September 30, 2020

Pakistan To Challenge Heavy Fines Imposed In The Reko Diq And Karke Cases

The Federal Minister for Power Mr. Omer Ayub said in a press conference that Pakistan would challenge the verdict announced against Pakistan regarding the Reko Diq and Karke cases. The International Center for Settlement of Investment Disputes (ICSID) had ordered against Pakistan and directed the government to pay $6.5 billion fine in the Reko Diq case and $1.2 billion fine in Karke case.

The minister argued that Pakistan, with it’s weak economy cannot afford to pay such heavy fines, he further added that no developing country can pay such heavy fines and this situation would lead to a hostile takeover of assets of the country.

He added that the previous government had imposed extra duties on different companies and this led these companies to filing complaints in international courts. He added that the current government is trying to facilitate the investors and resolve any issues through dialogue.

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