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COVER STORY

INSURANCE INDUSTRY

July 14 - July 20, 2003  
ISSUE # 28  

The year 2002 was a challenging year for the Pakistani insurance industry in more ways than one. The non-life insurance companies feel that 2003 would be even more challenging year for the industry, both collectively and individually.

 

 

 

 

FOREIGN DEBT
Pakistan's economy, once swamped in debt is gradually getting out of the debt trap. Recent US $3 billion package would also help to retire $1 billion US debt. The total US debt towards Pakistan is estimated at $1.8 billion. Since the events of September 11, the total US assistance is estimated at $6.5 billion. The national economy is now in a position to withstand the debt servicing pressures with ease and allocate its resources for development projects in the country.

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TURKMENISTAN GAS PIPELINE PROJECT
The cross border pipeline from Turkmenistan to Pakistan is in the final stage and a decision to go ahead might be taken in the next meeting of the steering committee to be held in Islamabad. It is expected that energy starved India may also join this international pipeline projects in the forthcoming high level talks with Pakistan. The energy experts, however, are of the view that whether India joins or not, the project would go ahead by November this year.