The Balochistan provincial government has officially declared Gwadar as a tax-free zone, urging federal authorities to grant the region a similar economic status.
According to the provincial government, Gwadar will now be exempt from services and excise tax, and any tax on property transfers, a significant development for the district which is of immense importance in the region and slated to become a hub for investment in South Asia.
Senator Kauda Babar, who belongs to district Gwadar, hailed the cabinet’s decision as a welcome step.
Expressing his gratitude towards Balochistan Chief Minister Abdul Qudoos Bizenjo and the cabinet, Babar said the cabinet’s approval of Gwadar as a tax-free zone was the fulfillment of a long-standing demand. He further urged the federal government to provide relief in federal taxes.
Babar expressed his belief that the status of a tax-free zone is likely to revive the true spirit of the China-Pakistan Economic Corridor, stimulating activity at the Gwadar port and attracting further investment.
He mentioned that the progress in other port cities like Dubai and Singapore was also possible due to their status as tax-free zones.
In addition, he predicted that the establishment of industries in Gwadar would create job opportunities for millions and bring foreign exchange into the country.
Last month, Balochistan Chief Minister Mir Abdul Quddus Bizenjo approved a summary of the planning and development department giving a special economic district status to Gwadar.
A major reason behind giving a special economic district status to Gwadar is to attract national and international investors and open new vistas of development and prosperity in the area.
