Enterprise

Hospitality
Beauty
Sterling Khyber - Pakhtunkhwa
• The elegant people of the Khyber-Pakhtunkhwa province of Pakistan have kept their
sterling qualities of reliability, loyalty, love of beauty, sturdiness, and hard work over the
centuries.
• The people of Khyber Pakhtunkhwa have the pride of long-held custody and stewardship
of many beautiful gifts of nature and tradition.
• Khyber Pakhtunkhwa has cultivated and proudly maintained their strong traditions of
hospitality, commerce and enterprise in spite of the vagaries of time.
• In Khyber-Pakhtunkhwa, guests are welcomed as for-ever partners and friends, and are
offered a place close to the heart. People of Khyber-Pakhtunkhwa demonstrate life-long
commitment to friends.
Trade Crossroad
N 35 China Central Asia
Khyber Pakhtunkhwa … sits right
at the First Major Crossing on CPEC E 35
CPEC
Main Route Geographical
Area Central Asia
Advantage
74,521 sq km Afghanistan
M1 Cultural Advantage
Peshawar
Population Islamabad -
N5 Enterprise
25 million + Rawalpindi
M2 Hospitality
GDP Contribution Beauty
Punjab
30 US$ bn N 55
Karachi Commercial
CPEC Port Qasim Advantage
Western
Iran
Gwadar
Gwadar
Gulf
Economic Heartlands
Malakand N 35
Pop. Abbottabad
Hydel Energy Lower Dir
4.3 m Pop. Mansehra
Swat E 35 CPEC
Rivers 3.2 m Haripur
Main Route
Nowsheha Ayub,
Natural Gas Charsadda Pop. COMSATS
Education Hub
Petroleum Peshawar 8.9 m M1 University Hub
UoP. NUST, Swabi
GIKI, NUST, Bahria, Air,
Khyber, UET N5 UET, COMSATS, QAU
Gems University Hub M 2 Islamabad - Rawalpindi
Hangu
Minerals
Pop. Engineering Hub Tourism &
Kohat N 55 Taxila - Hattar - Kamra
Karak 2.2 m CPEC
Western Hospitality

Dera Ismail Khan

Transport Livestock
Lakki Marwat Cash Crops & Fruits &
Pop.
Bannu
3.8 m Cereals Vegetables
Key Economic Resources
Hydropower LPG Forests Marble, Dimension Limestone
Potential: 30,000 Stone Est. 8 tr tons
MW
25% 60% Est. 3 billion tons
of Pakistan Total Output of Pakistan Total Cover
10
Oil Natural Gas Mineral & Mining 78% Deposits
Mineral & Mining of Pakistan Total Output
Est. 500 m barells Est. 9 tr cft 20%
20Total
% Output Gemstones Other Minerals
50% 15% of Pakistan
of Pakistan Total Output Barite, Dolomite,
of Pakistan Total Output of Pakistan Total Output Emeralds, Ruby
Quartz, Epidote, Fluorite, Soap
Stone, Salt,
Pink Topaz, Silica, China Clay,
O&G - Impetus & Low Risk Opportunity; High Market RoR Conundrum, Chromite,
Peridot, and Serpentine,
High Drilling Success Rate. 1 : 2.8 (global 1:10)
many others. Hematite, others
10 E&P companies active (MOL, KUFPEC, Tullow)
New Geological Frontier (Unexplored Terrain)
KP Economic Zones
Chitral
50 Acres

Economic Zones and Special Economic Malakand Tax

Zones located in ideal alignment with; Free Zone
Swat Batagram
• CPEC & communication lines 40 Acres 100 Acres

• Economic Heartlands
225 MW
University Power Plant
Hub Mansehra Education Hub
• Natural Resources
dedicated Rashakai Buner
200 Acres 108 Acres
1000 Acres
Risalpur Ghazi Tarbela EZ
92 Acres 89 Acres
Peshawar
864 Acres Nowshehra Hattar SEZ 225 MW
100 Acres 424 Acres
Kohat Jalozai Power Plant
100 Acres 257 Acres Hattar Ext dedicated
Gadoon 1000 Acres
200 Acres
Karak Hattar
1000 Acres Jehangira 1450 Acres
100 Acres
Bannu 225 MW
400 Acres Engineering Hub Gas for power
Gas for power Power Plant
dedicated Taxila - Hattar - Kamra Allocation
available
75 MMSCFD 100 MMSCFD
University Hub for KPEZDMC
for Fertiliser /
Petrochemicals
D.I KHAN
189 Acres Gomal EZ
Connectivity
K-P means Business
Industrial Policy 2016
1. Establishment of Peace: Zarb-e-Azab; FATA under control Minerals Policy 2014
2. Focus of Economic Development: Important Policies; Tourism Policy 2014
KP-BOIT est. 2015; KP-EZDMC) est. 2015. Hydropower Policy 2016
Small Scale Gems & Mining
3. Aggressive Expansion of Banks: Expansion of service / products Policy 2014
and network.
Police Ordinance 2016
4. Commitment to Transparency & Good Governance Right to Public Services Act 2014
Appropriate Legislation; Empowerment of Local Government Right to Information Act 2013
Whistleblower protection &
5. Low Crime Rate: Amongst the lowest in the Country (2015). Vigilance Commission Act 2016
Acts of Terror: Fallen to negligible (2016). Very low Default Rate
Ehtesab Commission Act 2014
Local Government Act 2013
Possible Challenges
• Geopolitical and Security Risks
• The Restraints of Natural and Geographical Factors
• Restraints to economic growth prospects
Opportunities

