Role of Diaspora in Economic Corridors Development (ECD) in Pakistan 22 December 2016 Place Date here

Pakistan Economic Corridor Program Investments in Transport Infrastructure in Punjab, KPK and Balochistan –are part of CPEC or CAREC Corridors Studies on Economic Corridors Development along these and other Corridors Supporting PPPs in Punjab and Sindh

E-35 N50 N70 M-4 Legend Gwadar Karachi Kalat Multan Quetta Khuzdar ! H Badin Gwadar Thatta Karachi Tharparkar Tando Muhammad Khan Dadu Sibi Uthal Kohlu Kalat Multan Vehari Kachhi Chagai Washuk Quetta Nushki Kharan Turbat Barkhan Lodhran Matiari Sanghar Umerkot Mastung Panjgar Khuzdar Khanewal Rajanpur Kashmore Jamshoro Jacobabad Shikarpur Hyderabad Pakpattan Bahawalpur Dera Bugti Mirpur Khas Muzaffargarh Bahawalnagar Rahim Yar Khan D.G. Khan Naushahro Feroze Dir Swat Tank Wana Zhob Hangu Bannu Karak Swabi Okara Kasur Jhang Bajaur Attock Mardan Layyah Jhelum Gujrat Lahore Ziarat Chitral Bhakkar Shangla Narowal Sailkot Khushab Chiniot Sahiwal Loralai Malakand Peshawar Nowshera Mianwali Sargodha Sheerani Charsadda Hafizabad Musa Khel Abbottabad Islamabad Rawalpindi Gujranwala Faisalabad Lakki Marwat Nankana Sahib Qila Abdullah Qila Saifullah Mindi Bahauddin D.I.Khan Qambar Shahdadkot Dera Murad Jamali Shaheed Benazirabad Bagh Neelum Mirpur Ghizer Diamir Astore Hattian Ghanche Kohistan Muzaffarabad Bhimber Gojra Nag Hoshab Chaman Taftan Chakothi Kalam Besima Rato Dero Darya Awaran Surab Battagram Raikot Pishin Khairpur Mashkai Wadh Sakrdu N5 N110 S3 S1 N 1 5 N305 N125 N120 N95 N85 N55 N65 N45 N40 N30 N25 N15 N10 M8 2 M 8 N75 N80 S2 6 N35 Larkana Chakwal Khunjrab Motorway, M4, 241 km (Faisalabad-Gojra-Shorkot-Khanewal-Multan) Legend N50 Sukkur E-35 N50 Havelian E35 Hassan- abdal N70 N50 Mughal Kot M4 M-4 N25 Shorkot Waigum Rud N70 M4 Balochistan N-50, 81 km (Zhob-Mughal Kot) Balochistan N-70, 120 km (Qilasaifullah-Loralai-Waigum Rud) CAREC, N-25, 267 km (Chaman-Quetta-Kalat) CAREC, N-55, 293 km (Peshawar-D.I Khan) E-35, 59 Km (Hassanabdal-Havelian)

ADB Financing for PR Rail Networks ADB Financed

Pakistan Economic Corridor Program BUT…..Economic Corridor is more than just transport Infrastructure… INVOLVES economic activity along the integrated transport corridor in a geographic area designed to stimulate Economic Development STUDIES on Eco. Corridors Development along these and other Corridors complement ADB infrastructure investments WILL SELECT at least FOUR Viable Eco Corridors for further Assessment for PLANNING, POLICY ACTIONS and INVESTMENT

Economic Corridor Development in Pakistan ADB study covers FIVE KEY ASPECTS: Economic perspective of ECD for maximizing the comparative and competitive advantages of ECD Institution and Regulation for enabling environment Empirical Analysis – Development of indicators and GIS application system using existing data bases Role of Diaspora - tapping the Pakistan’s global talent and resources for developing ECD in Pakistan Poverty and Inclusiveness - multi-dimensional poverty including social and gender aspects

ECD in Pakistan: Role of Diaspora Key questions to be addressed in this study include : Why we should consider Pakistan diaspora in ECD (especially given the scale and magnitude and potential power of the diaspora)? What are the key diaspora aspects that are relevant for ECD? How the Pakistani talent and resources all over the world can be useful for ECD? Are there any lessons or best practices from other places in the world that can be learnt? What are the overall key challenges and policy implications of developing more inclusive ECD by incorporating diaspora?

ECD in Pakistan: Role of Diaspora ECD offers significant opportunities for potential investors especially in production sectors GOP has also identified potential Special Economic Zones alongside the CPEC that will attract local & foreign investments and generate employment (BOI is important stakeholder) Pakistani diaspora is UNTAPPED POTENTIAL RESOURCE

ECD in Pakistan: Role of Diaspora Literature notes increasing evidence of the role of diaspora in national development of origin countries through… DIRECT INVESTMENT persuades local investment boost confidence in emerging markets Human Resource Development, Skill and knowledge transfer to country of origin as diaspora set up businesses and seed entrepreneurship Tapping Savings and Assets through INDIRECT INVESTMENT in Financial Instruments -Diaspora Bonds and Investment funds, Special Saving Accounts-NRI deposits in India ($40 billion by 2008)

ECD in Pakistan: Role of Diaspora Several examples of BEST PRACTICES in Asia and other regions -Success stories from India and China Shenzhen Economic Zone- first Chinese SEZ along southern coastline, established in 1980, became a manufacturing hub and modern metropolis in 30 years KEY HIGHLIGHT Chinese Entrepreneurs from neighboring Hong Kong provided 90% of investment in Shenzhen following Liberalization and Reforms by Chinese government

ECD in Pakistan: Role of Diaspora Pakistan has legal framework and Institutional setup - M/O Overseas Pakistan and OPF - Dual citizenship, right to vote, property rights So far OPF has relatively LIMITED FOCUS - eg Welfare of overseas Pakistanis HOWEVER There are good examples of philanthropy contribution as well as some investment in production sector by Pakistani Diaspora

ECD in Pakistan: Role of Diaspora It requires a SYSTEMATIC APPROACH for effective engagement with overseas Pakistanis Identification of goals (internal) and capabilities (external) Mapping of Diaspora A database of Pakistani diaspora based on skills inventory will be a good starting point Creating Awareness on Potential opportunities in economic corridors Facilitate Potential Overseas Pakistanis for investment

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