PAKISTAN privatized, the National Bank of Pakistan (NBP) is a major commercial bank with interests...

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oasting a diversified and well-managed, stable economy, Pakistan continues to perform impressively against the backdrop of lower commodity prices and global economic downturn, as structural reforms act as a catalyst for fiscal growth and substantial foreign direct investment (FDI).

Macroeconomic reforms have vastly improved the prospects of the country, which, with 200 million people, remains the region’s outstanding investment hotspot courtesy of its pro-business climate, prudent monetary policy, low inflation, and currency stability.

Spearheading this proactive approach to the wide-ranging and successful fiscal overhaul was the Minister for Finance, Revenue, Economic Affairs, Statistics and Privatization, Mohammad Ishaq Dar.

“Our economy has experienced an amazing turnaround in a much shorter period than expected,” he states proudly. “Structural reforms have brought down the deficit, accelerated economic growth, averted a potential default in 2014, and increased foreign exchange reserves.

“We started our aggressive implementation of our decided agenda as part of a manifesto and promise to the country. Pakistan was basically facing four challenges, or the four E’s: economy, energy shortage, extremism, education/health/social safety net.”

Having tackled these hurdles head on, Pakistan has sent a clear message to the international community that it is open for business across its entire fiscal spectrum as it looks to maximize returns on its plentiful natural and human resources.

“There is great potential in Pakistan and real economic growth along with a strategic location and very attractive fiscal incentives for investors,” Dar adds. “Multinationals have been here for decades and are very happy, as we offer protection of foreign investment and property. Pakistan has a huge consumer market and provides very

attractive rates of return on investment. Macroeconomic stability has returned, and foreign-exchange reserves are at a level where investors feel comfortable.”

Privatization is a key cog of Pakistan’s comprehensive strategic socioeconomic development plan—“Vision 2025.” The blueprint promises to transform the nation’s economy within a decade through

PAKISTANVibrant Growth Entices FDIThe ambitious country has made tremendous strides through structural reforms and is now an investment magnet.

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“Our economy has experienced an amazing turnaround in a much shorter period than expected.”

Mohammad Ishaq DarMinister for Finance, Revenue, Economic Affairs, Statistics and Privatization

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a multipronged approach in all industries and throughout the public and private sectors.

Several major state-owned enterprises are poised to pass along the privatization pipeline in the next few years, most notably Fais-alabad Electric Supply Company (FESCO), Pakistan International Airlines (PIA), and Pakistan Steel Mills (PSM).

Next in the shopwindow are Lahore Electric Supply Co. (LESCO), Islamabad Electric Supply Co. (IESCO), and Northern Power Genera-tion Company Ltd. (NPGCL). Their passing into nonpublic control will help the country’s energy shortage. Such candidates hope to emulate the success of Allied Bank, which has become an international financial titan since its transfer to private hands a decade or so ago. “It is not the job of the government to run commercial organizations,” states Mohammad Zubair, minister of state for privatization. “The job of the government is to create a conducive business environment

that helps private sectors to undertake investment. All the growth will come through the private sector–led initiatives. This is our basic approach.

“Because of this comprehensive process it takes a lot of time to complete the transaction, as it has to go through many levels. There is an evaluation committee; a transaction committee; directors drawn primarily from the private sector; and a cabinet committee on privatization.”

Partially privatized, the National Bank of Pakistan (NBP) is a major commercial bank with interests such as corporate investment, retail and consumer banking, agricultural financing, and treasury services. With more than 1,400 domestic branches—and over 20 international branches—the financial giant is a leading player in the debt-equity market and has a growing interest in promoting and de-veloping small and medium-size enterprises, while at the same time fulfilling its social responsibilities as a corporate citizen.

Operating out of modern headquarters in Karachi, the institution continues to act as trustee of public funds and as the agent to the State Bank of Pakistan (SBP) in areas where SBP has yet to establish a presence.

