Pakistan signs $25m loan agreement with Kuwait for Mohmand Dam

Pakistan has signed a significant agreement with Kuwait for the construction of Mohmand Dam. This was signed during a recent high level delegation visit to Kuwait headed by Abdul Aleem Khan, Minister for Privatisation.

Kuwait has agreed to loan $25m to Pakistan for Mohmand dam with assurances of support from the Kuwait Fund for engaging the Arab Coordination Group in financing the Diamer Bhasha Dam. The Fund also expressed its willingness to consider the financing request from the Government of Pakistan for the Kachhi Canal project.

During the visit the 5th Session of the Pakistan-Kuwait Joint Ministerial Commission (JMC) was held in Kuwait from May 28th to 30th, 2024. This event marked a significant step in enhancing the bilateral relations between Pakistan and Kuwait. The session was co-chaired by Abdul Aleem Khan, Pakistan’s Minister for Privatization, and Omar Saud Al-Omar, Kuwait’s Minister for Commerce and Industry. Both leaders emphasized their commitment to strengthening cooperation across various sectors. Ziad Abdullah Al-Najem, Under-Secretary of the Ministry of Trade and Industry of Kuwait, welcomed the Pakistani delegation warmly and stressed the importance of the session in advancing bilateral relations.

The session’s discussions covered a broad range of sectors including commerce and trade, food security and livestock, maritime and ports, industries and production, investment, energy, oil and natural resources, overseas employment, visa, higher education, science and technology, banking and finance, taxation, arts and culture, sports and tourism, health, information and broadcasting, and development cooperation.

Significant progress was made during the JMC proceedings, with the signing of memorandums of understanding (MoUs) and agreements in industrial cooperation, engineering councils, and news exchange. Agreements were also reached to formalize MoUs in agriculture, maritime and ports, avoidance of double taxation, quality and safety standards, and higher education. Both sides agreed to establish Joint Working Groups (JWGs) to address trade and investment matters, as well as visa and consular affairs.