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Overview

Chinese Government provides RMB 659.8 million grant for Rehabilitation of Specific Sections of National Highway N-5 Project

Commitments (Constant USD, 2023)$98,657,678
Commitment Year2020Country of ActivityPakistanDirect Recipient Country of IncorporationPakistanSectorTransport And StorageFlow TypeGrant

Status

Project lifecycle

Pipeline: Commitment

Pipeline: PledgePipeline: CommitmentImplementationCompletion

Timeline

Key dates

Commitment date
Dec 31, 2020

Stakeholders

Organizations involved in projects and activities supported by financial and in-kind transfers from Chinese government and state-owned entities

Funding agencies

Government Agencies

  • China Ministry of Commerce

Receiving agencies

Government Agencies

  • Government of Pakistan

Loan description

Chinese Government provides RMB 659.8 million grant for Rehabilitation of Specific Sections of National Highway N-5 Project

Narrative

Full Description

Project narrative

On December 31, 2020, the Chinese Government and the Government of Pakistan signed letters of exchange, which committed RMB 659.8 million ($100 million) of grant funding for the Rehabilitation of Specific Sections of the National Highway N-5 Project. The purpose of this project is to rehabilitate four sections (measuring 66 km in town) of the National Highway (N-5) between Hala (District Matiari) and Moro (District Naushahro Feroze) in Sindh Province. It is ultimately expected to increase traffic capacity, facilitate people’s travel along the route, create considerable employment, and promote related building materials and transportation sectors along the route. N5 is an important road that extends from the southern part to the north and west border in Pakistan, and carries a large amount of traffic capacity.

Staff comments

1. The N5 was seriously damaged by a record flood in 2010. At the request of the Pakistani Government, the Chinese Government helped repair parts of N5 and N55 sections in 2011 and 2016. With the joint efforts by the Pakistani and Chinese workers, the rehabilitation work was completed at the end of 2016, and greatly improved the road conditions of the relevant sections. In light of the importance of the N5, the Chinese Government agreed to rehabilitate the remaining 66 kilometers of the N5 road with Chinese grant in accordance with a previous bilateral agreement.