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ADB refuses to fund mega dam project

Updated Oct 27, 2016 07:45am


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ISLAMABAD: Finance Minister Ishaq Dar and ADB President Takehiko Nakao address a press conference.— APP
ISLAMABAD: Finance Minister Ishaq Dar and ADB President Takehiko Nakao address a press conference.— APP

ISLAMABAD: The Asian Development Bank (ADB) on Wednesday declined to commit funds for the $14 billion Diamer-Bhasha dam project and called for governance reforms to encourage private investment and equitable growth for all Pakistanis.

“We did not really make any commitment. This is a very big project,” ADB president Takehiko Nakao said on Wednesday at a joint news conference with Finance Minister Ishaq Dar on the conclusion of the 15th ministerial meeting of the Central Asia Regional Economic Cooperation (CAREC) programme.

He said the United States Agency for International Development (USAID) was conducting a feasibility study on the Diamer-Bhasha dam, adding that while it was a very important project for Pakistan’s energy and irrigation requirements, it called for the formation of more partnerships that could provide funding for the project.

Read: Marketing Diamer-Bhasha dam

“We haven’t decided [whether to fund] this project yet because it needs big money,” he said, adding that the ADB might consider joining the financing of this project at a later date.

Bank’s chief says it may join the Diamer-Bhasha dam project at a later date

The ADB was originally seen by Pakistan as the lead financier of the strategic project, which would have a water storage capacity of over six million acre feet and a power output of 4,500MW. Repeated efforts to rope the World Bank in as a co-lender failed two years ago when the government declined to seek an NoC from India for the project.

Instead, Finance Minister Ishaq Dar accepted a funding offer from the World Bank to start the Dasu Hydropower project, downstream of Diamer-Bhasha, saying the government would simultaneously go ahead with both projects.

The ADB has been advising the government to adopt a professional approach towards the construction of the big dam that cannot be funded by a single institution, country or group given its mammoth financial requirements and the risks involved.

As a way out, the ADB had advised Islamabad to restructure the Diamer-Bhasha dam project by separating power generation, land acquisition and main dam structures and their various modes of financing.

To do that, the government engaged USAID for a feasibility study and is seeking investment from US investors to develop it as an independent power project (IPP). The government is providing funds for the land acquisition of the project through Public Sector Development Programme (PSDP) funds.

The ADB president said Pakistan’s successful completion of a multi-year IMF programme was encouraging, but added that the country still faced several challenges in maintaining its hard-earned gains. He said that deeper structural reforms in the energy sector should continue where smart metering was possible and public sector enterprises should be made more efficient so that private investors — both domestic and foreign — could be encouraged to come forward and contribute.

Mr Nakao stressed that it was very important for Pakistan to continue fighting against corruption, tax avoidance and money laundering, saying that the government should make efforts to minimise these menaces. He said the signing of a tax avoidance treaty with the Organisation of Economic Cooperation and Develop­ment (OECD) would greatly help in this regard.

Responding to a question, he said good governance was critical for improving spending on the safety and security of people and raising their living standards. The government should take corrective steps; the sooner, the better, he said.

Responding to another question on start-up problems in ADB-funded projects, he said the bank was currently providing on average $1.5 billion to Pakistan per year, but admitted that it was important to improve implementation standards for accelerated disbursement, timely construction and completion so that the benefits of these projects could reach the people.

He also asked Pakistan to wisely implement projects under the China-Pakistan Economic Corridor (CPEC) and utilise their funds well so as to avoid debt or repayment problems. He said the ADB supported regional integration efforts such as the CPEC because they ensured shared development.

Finance Minister Dar and the ADB chief also witnessed the signing of a $250 million loan-agreement on the ‘Regional Improvement of Border Services’ between Pakistan and ADB to improve border management facilities at Torkham, Chaman and Wagah under the auspices of CAREC.

The projects aims at the modernisation of the physical infrastructure at border crossing points, provision of equipment such as scanners, weighing bridges etc, IT hardware & software support for the transition to a one-window system, and streamlining cross border procedures and capacity development.

The minister said the CAREC ministerial meeting had formally adopted Georgia as its 11th member. Existing members include Afghanistan, Azerbaijan, China, Kazakhstan, Kyrgyz Republic, Mongolia, Tajikistan, Turkmenistan, Uzbekistan and Pakistan.

