Islamabad:- Ministry of Economic Affairs (MoEA) and Water and Power Development Authority (WAPDA) have signed a Subsidized Loan Agreement (SLA) worth USD 25 million for Mohmand Dam Hydroelectric Project. The agreement was signed at the Ministry of Economy. Secretary, Ministry of Economy, Dr. Kazim Niaz signed on behalf of the Ministry, WAPDA represented by Lt. General Sajjad Ghani, Chairman, WAPDA. His Majesty Nassar Abdulrahman Jasser Al. The Kuwaiti Ambassador to Pakistan congratulated Mutairi for his participation in the event.
This significant funding comes as a result of the Kuwait Foundation’s commitment of $100 million to support the Mohmand Dam hydroelectric project. Total financing will be disbursed through four equal loans of USD 25 million each. The first loan agreement was signed between the Government of Pakistan and the Kuwait Fund on June 3, 2024 in Kuwait.
Mohmand Dam is a comprehensive infrastructure project designed to meet several needs. With an installed capacity of 800 MW, it aims to produce approximately 2,862 GW of electricity annually, significantly reducing the existing electricity supply gap. In addition, the dam will create an active storage capacity of 1,594 million cubic meters and ensure a reliable and continuous supply of irrigation water. The 213 meter high structure will play an important role in flood control, flood risk reduction and flood protection. Additionally, the project will supply 13.32 cubic meters of potable water per second from the Mohmand dam reservoir to Peshawar in Khyber Pakhtunkhwa, meeting the region’s need for sustainable potable water supply.
The Secretary of the Ministry of Economy said that the signing of this SLA is an important step for the smooth implementation of the Mohmand dam project, which will help develop critical infrastructure that will provide long-term benefits in terms of power generation, irrigation, and flood control. and water supply.
