ISLAMABAD: Russia has signed a new trade deal with Pakistan, pledging toinvest heavily in the country’s industrial sector.
According to government officials, Russia would provide financialassistance worth $1 billion for the rehabilitation of Pakistan Steel Mills(PSM).
Moreover, Moscow would also invest a hefty amount to enhance the volume ofbilateral trade between the two countries.
“Russia’s Sukhoi Superjet 100 (SSJ-100) planes will be supplied on both wetand dry lease with an option to purchase,” Pakistani officials revealed.“The narrow-bodied aircraft with a dual-class cabin is capable oftransporting 100 passengers over regional routes.”
They said that the agreement was made by a 64-member delegation, led byRussian Industry and Trade Minister Denis Manturov.
Islamabad, which purchased MI-35 helicopters in 2018, is interested inother Russian hardware as well. The two nations aim to increase bilateraltrade which last year stood at $700 million. Pakistan’s exports to Russiareached $150 million while imports from Russia were recorded at $250million.
Last week, Pakistan and Russia signed an agreement on the settlement ofmutual financial claims pending for a long time. Pakistan repaid a $93.5million debt to Russia.
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“We have resolved all the problems … Russia will come to Pakistan stronglynow,” said an official.
The two sides also discussed investments in the much-delayed North-Southgas pipeline. Russian companies are expected to build a gas pipeline fromKarachi in the south to Lahore in the north-east in order to transportimported natural gas and to meet the region’s energy demands.
Earlier this year, Russia promised a $14 billion investment in Pakistan’senergy sector, including $2.5 billion for the North-South pipeline project.
A Russian company has developed a project to convert the Muzaffargarhthermal power station to coal and establish a 600-megawatt coal-fired powerplant at Jamshoro. Moscow would also help Pakistan construct a railwaytrack from Quetta to Taftan, Pakistan Today has reported.
BY: Mian Ibrar
