The warning follows the survey conducted by the Japanese Commerce and Industries Association in which some very specific instances of corruption and irregularities were mentioned. So the complaints about the investment climate are getting louder.

Obviously, the investors' woes have a lot to do with lack of security and poor monitoring and supervision on the part of the government agencies concerned. The decision makers can ill afford to ignore the truth that foreign investment will continue to decline as long as law and order does not improve. Quite a few incidents have taken place in the country in recent times which might raise questions in the minds of prospective investors. The security of business installations and the investors has to be ensured as a matter of top priority.

The decision-makers should also be convinced that the incentive package offered to the investors could be offset considerably if they feel insecure. The FDI came down to $45 million in 2002 from $79 million in 2001, according to the 'World Investment Report 2003' prepared by UNCTAD. That is cause for concern since the country is largely dependent on foreign investment for refloating the economy.

It is highly regrettable that we are not performing up to the investors' expectations in the areas which are not linked with the incentives and facilities that foreign investors are getting. Matters can improve vastly if the officials dealing with foreign investors perform a little more efficiently. It appears that lack of communication is also a major hurdle. The point will be made clear by the fact that many foreign investors are not aware of the presence of a one-stop desk of the BoI at Zia International Airport.

The investors have been trying to make their point that they need a more secure social setting for operating smoothly. The government must address their problems in order to ensure that the services and facilities offered to the foreign investors are utilised properly.