Islamabad, March 22, 2024, Sultan Abdulrahman Al-Marshad, the CEO of the Saudi Fund for Development (SDF), signed two significant development agreements with Dr. Kazim Niaz, the Secretary of the Ministry of Economic Affairs of the Islamic Republic of Pakistan. These agreements are aimed at financing the establishment of the Shounter Hydropower and Jagran-IV Hydropower Projects through development soft loans totaling $66 million and $35 million, respectively.
The first agreement focuses on the construction of the Shounter Hydropower station, which will have a capacity of 48 megawatts and will be connected to Pakistan's national electricity grid. This project includes the construction of a dam, water diversion and purification structures, excavation of the main water transport tunnel, powerhouse and discharge tunnel construction, as well as the supply of equipment, devices, and transmission lines.
Simultaneously, the second agreement pertains to the establishment of the Jagran-IV Hydropower Project, with a capacity of 22 megawatts, also to be connected to Pakistan's national electricity grid. This project involves the construction of a dam, powerhouse, water diversion, and purification building, as well as the provision of generators, transformers, necessary equipment, and transmission lines.
These agreements reflect ongoing efforts to enhance clean energy projects in Pakistan, addressing challenges associated with conventional energy sources and their financial implications. Furthermore, they emphasize the importance of clean energy in creating opportunities for sustainable development, supporting social progress, stimulating economic growth, and fulfilling the basic needs of the population.
It is noteworthy that the Saudi Fund for Development has been actively supporting Pakistan since 1976, providing financing for the implementation of 41 development projects and programs through development soft loans and generous grants totaling over $1.4 billion. These initiatives have significantly contributed to the growth of various vital sectors across different regions of Pakistan.
