06/09/2021 | Press release | Distributed by Public on 06/09/2021 23:52
Saudi Arabia commits SAR 901 million (Rs. 37.4 billion) for Mohmand Hydropower Project.
Islamabad, the 9th June, 2021: Ambassador of the Kingdom of Saudi Arabia in Pakistan H.E. Nawaf bin Saeed Al-Malkiy called on the Federal Minister for Economic Affairs Mr. Omar Ayub Khan in his office today. The Saudi Ambassador apprised the Minister for Economic Affairs about successful visit of the Prime Minister of Pakistan to Saudi Arabia and shared its outcomes.
During the meeting, the Saudi Ambassador informed that Saudi Fund for Development (SFD) has approved 901 million Saudi Riyal (Rs. 37.4 billion) for Mohmand Hydropower Project. The SFD has approved this financing at highly concessional terms with 2% interest rate and 25-years repayment period. This dam will be constructed on Swat River in District Mohmand of Khyber Pakhtunkhwa Province and generate 800MW electricity. It will also irrigate 16,000 acre land and boost agriculture productivity in the region. This dam will play vital role in socioeconomic uplift of the province.
Minister for Economic Affairs highlighted that Mohmand Hydropower Project will not only help unleash hydropower potential of the Khyber Pakhtunkhwa Province but also improve energy security by increasing share of hydel power in the country's energy mix. 'Our government is focusing on environment friendly and affordable energy through development of solar, wind and hydel resources', he added. The Minister for Economic Affairs appreciated the Saudi support in the priority development areas.
Both the sides also discussed the bilateral economic cooperation and committed to expedite the implementation of ongoing development projects. The Saudi Ambassador assure of continued support at all level to further strengthen the economic cooperation between the two brotherly countries. The Saudi Ambassador said that the Saudi-side is committed to play a much stronger role in the socioeconomic development of Pakistan. The Ambassador also appreciated the role of Pakistani workers in the development of Saudi Arabia