‘Outdone themselves’: KP fails to materialise MOUs worth $8 billion

PESHAWAR: The Khyber Pakhtunkhwa Board of Investment and Trade (KP-BoIT), along with provincial departments, has been unable to practically follow up on 49 Memorandums of Understanding (MOUs) formalised with both foreign and domestic investors 18 months ago during the Dubai Expo, resulting in the province missing out on an $8 billion investment opportunity.

According to government documents, these MOUs were signed on January 16, 2022 during the Khyber Pakhtunkhwa Investment Conference at the Dubai Expo, engaging both foreign and domestic firms and organisations to foster investments in infrastructure, energy, special economic zones, economic zones, and tourism in the province. To oversee the implementation of these MOUs, a committee comprising the Additional Chief Secretary P&D and the Chief Executive Officer (CEO) of KP-BoIT was established.

“KP Board of Investment have outdone themselves; MoUs worth $8b investment signed at Dubai Expo, including several in the tourism sector,” said then KP finance minister Taimur Khan Jhagra while announcing the development on twitter. He further said that “the onus is now on us to further improve the investment climate ecosystem, a commitment we will not shy away from.” 

Insiders say the provincial institutions have shown a disinterest in bringing the investment promises to fruition and the committee, led by the Additional Chief Secretary has been restricted to a handful of meetings thus far.

Officials from the KP-BoIT disclosed to Hum News English that despite their repeated efforts, involving numerous letters to the heads of provincial departments and institutions urging actions to facilitate the realisation of the MOUs from the Dubai Expo, the provincial departments continue to demonstrate disinterest. This ongoing neglect has prevented any investment from materialising in the province. 

These officials further indicated that the prevailing political instability in the country is another significant deterrent keeping investors at bay.

Documentation reveals that amongst the firms and corporations that entered into MOUs were the Kuwait Investment Agency, InfraKo Asia, Virtual Smart Company, Samson Group of Companies, Korea Hydro Company, Emirates Gate Investment Group, and Royal UAE Investment Group, in addition to 42 other companies and firms. 

Meanwhile, a delegation of 164 individuals from Khyber Pakhtunkhwa, including provincial ministers, MPs, government officials, and artists, attended the Dubai Expo costing the exchequer around 170 million rupees.