The Government of Pakistan has never been more serious about streamlining the framework and incentivizing this sector.
In 2022 legislation in the form of the Foreign Investment (Promotion and Protection) Act was ratified by the upper and lower houses of parliament and went on to build investor confidence and secure their investment in the country. Other than this law being passed the Government of Pakistan has put in place incentives that benefit operators and investors, specifically in the mining sector. These include introducing a fiscal regime that attracts investment through tax breaks, duty exemptions and flexibility on ownership of mining assets.
Tangible steps that illustrate the government’s commitment include incentives already in place:
Legislation and Policy
Development
• Mining legislation is being reviewed by global legal experts engaged by the Government of Pakistan.
• Focus on putting in place a favorable legal framework that creates ‘mutual advantage’ for the investors and operators as well as the country and local communities.
• Harmonization of existing mining laws and regulations especially between the provinces and the federal government.
Creation of Special Economic Zone (SEZ) & Export Processing Zone (EPZ)
• Government has established trade zones to promote economic growth and enhance the overall competitiveness of the areas earmarked for mining.
• One of the main drivers was to create an environment conducive to foreign investment and simultaneously incentivize growth in the mining sector.
Consolidated platforms for mining data
• Creation of a National Mineral Data Center to facilitate information availability for interested players and investors.
Geological mapping
• Advanced geological surveys have and continue to be undertaken to map out potential blocks which can be awarded to interested investors.
Curriculum Development to create mining workforce
• Work is being done on developing mining-centric curriculum modules for existing higher education institutions.
• Introduction of vocational trainings and skills-courses after consultative sessions with government and non-governmental stakeholders in the mining sector.
Overview
The Government of Pakistan has never been more serious about streamlining the framework and incentivizing mining as a sector.
“Incentivizing investors is a strategic decision taken – at the highest levels of government in Pakistan”- Dr. Malik
- Legislation and policy development in light of creating “mutual advantage” for the investors and operators as well as provinces and the federal government.
- Creation of a National Mineral Data Center to facilitate information availability for interested players and investors.
- Curriculum development on mining-centric modules in higher education as well as introduction of vocational training and skills-courses.
- Advanced geological surveys have and continue to be undertaken to map out potential blocks which can be awarded to interested investors.
- Creation of Special Economic Zone (SEZ) and Export Processing Zone (EPZ
Infrastructure Development
The Special Investment Facilitation Council (SIFC)
The Land Of Promise
Pakistan is poised to become a global mining powerhouse, with its rich and diverse mineral reserves offering immense potential for growth and investment.
