development projects

Govt seeks $142m loan for infrastructure development in Khyber Pakhtunkhwa

loan for infrastructure in Khyber Pakhtunkhwa

The government wants to obtain a loan of $142 million from the Asian Infrastructure Investment Bank (AIIB) for infrastructure development in five Khyber Pakhtunkhwa cities.

A total of $142 million is being sought from the government in order to improve access to safely managed water, sanitation, solid waste management, and green urban spaces in five cities of Khyber Pakhtunkhwa.

Read more: ECNEC okays Rs573bn for road, hydropower projects

The provincial government will construct, rehabilitate and revitalize core urban infrastructure in Peshawar, Abbottabad, Kohat, Mardan, and Mingora under the Khyber Pakhtunkhwa Cities Improvement Projects (KPCIP). This will be achieved through two inter-linked outputs: urban infrastructure and public spaces improved and expanded; and institutional capacities of urban service providers, the provincial government, and city government strengthened.

The infrastructure development project in Khyber Pakhtunkhwa for which government seeks further loan is co-financed with the Asian Development Bank as lead co-financer. The project aims to have positive environmental benefits as the construction of sanitary landfills, closure of existing dumpsites, and construction of sewage treatment plants (STP) will reduce urban pollution and prevent soil and water contamination.

Moreover, the urban quality will be enhanced with the range of environmental benefits through urban green space interventions. The sound design will halt the adverse environmental impacts due to large-scale construction at multiple geographic locations. Adopting viable climate resilience measures and innovations into the detailed engineering designs is also part of the project.

According to the Asian Development Bank, the project readiness financing for KPCIP is the first of this type of financing modality approved by the bank. The project will finance the preparation and engineering design of the project that includes future pipeline projects for the province.

The report revealed by ADB, engineering design, and construction supervision consultant under the guidance of the KP government is currently preparing 26 detailed engineering designs.

Most Popular

To Top