Multilateral and International development agencies including International Monetary Fund, World Bank, Islamic Development Bank, Asian Development Bank, UNDP, Japanese International Cooperation Agency (JICA), USAID, DFID of UK, European Bank for Reconstruction and Development and the World Trade Organisation also participated in the meeting.

Published in Dawn October 27th, 2016


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Comments (151) Closed

Raja Oct 27, 2016 07:36am

This is very good decision.

khan Oct 27, 2016 07:37am

government should send at least 200 graduates abroad specially japan, korea to study in respective fields and for respective purposes. HEC sends 1000s but that wont help because they are for academic purpose only. also diplomacy failed once again. what do you think why bank backed off.

Meow Oct 27, 2016 07:37am

Why Isn't China paying. That's not friendship

Israel Khan Ismailzai Oct 27, 2016 07:41am

Thank you, Thank you, Thank you. Let us learn to live and run a country without loans.

Catalyst Oct 27, 2016 07:41am

Another "achievement" of this experienced team.

Vish Oct 27, 2016 07:43am

Apply in BRICS Bank.

Ali Proud Indian Oct 27, 2016 07:56am

What a Pity?

Jawad Oct 27, 2016 07:57am

How much loan will this guy take ..??? This is financial terrorism ...

Muhammad Sajid Oct 27, 2016 07:59am

Earth is round and that's what we were taught in the elementary classes at school. ADB President statement calling for governance reforms to encourage private investment and equitable growth for all Pakistanis sums up the government reputation in the eyes of ADB.

sajed syed Oct 27, 2016 08:01am

Government shall do a study of worst scenarios case where there is unrest or separation of certain critical parts of the country. That will help it to decide where to invest, how much to invest (repayment certainty basis), over which period to invest (over-committing and investing at the same time can jeopardise the whole range of project-cash flow, inflation, debt burden), which model of development-Public, private, public-private partnership and which countries/investors to target to mitigate dependence on one country/type of investors.

And no harm in giving out blueprint to public through online dissemination. Public will give feedback to improve the whole investment and also since they will indirectly own it (since they were given a chance to comment and give their views) and have more commitment and loyalty to it.

ABCD Oct 27, 2016 08:04am

Go go ADB, China will help. Other wise WB or Islamic Development Bank or China will help. If nobody will help then Sarif and Zardari will help. Even IK will be ready to help. You are losing a permanent customer.

Yo Oct 27, 2016 08:08am

Ask to china..Friend right?

Aftab Oct 27, 2016 08:09am

No worries, Our best friend China will not only fund it, will built it for us. Who cares when a superpower China is at our side.

Siddhu Ji Oct 27, 2016 08:12am

@Vish very well said

AHA Oct 27, 2016 08:17am

This is not end of world. There are other avenues open. I wish you good luck from other side of fence my friends.

Israr Oct 27, 2016 08:18am

ADB President advising us to stop corruption, tax avoidance and money laundering? Does he have any proof or does he want to create chaos in our country of honest people, just like certain quarters in Pakistan are attempting?

Arif Oct 27, 2016 08:18am

Pakistan must not stop this project at any cost. It's ok if Japan is not ready. Pakistan needs dams, not just one but several big dams to converse water. We know once India is done with their dam, they will blackmail Pakistan so it is extremely important that Pakistan does not slow down development of these projects.

CONCERNED CITIZEN Oct 27, 2016 08:19am

We shouldn't be expecting favours from anyone, China or otherwise. Let the project make sense on it's own, let the economic climate be conducive, that's the real test.

Mohajir Oct 27, 2016 08:22am

Total Forex reserves of Pakistan are just $23 billion dollars and this project alone was worth $14 billion.

How would Pakistan repay so much money ?. Thus ADB decision is logical.

Mohajir Oct 27, 2016 08:26am

@Meow China does not dole out free money to anyone. Chinese are shrewd business man and they fully milk out countries in which they invest.

That's a reason Srilanka and Nepal tend to stay away from lucrative China proposed development schemes.

Ammyjd Oct 27, 2016 08:27am

May be its a matter of trust if the money would be utilised on this project itself or would be diverted !!

