DUBAI // The governor of a troubled province in Pakistan is pleading with expatriate business leaders in the UAE to invest in their homeland, but his appeal has met with a mixed response.
The Federally Administered Tribal Area (Fata), which runs along the border with Afghanistan, has been a source of continuing battles between the Pakistani military, the Taliban and Al Qaeda since 2003.
Masood Kausar is the governor of Khyber Pakhtunkhwa, a section of Fata. Mr Kausar and other Pakistani government officials have been appealing for support from nationals in the Emirates to help to develop the region.
"I think there are big opportunities for investment and business in Fata," said Riaz Sahi, who runs businesses including schools in Sharjah and department stores in Saudi Arabia.
"The profit margins will be much bigger there and doing business there is much easier because very few people go there to do work."
Mr Sahi played down the common perception that Fata was unstable and had many problems with law and order.
"From watching the news, you would think it was a terrible situation but that's not the case on the ground," he said. "I went there about a year ago and didn't experience any problems. There is a huge potential there."
Mr Sahi said he was preoccupied with running his existing companies but was looking into opening an electronics store in his home city of Lahore.
"I would encourage all Pakistanis to invest in their homeland," he said. "Maybe in future Fata is an area I will look at but logistically it will be easier for me to do something in Lahore than Fata at the moment."
Mobisher Rabbani, a Pakistani philanthropist and businessman in Dubai, said he could see the potential in Fata but had doubts about the current level of security in the province.
"I think the main thing would be the issue of law and order," Mr Rabbani said. "The situation has calmed down a lot recently but as a businessman you would want to be very sure that it was safe before you invested your money."
He said the potential to develop Fata was huge but he called on the Pakistani government to do more to promote the region and provide a more stable environment for people to invest there.
"I don't think at present business people in the UAE would risk investing in Fata until it is safer," Mr Rabbani said. "The government needs to do more to make that happen."
This week, the Pakistani newspaper The Nation reported a delegation of 20 expatriate businessmen from the UAE had visited Fata to encourage more trade. They also visited Mr Kausar.
"It's a good opportunity for investment, as the situation in Fata is fast heading towards normalcy and the government is set to support them all the way," the governor told The Nation.
Mr Kausar admitted law and order issues were blocking development, but said the situation was much better than it had been and was moving towards normality, The Nation reported.
nhanif@thenational.ae
