ADB, Pakistan sign agreement

$650m to be invested in infrastructure reconstruction.

ISLAMABAD:

The Asian Development Bank (ADB) and the Government of Pakistan on Thursday signed an agreement under which $650 million would be invested in reconstruction of vital infrastructure damaged by last year’s floods.

The financial assistance provided under the Flood Emergency Reconstruction Project (FERP) will go towards rebuilding damaged national and provincial road networks, irrigation systems and flood protection structures and kick-starting economic and livelihood activities.

ADB’s Country Director for Pakistan Rune Stroem said, “This investment is designed not just to rebuild what has been damaged but to build it to better standards.”

The project will improve 1.5 million hectares of agricultural land by restoring and strengthening flood protection embankments, rehabilitating canals and other allied infrastructure. Investments will also re-establish inter-regional connectivity and boost the reconstruction and livelihood restoration processes in the affected areas.

Stroem added that he was looking forward to working with the government of Pakistan and provincial agencies for speedy and effective implementation of the project.

In addition, ADB as part of its overall post-flood support increased the trade finance facility to Pakistan by $500 million, providing extra cover to emergency imports and exports during the reconstruction period, and contributed grants totaling $3 million to enable the National Disaster Management Authority to respond to existing and future emergencies in an effective manner.

Published in The Express Tribune, April 15^th,  2011.