Chakdara-Timargarah Road: $49.045m loan agreement for N-45 inked with EXIM Bank of Korea

Updated 29 Jan, 2021

ISLAMABAD: The government of Pakistan on Thursday signed a loan agreement of $49.045 million for Chakdara-Timargarah Road (N-45) with the EXIM Bank of Korea.

Noor Ahmed, secretary, Economic Affairs Division (EAD) signed the loan agreement for Section-I of Chakdara-Timargarah Road (N-45) with the EXIM Bank of Korea under the Economic Cooperation Development Fund (EDCF).

From Korean side, Shin Deong-yong, senior executive director of EXIM Bank signed the loan agreement.

Under this financing agreement, the National Highways Authority (NHA) will improve and widen 38.85 km of Chakdara–Timargara Section-I (N-45).

The total cost of the project is $60.740 million out of which Korean EXIM Bank has committed to provide $49.045 million as soft loan while the Government of Pakistan will provide $11.695 million.

The NHA, Ministry of Communications is the executing agency for the subject project.

The project aims to improve the connectivity by widening and rehabilitating the existing road and enhance the effective use of National Highway (N-45).

It will also help to promote trade with neighbouring Central Asian countries by improving major arterial roads and bridges in Khyber-Pakhtunkhwa.

Copyright Business Recorder, 2021

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