Saudi Fund for Development commits $101mln to Pakistan's clean energy

PHOTO

ISLAMABAD — The Saudi Fund for Development (SFD) CEO Sultan Abdulrahman Al-Marshad and the Secretary of the Ministry of Economic Affairs of Pakistan Dr. Kazim Niaz have signed two pivotal development loan agreements totaling $101 million to bolster Pakistan's clean energy sector.

These agreements, valued at $66 million for the Shounter Hydropower Project and $35 million for the Jagran-IV Hydropower Project, aim to significantly enhance Pakistan's renewable energy infrastructure by adding a combined total of 70 megawatts of hydropower capacity to the national grid.

The funding will facilitate the construction of essential infrastructure, including dams, water diversion systems, powerhouses, and transmission lines, marking a significant step forward in Pakistan's transition towards sustainable energy sources.

These projects not only aim to address the environmental and financial challenges associated with conventional energy sources but also underscore the critical role of clean energy in promoting sustainable development, economic growth, and social welfare across Pakistan.

This move reinforces the SFD's long-standing commitment to supporting Pakistan's development goals, having financed 41 development projects and programs since 1976 with soft loans and grants exceeding $1.4 billion, aimed at fostering growth in various critical sectors throughout the country.