as a fully fledged Islamic bank in March this year, and plans to open seven branches this year. It has authorised capital of 2.1 billion rupees ($35 million).

Other shareholders in BankIslami are Jahangir Siddiqui and Co. Ltd. of Pakistan and the U.K.-based DCD group. They each hold 18.75 percent, with the remainder in the hands of private investors.

"Dubai Bank has decided to buy the equity stake to the tune of 375 million rupees ($6.28 million), or 18.75 percent," said Sheba Matin Khan, a spokeswoman for the BankIslami.

After raising $3.9 billion through a rights issue on Tuesday, Emaar Properties, the leading property company in the United Arab Emirates, said it planned to expand in the Arab world and South Asia.

Meezan Bank and Al-Baraka Bank are the two Islamic banks operating in Pakistan.

Pervez Said, director of the Islamic Banking Department at the State Bank of Pakistan, said some six Islamic banks would be operating in the country by mid-2006.

"We have already given a fourth Islamic banking licence to the Dubai Islamic Bank, while the applications of Emirates Global International Ltd and First Dawood Islamic Bank have been approved in principle," he told Reuters.

He said nine conventional banks were currently operating around 47 Islamic banking branches in Pakistan, and that three more banks would start such branches by next year.

Islamic banking is gaining popularity among those in Muslim-majority Pakistan who consider conventional interest-based banking to be against Islamic tenets.

According to officials, the total assets of Islamic banking institutions grew by 244 percent in 2004 to 44 billion rupees, while deposits registered growth of 263 percent to 30.5 billion rupees. :)

Islamic law forbids fixed-interest returns on investments, and account holders at Islamic banks get profits from approved investments only.

http://asia.news.yahoo.com/050907/3/26wyq.html