Pakistan, AIIB Ink $320 Million Loan Agreement to Rehabilitate Crucial N-5 Highway
Federal Minister Ahad Cheema terms N-5 corridor vital for regional trade; project to connect Sindh, Punjab, and KP with climate-resilient infrastructure.
ISLAMABAD:
The Government of Pakistan and the Asian Infrastructure Investment Bank (AIIB) have officially signed a landmark $320 million loan agreement targeted at upgrading the country's transportation network. According to the Ministry of Economic Affairs, the funds will be exclusively utilized for the comprehensive rehabilitation and modernization of the N-5 National Highway.
The signing ceremony was witnessed by Federal Minister for Economic Affairs Ahad Cheema, alongside senior officials from the Economic Affairs Division and top executives from the AIIB. The agreement was formally signed by Secretary of Economic Affairs Muhammad Humair Karim and the Chief Investment Officer of AIIB.
N-5 Corridor: The Lifeline of National and Regional Trade
Speaking at the occasion, Federal Minister Ahad Cheema underscored the strategic importance of the highway, identifying it as a critical artery for both the domestic economy and cross-border trade.
"The N-5 rehabilitation project will significantly strengthen transport connectivity across Sindh, Punjab, and Khyber Pakhtunkhwa," Minister Cheema stated. "It is poised to play a transformative role in enhancing regional connectivity, boosting trade volumes, and driving sustainable economic growth."
Modern, Eco-Friendly, and Climate-Resilient Design
Highlighting the long-standing partnership with the multilateral lender, Cheema lauded the AIIB as a highly reliable development partner for Pakistan. He emphasized that the reconstruction of the N-5 highway will adhere to cutting-edge global standards.
Key components of the upcoming project include:
Climate Change Resilience: The infrastructure will be redesigned to withstand extreme weather patterns and climate-induced challenges.
Eco-Friendly Infrastructure: Integration of sustainable construction materials and modern engineering techniques.
Long-Term Efficiency: Setting up a robust foundation for a durable, efficient, and safer national transport system.
The Minister concluded that the agreement marks a new milestone in Pakistan-AIIB cooperation, representing a major leap forward in promoting sustainable development and nationwide connectivity.