PESHAWAR: The provincial government has decided to take an additional loan of Rs24 billion from the World Bank to irrigate 790,000 acres of barren land in the province.
This was decided during a meeting held under the chairmanship of KP Agriculture and Livestock Minister Mohibullah Khan. Agriculture and Livestock Secretary Dr Muhammad Israr, Farm Water Management Director General Javed Iqbal, Director Headquarters Naseebur Rehman Khattak and Agriculture CPO Syed Murtaza Shah were also present on the occasion.
It was decided that the total cost of the project would be Rs30 billion, of which the provincial government would spend Rs6 billion.
“Under the project, the KP government will modernise and expand its irrigation system so as to increase agricultural production in the province,” said Agriculture and Livestock Minister Mohib Ullah Khan.
As many 14,260 irrigation canals would be repaired in the next six years under the project, Khan said while sharing the details of the project. In addition, he added, 5,000 metric tonnes of water storage ponds would be constructed for irrigation purposes, while a new irrigation system would be installed on 11,650 acres of land.
“It [the new system] will provide water to 66,000 acres of land, including 25,000 acres of barren land.”
Meanwhile, sources in KP’s Finance Department informed this scribe that since 2013, the provincial government has taken record loans from international institutions, including $350 million from the Asian Development Bank for the Bus Rapid Transit Project (BRT).
“But despite multiple cost revisions and repeated government assurances that the project will be completed within the stipulated deadlines, the BRT project is still to see the light of day,” an insider said.
As per the sources, KP’s total debt at the end of the last fiscal year (FY19) was Rs193.70 billion. They expect the volume of debt to multiple this year as well since the government has secured more loans. Besides, the devaluation of PKR would also have an adverse impact on the overall debt.
KP Finance Minister Taimur Saleem Jhagra and Chief Minister’s Information Adviser Ajmal Khan didn’t respond to a request for comment.
