Pakistan and Kuwait have strengthened their development partnership with the signing of a new loan agreement worth US$25 million (around 7.5 million Kuwaiti Dinars) to support the ongoing Mohmand Dam Hydropower Project.
The agreement marks another step in both countries’ efforts to enhance cooperation in the areas of energy and infrastructure.
This funding represents the second installment of Kuwait’s total US$100 million commitment to the project, which will be released in four stages.
The Mohmand Dam, currently under construction in Khyber Pakhtunkhwa, is one of Pakistan’s key national projects aimed at boosting the country’s water storage capacity and generating clean, renewable energy.
Once completed, the dam is expected to provide multiple benefits including irrigation water for agricultural lands, drinking water for the people of Peshawar, and improved flood control in the region.
It will also contribute to meeting Pakistan’s growing electricity demand through hydropower generation, reducing dependence on imported fuels and strengthening energy security.
Officials from both sides highlighted that this agreement reflects the deep-rooted friendship and trust between Pakistan and Kuwait.
They appreciated Kuwait’s continued financial and technical support for Pakistan’s major infrastructure projects and emphasized the importance of long-term collaboration in areas such as energy, water, and economic development.
With this latest funding, work on the Mohmand Dam is expected to gain further momentum, ensuring timely progress toward completion and supporting Pakistan’s broader goal of achieving sustainable energy and water management for future generations.
