France will provide a loan of Rs19.5 billion to Pakistan for the development of the Peshawar Bus Rapid Transit project.
The loan of 130 million euros (equivalent to Rs19.5 billion) will be provided through the French Agency for Development (AFD). The multi-billion rupee project is aimed at providing safe and efficient transportation to the commuters of Peshawar.
A credit facility agreement worth Rs19.5 billion was inked by Economic Affairs Division Secretary Noor Ahmed, French Ambassador in Pakistan Marc Barety and AFD Country Director Jacky Amprou on Tuesday, stated a press release issued by the Embassy of France.
The Peshawar BRT project is the flagship project of the PTI government in the construction and infrastructure sector in the province.
The previous government of the PTI led by Pervez Khattak launched the project on October 20, 2017 with the claim that the project would be completed in six months. The project, however, is still under construction and the cost has been escalated from Rs49 billion to over Rs68 billion due to frequent changes in its design.
According to the revised PC-1 of the project, the estimated cost is over Rs68 billion for which the government was in negotiations with AFD to secure a loan for its financing.