Quetta: The Balochistan provincial government has declared Gwadar district – the hub of the China-Pakistan Economic Corridor (CPEC) – as a tax-free zone.
The provincial government also urged the federal government to grant the region a similar economic status.
Earlier, Balochistan Chief Minister Mir Abdul Quddus Bizenjo had approved a summary of the planning and development department giving a special economic district status to Gwadar.
In a statement, the Balochistan government said that Gwadar will be from services and excise tax, and any tax on property transfers, urging the federal government to grant the region a similar economic status.
Senator Kauda Babar, who belongs to district Gwadar, lauded the provincial cabinet’s decision as a welcome step.
The Senator 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.
Kauda Babar expressed his belief that the status of a tax-free zone is likely to revive the true spirit of the CPEC, stimulating activity at the Gwadar port and attracting further investment.
He predicted that the establishment of industries in Gwadar would create job opportunities for millions and bring foreign exchange into the country.