Islamic Development Bank signs US$60 million power project with Pakistan

Jeddah: Islamic Development Bank IDB, signed US$60 million lease finance (Ijara) agreement with Pakistan for the development of 147MW Patrind hydropower project, International Islamic News Agency reported on Saturday.

The agreement was signed in Islamabad by Ahmed Al Hariri on behalf of IDB & Farouk Javed, CEO, Star Hydro Power Limited. Once operational in 2016, the environment friendly project is expected to add a net generation capacity of 147MW to national grid. It will help Pakistan increase utilization of its renewable resources to generate power in an economically sustainable manner and reduce dependency on imported fuel.

Pakistan is second largest beneficiary of IDB Group financings among IDB member countries. Since inception, total IDB Group commitment to the country has reached $7.6 billion, including 85 projects for $2.2 billion. Sector-wise, distribution of IDB financing indicates a substantial share has gone to power generation and transportation.

IDB Group’s Member Country Partnership Strategy MCPS for Pakistan for period 20122015 focuses on development priorities including improvements in energy, transport, agriculture, health, education, private sector, capacity building.

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