Pakistan and Dubai have inked a more than $3 billion investment pact in diverse fields including cooperation in railways, economic zones, and infrastructure development.
The agreement was signed on the sidelines of the World Economic Forum in Davos by Minister of Communication, Railways, and Maritime Affairs Shahid Ashraf Tarar and Dubai’s Chairman of Ports, Customs and Free Zone Corporation (PCFC) Sultan Ahmed bin Sulayem.
The cooperation covered the development of a dedicated freight corridor, multi-modal logistics park, and freight terminals, the Ministry of Railways said in an official statement.
The Dubai Port (DP) World will work on infrastructure development at Qasim International Container Terminal which is Pakistan’s leading trade gateway and plans to develop an economic zone near the terminal.
Both governments have signed two inter-governmental framework agreements to strengthen their relations in the marine and logistics sectors, including the potential establishment of a “Dedicated Freight Corridor” and “Economic Zone” near Karachi.
The DP World will act on behalf of the Dubai government, while Pakistan Railways and Port Qasim Authority will act on behalf of the Pakistani government, for the development of the projects.
The rail-based Dedicated Freight Corridor is planned to run from Karachi Port on the Arabian Sea, passing through Pakistan’s most populous city, to the Pipri Marshalling Yard, approximately 50 km away.