Energy sector reforms: Japan agrees to give concessionary loan

“We are pleased to work with Pakistan to tackle this problem in cooperation with other development partner,”says envoy

ISLAMABAD:

The Government of Japan formally agreed to extend a concessionary loan of ¥5 billion (approximately Rs5 billion) to Pakistan in order to support energy sector reforms in the country.

The agreement was signed between Japan Ambassador Hiroshi Inomata and Economic Affairs Division Additional Secretary Yasmin Masood.

“Japan recognises that addressing power crisis is a matter of critical urgency in Pakistan,” Inomata stated. “We are pleased to work with Pakistan to tackle this problem in cooperation with other development partners.”

This loan is provided as a part of a joint programme to support the energy sector reforms which are co-financed by the Asian Development Bank (ADB) and the World Bank (WB).

The ADB, WB and Japan have worked with the government to develop a reform programme and set agreed policy targets to manage tariff and subsidy, improve sector performance and open the market to private participation.

Published in The Express Tribune, June 5^th, 2014.

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