• The world Economy is recovering and the External Environment

is favorable
• The CPEC is closely associated with the Implementation of the Belt
and Road Initiative
• The Macro Economy in Pakistan has been much improved
Reclaiming Prosperity
1. Remittances Home by K-P Diaspora
Approx. US$ 3 - 5 billion* (2015) sent home by Non-Resident Pakistani to K-P (Total for Pakistan: US$ 18 bn)
Additional funds sent home by K-P people working in other parts of Pakistan
2. CPEC Infrastructure Projects in K-P
Currently, projects worth up to US$ 3.5 bn (+ Corridor Interconnection projects) planned for K-P
(Total for Pakistan: US$ 60 bn)

3. K-P Share of Hydel Profits

Annually, K-P has started receiving approx. PKR 42 bn
4. Reinvestment in People & Challenging Corruption
Education, Skill Development and Vocational Training; Fiscal Discipline; Funds with Local
Governments; Firm action on putting in place clean government.
• Estimate for 2014-15 by K-P Planning & Development Department
For Focused Industrial Growth …

Strategic
Clustering Modern,
World Class
Secure,
Eco-friendly World Class Industrial
Key Infrastructure
Environment Success
&
Factors Economic
Customer Zones
Availability
Friendly
of all
Transparent
Amenities
Process
K-P Economic Zones
Economic Zones - GoK-P Incentives* Special Economic Zones – GoP Incentives
• In accordance with K-P Industrial Policy 2016 Notified vide K-P Government
Notification AEA (Ind) 13-42 / 2016.
1. One Time Exemption from Custom Duties
and taxes on all Capital Goods imported
1. Discount on Interest Rates on Financing for into
New & Expansion Projects: 5%
Pakistan
2. Discount on Land in New Industrial Estates:
25% 2. Exemption from all taxes on income for
Enterprises commencing operation in SEZ:
3. Refund of Electricity Bill (for up to three years
maximum on special and unique units): 25% 10 years
4. Discount on Transportation Cost from 3. All New Economic Zones developed by
Karachi Port for New Imported Machinery: KPEZDMC will qualify for SEZ status *
25%
• Converting all its new Economic Zones to SEZ status is the objective of
5. Income Tax Break (Fed Budget 2015-16): 5 KPEZDMC.
years
6. Waiver on Land Transfer Fee in Economic Malakand Tax Free Zone
Zones
Economic Zones
Access to all AMENITIES
Captive Power Generation Park-Like Efficient Road Network
Environment

Water Supply Centralized Commercial Areas

Natural Gas Supply Vocational Training Centers

Support Services

Sewerage and
Controlled Access
Effluent Treatment
Fire Emergency
Security Fighting Medicare
Telecom and IT Solid Waste
Infrastructure Management
Taking full benefit …
Early Opportunities for Investment & Growth
Construction Materials
Sand, Aggregate, Reinforcement Steel, Cement,
Marble, Tiles, Concrete, etc.
Large Volume Extraction on the back of CPEC
projects and for later.
Mining & Quarrying Licenses; Accelerate
Issuance
Tourism
Buddhist Tourism, Adventure & Nature Tourism.
Travel & Tours, Hotels, leisure Parks.
Services & Retail
Trucking & Haulage, Road Passenger Handling,
Vehicle Servicing & Spare Parts, Fuel Storage &
Pumping, Chain Restaurants, Chain Motels,
Unarmed Guide & Security, Interpreter &
Translation, Hospitals & Clinics, Retail Outlets,
Gems & Jewellery
Gem processing, Lapidaries, Jewellery Design,
Jewellery Manufacture, etc.
Taking full benefit …

Early Opportunities for Investment & Growth

IT & IT Services Industries & Manufacturing

Software Development, App Development Promote light manufacturing, garments,
Accelerate on the back of; (i) CPEC LD Internet pharmaceuticals, chemicals, etc. initially.
Fibre Optic Cable through Hazara, (ii) Education Provide robust incentives through Industrial
& University Hubs Clusters and parks.

