PESHAWAR, May 9: Chief Minister Ameer Haider Khan Hoti has formally launched Economic Revitalisation Project for rehabilitation of terrorism-affected Small and Medium Enterprises (SME) in Khyber Pakhtunkhwa and Federally Administered Tribal Areas.

The project worth $20 million has been initiated in collaboration with World Bank, Multi Donors Trust Fund (MDTF), Smeda and federal government to offer grants to industrialists and traders in terrorism-hit areas.

The chief minister here on Wednesday handed over cheques of different amounts to the businessmen, affected by terrorism, to formally launch the project.

Provincial Minister for Industries Samiullah Alizai, Minister for Information Mian Iftikhar Hussain, project coordinator Robert, lawmakers and representatives of industrialists and traders were also present on the occasion.

The limit of grant under the project is Rs25 million for rehabilitation, Rs1 million for upgradation, Rs5 million for upgradation grant cluster and Rs300,000 for capacity building.

Addressing on the occasion, the chief minister said that the government faced the challenge of militancy since its inception.

Later on floods in 2010 adversely affected the economy of the province, he added.

He said that government, with the help of people, not only daringly faced the circumstances but also took steps for rehabilitation of damaged infrastructure and creation of employment opportunities.

Mr Hoti said that donors had fully assisted Khyber Pakhtunkhwa in testing times. The efforts of donors for revitalisation of economic activities in flood and insurgency-affected areas of the province and Fata were highly commendable, he said.

The chief minister said that few years ago fire of extremism was lit in Swat, writ of government was diminished, innocent people were brutally murdered and girls’ schools were blown up. He said that government preferred to hold dialogues and jirga to resolve the problem but those efforts were sabotaged.

“Now peace has been restored in Swat owing to collaborative efforts of the government, people and Pak Army,” he said.

Mr Hoti also lauded the spirit and commitment of traders and businessmen, who kept economic activities continued in adverse circumstances. He termed peace and stability in Khyber Pakhtunkhwa and Fata linked to peace in Afghanistan.

He said that government prepared a plan in collaboration with UN, World Bank and Asian Development Bank for rehabilitation of flood devastated infrastructure and settlement of affected people.

He said that the basic objectives of the plan were to restore citizens’ trust, stimulate employment and livelihood opportunities, ensure provision of basic services and foster reconciliation and counter extremism.

He hoped that the team of Economic Revitalisation Project would work devotedly and in a transparent manner to make it a success.