Islamabad: The Asian Development Bank (ADB) on Saturday inked two loan agreements with the Government of Pakistan – amounting to USD 359 million – for funding the bus rapid transit (BRT) project in Karachi and enhancing the quality of the Sindh secondary education system.
Economic Affairs Secretary Noor Ahmed and ADB Country Director for Pakistan Xiaohong Yang signed the agreements on behalf of their respective associations. Under the agreement, the ADB will provide USD 235 million loan for the 26.6-kilometre-long BRT Red Line corridor.
Additionally, the Green Climate Fund will also provide USD 37.2 million as a loan and USD 11.8 million as a grant for the same project. The project features innovate energy and climate-resilient characteristics to enhance Karachi’s mass transport system. The Karachi’s BRT project also aims to ease congestion, improve commuting and add to the quality of life for the citizens. Presently, the project is undergoing the procurement of civil works and services to timely expedite its implementation.
Furthermore, the second loan agreement – of worth USD 75 million – was signed for the Sindh Secondary Education Improvement project and would be financed through the ADB’s Concessional Ordinary Capital Resources that offers low-interest rates.