Despite the recent fall in crude oil prices, opportunities abound in the oil and gas sector as the country looks to satisfy its energy appetite. “Oil operations have always been successful, and no oil company has ever lost money in Pakistan,” says Shahid Khaqan Ab-basi, minister for petroleum and natural resources. “Every company in the industry has worked here. The returns are good for pipelines and LNG (liquid natural gas) terminals.”

Shahid Khaqan AbbasiMinister for Petroleum and Natural Resources

Mohammad Ishaq DarMinister for Finance, Revenue, Economic Affairs, Statistics and Privatization

Mohammad ZubairMinister of State for Privatization



akistan’s remarkable macroeconomic turnaround over the past few years has not gone unnoticed by respected global financial institutions such as the World Bank and the International Monetary fund (IMF).

In August 2016, a group of experts from the IMF met with Finance Minister Mohammad Ishaq Dar and

government officials before publishing a glowing update on the coun-try’s fiscal progress, noting the government has laid the foundation for more inclusive growth.

“Growth is expected to reach 5% in fiscal year 2016–17, sup-ported by buoyant construction activity, strengthened private sector credit growth, and an investment upturn related to the China-Pakistan Economic Corridor (CPEC),” the IMF noted. “Average inflation is ex-pected at around 5.2%, remaining well-anchored by continued prudent monetary policy. Gross international reserves reached $18.1 billion at end-June 2016, covering over four months of prospective imports.”

The upbeat report came as no surprise to Dar, who said weeks prior to its release, “National reserves are at a historic high. We went back in the international sovereign market after seven years; returned to the Sukuk market after nine years; and went back in the international equity market.”

Pakistan’s banking sector is extremely competitive: Up to 40 financial service providers battle for a share of the fast-growing middle-class market through mortgages, consumer finance, credit cards, loans, and savings and checking accounts. Large foreign players have also arrived in droves as they compete for investment, commercial, and retail customers.

Industry leader National Bank of Pakistan (NBP) is currently financ-ing portions of the $50 billion of pioneering infrastructure projects under the CPEC, as president and CEO Syed Iqbal Ashraf, explains: “CPEC is the turning point for Pakistan. It is a game changer as it will generate a lot of income for the good of the country. Before this govern-ment, we had a lot of our factories, textile mills, and other facilities that only operated at 30% to 35% capacity due to energy shortages.

“This was a huge problem, but we will soon benefit from an addi-tional 3,600 megawatts of power capacity. One in Punjab is for 1,200 megawatts, and NBP, together with Habib Bank Limited (HBL), has underwritten the whole $1 billion project. This is the first time in the history of Pakistan local banks have underwritten an entire project of such magnitude.

“NBP acts in line with government thinking, and we serve around 1.6 million pensioners each month—the only bank to perform this activity.”

Economy in OverdriveFiscal progress wins praise from global institutions and is a platform for growth.

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Meanwhile, as well as growing its conventional branch network, NBP is expanding its portfolio of branches that handle Islamic banking products, looking to tap into a market that has been growing around 35% a year. “We now have more than 110 Islamic branches at NBP and plan to apply for a license for an Islamic Bank with SBP, so we have a wholly owned subsidiary of Islamic banking,” he adds.

Islamic banking practices fully compliant with Sharia law are also increasingly at the heart of other financial institutions’ activities, includ-ing Faysal Bank. A medium-size commercial bank, the group boasts a robust corporate investment banking business and more than 300 branches across 80 cities.

“Our asset deposit/ratio has always been above market,” says Faysal Bank president and CEO Nauman Ansari. “Our strengths are our employees and customers, both on the wholesale and the retail side. This is why we are poised for growth—opportunities that may come from the CPEC infrastructure-development side, or an uptake on the economic activity filtering down to small and medium-size enterprises or the retail sector. We have the infrastructure and the client franchise and are ready to capture that growth.

“The arrival of CPEC investment will really focus on infrastructure and the energy sector, and these areas form the backbone of any economy. A focus on these sectors will enable Pakistan to deliver the kind of annual 7% GDP growth required. There is a sizable English-speaking middle class and a very young population that is consump-tion-orientated.”

