Islamabad (TDI): Advisor to Finance Minister, Khurram Schehzad, on Monday said that Greenfield Tyre Manufacturing Facility project has a potential to save and generate foreign reserves for the country.
In a social media post , he said the Greenfield Tyre Manufacturing Facility project holds significant export potential, in addition to catering to a large domestic market.
He added that investor confidence has increased, and the investment environment is improving steadily.
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Meanwhile, a press release from the International Finance Corporation (IFC) stated that the IFC has partnered with leading local Banks to boost domestic Tyre production in Pakistan.
Pakistan’s first new tyre manufacturing facility in decades will help in import substitution of tyres equivalent to 500 million dollars in next few years.
The project is with Armstrong Group based out of UAE and Karachi.
Greenfield Tyre Project and IFC
IFC and a consortium of banks are providing upto 50.2 million dollars in financing to Armstrong ZE to expand local production of tyres.
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The project will create over 1800 jobs and bolster local manufacturing and supply chain. It contributes to reducing reliance on imports and strengthening Pakistan’s foreign currency reserves.
Pakistan manufacturing sector was facing difficulties due to weak economic position in the country. Recent economic indicators have positive effect on Pakistan’s export and manufacturing sector.
