Pakistan and Iran today agreed to speed up a multi-billion gas pipeline project, despite the opposition from the United States to it.
The Iran-Pakistan pipeline was originally meant to have India as its terminal location but New Delhi has not been able to make a firm commitment on the project to date.
Iranian Foreign Minister Akbar Salehi today met Pakistani Prime Minister Yousaf Raza Gilani and the two leaders decided to speed up the pipeline project, a statement from the prime minister office said here.
Prime Minister Gilani emphasised on the importance of expediting the projects of gas pipeline and import of 1000 MW electricity from Iran, it said.
Salehi informed that Iranian part of gas pipeline will be completed by the middle of next year and also offered to pay or the construction of pipeline on the Pakistani side of the project, which is expected to cost USD 1.65 billion.
Salehi was here to attend a two-day Joint Economic Commission meeting with Pakistan, which concluded today.
It was also decided in the meeting to create Investment Fund to encourage the private sector in particular to undertake investment in the two countries, the statement said.
The two countries decided to rationalise the tariff regime between them to pick up trade and curb smuggling.
Both sides exchanged views on a whole gamut of relations spreading over trade, energy, communications, rationalisation of the tariff and combating terrorism, which poses grave dangers to the security, economic advancement not only of the two countries but also of the region.
Pakistan also allowed Iran to open up a bank in the country to facilitate the business community to play their role in the development of the economies.
