RIYADH: The Islamic Development Bank has signed three financing agreements, valued at $180 million, with the Government of Pakistan, to support its green agenda, it said, in a statement.
The financing is set to fund the Mohmand Dam and Hydropower Plant project. It aims to add 800 megawatts to Pakistan’s installed hydropower capacity and generate approximately 2,862 gigawatt hours annually.
“We are working with other players from the Arab Coordination Group to develop a multi-purpose dam. It will not only enhance energy and water supply, but also the livelihoods of the local communities, and better protect them against floods,” IsDB’s president said.
“The signing of these agreements is testimony to the continuity of the strong partnership between Pakistan and IsDB Group. It aligns with the country’s priorities and our own commitments to allocate more financing to climate-friendly projects,” Muhammad Al Jasser added.
Upon completion, the dam will enhance energy generation and provide sustainable water resources for agriculture and human consumption in the province, contributing to national energy and water security.
The funding supports Pakistan’s efforts to achieve the goal stated in its Vision 2025 of more than doubling its installed hydropower capacity by 2030.