ALI (CA) Oct 27, 2016 08:36am

NS spent lots on metro where this should have been prioritize. My voice calling on deaf ears as I have no voice Let's also focus on solar feed in tariff and overcome energy shortage without further delay. Give me energy sector development with free hand (audit off course) and I will guarantee energy surplus

Zak Oct 27, 2016 08:41am

'The minister said the CAREC ministerial meeting had formally adopted Georgia as its 11th member. Existing members include Afghanistan, Azerbaijan, China, Kazakhstan, Kyrgyz Republic, Mongolia, Tajikistan, Turkmenistan, Uzbekistan and Pakistan.'

Name not there, Guess who is isolated now ?

Badshah Oct 27, 2016 08:43am

Where is ours all weather friend.??

Rationalist Oct 27, 2016 08:54am

As a way out, this project can be considered under CPEC. This will take CPEC investments from 51 to 65 Billion Dollars. This will also help in further strengthening of friendship between Iron brothers - China and Pakistan.

klp Oct 27, 2016 08:59am

Ask china

mirchi Oct 27, 2016 09:02am


for Chinese its business first

mirchi Oct 27, 2016 09:02am


pak is not part of brics

Kadva Sach Oct 27, 2016 09:09am

It's a bank! They undertake extensive feasibility studies before funding anything. Obviously the dam project has financial profit issues which may hinder the banks returns on its investment. There are no friends when money is involved.

Javed Akhter Oct 27, 2016 09:09am

Not good decision taken by the ADB, because the project is very important for the purpose of irrigation, water storage as well as producing electricity, let see.

JUSTICE Oct 27, 2016 09:16am

There is plenty of stolen money to fund this project if this government has any guts to force all corrupt politicians to bring looted money back to Pakistan.

FOBO Oct 27, 2016 09:21am

Under prevailing uncertainty no institution will agree to fund any mega project .The govt has been unable to run the affairs smoothly in harmony with stake holders. It has missed many opportunities to accelerate economic betterment by hesitance in taking timely decisions. Institution like ADB will certainly comeback after they see a smooth long term stable govt, not the one like today.

Pirabu.K Oct 27, 2016 09:22am

@Israel Khan Ismailzai funny.. you look for positive in everything!

Imran Oct 27, 2016 09:23am

We have China don't worry

Gengo Oct 27, 2016 09:28am

We need to be patient. It will take a few more rounds of such talks to generate funding for an ambitious project of this scale. On a side note, I noticed in the meeting photo that Ishaq Dar chose a suit color that made him disappear into the room decor. He should fire his stylist and go with a traditional dress befitting the Finance Minister of our country on such occasions.

Madhan Rajendran Oct 27, 2016 09:37am

@Imran funny

Asaami Oct 27, 2016 09:37am

@Javed Akhter ADB is not a charitable organisation my friend.

Omar Oct 27, 2016 09:38am

Nice worries. The dam will pay huge dividends and there are many other interested parties. Perhaps at a later date you may not be able to join ADB

Rajan Oct 27, 2016 09:40am

@MOHAJIR And of 23 billion dollars reserves, 18 billion dollars is loan. Ishaq dar has always fooled it's people. He said GDP growth rate of Pakistan is 4.5% or something but all of the economists around the world told that the real growth is only 3.2%, and he said he increased the reserves of Pakistan. There are three main methods to increase the reserves, (a) Increase in exports (b) increase in remittances (c) or by loan, as all know exports of Pakistan has come down from 4 billion dollars to 750 million dollars in last three years and remittances have decreased by 5.2%. So they know that Pakistani people are Illiterate we can take loan show increase in over reserves. And yeah CPEC also comprises of loan of 28 billion dollars and only 20 billion dollars investment in 10-15 years. We in India receive 40-45 billion dollars investment in one year.

jawaid Oct 27, 2016 09:43am

A wish list: If politicians and business men contribute generously, this vital project can be completed without begging for loan.

Talha Oct 27, 2016 09:44am

Mr Nakao stressed that it was very important for Pakistan to continue fighting against "corruption, tax avoidance and money laundering," saying that the government should make efforts to minimise these menaces. The ADB President called for governance reforms as well. The government blames IK for becoming a hurdle to investments but did corruption, brought to highlight by Panama Leaks, perhaps cause a stoppage of this great project's funding? The government is solely to be blamed for not taking concrete steps against corruption, especially revelations in Panamagate, which is ultimately hurting our economy.

