Sample Solution

From January 19-21, 2004 President Musharraf visited Turkey. It was a very important visit in strengthening two-sided associations in key sectors. President Musharraf became the first Pakistani leader who got the honor of addressing to the Turkish parliament. On January 20 these two countries settled to build up cooperation in combating with terrorism, enhancing economic and political links and improving collaboration in defense, health and banking sectors. Four agreements and a Memorandum of Understanding were signed among the two countries. The two sides emphasized on expansion of economic and trade assistance and decided to discover ways and means in different areas especially in the defense field. The economic and commercial ties were main focus of talks. The purpose of agreements was to gain the huge potential for developing bilateral trade to the figure of $1 billion by 2005, President Musharraf said on the occasion (Dawn January 20, 2004).
On January 21 addressing to a meeting in Istanbul which was hosted by the Foreign Economic Relations Board and Turkish-Pak Business Council Istanbul, President Musharraf emphasized that with a push of positive economic meters and its strategic location, Pakistan was qucikly rising as the ‘economic crossroad’ of Gulf, South and Central Asia, and offering her foreign investors a lucrative passage for their capital. He referred to bilateral trade just around $200 million between these two nations that is not in accordance with their excellent political and diplomatic ties. He counted incentives that Pakistan offered to the foreign investors and gave the investors a a short briefing keeping in view of Pakistan’s economy. (Dawn January 22, 2004).
Establishment of Joint Investment Company, January 2004
In order to enhance economic and trade links between Pakistan and Turkey; they agreed to start a joint investment company on January 22, 2004. The investment company will have a preliminary equity of $25 million to be common by the two nations. Pakistan decided that the entire investment would come from the public sector while Turkey was to decide the amount should be from its public or private sector. There would be a very gigantic impression of company as it would offer an institutional mechanism to the eco