Food, Dairy and Agriculture

Fruit & Vegetable Processing, Milk, Poultry &
Meat, Confectionary
Grow, initially on the back of CPEC visitors.
Industries to be Attracted
Industries that are seeking;
Import Substitution in the Pakistan Market
Based on partially imported goods or on entirely local manufacture basis
Leverage large Pool of Economical Labour in K-P
In particular, for labor-intensive operations
Be Closer to Markets; Make a Launchpad for Export
Punjab (north central & western), Afghanistan, Central Asia, and Western China
Be Close to Sources of Minerals and Raw Materials
Easy access to raw material sources incl. Punjab, Kashmir, G-B, Afghanistan
Shortlist of Sectors for Road Show (1)
K-P Roadshow Team may try to attract these sectors in first-round engagement:
1. Construction / Building Materials / Marble-based products Glass, Tiles, Steel Rebar / Structure, Bricks, Cladding, Paint RMs,
Marble, etc.

2. Consumer Goods, Household Items Toys, Gifts, Utensils, Household goods, Appliances, Furniture, Plastic Goods, etc.

3. Light Engineering / Manufacture Household Durables, Automotive Parts, Light Machinery, Assemblies, Sports Arms

4. Mineral Processing & Value Addition / Chemicals Manufacture of materials employing local mineral resources

5. Software Development & Related Services

6. Electronics , Communication, Electrical Assembly / Manufacture of sub-assemblies and components; phones, computers,
etc.
Shortlist of Sectors for Road Show (2)
K-P Roadshow Team may try to attract these sectors in first-round engagement:
7. Personal Valuables, Branded fashion Items & Jewellery
Employing Local Strength in Gems & Precious Stones, Watches, etc, Light Manufacture

8. Garment & Apparel

Employing Pakistan’s GSP+ status; Children garments, household textiles, leather apparel

9. Food & Food Processing & Agri-based Products

Fruit, Vegetables processing, packaging . Value addition on sugar, tobacco, etc.

10. Automobile & Machinery

Automobile assembly, component & parts, Light Machinery, Farm Implements, Industrial Machinery,
Transportation Support Items, Mining Machinery
Shortlist of Sectors for Road Show (2)
K-P Roadshow Team may also open engagement on the following sectors:
1. Petrochemicals, Chemicals, Intermediate Raw Materials
Employing K-P’s strength in oil & gas; position on CPEC Route

2. Steel & Metal Products

Sheet Steel, Structural Steel, Downstream Aluminum products, etc.
Investment Hospitality
K-P Department of K-P Board of K-P Economic K-P Small Industrial K-P Technical
Industries, Investment & Trade Zones Development Education and
Commerce & (KP-BOIT) Development & Board Vocational Training
Technical Education Management (KP-SIDB) Authority
(ICTE) Company (KP- TEVTA)
(KP-EZDMC)

Overall promotion Promotion of trade Planning, Supporting and Competency Based

of industrial and investment Establishing and assisting Training (CBT)
development, trade activities. Support Organising development of through
& investment in K-P and Hand-hold Economic Zones. cottage and small Polytechnics
Investors Continued Support industries Vocational Training
to Investors Institutions.
KP: Institutional Framework for CPEC
CPEC Oversight
Committee
Chairman: Chief Minister K-P
• Propose Route for Inclusion for Economic
Growth
• Propose Sites for Industrial Hubs
• Propose Sites for Power Projects
(Hydro, Solar, Thermal)
• Propose Sites for Mass Transit
• Continuous Monitoring & Identify Gaps to
be addressed in CPEC projects / schemes
• Taking Disputes to CCII and other
appropriate forums
Executive Advisory CPEC Cell
Committee
Members from Business Established inside Planning &
Community & KPEZDMC Development Department
• Assist CM & Government Functionaries in • Act as Secretariat and Focal Point for CPEC
all matters (Policy, Technical, Legal, Interventions.
Financial, Governance, Political, • Attend Formal CPEC Meetings at Planning
Educational, Social, Engineering) Commission & Federal Ministries
• Conduct Research: Equitable Distribution • Liaise with Federal Government for
of Resources, Transformational Updates & Information
Development.
• Act as Official Cell for Correspondence
• Explore & identify Potential Projects,
with Federal Government
Interventions, Training Opportunities, &
• Process all Trainings / Visits (Local &
Social Development Initiatives.
abroad) pertaining to CPEC
• Assist with Media & Messaging Strategy:
For Public Buy-In and Support for CPEC.
• Harmonise & ‘nationalise’ provincial
priorities with Federal Policies.
 Khyber Pakhtunkhwa

Enterprise Hospitality Beauty