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Last update: December 2011

Competitive Advantages


Business Environment

  • Located in the heart of Asia, Pakistan is the gateway to the energy rich Central Asian States, the financially liquid Gulf States and the economically advanced Far Eastern tigers. This strategic advantage alone makes Pakistan a marketplace teeming with possibilities. 

  • Well-established infrastructure and legal systems are deep-rooted foundation to lure investment. It includes comprehensive road, rail, sea links; good quality telecommunications and IT services; modern company laws and long-standing corporate culture.

  • A composite scheme of National Industrial Zones engulfing industrial estates, Free Industrial Zones, Free Trade Zones and Export-Oriented Units (EOU) and Estates for small and medium industries within areas of its boundary has been launched to promote exports. In addition, establishment of export-oriented units will be allowed to be set up all over the country.

  • Foreign investors are allowed participation in industrial projects, on the basis of 100% foreign equity, without any permission from the Government.

  • The policy regime has been liberalized by opening up other economic sectors to FDI and by mobilizing domestic financial resources to encourage investment.

  • Real GDP growth is estimated to grow at 2.4%, due to considerable growth in the services sector of the economy. 

  • Small and Medium size enterprises in the manufracturing sector have seen an expansion of 3% in 2010-2011 due to high demand in the domestic and international markets. 

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Economic Outlook

  • Pakistan is one of the fastest growing economies of the world having touched a GDP growth rate of 4.8% in 2010.

  • Today Pakistan has over 174 million consumers with an ever-growing middle class.

  • Foreign investment has risen sharply from an average of $400 million in the 1990s to $2 billion in 2010.

  • Foreign exchange reserves in 2010-2011 were at $18.25 billion, an increase from the following year.

  • Large and growing domestic market includes 174 million consumers with growing incomes and a growing middle-class moving to sophisticated consumption habits.

  • Abundant land and natural resources exists in Pakistan including extensive agricultural land, crop production; wheat, cotton, rice, fruit and vegetables; mineral reserves; coal, crude oil, natural gas, copper, iron ore, gypsum; and fisheries and livestock production.

  • Tourism has been declared an industry and as such holds great promise for prospective investors interested in exploring the true potential of a land as rich and diverse in its culture as it is in its geographical distribution.

  • From snow-capped mountains in the north, with vast fertile plains of the Punjab, rugged land of the south, deserts and a long seacoast, Pakistan has all the hall marks to become a major tourist attraction.

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Investment policies, laws and regulations

  • Modernizing of capital markets and the development of new infrastructure. Improvements to the regulatory environment will allow for a much more improved system.

  • Liberal foreign exchange regime with few restrictions on holding foreign exchange.

  • Abundant land and natural resources

  • Zero import duties on capital goods, plant and machinery and equipment not manufactured locally.

  • A Labour force which provides a suitable foundation for business growth, due to Pakistanís young, dynamic and skilled workforce with bi-lingual skills.

  • Comprehensive logistical network with road, rail and sea links to transport your goods to domestic and international markets

  • Strategic location as a regional hub for southern Asia and the Middle East.

  • Regulatory reforms have led to the establishment of a legal framework for licensing and regulating private housing lenders.




President of Pakistan's website 
Pakistan Board of Investment
Economic Adviser's Wing, Finance Divsion


Last update: December 2011

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