Pakistan and Germany ink huge financing agreement worth billions
ISLAMABAD - Pakistan and Germany have inked financing agreement for Hydropower and Renewable Energy Phase-II worth 2,145.29 million rupees.
A ceremony to this effect was held in Islamabad on Friday in which Secretary, Economic Affairs Division Dr. Syed Pervaiz Abbas and Country Director, German Development Bank Wolfgang Moellers signed the document on behalf of their sides. Minister for Economic Affairs Hammad Azhar was also present on the occasion.
Addressing the ceremony, Hammad Azhar thanked the German government for the grant assistance which will be helpful in addressing the increasing energy needs of the region while employing environment friendly solutions.
Country Director, KfW Wolfgang Moellers said that soon the population of Gilgit-Baltistan will have access to the green and sustainable energy, which will contribute towards socio-economic uplift of the masses. This will also help to create more jobs and promote tourism in the area.
Under the agreement, German Development Bank will provide grant assistance worth 12.5 million Euros to the Government of Gilgit-Baltistan and Agha Khan Rural Support programme. The project has one component of hydropower that will be implemented by the Water & Power Department of GB Government while the second component of biodiversity will be executed by the Agha Khan Rural Support Program.
The implementation of HRE-II in Gilgit-Baltistan will contribute to the provision of electricity for the population of Hunza and Nagar through utilization of its abundant water resources.