Pakistan and Kuwait Thursday inked Aadditional Loan Agreement of US $ 32 million for Neelum Jhelum Hydropower Project (NJHP).
Saleem Sethi, Secretary Economic Affairs Division and HamadulUmer, Deputy DG Kuwait Fund represented the Governments of Pakistan and Kuwait and signed the agreement.
While Finance Minister Ishaq Dar and Kuwaiti ambassador Nawaf Abdul Aziz were also represented in the signing ceremony.
Finance Minister Ishaq Dar, on occasion, welcomed the agreement between two brother countries.
Appreciating Kuwait efforts in development of Pakistan, the minister said that both countries enjoy strong and reliable relationship and this accord would boosts ties between two brotherly countries.
He said that the government and people of Pakistan are grateful to Kuwaiti leadership and its people for their permanent support to Pakistan.
Dar said that this project would help Pakistan to produce low cost electricity and helpful to end energy crisis in the country.
The Neelum Jhelum Hydropower Project is located at Muzaffarabad district of AJK. Upon its completion it will generate approximately 1000 MW of electricity.
Kuwait Fund for Arab Economic Development (KFAED) is one of the donors of this project; the other donors being Exim Bank China, UAE and Saudi Fund for Development.
Earlier, a Loan Agreement amounting to US $ 40.00 million was signed between Government of Pakistan and Kuwait Fund for Arab Economic Development on 25th November, 2010 for the purpose of construction of Neelam Jhelum Hydropower Project.
This project aims at developing the National Power Generation System to meet the increasing electricity demand in the country and indigenous renewable energy resources namely the hydro resources.