Private sector is consulted for shaping economic policies and is open to doing business with foreigners. Board of Investment (BoI) has initiated public private dialogue and have constituted Sector Advisory Boards in various sectors with the objective of getting private sector input in policy formulation. Moreover, Board of Investment (BoI) is also consulting private sector in formulating new investment strategy.
Pakistan has Double Taxation Treaties with more than 65 countries. With 66 countries, Pakistan has Bilateral Full Scope Treaties, and with four countries, Pakistan has Bilateral Limited Purpose Agreement. Double taxation treaties are agreements between 2 states designed to: protect against the risk of double taxation where the same income is taxable in 2 states. Provide certainty of treatment for cross-border trade and investment. Double taxation also known as an agreement between two or more countries that reduces the amount of tax that an international worker or company must pay, so they do not have to pay tax twice on the same income: Under the double taxation treaty, any tax paid in the country of residence will be exempt in the country in which it arises.
Did you know how many international banks do Pakistan have?
The list of international banks operating in Pakistan is as follows:
- Citibank N.A. – located in Karachi, Islamabad, and Lahore.
- Deutsche Bank AG – located in Karachi and Lahore
- Industrial and Commercial Bank of China Limited – located in Islamabad and Karachi,
- MUFG Bank Limited, located in Karachi
- Bank of China Limited – located in Karachi
The aforementioned foreign banks are presently operating in branch mode in Pakistan.
In addition, a foreign bank, Standard Chartered Bank (Pakistan), is operating as a locally incorporated subsidiary of Standard Chartered Bank. The U.K.
A very common question is, Do Overseas direct invest in Pakistan?
Yes! The Constitution (Article 24) and specific laws protect foreign investment in Pakistan. Section 8 of the Protection of Economic Reforms Act 1992 provides legal cover to foreign investment in Pakistan.