Malaysia-Pakistan Invest Nearly US$200Million on Pakistan Construction Project

Karachi, Pakistan | March 26, 2008 by D-8 Secretariat

IM Technologies Pakistan, a Malpak-IJM venture, has secured the award from Karachi Development Co to build an IT Tower Complex at Hassan Square, Karachi.

IJM Corp, via joint-venture company IM Technologies Pvt Ltd, has clinched a RM632 million (nearly 200m US$) contract to design and construct a 47-storey information technology complex in Karachi, Pakistan, which will be the tallest building in the country upon completion.

Expected to be completed within 30 months, the building will comprise a three-storey basement carpark, a six-storey retail and commercial area, 41-storey office space, a 240-room hotel and a call centre that can accommodate 10,000 seats. Chief executive officer Datuk Krishnan Tan said the award of the contract indicates the Karachi local government’s confidence in the expertise and capabilities of IJM as well as its partners.

“We are honoured to be given this project and hope there will be more cooperation as such in the future,” he said after witnessing the project contract signing ceremony between IM Technologies and Karachi Development Co Ltd in Kuala Lumpur last month.

IM Technologies, a 60-40 joint-venture company between IJM and Malpak Ltd, was represented by its director Datuk Goh Chye Koon, while Karachi Development was represented by Karachi mayor Syed Mustafa Kamal.

Meanwhile, on Karachi’s RM350 million elevated highway project, Tan said IJM will need to re-evaluate the project, including re-pricing, following the local government’s decision to make some changes to the expressway design.

“We are not able to give a timeline on how long it will take to re-evaluate the project. It all depends. We will need to look at the entire project as well as the proposed changes,” he said.

Commenting on the present political climate in Pakistan, he said IJM remains interested to look for opportunities in the country, despite the higher risk factor. “The risk is there. However, we are also looking at its interesting economic numbers. It has huge potential.

ADB to provide $800m for modernisation of Karachi

Meanwhile, caretaker Sindh Minister for Finance and Information, Dewan Mohammed Yousuf Farooqui Thursday said that government wants to develop Karachi as a modern city of international standard. He was chairing a meeting of Steering Committee of Karachi Mega City Development Project in which Project Director Shoaib Ahmed Siddiqi briefed about the project significance and ADB loan.

The Minister was informed that Asian Development Bank will provide 800 million dollars for developing Karachi as a modern city with implementation of schemes of water supply, modern sewerage system, urban transport, katachi abadis and low income segments of population. In this regard, Shoaib Siddiqi said the Provincial Working Development Party has approved PC-1 and forwarded to Central Working Development Party for approval. The meeting was also briefed by Staff Review Committee Loan Requisition Board.

On the occasion, Project Coordinator Roshan Shaikh informed the Finance Minister that a meeting regarding Citizen Committee Board has taken place under the chairmanship of Sindh Governor whereafter it was decided to stop Citizen Committee Board from operating.

It was decided that in the next meeting of Project Steering Committee, the officials of Water and Sewerage Board will also be invited and later Nazim Karachi and DCO to another meeting so as to take some opinion regarding IT Platform. Later the committee approved the 2007-2008 budget of Project Support Unit and Local Support Unit. The meeting also unanimously approved the honoraria of various members of Project Steering Committee, police guard and lower staff.

Read Also

• ADB to Invest in Gas-Fired Power Plant Project in Pakistan’s Sindh Province
• Powertek of Malaysia may Build Bangladesh Sirajganj 450MW Power Project
• Pakistan viable for Turkish construction industry
• Call For Malaysia To Invest In Bangladesh’s Furniture Industry
• Privatization of Airport in Turkey, Malaysia Participated in a Consortium to Buy
• Nigerian Global Biofuels announces $750 million investment in sweet sorghum ethanol project
• ADB board to formally approve $500 million loan for Pakistan
• Pakistan, Iran to hold talks on IPI
• Egypt’s Construction Investments to Reach USD 7.3 billion by 2015
• Pakistan welcomes Turkish private firms for mining investment