Zardari’s 3-day visit: Railways upgrade deal inked with S Korea

Pakistan to acquire used diesel locomotives; overall six accords signed.

SEOUL:

Pakistan and South Korea inked six agreements on Tuesday dealing with the modernisation of Pakistan Railways, construction of a LNG terminal, and cooperation in the banking sector, in a bid to further solidify their bilateral ties.

The signing of agreements in various sectors came during President Asif Ali Zardari’s 3-day visit to South Korea, during which he met his counterpart, Lee Myung-bak and had several meetings with the CEOs and heads of various top companies.

A major breakthrough came in the area of modernisation of Railways. Pakistan, under the agreement, will seek high-speed railways, communication systems, signalling, rail stock, modernisation of operation and management, development of logistics, parks and freight terminals.

The agreement also calls for the exchange of construction and maintenance technologies for infrastructure including tracks, bridges, overhead electrification and power supply systems.

The agreement was signed by Muhammad Arif Azim, Secretary Railways and Minister of Railways of South Korea Kwon Do-youp.

In his meeting with President KORAIL Chung Chang-Young, Zardari said Pakistan desired modern and efficient railways to help meet its growing industrial, agricultural and freight needs. The president said that the current fleet of Pakistan Railways was unable to meet the needs of a growing nation and there was an urgent need to upgrade it. President Zardari said Pakistan was a heaven for foreign investors as the country’s large consumer population promised good profits and lucrative business. He said a large number of Korean companies were already operating in Pakistan and doing good business. He encouraged other companies to invest in new areas.

President KORAIL assured President Zardari that his company was willing to share its experiences and expertise with Pakistan Railways and help it develop on modern lines.

The president later witnessed the inking of a MoU under which Pakistan will be able to acquire used diesel locomotives and work for modernization, maintenance, operation and training of existing ones.

The President also met Governor Bank of Korea Kim Chung-soo and also witnessed signing of an MoU with the State Bank of Pakistan.

Under the MoU the two central banks will develop closer cooperation through exchange of information, human resources, technical cooperation, seminars, workshops and short-term missions for study.

Additionally, the countries inked an MoU for enhanced cooperation in the field of culture, films, sports and tourism. Under the framework agreement on grant aid Korea will extend support to Pakistan through the Korea International Cooperation Agency (KOICA) and was aimed at poverty reduction, sustainable economic and social development besides further enhancing cooperation in diverse development sectors.

The ceremony at the Cheong Wa Dae in Seoul, following the summit level talks between the two sides, was also witnessed by members of the Pakistani delegation.

Published in The Express Tribune, December 5^th, 2012.