Pakistan’s undisputed leader of trade finance, HabibMetro Bank also offers highly innovative e-banking solutions and consumer banking services. The group’s Islamic banking division is fully capable of cater-ing to clients of Sharia-compliant products. The bank is part of Habib Bank AG Zurich.

“We specialize in trade finance and offer market-leading structured trade products,” says Sirajuddin Aziz, president and CEO. “We handle

a significant quantum of Pakistan’s trade business, and in 2015 the Asian Development Bank recognized us as its leading partner in Paki-stan due to our role in the promotion of regional trade.”

“Last year was remarkable as we posted phenomenal year-on-year profit growth of 71% growth, the second consecutive year we recorded profit growth of more than 50%. HabibMetro Bank is well positioned, and the market recognizes our inherent strength.”

“The present era is a unique time for Pakistan,” says Aziz. “This is the first democratic environment that offers a truly business-friendly climate. Favorable macroeconomic factors are complemented by improved law and order to provide an ideal platform to host business opportunities. The banking sector is very well positioned to capitalize upon these opportunities along this promising trajectory.”

Widely regarded as Pakistan’s most successful businessman, Mian Muhammad Mansha is chairman of corporate and retail services pro-vider MCB Bank Ltd.—part of the Nishat Group, which he heads. The group has interests in insurance, cement, power, agriculture, and hospi-tality. “We have developed a system of cross-selling, where companies which have borrowed from us, or small businesses—their owners could be given house loans, credit cards, and loans for appliances. Since these customers are known to us, it is a prudent business,” he comments.

“If anyone wants to invest or establish a business presence in Pakistan or participate in joint ventures, we are one of the largest insti-tutions in the country and can put people together and work together for mutual benefit,” he adds.

“My message is crystal clear—Pakistan is very attractive from a tourism, climate, and investment perspective, a country with a rich culture and diverse history.”

“This is the first time local banks have underwritten an entire project of such magnitude.”

Syed Iqbal Ashraf, President and CEO, NBP

Sirajuddin AzizPresident and CEOHabibMetro Bank

Nauman AnsariPresident and CEO Faysal Bank

Syed Iqbal AshrafPresident and CEO, NBP



Hashoo Hotelswww.hashoohotels.com

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Blending five-star service with the best locations, the Hashoo Group’s range of luxury hotels has established the dynamic firm as Pakistan’s premier provider of world-class hospitality for business and leisure travelers. Boasting an outstanding reputation, the group is also a successful niche player in budget hospitality.

Hashoo HotelsHASHOO HOTELS

HASHOO HOTELS

ith around 130 million young people currently, Pakistan’s human-resource potential is among the most promising in the world. The develop-ment of this untapped wealth of talent is a key cog in the Vision 2025 wheel.

The socioeconomic development strategy sits upon seven core pillars—the first of which is education, as Vision 2025 strategy chief Professor Ahsan Iqbal, who is also the minister for planning, development and reform, is eager to explain: “This is the age of the knowledge economy, and the primary asset of any economy is the quality of the people,” he says. “Our large population has to be converted into a demographic dividend through investment in good education and training. We are expanding the reach of higher education and opening a university in every district. We are also linking education to more techni-cal disciplines to boost productivity. “We are also reforming the school

curriculum to make it more creative and innovative so as to produce students with creativity and innovation, critical thinking and problem-solving skills. A very basic reform of the curriculum improves the quality at university level and increases our chances of success.

“We have also recently launched the U.S. Pakistan Knowledge Cor-ridor, which will give our students greater access to U.S. universities and bring U.S. universities’ expertise to Pakistan to develop our own universi-ties’ education.” Now an independent, not-for-profit private institution of higher learning, the University of Management and Technology (UMT) is at the forefront of Pakistan’s higher-education sector, with thousands of students in more than 150 disciplines. At present, 13 schools and four institutes operate under the UMT umbrella.

