ISLAMABAD: Prime Minister Shehbaz Sharif on Friday inaugurated a Special Economic Zone (SEZ) to be set up by a Chinese textile group, with a $100 million investment over five years, projected to yield $400 million in exports.

The SEZ will be established by the Chinese garments group “Challenge Fashion Private Limited” that has already invested $17 million in Pakistan since 2014.

PM Shehbaz, who met with the company’s delegation led by Chairman Huwang Weiguo before the groundbreaking, welcomed the establishment of the SEZ that would facilitate technology transfer, skill development, and sustainable industrial growth. 

The premier directed to provide all possible facilities to Challenge Group for the zone, reiterating that his government was committed to promoting the industrial component of the China-Pakistan Economic Corridor and benefiting from China’s progress and expertise in the textile sector.

Highlighting the time-tested Pakistan-China friendship, Prime Minister Shehbaz said that his government desired to take the bilateral ties to new heights as the economic relations between the two countries were a source of great satisfaction.

He said that Pakistan desired the Chinese industries to establish their units in Pakistan and also appreciated the confidence of Challenge Fashion Group in the Pakistani market.

The prime minister told the delegation that a China-Pakistan Business-to-Business Conference would soon be held in China, providing an opportunity for collaboration between private businesses of both countries.

The chairman of Challenge Fashion Group, thanking the prime minister for the excellent hospitality in Pakistan, said that his company was establishing a modern textile industry in Pakistan. He said the company would invest $100 million in this Special Economic Zone over the next five years and expected to generate $400 million in exports.

The meeting was attended by federal ministers Ahsan Iqbal, Jam Kamal, Attaullah Tarar, Ali Pervez Malik, and Sardar Awais Ahmad Leghari, Special Assistant to the Prime Minister Tariq Fatemi, and relevant senior government officials.