The Asian Development Bank (ADB) will provide a $1.54b loan for energy sector reforms, urban infrastructure, social protection and water resources.
Federal Minister for Economic Affairs Omar Ayub Khan witnessed the signing of six Financing Agreements amounting to US$ 1,543 million between Economic Affairs Division (EAD), Government of Pakistan and Asian Development Bank.
The financing agreements include $300 million policy-based loan to support financial, technical and governance reforms to strengthen Pakistan's energy sector, $385 million financing agreement to improve urban infrastructure in five cities of Khyber Pakhtunkhwa Province, $235 million project loan to dualize 222-KM Shikarpur-Rajanpur Section of Indus Highway (N-55) and $603 million results-based lending program to strengthen and expand Ehsaas Program.
Omar Ayub Khan expressed his deep appreciation for the president, senior management and board of directors of Asian Development Bank for their continued and enhanced financial support towards reforming energy sector, improving road networks, enhancing social protection and developing
sustainable cities in Pakistan, according to a statement.
Khan stated that Khyber Pakhtunkhwa Cities Improvement Project (US$ 385 million) will help provincial and city governments of Khyber Pakhtunkhwa Province to improve the livability of five cities (Abbottabad, Kohat, Mardan, Mingora, and Peshawar) by providing water supply, sewerage, solid
waste management and green infrastructure.
Earlier this month, ADB approved a $200 million loan for the development of an irrigation system in Punjab that will help increase agricultural productivity and enhance food security.
ADB said that the scheme would provide reliable irrigation water supply to 704,000 hectares of land in Bhakkar, Jhang, Khushab, Layyah and Muzaffargarh districts, making them more agriculturally productive.