Assessed by the Higher Education Commission (HEC) as being in the highest rank of education establishments, UMT is also the first in the Punjab among medium-size universities in the general category that has evolved into a premier institution of higher learning during the past 26 years. “UMT is a manifestation of what is possible and what is needed in Pakistan,” says Dr. Hasan Sohaib Murad, rector of UMT. “We have more than 10,000 students in … diversified disciplines and we attract Pakistani people from abroad who are willing to teach here.

“Retaining Pakistanis within Pakistan, where they engage in research and teaching, is a great phenomenon and without government support. UMT is contributing to Pakistan’s development as a dynamic nation and is helping the middle class. We target the middle class and people whose parents have set up small and medium-size enterprises, as well as micro-enterprises and people who want to stay in Pakistan for the long term and are willing to lend their life to Pakistan. People come to UMT to gain knowledge and a degree and then leave to live in some of the country’s 100 or so cities.” Some of UMT’s most talented graduates will undoubt-edly end up working for leading private-sector companies and successful Pakistani conglomerates like the Hashoo Group. The 56-year-old firm has extensive interests in many areas, including cotton and commodity trading, hospitality, oil and gas exploration and production, information technology, investments, minerals, ceramics, pharmaceuticals, travel and

tourism, and real estate.Pakistan is famous for its

hospitality and for offering a warm welcome to foreign leisure and busi-ness travelers, thousands of whom will have stayed in luxury hotels run under the two most recognized brands in the country: Marriott and Pearl Continental.

The high-end hotels have be-

Education Lays Foundation StoneThe next generation of workers benefits from a world-class range of education establishments and career opportunities.

WMurtaza HashwaniDeputy Chairman Hashoo Group

Dr. Hasan Sohaib MuradRector, UMT

Syed Ibne AbbasPakistan High Commissioner to the U.K.

www.ruba-sez.com.pk

Nation’s Pride

ulsating with financial, industrial, and import/export activ-ity around the clock, Sindh province is a major contribu-tor to national economic well-being.

K-Electric (KE) is powering efforts to satisfy Sindh’s growing demand for energy through heavy investment in new-generation capacity. The company is electrifying

areas for industrial and residential consumers.Formerly known as Karachi Electric Supply Company Ltd., the group

is a vertically integrated electric corporation involved in generating, transmitting, and distributing power to around 20 million inhabitants across Karachi.

The group is investing huge sums in new equipment and technology and employs more than 11,000 people. The firm’s network covers an area of 6,500 square kilometers (2509.6 square miles) with industrial, commercial, agricultural, and residential areas relying on its power distribution. Given its importance to the fortunes of Sindh, K-Electric is growing hand in hand with the regional economy and is determined to invest in new power plants and transmission technology. On the technical side, the company is also establishing smart solutions for its distribution network.

“We are the pulse of Karachi. We touch every single household in the city and the surrounding area,” says Tayyab Tareen, chief executive officer of K-Electric.

“Karachi is the backbone of Pakistan. If Karachi thrives, if economic activity improves in Karachi, then it affects the whole country as well, whether it is the balance of payments or the overall business activity.

“The city has grown extraordinarily, putting a lot of strain on the network,” Tareen says. “Every individual has a mobile phone, TV, and other electrical appliances, and the use of electricity in every sphere has increased. The per capita income has also grown and so has the per capita consumption of electricity.”

The executive adds, “Karachi’s energy requirement is growing faster than the rest of Pakistan. The demand for power will continue to grow, and we will add more generation capacity and diversify our fuel mix. We



come synonymous for blending traditional personal service with efficiency and convenience for guests. This combination of service excellence is now complemented by the group’s innovative new Hotel One brand, which has already become the fastest-growing express chain of hotels in Pakistan.

Hashoo Group Deputy Chairman Murtaza Hashwani is delighted with the impact of the Hotel One business and expects the exciting brand to benefit greatly from the rapid rise in domestic tourism and substantial investment in highway infrastructure.

“We have the infrastructure, but not the accommodation, and this is exactly where we see opportunity,” he states. “We are presently mapping the country to see where we need to put the Hotel One low-budget con-cepts, which will be targeted mostly at the younger generation.”

