ISLAMABAD: A Subsidiary Loan Agreement worth $25 million was signed for the Mohmand Dam Hydropower Project, being constructed on the Swat River in the Mohmand district of Khyber Pakhtunkhwa.
The agreement was signed between the Ministry of Economic Affairs and the Water and Power Development Authority.
This substantial funding is part of the Kuwait Fund’s commitment to provide a total of $100 million to support the Mohmand Dam Hydropower Project.
The funding will be disbursed in four equal installments of $25 million each. The first installment was signed earlier this month between the Government of Pakistan and the Kuwait Fund.
The Mohmand Dam is a comprehensive infrastructure project designed to meet various needs. It aims to generate approximately 2,862 GWH of electricity annually, with an installed capacity of 800 MW, thereby reducing the current energy supply gap significantly.
Furthermore, the dam will create a reservoir with a capacity of about 1,594 million cubic meters, ensuring a reliable supply of irrigation water.
The 213-meter-high structure will also serve a crucial role in flood control, helping to mitigate flood damage and provide essential flood protection.
Furthermore, the project will supply 13.32 cubic meters per second of drinking water to Peshawar.