Arun-KS Oct 27, 2016 09:58am

Good words of Mr Nakao must be appreciated- "......very important for Pakistan to continue fighting against corruption, tax avoidance and money laundering, .....minimise these menaces."

AAK Oct 27, 2016 10:08am

No trust on current Pakistan regime very rightly

Shah2u Oct 27, 2016 10:08am

All the better; looks like a "blessing in disguise."

Ali Oct 27, 2016 10:09am

We don't want US related life and Or aid

DY Oct 27, 2016 10:09am

Pak must advise China to pay for this project!

ZULFIKAR MOMIN Oct 27, 2016 10:10am

I Think its more political Motivate project Link India Pressure on ADB for Not to develop DAM I have Seen this area very Well & Location of Dam is at Bhasha KPK States & Not in GB States Secondly if Pakistan Floats international Bond with Good Yield than they can Gather Funds from Overseas Pakistani which is estimated Worth of over $200 billion Rather we go after China Or IMF Lastly Stability at Pakistan will be more Effective way to attrack investments Funds

hussain haqqani Oct 27, 2016 10:11am

Finally some good news.

Shweta Oct 27, 2016 10:17am

Where is all whether friend?

Abdul Oct 27, 2016 10:18am

Pakistan should ask China to fund the project.$ 14 billion is a drop in ocean for China.

Munir from Tral Oct 27, 2016 10:20am

Didn't they read IMF chiefs statement?

Ali Oct 27, 2016 10:20am

Why cant india fund this project? If I am the premier, I will definitly seek assistance and help from our neighbor. I am a Pakistani and I endorse this message

Girish Oct 27, 2016 10:26am

Pakistan is not in state to pay $700 million for buying F-16 and you want $14 billion loan with unstable government with full of corruption charges and economic instability. Only China can help you in this scenario

sunny Oct 27, 2016 10:28am

Why depending on others always

Garry Oct 27, 2016 10:34am

@Imran You are so much depend on China. China will not do anything free of cost. Friendship is different matter but business is different. It is right we can not friendship with our enemies but trade can be done. China follows this policy.

logic Oct 27, 2016 10:35am

nice diplomatic answer from adb for sinking ship

logic Oct 27, 2016 10:36am

@Javed Akhter its for you.what for ADB? who will return money!

drive123 Oct 27, 2016 10:59am

Don't worry....once CPEC is complete.ADB will come to pakistan for loans....

Last Word Oct 27, 2016 11:01am

Chinese are known to be the most self-centered and shrewd businessmen. They are investing billions in CPEC to achieve commercial and strategic goals which will bring them high dividends but Pakistanis asked to pay back with interest.

cybersolder Oct 27, 2016 11:15am

our friend China will give us money , dont worry . once CPEC complete we will be worlds most powerful and rich nation

Samrat Oct 27, 2016 11:16am

Who wants to lose their money, good move.

Anuj Oct 27, 2016 11:17am

Good decision by ADB.

Shabdik Oct 27, 2016 11:27am

Ask to china..Friend right?

Muhammad Murad Iqbal Oct 27, 2016 11:37am

In hidden words, solve panama like issues first. Stop corruption.

Better would be to send top 500 students to universities abroad, let them work and gain professional experience in the industry and bring them back with good and internationally competitive salaries and perks. Only real professionals can do this work and elevate Pakistan's status.

Shahid- Denmark Oct 27, 2016 11:37am

If the will power to build the dam is there, we could save 100 billion rupees a year by making cuts else where, drying down the corruption well and imposing a tax on the rich. And to finance the foreign currency part, let those living abroad buy shares in the project.

Muhammad Murad Iqbal Oct 27, 2016 11:37am

@Jawad absolutely

Samurai Oct 27, 2016 11:40am

Who needs this? when CPEC is there!

kadva sach Oct 27, 2016 11:45am

@Zak Whats CAREC?

mk Oct 27, 2016 12:01pm

@Zak CAR Stands for Central Asian Region, it is not South Asian. India is in South Asia, so why would India wants to be part of this group.