Given Hashoo Group’s vast experience in hospitality and other sectors of the economy, it is not surprising the company continues to set the standard in each of the diverse economic arenas in which it operates.

“Our core business is hotels, and oil and gas, but we have many real estate investments,” the senior executive adds. “We intend to focus on growing our existing portfolio of luxury and budget hotels and resorts, and real estate. We have been buying land for many years. Pakistan is still a grossly undeveloped property market, where clearly the demand outstrips supply, including offices, residential, industrial and retail property—like shopping and entertainment.”

Foreign investors in Pakistan benefit from a range of fiscal incentives provided by the federal and regional governments, with officials at all levels determined to drive sustainable development in multiple industries and sectors.

Beneficiaries include countless U.K. businesses, and the two countries will celebrate 70 years of successful and ever-growing bilateral bonds in 2017. “Pakistan-U.K. bilateral economic ties form the basis of our relations’ upward trajectory,” says Syed Ibne Abbas, Pakistan high commissioner to the U.K.

“The U.K. remains the second-largest overseas investor in Pakistan, as well as Pakistan’s largest export partner among all European countries. Pakistan has pursued a forward-looking reform agenda, which has brought about economic turnaround in the country.”

Such companies could certainly take advantage of tax incentives or low-tax areas such as Ruba SEZ (Special Economic Zone)—a multi-purpose industrial complex that provides a solid growth platform for enterprises. By facilitating access to excellent infrastructure, Ruba SEZ enables firms to minimize costs and maximize profits.

“Our vision is an investor-friendly environment that appeals to forward-thinking investors across the globe. We are creating a corporate environment that draws highly qualified, experienced, and knowledge-able professionals to help avoid a brain drain of our valuable talent,” says Ruba SEZ Group president and CEO Shah Faisal Afridi.

Sindh: Pakistan’s HeartbeatThe region blends a strategic location with huge renewable energies and a proactive, investor-friendly regional government.

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are looking into renewables, coal, and gas.”Karachi is a fast-moving financial center as underlined by many

gleaming headquarters of major national and foreign banks, while the region has a vast array of industrial interests and boasts extensive agri-cultural and pharmaceutical operations.

Sindh contains two of Pakistan’s most important commercial seaports—Port Bin Qasim and the Port of Karachi—and is poised to become a state-of-the-art hub for renewable energies through the devel-opment of cutting-edge wind, hydro, and solar-power plants.

The provincial government is also focused on exploiting more traditional sources of fuel given the region’s substantial reserves of coal oil and gas, while vast coal deposits at Thar of 198 billion U.S. tons are greater than the combined hydrocarbon reserves of Saudi Arabia, Kuwait, and Iran.

“Sindh has the solution to Pakistan’s energy needs in the short, medium, and long term,” says Murad Ali Shah, chief minister of Sindh province. “We have a wind corridor, which experts say has the potential to generate 50,000 megawatts of electricity. Projects take time to achieve financial closure, but by 2018, we should have 3,000 mega-watts of wind energy.

“We are spending about $800 million on new infrastructure in Thar-parkar district, including roads, irrigation projects, airports, and accom-modation, and so on. A major problem was a lack of drinking water, so we built a large hybrid reverse-osmosis (RO) plant with a daily capacity of 2 million gallons, which runs on solar power and gas.”

Shah believes that Sindh province will optimize its energy potential in the next decade through the utilization of existing resources and the discovery of new ones. “Our long-term energy needs can be fulfilled by indigenous Thar coal, [but] we need a federal policy decision for exploration, as exploration has stopped,” he says. “We would like the international private sector to invest here as energy is available here, as are seaports, this is also a major advantage.”

Driving this sustainable and impressive development of regional energy resources is the local administra-tion’s energy department, which endeavors to develop, generate, supply, and distribute renewable energy.

Officials regularly interact with oil and gas companies for exploration and commercial joint ventures and are responsible for prospective planning, policy formulation, and conservation strategies.

The entity’s crowning moment was its bold move to take a 51% stake in the Thar Coal Power Project that diluted risk and resulted in the formation of the Sindh Engro Coal Mining Company (SECMC) to bring the ambitious project to life.

