ADB Signs $730 Million Financing Agreements with Pakistan
ADB funds major energy and reform projects.
The Asian Development Bank has formalized financing agreements with Pakistan totaling $730 million for two strategic initiatives aimed at enhancing energy infrastructure and advancing governance reforms in state-owned enterprises. The signing ceremony featured Muhammad Humair Karim, Secretary of the Economic Affairs Division, and ADB Country Director Emma Fan, underscoring a deepened partnership committed to addressing critical developmental challenges in the nation.
The Second Power Transmission Strengthening Project, allocated $330 million, focuses on facilitating the reliable evacuation of approximately 2,300 megawatts from forthcoming hydropower developments. This investment will alleviate overloading on current transmission networks, bolster grid resilience during emergencies, and contribute to a more stable and efficient power supply framework essential for sustained economic growth.
Complementing the energy initiative, the $400 million Accelerating State-Owned Enterprise Transformation Programme seeks to reinforce adherence to the SOE Act of 2023 and the accompanying SOE Policy. With particular emphasis on improving the operational performance of entities like the National Highway Authority, the program aims to elevate efficiency, transparency, and accountability across public sector organizations.
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Secretary Karim expressed gratitude toward the ADB for its steadfast role as a reliable development ally, highlighting the transformative potential of these projects in securing energy reliability and fostering institutional advancements. He noted that the transmission enhancements would fortify the national grid while the SOE reforms would drive greater compliance and productivity in key sectors.
These agreements reflect the ADB's ongoing dedication to supporting Pakistan's priorities in infrastructure modernization and structural reforms, paving the way for enhanced economic stability and improved service delivery in vital areas of national importance.
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