Proton joint venture is among the agreements signed during a visit of Mahathir Mohamad.
A joint venture between Malaysia’s Proton Motors and Pakistan’s Al-Haj group will start producing cars from June, officials stated on Friday at a ceremony in Islamabad revealing a series of business accords between the two nations.
The Proton joint venture, initially agreed last year, which was the centerpiece of a range of agreements signed during a visit of Malaysian Prime Minister Mahathir Mohamad. Pakistani officials stated the deals would total about $800-900 million.
“These partnerships are just the beginning and I look forward to more and more partnerships,” stated Board of Investment chairman Haroon Sharif during the signing ceremony.
Mahathir presented Pakistani Prime Minister Imran Khan with a symbolic car key during the signing ceremony.
The Proton plant, close to the southern port city of Karachi, is recent in a series of assembly deals set up in Pakistan by international automakers consisting of Volkswagen AG and Hyundai Motors.
“We were told that the first Proton which will be assembled here will be on the roads next June in Pakistan,” Sharif stated.
The deals come as Pakistan works hard to attract foreign investment. The country is having a hard time with a increasing current account deficit and a balance of payments squeeze that has forced it into bailout talks with the International Monetary Fund.
In recent times, it has signed