“This part of Pakistan offers a phenomenal amount of business potential, which any wise investors are looking for,” reiterates Agha Wasif Abbas, secretary of energy for the Sindh government. “Once we have success stories on the ground, that should generate a lot of comfort.”

Sindh Board of Investment (SBI) is at the vanguard of local efforts to attract major new investment to the region, with the agency responsible for the promotion of investment in all economic sectors.

Operations include the facilitation of local and foreign investors to identify and establish projects quickly and further improvements to Sindh’s international competitiveness that, in turn, boost economic and social development.

“Our key mandate is to facilitate investments, and we achieve this by linking them with all the other line departments such as energy, services, irrigation, mines, and minerals,” explains SBI chairperson Naheed Memon.

“We constantly showcase the potential, investment, and projects that have been structured by the public-pri-

Tayyab TareenCEOK-Electric

Murad Ali ShahChief Minister of Sindh Province

Naheed MemonChairperson SBI

www.sbi.gos.pk

Sindh Province, investments worth building on



vate partnership unit as to the projects and areas the Sindh government wants to develop. This includes [the proposed new city of] Zulfiqarabad, in Thatta District, where there is a port we really want to develop.”

As Pakistan’s financial capital, Karachi benefits from excellent infrastructure that allows banks and financial institutions—such as insur-ance companies and investment funds—of all sizes and origins to run efficiently and profitably as they serve millions of clients at investment, business, and retail levels.

Among the most successful “local” financial providers is Sindh Bank Ltd., which manages more than 250 branches in 125 cities, despite being set up only in 2011. It was established as a government-owned commercial bank, offering microfinance loans and other banking ser-vices, but has grown quickly and enjoys an outstanding reputation.

Unlike many of its rivals, Sindh Bank is committed to the communi-ties in which it operates and the economic development and progress of Sindh province through financial services that allow people to create businesses and generate employment opportunities. Popular with foreign investors, Sindh Bank continues to expand at a rapid rate and is involved in key projects across the region.

“We are very bullish on macroeconomic prospects of Sindh province and of Pakistan in general,” says Tariq Ahsan, president and CEO. “Sindh accounts for 34% of Pakistan’s total industrial capacity in large-scale manufacturing, and 25% of small-scale manufacturing.

“About 60% of the country’s oilfields and 44% of the gas fields are here, which produce 56% of oil and 55% of Pakistan’s gas. The province also has one of the largest coal reserves in the world, huge potential for renewable energy with a 60-km-wide [37.28 miles] and 180-km-deep [111.8 miles] wind corridor,” says Ahsan.

“Our initial plan since launch was ‘fast’ organic growth, such as through a network of branches. Future plans are for slower branch

expansion and a greater focus on consolidation. Though not planned, any opportunity for growth through mergers and acquisitions will be considered if financially viable.

“Sindh Bank aims to be a mid-tier Pakistani bank in the next five years as it benefits from new developments and fresh business generated by our branches’ reaping their full potential, which we expect will give a significant boost to our profitability and growth momentum.”

An innovative and successful manufacturing enterprises in Sindh province is Orient Textile Mills, a company that is the template for how a niche firm can thrive through great management and product quality.

Unlike some competitors, Orient Textile Mills possesses operational experience in all areas of fabric production and packaging through com-petent individuals and strong manufacturing base, which have created rapid growth.

Iqbal Ebrahim, CEO of Orient Textile Mills, is very satisfied with his company’s track record of growth: “We bring an innovative approach to the world of textiles, providing all solutions within a single system and acting as a liaison between the end user and cotton grower,” he states.

“We make high-end fabric such as jacquards and dobby for homes, and apparel with Ebrahim Textile Mills as the primary processing unit. Our philosophy is to produce superior quality goods, and we see our-selves well positioned with high-value products.

