News: Spain offers 10m-Euro micro finance
Name of the Newspaper: The Statesman
Date of publication: Tuesday, March 21, 2006

ISLAMABAD: Spanish Ambassador Jose Mari Robles and Spanish Commercial Attaché, Francisco Alfonso met Omar Ayub Khan, minister of state for Finance and discussed with him the modalities and the implementation of the program of 10 million Euros, that Spain has offered to Pakistan for micro finance.

During the recent visit of Mr. Miguel Angel Moratinos, Minister of Foreign Affairs of Spain, Pakistan reached an agreement with Spain for an amount of 10 million Euros to facilitate micro finance programme to assist small projects to increase income in rural areas and create jobs.

During the meeting, Spanish envoy expressed the position of his government to develop close economic relations with Pakistan.

Omar Ayub Khan briefed the ambassador about the funds, the current stage of the micro finance activities in Pakistan and his gratitude to work with Spain to develop close economic ties.

He refered to the successful institutions that are currently implementing micro-finance in Pakistan.

He also briefed the ambassador about the Competitiveness Support Fund (CSF), which is supported by the USAID and Pakistan to support innovation-driven economic growth to improve competitiveness index of the economy.

He also referred to his upcoming trip to Europe, and Asia to meet with relevant government agencies, private sector representatives and the heads of the key universities to discuss their participation in the Regional Conference on Competitiveness and Economic Growth in Asia and Pacific to be held 14 - 16 May in Islamabad.

He said he would also visit Spain to meet the Ministry of Finance, the Ministry of Trade, Chamber of Commerce and Industry, the SME development agency, the Asian House which is the new government agency responsible for economic co-operation with Asia and Pacific. The visit to the European countries is planed to take place in the first week of April, he said.

Both, the Minister and Spanish ambassador also discussed other bilateral financial matters such as bilateral tax treaty between Spain and Pakistan.

In this regard, a Pakistani delegation is scheduled to visit Madrid on 24 - 28 April to try to conclude the treaty.

The Spanish Ambassador expressed his strong support towards the proposal of the PIA having direct flights between Madrid and Islamabad, which will help to increase more economic and commercial ties between two countries as well as Pakistani emigrants living in Spain who will promote the tourism sector in Pakistan as well.