Wapda has asked Saudi Arabia to offer concessional mortgage of $2.Three billion at 2.25pc interest charge for 25 years with grace duration of six years
ISLAMABAD: Pakistan has sought $three.5 billion financing from the Kingdom of Saudi Arabia (KSA) for Diamer-Bhasha Dam all through the go to of a high-powered delegation from KSA on April 15-sixteen.
“The government in KSA would reply to Pakistan after the input of the financial adviser on Diamer-Bhasha Dam. The economic adviser to be appointed with the aid of KSA might perform due diligence of the undertaking and commercial enterprise version which Pakistan authorities pitched before the Saudi delegation,” a senior government official instructed The News.
“Wapda would additionally appoint a economic adviser (FA), in order to deal with the FA on the undertaking appointed by using KSA.” The formal request is probably to come back from KSA in 1.5-2 months.
The cost of Diamer-Bhasha Dam stands at $8 billion out of which overseas element stands at $4 billion. Wapda has organized $500 million through its Euro Bond.
Out of $3.Five billion, Wapda requested the KSA government to provide concessional mortgage of $2.Three billion at 2.25pc interest charge for 25 years with grace length of six years. It sought $1.2 billion as its equity in the assignment at four.45pc at par with the interest price of US 10-year Treasury Bond.
The Saudi Fund has already supplied $240 million as concessional loan at 2.25pc for 25 years. The Diamer-Basha Dam task is being constructed on a 30pc equity and 70pc debt ratio. This is the most important dam in Pakistan and tallest RCC (Roller Compacted Concrete) in the international.
Work has already started on the dam a part of the assignment. The dam will have capacity to generate around 18 billion GWh annually. Four,500 megawatts of power could be generated with gross storage ability of eight.10 MAF (million acres toes) of water, while live storage capacity could be 6.4 million MAF.
