Pakistan, ADB sign agreements for US$1.54 bn financing

ISLAMABAD: Pakistan on Wednesday signed six agreements with the Asian Development Bank (ADB) to obtain financing of US$1.54 billion, ARY NEWS reported.

The agreements were signed by the secretary of economic affairs division and country director of the ADB in the presence of Minister for Economic Affairs Omar Ayub Khan.

Under the agreements, US$300 million would be provided for reforms in the energy sector, US$385 million for improvement of infrastructure in five cities of the Khyber Pakhtunkhwa (KP) province, and Rs235 million for the construction of the 222-kilomtere Shikarpur-Rajanpur Indus Highway.

The ABD would further provide US$603 million for the expansion of Ehsaas program. It will further provide financing of US$5 million for Kurram Tangi projects and US$15 million for KP cities.

Under the US$385 million financing for five KP cities, the ADB previously shared that the financing would help improve livability and community health in the cities.

According to an ADB press statement, the cities include Abbottabad, Kohat, Mardan, Mingora, and Peshawar.

This project will help to improve access to clean and safe water, reliable and integrated waste management and sanitation services, green urban spaces, and gender-friendly urban facilities.

“More than 3.5 million people will benefit from improved access to clean and safe water, reliable and integrated waste management and sanitation services, green urban spaces, and gender-friendly urban facilities,” read the ADB statement.

For US$603 million funding for expansion in Ehsaas program, the Asian Development Bank in its statement said: “Under the Integrated Social Protection Development Program, the ADB will provide a regular loan of $600 million and a $3 million grant from the Asian Development Fund, and will administer a $24 million grant from the Education Above All Foundation.”