Raza Khan

Pakistani investors should take advantage of the incentives offered by the Qatari government to foreign investors, said speakers at a webinar. The event titled ‘Doing Business in Qatar’ was organised by the Ministry of Commerce to educate Pakistani investors about business opportunities in the oil-rich Gulf state.

Muhammad Aejaz, Pakistani Ambassador to Qatar, said that Qatar is opening up for foreign investment, which provides huge opportunities for Pakistani investors. “Qatar is one of the richest countries in the world with highly developed business infrastructure,” the ambassador said, adding that the corporate competition in the country is low compared to its neighbouring states.

He informed that Qatar has allocated $200 billion to offer incentives in a bid to attract foreign investment under its ‘Vision 2030’ program. Aejaz said Pakistan has a huge trade deficit with Qatar. “We are importing the bulk of natural gas from Qatar. Our exports are not too many,” he added. He said that repatriating profits through investment and business and workers remittances are the viable options to get maximum advantage from Qatar’s developed economy.

The ambassador said that Pakistani investors can also export labour from Pakistan after establishing their businesses in Qatar, which would provide multiple advantages to the country. Aejaz said there are lots of opportunities for Pakistani manpower in Qatar in various sectors including construction, education, transportation, aviation, healthcare and services.

The ambassador said 250,000 Pakistanis are already working in Qatar in various fields. “Due to further opening up of Qatar and expanding economy, the demand of manpower is increasing,” he added. Abdul Karim Memon, Director General for Marketing at Trade Development Authority of Pakistan (TDAP), said at the webinar that Qatar also offers huge tax relaxation for foreign investors.

“Corporate taxation in Qatar is below 10%, while there is no income tax on foreign workers’ wages,” Memon said, adding that a foreign company in Qatar can also move all of its profit to home country.

He said that Pakistani investors, who are interested in investing in the kingdom, can apply through the Ministry of Commerce and Industry Qatar, Qatar Free Zone and Qatar Finance Centre. He said that Pakistani investors can invest in manufacturing, engineering, food, hospitality, transportation, services and IT sectors.  

Memon said that since it is difficult to reduce Pakistan’s trade deficit with Qatar in goods’ trade, focus should also be made on investment and workers’ remittances. According to a report of Pakistan Business Council (PBC), the overall bilateral trade potential between Pakistan and Qatar is around $5 billion. “Pakistan has the potential to expand its export to Qatar in a number of products, including textile, pharmaceutical products, medical devices, sports goods (particularly footballs), agricultural products, and technology services,” the report said.

According to Pakistan Bureau of Statistics (PBS), the volume of bilateral trade between the two countries was $2.874 billion during the first nine months (July-March) of the current fiscal year (2022-23). Pakistan recorded a deficit of $2.624 billion in its trade with Qatar during July-March FY23.

Credit: Independent News Pakistan-WealthPk