Essar keen to invest in Pakistan

ISLAMABAD: India's diversified business conglomerate Essar on Tuesday expressed its keenness to invest in Pakistan's economy, especially in the energy, steel and shipping sectors.

The offer was made to Essar Group chairman Sashi Ruia during a meeting here with Pakistan Prime Minister Yousuf Raza Gilani, who said his country "is open to business and foreign direct investment (FDI)".

Gilani said almost all sectors of Pakistan's economy allow FDI, which is fully protected under the country's laws, and "there is no discrimination between foreign and local investment as no government sanction is required in either case".

Ruia, who led an Essar delegation which included vice chairman Ravi Ruia, told Gilani that his group has made investments across the world and "would be keen to invest in energy, steel and shipping sectors," said a statement issued by the Prime Minister's office.

Pakistan People's Party co-chairman Asif Ali Zardari, whose party heads the ruling coalition, has been pushing for greater business ties with India to drive economic growth within his own country. He recently offered to set up economic zones along the border with India and to source gas and fuel supplies for India from "friendly Muslim nations".

During his discussions with the Essar delegation, Gilani said that "since Pakistan is deficient in electricity, it would welcome investment in power generation, especially in developing the Thar coal reserves".

Zardari, during a recent interview with PTI, had suggested that India and Pakistan could collaborate to exploit the Thar coal reserves in Sindh province for generating power that could be supplied to both countries.