Asian Infrastructure Investment Bank approved huge loan for Pakistan: Report
ISLAMABAD - The Asian Infrastructure Investment Bank (AIIB) has approved $112 million to improve transport and water services in Pakistan's economic hub Karachi.
AIIB's latest investment is a $40mn loan approved by its Board of Directors in October to improve Karachi's water services, bringing the bank's overall financial commitment to Pakistan to $512 million.
This loan is geared toward upgrading the Karachi Water and Sewerage Board's (KWSB) efficiency and sustainability. Once fully operational, an estimated two million residents will benefit from better customer service and reduced water losses.
The key components of the Karachi Water and Sewerage Services Improvement Project include strengthening KWSB's technical and managerial capacity and operational performance, rehabilitating existing infrastructure and supporting contract management.
Just days ago, a loan amount worth $71.81 million was approved by the AIIB for the Karachi Bus Rapid Transit (BRT) Red Line project. The project, which will be launched in 2020, will facilitate commuters and address transport issues in the metropolis. The project is expected to be completed by end of December 2023. The approval for the said project was given by the AIIB on November 11 in Beijing.
“AIIB has a steadily growing investment portfolio in Pakistan, which is closely aligned with the country's national development priorities," said AIIB Vice President and Chief Administration Officer Luky Wuryanto, in a statement.
AIIB is a multilateral development bank with a mission to improve social and economic outcomes in Asia.