“We attract high-end designers who are looking for vendors that meet their stringent requirements for quality,” says Ebrahim. “Our reputa-ble design base has enabled us to increase our market share internation-ally. We currently have design studios in Paris and Pakistan.We are proud to be a quality and design-based company.”

www.srb.gos.pk

By maximizing revenue collection, SRB is striving to ensure economic

prosperity in Sindh and Pakistan

Growth for all

wahid.tumbi@orienttextilemills.comwww.orient-textile.comwww.shopatorient.com

Superior quality textiles and customer service from

an innovative company

“Sindh Province has the solution to Pakistan’s energy needs in the short, medium, and long term.”

Murad Ali Shah, Chief Minister of Sindh Province



With a population of more than 200 million, a growing middle class, and a rapidly expanding economy, Pakistan relies on the vision and dynamism of its entrepreneurs and easy business facilitation of government to keep the country moving forward.

Among the many players oiling the wheels of the economy is the WAK Group of Com-panies, a hugely successful and diversified conglomerate that boasts lucrative interests in energy, real estate, and manufacturing. Created 50 years ago by the father of Waqar Ahmed Khan and Ammar Ahmed Khan, Mr Gulzar Ahmed Khan, chairman of WAK Group of Companies, the pioneering business empire is undergoing a consolidation exercise, after which it aims to zoom ahead with purpose.

“I see myself and my brother as custodians of the group and want to build on the incredible legacy he achieved,” Waqar Ahmed Khan states proudly and determinedly, adding his father was a visionary who laid the foundations for decades of success through housing societies in Lahore in the 1970s. “He bought land outside Lahore—big chunks—and devel-oped societies where he gave people everything: water, gas, electricity. Today, that land is in the center of Lahore and is very valuable. There is where he made the money. From there he moved into energy. He was among the few people initially to get into LPG [liquefied petroleum gas].”

Turning to the present and future, Khan aims to ensure WAK Group of Companies is at the forefront of socioeconomic development and spearheads innovation in all the sectors it operates, with a particular emphasis on producing resources locally for the benefit of society.

“Imports affect the balance of payments and the foreign exchange. Other than education and health care, the area we really need to concen-trate on is oil and gas,” he says. “It should be expanded, and we have huge growth plans on the downstream marketing of products.

“We have a gas company, WAKGAS, that just took over Petrowell, an oil-marketing company,” he adds, “where we will be setting up 500 gas stations, and we have a license and an approval to set up a 40,000-bar-rel-a-day oil refinery up north.

“Whether you bring crude up north or whether you bring diesel, freight is freight, so why not base it on a local crude and be able to dis-tribute it locally so you create a savings to the local man and taxpayer? We believe in passing the benefit to the consumer. As the vision expands, we will be entering into a joint venture with a multinational company and

will be assembling all their consumer electronic products in Pakistan.”WAK Group is also deeply involved in CSR (corporate social responsi-

bility) and philanthropic projects under the aegis of the Gulzar Founda-tion, which has been created to manage its corporate philanthropy.

The executive is confident such success will be achieved elsewhere too. “Our vision in the real estate sector, with Pak Arab Housing, is to create affordable housing for the common man. There is a shortage of about a million houses in Lahore, so we will be launching 20,000 to 25,000 apartments in the form of complexes in gated communities, with high-tech facilities creating affordable, self-owned housing for the major-ity of the populace.

“Resources will always flow to the opportunity, and the opportunity frontier has changed,” he says. “It has shifted significantly, in the past five years, from the west to the east. A major recent change was the inclusion of Pakistan in the emerging-market bucket from the f rontier market.

“This market is underpriced and undervalued—hence, very lucrative for the intelligent investor. We are very close to that point of convergence where things will come together and it will happen. That is the message to anyone who is looking into Pakistan. The dynamic executive outlines some exciting expansion plans for the WAK Group of Companies as he looks for his enterprise to play an integral role in boosting living standards through job creation in various fields: “I see our group surpassing $10 billion in turnover by 2021, and I would like to employ more than 100,000 people throughout Pakistan,” he says. “The cement and sugar factories we are going to construct in my hometown are part of this strategy, and I am going to hand out lots of free shares to employees so their lives can change for the better as well.