Iqbal Khan Oct 27, 2016 12:32pm

IMF chief asked for honesty and transparency and the ADB president asserted good governance a preliminary need to disburse fruits of money taken from this international bank. Now ask the finance minister what else left to save your face of proclaiming high targets in your shallow vessel

Random Oct 27, 2016 12:33pm

Request Islamic Development Bank; the money will come without interest payment.

The Fake ZAK Oct 27, 2016 12:46pm

After Pakistan stopped taking more from IMF, IMF says that Pakistan economy out of trouble days, Now ADB say's we wont give you a loan as you cannot afford it . Guys India finances the ADB and is ranked 4th just next to China at #3 and pakistan is at # 13

Monsieur S Oct 27, 2016 12:56pm

what happened to all weather friend China????

Feroz Oct 27, 2016 01:09pm

What is the problem, China is always there to finance it. This is just small change for the iron brother.

indian admirer Oct 27, 2016 01:47pm

@Zak CAREC is an unknown organisation...its the first time I hear it. Beside the name suggest its for those countries who need money and nobody's giving them best of luck buddy with this group of random countries...

Donald Oct 27, 2016 01:55pm

@khan... nations don't become industrialised or skilled overnight. It requires years of hardwork. China started with in 1950 with moderate beginnings. With a communist polity he is able to achieve transformation in 2 decades. 21st century should be a century of developing world and third world. Any development should precede with some kind of industrialisation. How well Pakistan political will is capable of replicating Mao??

D.K. PAMNANI Oct 27, 2016 02:10pm

China will give loan to Pakistan for this project as is given for CPEC. China is indeed a friend in difficult time.

Khawar Saleem Aslam Oct 27, 2016 02:38pm

I think key message of ADB is for the dam to get funding it is important that Pakistan continue progressing its design through own resources and adopting a "professional approach" for funding different packages.

SU Khattak Oct 27, 2016 03:04pm

What does this say about Dar:- Mr Nakao (ADB head) stressed that it was very important for Pakistan to continue fighting against corruption, tax avoidance and money laundering, saying that the government should make efforts to minimise these menaces. He said the signing of a tax avoidance treaty with the Organisation of Economic Cooperation and Develop­ment (OECD) would greatly help in this regard.

Sohail Oct 27, 2016 03:14pm

The issue of utmost urgency is the population explosion in Pakistan since independence. It is now 500% of what it was in 1947. Natural resources have run out to support a good standard of living. Dams in quake prone areas are a high risk venture, even though they are useful. Same story in most of the subcontinent. Population control is being pushed under the carpet.

Umer Salahuddin Oct 27, 2016 03:50pm

This is because of dharna announcement which shows political instability.

Vish Oct 27, 2016 03:53pm

@Israel Khan Ismailzai no harm in real commercial loans

Vish Oct 27, 2016 03:53pm

@Vish I didn't say that

Krishna Oct 27, 2016 04:09pm

@Zak ....When will you start writing something meaningful?

citizen Oct 27, 2016 04:52pm

Very sad..First time in the history Dhar failed extract a huge sum as loan... What happened to his extraordinary to get any loan from any institute in this planet?

Zak Oct 27, 2016 04:59pm

@Krishna This is just the beginning, we will make sure India exits from all regional and international groupings.

Bobb Oct 27, 2016 05:06pm

@Israr Do not take it to heart, most developing countries including India all suffer from corruption, tax evasion and money laundering. He is just pointing out exactly to exactly what our issues are!!

Something Fishy Oct 27, 2016 05:12pm

@Israr Only few people can assume that ADB president will utter a single word without thinking it well and without having proofs where needed.

Iztraab Oct 27, 2016 05:15pm

Corruption is the main reason.

Zak Oct 27, 2016 05:28pm

@indian admirer Look at the debt of India it is more than 900b $ and Pakistan has less than 50b $ debt.

Sachin Oct 27, 2016 05:42pm

@Zak howmuch ever you hate India, we Indians love you man..... You are one of the intelligent person who points out every negative in India. That helps us improve. I like it.

Sachin Oct 27, 2016 05:49pm

Huge dams are very disruptive and risky.

