Pakistan, World Bank sign $406.6m loan agreement for KPEC.


Pakistan and the World Bank on Friday signed the financing and project agreement $406.6 million for Khyber Pass Economic Corridor Project (KPEC). 'The project aims to construct a 48km-long four-lane, dual carriageway access-controlled motorway from Peshawar to Torkham,' said a statement issued by the Economic Affairs Division. 'This project will promote economic development and uplift areas adjoining expressway falling in Khyber Pakhtunkhwa.' According to the statement, the project envisages the use of public-private partnerships to develop clusters of economic zones and expressways.

The connecting transport infrastructure and economic zones would provide a strong foundation for private businesses to invest in these zones. 'The global integration of South and Central Asia is intertwined with the Khyber Pass and has served as the key node in trade for hundreds of years. The expressway between Peshawar and Kabul through the Khyber Pass represents a section of Corridors 5 and 6 of the Central Asia Regional Economic Cooperation (CAREC). Corridor 5, which runs through Pakistan, has the potential to provide the shortest link between the landlocked countries of Afghanistan, Tajikistan, Uzbekistan and the Arabian Sea. Corridor 6 provides access to Europe, Middle East and Russia. The KPEC will finance Peshawar - Torkham expressway portion of Corridor-5.

'The PeshawarTorkham expressway will reduce transit time and costs for regional and international trade transiting the Khyber Pass and extend till Karachi - Lahore -...

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