SEOUL, Nov 5: President Gen Pervez Musharraf informed South Korean businessmen here on Wednesday of bright investment opportunities in Pakistan, and said joint collaboration between the two countries in the fields such as textile could result in a major breakthrough for the economies of the two countries.

Addressing a dinner hosted in his honour by the business associations of the Republic of Korea, the president said Korean investment and technology and Pakistan’s hardworking human capital and resources could bring rich dividends to both nations.

“Joint collaboration between the two countries, where Korean investment and technology supplements Pakistan’s experience and comparative advantage in textiles can result in major breakthrough for both economies,” he said.

Pakistan, he said, would no longer be facing the quota restrictions beyond 2004 and, therefore, the ensuing vast export opportunities could be jointly exploited by the two countries.

The president said Pakistan had a highly developed textile sector together with a strong input base, as it was one of the largest producers of cotton. He also identified telecom, IT, engineering and infrastructure sectors as the most suitable and profitable for Pakistan-Korean joint ventures.

Pakistan’s proximity with Central Asia, the Middle East and Africa and inexpensive labour could provide cost advantage in engineering sector, he said.

“The recent capacity created by Korean investment in the automobiles sector should be expanded with the aim of exporting products to newer markets in the region.”

President Musharraf said Pakistan’s transparent privatization programme offers highly profitable investment opportunities in oil and gas, banking, power generation and distribution and gas transmission and distribution sub-sectors.

Referring to positive economic indicators, President Musharraf said “Pakistan today has a self-contained economy” which had maintained its upward movement in the last four years despite a two-year drought, 9/11 events, war in Afghanistan, border tensions with India and war in Iraq.

Praising the consistent rise of the Korean economy, he said it was reassuring that the economic cooperation with a trade level of $6,000 million between the two countries was largely in the private sector.

However, the current level of cooperation was not commensurate with either the potential of Korean private sector or the opportunities available in Pakistan, he added.

Pakistan and Korea, the president said, had successful cooperation in automobile fields as two motor plants, Kia and Hyundai, had been set up with the cooperation of Korean firms.

OIL, GAS ACCORD: Meanwhile, Pakistan and the Republic of Korea have signed an agreement for cooperation in the oil and gas sector and exploring investment opportunities in Pakistan.