Netindian Oct 27, 2016 05:51pm

@Zak quantum of debt has no meaning. What is crucial is the external debt to GDP ratio. The lower it is, the more secure the country is. For India, this ration stands at an incredibly low 6%, while for Pakistan, it is at 30%. So in comparison, India is in a much better and secure position. I'm not saying that Pakistan's ratio is bad, but not as good as India.

Rafique Oct 27, 2016 05:52pm

@khan But it may radicalized those society. As society values are different .

Khurshid Anwer Oct 27, 2016 06:04pm

The site for Bhasha dam is the most difficult sitde for a dam, 300 kilometer approach road has to be widened and strengthened before heavy construction machinery can be taken to site, the design of the dam has been changed drastically to give it superiority over Kalabagh dam, a 900 feet high dam in an active seismic zone in sub zero temperatures will be a disaster waiting to happen, power will have to be transmitted 200 miles to reach the national grid at Tarbela through hilly terrain prone to landslides etc. The much cheaper and simpler Kalabagh dam is being rejected fearing that it will deplete the Indus and reduce flow to Sindh, just like Mangla and Tarbela dams have done, but the fact is that the two dams have increased canal supplies by 20 million acre feet and so will KBD by 6.1 maf

Abdul Oct 27, 2016 06:04pm

@Arif 'important that Pakistan does not slow down development ' ??? When did Pakistan start building dams ? How many dams were there in 1947 and how many built in the last 69 years ?

Syam Oct 27, 2016 06:13pm

@Aftab Really,.. let's watch

abdul qureshi Oct 27, 2016 06:24pm

it is sad story . if the elite deopends on personol generaror to get there electricity we will not be able to lower the cost of energy .how much money of Pakistanis have in the foreign bank .lot of Pakistani American involved in money laundering .government can work on the legislation to stop that

anil sahu Oct 27, 2016 06:32pm

@Zak Get the NOC from india first..

Bobb Oct 27, 2016 06:35pm

@mirchi As I know a country does not have to be a member of the BRICS to seek loan for developmental projects. However BRICS bank is still in its infancy and can not afford to give big loans. It would be interesting to see though what hurdles India would create in case of Pakistan's request for any loan? Or would Pakistan's strong ally with in the BRICS prevail over such attempt? Long live China-Pakistan friendship.

Guru Oct 27, 2016 06:35pm

@Badshah November will come winter(weather friend)

ZAFAR Oct 27, 2016 06:38pm

In the ADB, China holds 6.5% shares and India holds 6.4% shares. Both have same clout in the bank.

Dr. Saifullah Bin Ahsanullah Syed, Calgary, Alberta, Canada Oct 27, 2016 06:40pm

Feeling of odor smell at right time with bad fragrance in government with cracks in fragile economy, led them to make right decision. Currently country with unstable situation with layers of no ending corruptions is being observed and they did not want their money to drain out into mud. Even I am from Pakistan, but would echo their decisions.

Gp65 Oct 27, 2016 06:48pm

Diamer Basha foundation stone was laid in 2011 without closing out the financing. Similarly IP pipeline contract was signed without figuring out how to pay for Pakistan'part.

joy Oct 27, 2016 07:11pm

@Zak India external debt is $479 b and Pakistan is $69 b. But you are about to add $28 b due to CPEC this year.India external debt was largely driven by the increase in long-term external debt, particularly NRI deposits ( 26.1 per cent ) roughly $125 b.

Muhammad Oct 27, 2016 07:32pm

@Mohajir "China does not dole out free money to anyone. Chinese are shrewd business man and they fully milk out countries in which they invest" Not only China, USA, Russia and European countries all do the same there is no free lunch in this world Pakistan and India should think about it and create such environment in the region so that all SAARC countries should benefit with each others resources

Muhammad Oct 27, 2016 07:34pm

@anil sahu "Get the NOC from india first.." India ? who is it ?

Ali Oct 27, 2016 07:37pm

ADB's refusal to fund $14 billion Diamer-Bhasa Dam shows Nawaz Sharif's failure to govern with transparency and accountability. He has failed to bring vital reforms and wasted three years, as delay in dam construction becomes critical.

He has betrayed the mandate of accountability and good governance. The people of Pakistan demand "accountability" of the government not just for corruption, but for bad governance and failed policies which are harming the country.

