The executive board of the World Bank will meet in November to consider lending $250 million towards the development of private sector energy projects in Pakistan. Co-financing of $110 million has been confirmed from the Export Import Bank of Japan (Jeximbank) and $10 million from the French government.
Part of the money will finance the construction of a 1,292-MW power plant for the Hub Power Company (Hubco). This will be in addition to loans of $465 million the private sector energy development fund has already made available. The balance will go towards other private-sector power projects.
The governments of Germany and Korea have also expressed interest in lending money towards particular projects in which German and Korean contractors are involved. Loan agreements worth $250 million were recently signed by the World Bank for the restructuring of the Water & Power Development Authority (MEED 28:9:94).