ISLAMABAD: The Econo­mic Affairs Division (EAD) and the Asian Development Bank (ADB) on Tuesday signed a $75 million loan agreement to provide additional finance for Mardan-Swabi road im­provement project.

EAD Secretary Noor Ahm­ed and Khyber Pakhtun­khwa Communi­cation & Works Department Secretary Mohammad Shahab Khattak along with ADB’s Country Director Xiaohong Yang signed the (around Rs10.4 billion) loan agreement.

Under the agreement, the additional financing will help dualise Mardan-Swabi road with the reconstruction of a 42km stretch.

The dualisation of Mar­dan-Swabi road and rehabilitation of provincial highways will complement and enhance economic mobility of the China-Pakistan Econo­mic Corridor (CPEC) as well as Central Asia Regional Economic Coopera­tion Corridor.

The funding will also improve and complement the ongoing KP provincial roads improvement project aimed at rehabilitating 214 kilometres of provincial highway network to improve the performance of roads and achieve higher service value for Khyber Pakhtunkhwa. It will strengthen the institutional capacity of communication and works department of Khyber Pakhtun­khwa.

The project will be executed by adopting relevant provincial highway standards as well as road safety improvement and climate resilience features to withstand damage and disruption from natural disasters. Tolling and gender-sensitive amenities, including bus shelters and pedestrian facilities, will also be developed under the project.

The financing for the new road section expands the scope of a $140 million loan for the ongoing Khyber Pakhtunkhwa provincial roads improvement project. The original project will improve eight sections of key provincial roads to improve transport efficiency and safety. The additional $75 million in financing, approved by the ADB Board of Directors in December 2018, will upgrade the existing two-lane road between Mardan and Swabi to a four-lane road to accommodate increasing traffic demand and improve environmental resilience.

The Mardan-Swabi road spans the fertile agricultural and emerging industrial heartland of Khyber Pakhtunkhwa along the Indus and Kabul rivers. The region boasts rich Gandhara and Buddhist archaeological and cultural heritage, including the world heritage site of Takht Bahi. The upgraded road will ease traffic congestion and make travel faster and safer for tourists, commuters and truckers in the region.

“The new dual carriageway will bring many benefits to the Khyber Pakhtun­khwa region,” said Ms Yang. “The road will connect a thriving agricultural region with a busy industrial hub, and link the region to important tourist destinations such as Swat and Kalam through the Swat Express­way. The road will also improve rural people’s access to social services in Mardan, the province’s second largest city.”

Published in Dawn, February 27th, 2019