Dar Oct 27, 2016 08:50pm

@Muhammad Read the article

Yogendrasinh Rajput Oct 27, 2016 09:32pm

I will not be surprised if China pays for the project. But catch will be, they will need 15% return on investment in term of USD. China has high interest in purchasing Pakistan.

Aamir Oct 27, 2016 09:37pm

@Meow well China does not have any benefit in funding this project China will fund those projects where it gets benefit

Prateik Oct 27, 2016 09:38pm

China sees no gain in funding this dam project.

Aamir Oct 27, 2016 09:39pm

@Aftab aftab China will not do anything for free if China invest $1 it expects a return of $10 so do not be in impression they are doing it for free

Satyameva Jayate Oct 27, 2016 09:45pm

@Ali - Why single out NS? World Bank and Asian Development Bank and ALL other international financial institutes - including China controlled Asian Infrastructure Investment Bank, has been, since 2008, consistently refusing to fund this mega project till Pakistan gets a NOC from India.

Satyameva Jayate Oct 27, 2016 09:59pm

@Muhammad - Ask the World Bank! Too shy?

Aly Alp-Ercelan Oct 27, 2016 10:00pm

Sadly the ADB continues to support the idea of mega dams despite ecological disasters. Note that the ADB wants to spin off land acquisition from an integrated project. Why ? Because the ADB knows that pak agencies like WAPDA will make a mess as it has done in many projects funded by ADB

Satyameva Jayate Oct 27, 2016 10:02pm

@Gp65 - You forgot to mention the Foundation Stones for Reko Diq, Thar Coal and Chinot Ores.

sachin, usa Oct 27, 2016 10:23pm

@khan -you say "also diplomacy failed once again".

The reality is that diplomacy in itself is no succor to these types of problems (or problems of taking a campaign of isolation by a neighboring country).

I work with a IT services company and have been an account manager for large US client accounts. When we have internal issues that continually impact client delivery and perception - there is only so much that I as the account manager can do to improve things. At best I may delay a formal escalation or try to get some information or audience during a sales cycle. But if the general effectiveness and efficiency of my company is rather sub-par and and if client perception has been eroding over a period of time - a champion account manager can only do so much unless the management listens to him/her and the people on the ground scale up and rally around him/her.

Ashfaq Oct 27, 2016 10:26pm

@ABCD perfect on all the points but still fail to understand why we need to ask for help when we have an all weather friend.

Ashfaq Oct 27, 2016 10:28pm

@Muhammad excellent reparte!

Beleiver Oct 27, 2016 11:07pm

@Meow china does not want to get embroiled in India Pakistan water dispute

BOSS Oct 27, 2016 11:13pm

@Aftab Interesting .

Good Guy Oct 27, 2016 11:15pm

@ZULFIKAR MOMIN -Pakistan is not in a position to float global bond of $14 billion. Last time it floated bonds for 500 million only and was subscribed but rates were around 7-8% in usd.

shami Oct 27, 2016 11:39pm

ADB has no money

Ali Oct 28, 2016 02:10am

@khan Corruption, corruption and corruption......

Riaz Ahmad Oct 28, 2016 02:21am

@Meow Neither friend nor anyone one else wants to put their money in an unaccountable money laundering, loot, plunder and and corruption cesspit. When the people learn to vote for honest rulers instead of current thugs, money will start pouring in by leaps and bounds.

dipak Oct 28, 2016 03:00am

@Zak good luck

Srikanth Adidam Oct 28, 2016 03:14am

@Israel Khan Ismailzai

Very true. India and Pakistan need a home grown economy. We may have our differences. But geo-political considerations force both countries towards home centric economic model.

PAATCHU Oct 28, 2016 06:13am

Even a c common Citizen will NOT get a loan from any bank, when his land itself is in dispute !. So, how a country can build something on a disputed territory and ask for loan? that too billions ???

truth Oct 28, 2016 06:56am

this is pity situation. Why do you seek loan to build dams? Make many on your own money.

Chander Oct 28, 2016 07:22am

India ana Pakistan are like east-west Germany/north-south Korea with lot of similarities.No matter how much we want we cannot be separated.There is no denying of the fact that both have done harm to each other.Must have read the Story of 2 cats and a monkey fighting for a piece of bread,in the end the cats do get anything and the monkey eats all the bread. China will never always be faithful friend of Pakistan,either you believe me today or realise it 30 years from now.Your only friend who will stay with you in thick or thin is you yourself.Make yourself strong economical and learn to live within your means.Digest the fact that India is a big country and have different needs.

