FINANCE MINISTER WITNESSES SIGNING OF LOAN AGREEMENT FOR “SUSTAINABLE ENERGY SECTOR REFORM PROGRAM (SUBPROGRAM III)”BETWEEN GOVERNMENT OF PAKISTAN AND ASIAN DEVELOPMENT BANK
The Finance Minister, Senator Mohammad Ishaq Dar, witnessed the signing of loan agreement between Government of Pakistan and Asian Development Bank (ADB) for the financing of the Sustainable Energy Sector Reform Program (Subprogram III)amounting to US$ 300million at the Ministry of Finance on Friday. Mr. Tariq Pasha, Secretary, Economic Affairs Division (EAD), signed the Loan Agreement with Ms. Xiaohong Yang, Country Director, ADB.
The principal objectives of the said program are to improve the reliability, sustainability and affordability of the government’s energy sector in order to support economic growth. The reform program will help in improving the financial viability of the power sector by better managing tariff and subsidies, improving sector performance and opening the market to private participation. This will result in better transparency and accountability of institutions in the power sector.
Speaking on the occasion, the Finance Minister congratulated ADB, EAD and Finance Division on successful negotiations leading to the signing of loan agreement. He expressed appreciation for ADB’s continued support and partnership with Pakistan, including in the energy sector. The Finance Minister reiterated the government’s determination to resolve the issue of energy in Pakistan. He said that additional electricity will be added to the national grid by early 2018 through completion of ongoing projects, which will significantly reduce load-shedding.