WEST PALM BEACH, FL (HEDGECO.NET) – Hong Kong Asset management company, Crosby Investment Company announced that it intends to establish private equity fund in Pakistan. The statement was releasedafter a meeting between Robert Owen, Chairman of the Crosby Investment company, and the Pakistani finance minister Shaukat Aziz in Islamabad. Owen said that while the Crosby investment Company hasstrong presence in the United States, the company is focused in Asia at the moment.

The Pakistani Finance Minister, Aziz said he was pleased at the Crosby initiative, explaining further that Pakistan offers international funds an excellent opportunity for expansion into the Country�s asset management business. To this effect, Aziz said the government of Pakistan has just introduced a transparent regulatory agency whose duties among others are to encourage expansion of international asset management endeavors into the country.

Aziz hopes that such initiative would ultimately encourage pension and savings establishments to channel their assets into the Pakistani Capital Markets. The finance minister hopes other international funds would follow the example of Crosby Investment Company by expanding into the Pakistani markets. Aziz also spoke on the issue of improved corporate governance in Pakistan, explaining further that Pakistan offers great tax incentives as well as low interest rates; such climate would favor foreign funds desiring to open branches in Pakistan.

These policies Aziz hopes would also help to stimulate economic growth in Pakistan; higher economic growth levels along with consistent economic policies would foster increased housing demand, and may in turn generate production and consumption of capital goods. He also explained that macroeconomic stability along with international credit ratings and currency stability would facilitate the growth of the middle class in Pakistan.

The Crosby Investment Company also hopes to begin brokerage operations in Pakistan in the near future. Pakistan is attempting to modernize its economy; government instability has been a problem. Its military leader General Musharaf collaborated with the United States in the war against terrorism, but has been struggling to suppress increasing religious fundamentalism in the country.

Paul Oranika
Editor-in-Chief
HedgeCo.Net
editor@hedgeco.net