960407

Pak-Singapore

accord to build

New Islamabad

City signed

ISLAMABAD: The Multinational Group (MG) Pakistan, the private sector partner in the development of the Islamabad's new city (NIC) on Monday signed a formal agreement with its international partners Asia Pacific Group (APG) Holding Pvt Ltd and the Asia Challenge Investment (ACI) Pvt Ltd, Singapore, to invest in and undertake development of the Islamabad's new city.

The project, to cost more than 1.6 billion dollars is the first to be funded by private and foreign investors. The NIC spreads over one lakh kanals and is divided into six sectors.

The President MG Pakistan, Tahir Khan, chairman APG Tanwah Thong, Chairman of ACI, Singapore, Tony Chan were signatories to the agreement on behalf of their companies. Chairman BoI, Safdar Abbas Zaidi was the chief guest while Chairman CDA, Zafar Iqbal, and Chairman NHA, Iqbal Ahmed were present there.

Speaking on the occasion, chairman Asia Challenge Investment, Tony Chan said, the Islamabad new city will be unlike any infrastructure project that Pakistan has seen in the past. He said in terms of size, it will be the largest land and housing development project in the history of Pakistan. He added that it is the first major public-private sector joint venture with solid international backing.

He said it will occupy one lakh kanals or 4000 hectares of which 50 percent will be set aside for residential use, 26 percent for roads and green belts, 12 percent for open space, 5 percent for commercial use and 7 percent for public utilities.

Tony said, work on the project will commence in late 1996 and Pakistanis can look forward to modern homes and gracious living by the year 2000.

President MG, Pakistan, Tahir Khan speaking on the occasion said the new city will have all facilities and amenities of the 21st Century. Electricity, water and power lines will be laid underground and health and education systems will be computerized. Five million trees will be planted to keep the environment clean, he added.

The Chairman National Housing Authority Iqbal Ahmed addressing the gathering said, due to rapid population growth and massive urbanisation, Pakistan has a backlog of about 6.75 million housing units shortage with annual increase of about 0.15 million units.

He said, Pakistan's population, which was only 84 million in 1981, has crossed 127 million in 1995 growing at a rate 3.1 percent per annum. By the year 2003, Pakistan will be almost 155.5 million out of which about 40 percent will be living in urban areas and approximately 50 percent of the population will be living in slum areas.

Speaking next, the Chairman CDA, Zafar Iqbal said the Capital Development Authority with the active participation of private sector, has decided to undertake planning, designing of the new city project through local and international consultants. A high modern approach, he said, was envisaged and a gigantic project that will cope with current as well as future requirements of Islamabad was planned.

Chairman Board of Investment Safdar Zaidi in his address spoke about the efforts of the government to attract foreign investment in the country.

He said Pakistan feels that foreign partnership in development is not only the need of the hour but is also necessary for mutual development of the participating country.

He told the audience that Pakistan signed 150 MoUs so far since the present government came to power.-PPI