ADB approves $320 million loan to improve climate-resilience and road safety in Pakistan

The Asian Development Bank (ADB) has approved a $320 million loan aimed at rehabilitating roads in Khyber Pakhtunkhwa, Pakistan, to ensure safe and year-round connectivity in rural areas.

The Khyber Pakhtunkhwa Rural Roads Development Project will focus on upgrading approximately 900 kilometers of rural roads that are prone to flooding and currently in poor condition. These roads serve as essential links for remote communities, providing access to education, healthcare, and markets.

“Road transport is both a lifeline to the people and a key component of socioeconomic development in Pakistan. This vital infrastructure project will reduce travel time, lower transportation costs, and increase access to economic opportunities for millions of residents in Khyber Pakhtunkhwa,” said ADB Director General for Central and West Asia, Yevgeniy Zhukov. “By providing better access to markets and services, we are empowering local communities and driving inclusive economic growth in one of Pakistan’s most underserved regions.”

The project will integrate climate-resilient designs, enhance road safety, and promote sustainable maintenance practices.

The project will also provide technical and financial assistance to the government in developing long-term strategies for improving the climate resilience and sustainability of the road infrastructure in the province.

The region has experienced significant changes in annual rainfall and temperature patterns, which have intensified the impact of natural disasters. Since 2010, flooding events have caused extensive damage to the road network, affecting connectivity and increasing transportation costs.

“ADB will help the government conduct a comprehensive study on flood susceptibility, with a focus on landslide vulnerability across the province, to identify priority roads,” said ADB Senior Transport Specialist Seunghyun Kim. “We will support the government in preparing concessional contracts for the operation and maintenance of two tourism roads, which will contribute to the sustainability of the road network.”

Pakistan, a founding member of ADB, has received over $52 billion in public and private sector financing from the institution since 1966, supporting the development of infrastructure, energy, food security, and social services.

ADB remains committed to fostering a prosperous, inclusive, resilient, and sustainable Asia and the Pacific, while continuing efforts to eradicate extreme poverty. Established in 1966, ADB is owned by 68 members, with 49 from the region.

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