Technology for the Future: ECNEC Okays IT Park in Karachi
Aftab Ahmed
Islamabad: The government has directed the Planning Commission to carry out a cost assessment of the IT Park in Karachi through a third party to bring in modern technology for the future.
The government has focused on setting up an IT Park in Karachi to bring in the technology companies’ future to enhance exports of IT and services and will sign agreements with companies to attract investment.
The Executive Committee of the National Economic Council (ECNEC) has approved the establishment of a technology Park in Karachi to offer investment opportunities to IT companies in the future. However, it raised concerns over the high of the project.
Ministry of Planning, Development, and Special Initiatives briefed the ECNEC that CDWP had considered establishing IT Park in Karachi in its meeting on May 20, 2021. The objective is to bring technology companies on one platform as it will also provide job opportunities in the future.
It had recommended for approval of the ECNEC at the total cost of Rs 31,199.885 million with an FEC of Rs 26,479.234 million.
CDWP also directed PSEB to create an SPV for the project, responsible for the repayment of the loan and O&M cost from revenues generated by the IT Park project as a commercial entity.
It will also be responsible for approaching international technology companies and get their willingness/ sign MOUs to become anchor tenants in IT Park Karachi.
Ministry of Planning, Development, and Special Initiatives submitted the project to the ECNEC for approval at a total cost of Rs 31,199.885 million with an FEC of Rs 26,479.234 million. It also recommended directions to Pakistan Software Export Board （PSEB) to create an SPV for the project, responsible for the repayment of the loan and O&M cost from revenues generated by the IT Park project as a commercial entity.
The board will also hire world-class consultants with a proven record track should be engaged through an international tender.
It will also approach international technology companies and get their willingness/ sign MOUs in the future to become anchor tenants in IT Park Karachi.
During the ensuing discussion, the forum observed that the cost of the project was relatively high. Information Technology and Telecom Division responded that Exim Bank of South Korea was funding 85% cost of the project.
Therefore, the project’s price was based on a feasibility study carried out by a consortium of Korean consultants covering technical, financial, economic, legal, and environmental aspects of the project. However, ECNEC agreed to assess the cost of the project through a third party.
The Executive Committee of the National Economic Council (ECNEC) considered the summary dated June 1, 2021, the Ministry of Planning, Development, and Special Initiatives submitted regarding ” Establishment of IT Park, Karachi .”It approved the proposals/submission direction to the Ministry of Planning, Development, and Special Initiatives to carry out a cost assessment of the project through the third party.