Dr. Ramesh Sharma Oct 28, 2016 07:41am

@Zak Good luck Zak.

Yahoo Oct 28, 2016 07:44am

Frindship doesn't come at cost of self destruction

ali khan Oct 28, 2016 08:14am

@Israr He is absolutely right. Our political choices are corrupt, Money launderers whose only occupation is lying and fraud. Shake yourself and wake up. Democracy is not working the way you want my friend and never will cause we as people are not willing to accept responsibility for our actions. and lets also accept, we are hard working people full of potential however our choices in leaders are totally wrong. and also the systems v have. We should have a mix of all systems and the one that suits our requirements (not our wants). Get your priorities right

Mady Oct 28, 2016 03:23pm

@Zak Your rabid responses are amusing.

Krishnan Oct 28, 2016 05:36pm

@drive123 Best joke. You left out world bank and IMF.

responsible Oct 28, 2016 07:49pm

Dar Sb. wake up. PM said our economy is boosting but ground realities are against PM statement.

goggy Oct 28, 2016 09:08pm


That's worse, even after being a member of CAREC, they refused to fund ...

Observer Oct 28, 2016 09:54pm

Simple arithmetic, first take as a loan from China and later ask them to convert as gift money.

Adil Jadoon Oct 28, 2016 10:05pm

@Vish no thanks! We dont need more loans for our leaders to siphon off!

Kau Oct 28, 2016 10:19pm

Two routes left for Islamabad to go to New Delhi and get LoC Line of Credit or go to Beijing

Ali Gohar Oct 28, 2016 10:20pm

Tread with extreme care because the word IPP rings an ominous bell.

awais aziz Oct 28, 2016 10:20pm

In other words ADB is not willing to fund projects for this corrupt government

Safdar Oct 28, 2016 10:28pm

@khan none of 200 student will come is looming corruption, inability of politicians to reform the system and governance which is sinking the country fast. International investors are preferring Ethiopia, Bangladesh, Rwanda over Pakistan so if this is not going to open our eyes then nothing else will...

Sajida Oct 29, 2016 12:52am

Glacier's are retreating. has anyone factored that into the equation?

The End of Ice Exploring a Himalayan glacier. BY DEXTER FILKINS

truth Oct 29, 2016 01:05am

Where is best friend China? they paid 50 billion dollar for CPEC. Building dam does not require billions.

alla bux Oct 29, 2016 02:43am

why don't we ask India for a loan? They have over 350 Billions in Foreign Exchange reserves..

alla bux Oct 29, 2016 02:49am

Iran got $100 billion under the Nuclear treaty. Can't they spare us just $14 billion, as they are a brother Muslim country.

vagish Oct 29, 2016 11:58am

@Aftab Downtrend in China has started some time ago. China is looking out for avenues to sell the products. Mind it, they will not give a single rupee unless and until they see profit in it. How do you expect you get money from them? Free? No way. You need to borrow.

M. Anwar Qureshi Oct 29, 2016 01:35pm

In fact, what the ADB has stated in unambiguous terms is a CHARGE SHEET against the GOP and its system. Financial prudence and discipline is lacking; no merit and transparency; the govt in power have their own personal interest over and above the national interest. On the same line, IMF chief has also expressed its displeasure the way the govt is running; its lacks positive and tangible reforms in the interest of Pakistan. When the political elite is not investing in Pakistan, taking the national wealth to UAE, UK etc how they can expect public to come forward to invest in these huge projects. Situation under the current PMLN govt is not going to change at all; its doing all cosmetic efforts to WIN or RIG elections in which field they have PhD. The only investment schemes of National Savings in which people have trust and confidence, they were investing; but now govt has DECREASED profit rates which are the LOWEST ONES in HISTORY of Pakistan and these need to be INCREASED.

Proud Pakistani Irfan Oct 29, 2016 01:55pm

I think the ADB is telling these corrupt politicians to bring back their own money money from Swiss and Panama and use that to build the Dams and then they would give them a loan too otherwise get lost.