Pakistani President Asif Ali Zardari, seen here in 2008. [Photo: AFP/File/Jim Watson]

Pakistan says it's gearing up for the establishment of a Sino-Pakistani economic zone. Pakistani President Asif Ali Zardari will lead a delegation to China later this week to attract more Chinese investment. Tu Yun reports.

Reporter:
Three times in seven months -- The frequency of President Zardari's China visits have been quite high.

Pakistani Ambassador to China, Masood Khan.

"President Asif Ali Zardari has been coming to China as often as possible. This is yet another opportunity although with a different context."

The president will lead a delegation to attend the annual Bo'ao Forum for Asia in China's southern island province of Hainan this weekend. And the aim is quite clear.

"The broad areas to be covered would be investment in telecommunications, harbor engineering and in Hainan we should also learn tourism."

Pakistan has decided to establish an industrial economic zone for Chinese businesses under a free-trade agreement.

Ambassador Masood Khan says preparations for the project are underway and Chinese firms have many advantages to do business there.

"In the recent past, Pakistan and China have signed FTAs. We have the right instruments in place. There are very few barriers that would hamper trade and investment between the two countries. 420 In fact, the president of Pakistan at one point had said Chinese entrepreneurs and enterprises have the first right of refusal. We always prefer Chinese firms whether it's a railway project, or whether it's a power generation, mining."

And last but not least, the past experiences have turned out to be encouraging for Chinese investors.

"These business ventures, whether initiated by Pakistanis or Chinese, have been quite profitable."

Chinese firms, including telecom operators China Mobile and Huawei Technologies, have invested heavily in Pakistan.

Sino-Pakistani annual trade volume currently stands at around 7 billion US dollars. They aim to boost the number to 15 billion dollars by 2011.

Tu Yun, CRI news.