“The idea for our operations is not just to make money, but to make life easier for others.”

Gulzar Ahmed KhanFounder, WAK Group

Lt. Gen. (Ret.) Ahmad Shuja PashaGroup Chief Advisor

Ammar Ahmed KhanCEO WAKGROUP

Waqar Ahmed KhanChairman WAKGROUP of Companies

WAK Group 135 Block E-1, Stadium Road, Gulberg III, Lahore, Punjab, PAKISTAN | Tel: +92 42 5870230–6 | www.wakgroup.com

A family-owned enterprise, established by the patriarch, Senator Gulzar Ahmed Khan with a presence in multiple sectors. WAKGROUP is client-focused, environmentally friendly and committed to providing high-quality products and a world-class experience.

WAKGROUP



Pakistani firm FFBL is one of the fastest-growing divisions of Fauji Group and is principally engaged in manufacturing key crop nutrients such as di-ammonium phosphate (DAP) and urea. It is categorized as a blue-chip company on the emerg-

ing Pakistani Stock Exchange, with a market capitalization of $500 million. FFBL is distinguished as having one of the highest dividend pay-out ratios among the listed companies in Pakistan, with more than $1 billion given to the national exchequer for taxes and duties to date.

Not only does FFBL boost the national agricultural output of the world’s sixth most populous country through the production of a vital fertilizer type, but it also provides jobs for thousands of people.

For the last three years, the company has been on a path of pragmatic diversification through the setting-up of new projects, as well as investment in established ones. FFBL has, as of now, undertaken projects worth more than $1 billion, and within this realm, set up a halal abattoir and packaging facility, as well as a dairy company. At the same time, it has invested its sizable cash flows in a recognized com-mercial bank, a cement manufacturer, and wind- and coal-based power companies.

This well thought-out diversification plan with a measured, risk-based growth strategy has started reaping positive results and is ex-pected to double FFBL’s market capitalization during the next few years.

As the company prepares to earn more than $1.5 billion a year in revenues through its consolidated businesses, it is also laying a strong emphasis on its most treasured core value—corporate social responsibil-ity. It invests a significant portion of its earnings into a charitable trust, which is used to take care of the education and health of families of ex-servicemen.

Headed by the amiable and popular retired Lt. Gen. Muhammad Haroon Aslam, chief executive and managing director, FFBL has an impressive track record of expansion and has won several international

business awards. While some enterprises might be satisfied with such progress, Aslam sees an even brighter future for the business given the significant amount of investment that is likely to be required by organizations to serve the basic dietary and energy needs of a growing global population.

“We are the second-largest company in the Fauji Group, and the fastest-growing one,” he states. “We do business for a purpose, and 80% of our profits are plowed into a charitable trust, where we run health centers, dispensa-ries, schools, and universities. All are supported through our income. This is the difference between an ordinary business and Fauji Group. We earn money for the very noble purpose of providing health care and education to 10 million recipients.”

FFBL’s ongoing success is not only restricted to Pakistan either. Several years ago, the firm decided to invest significantly in a joint venture with leading Moroccan phosphates player Office Chérifien des Phosphates. This resulted in a successful and profitable partnership known as Pakistan Maroc Phosphore (PMP).

“PMP, as part of our business group, is doing well as we continue to pursue the paths of expansion and diversification,” the chief executive adds. “Fauji Group is proud to firmly stand for its values, both commer-cial and humanitarian. We currently have a number of business propos-als from international and local organizations and as we evaluate them, we will continue to focus on our strategy of long-term value creation.”

Fertilizer Firm on Road to RichesFFBL satisfies fertilizer demand for a growing population while successfully diversifying into new businesses and investing earnings into vital services for millions of non-privileged individuals.

FFBL’s fertilizer plant at Port Qasim.

“We earn money for the very noble purpose of providing health care and education to 10 million recipients.”

Lt. Gen. (Retd.) Muhammad Haroon AslamChief Executive and Managing Director of FFBL

Lt. Gen. (Ret.) Muhammad Haroon Aslam, Chief Executive and Managing Director FFBL

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