ISLAMABAD, Feb 17: The Government of Japan on Thursday extended a grant of 1,351 million yen (approximately Rs770 million) to the Government of Pakistan for two development projects to help improve sanitation and irrigation systems in Punjab.

A press release issued here by the Japanese embassy said the official exchange of notes to this effect was signed and exchanged between Japanese ambassador Nobuaki Tanaka and Shuja Shah, Secretary Economic Affairs Division of the Government of Pakistan.

The project was extended a grant of 1,222 million yen (approximately Rs700 million and $million) aimed to help improve the existing sewerage and drainage system and to alleviate the possible flood damages in the northern part of Lahore city.

The project will cover an area of approximately 40 square kilometres and will benefit around two million people. Lahore, the second largest city of Pakistan with a population of about 7.2 million, plays an important role in the country's economy, however, the urban infrastructures there including the sewerage and drainage systems need to be improved.

Presently, the silted or choked sewerage lines and drainage channels are a big threat to the urban environment and the situation aggravates in monsoon season causing flooding in many areas.

Desilting operations are being carried out mostly by manual labour and citizens often complain about the stench generated from waste water in open channels, which remain full of sludge and garbage.

Under the grant project, not only monitoring and cleaning equipment but additional pumps and related equipment for pumping stations, cleaning and desilting equipment for sewerage pipes and drainage channels would be procured as well.

While signing the grant agreement, Mr Tanaka said: "The cities in Pakistan face the challenge of an increasing demand for a proper sewage disposal due to rise in population and rapid urbanization.

As part of our efforts to help improve the urban infrastructure, we intend to promote development of sewerage system in urban areas as we realize that improvement and enhancement of such systems has a direct bearing on poverty reduction."

The total grant funding by Japan in tandem with Pakistan's rehabilitation project is 5,281 million yen (approximately Rs3 billion) of which 129 million yen (approximately $1.2 million) were initially extended on Thursday to carry out a detailed design for the barrage.