ISLAMABAD: Ministry of Economic Affairs, Pakistan and KfW Development Bank of Germany on Friday signed a financing agreement for Billion Tree Afforestation Support Program under Phase-1.
A handout issued by EAD states that Secretary Economic Affairs Division Mian Asad Hayaud Din and Country Director, KfW Sebastian Jacobi signed the agreement in Islamabad.
Government of Germany, through the KfW Development Bank, will provide a grant of Euro 13.5 million to the Government of Pakistan for the project.
With the funds provided by the German Government, KfW Development Bank will support the efforts of government of Pakistan to reduce the impacts of climate change by planting 10 Billion Trees, introducing best practices on native and invasive plant species, training on firefighting techniques and provision of equipment, and women / youth engagement and empowerment.
The project will result in a clean and green environment through reduction in carbon emissions and also bring about socioeconomic benefits to local communities.
While addressing on the occasion, Sebastian Jacobi, CD KfW stated that KfW is actively supporting the government of Pakistan in the Energy and Climate Sector with an active portfolio of more than Euro 300 million.
KfW has provided funding for construction and rehabilitation of three hydropower projects, construction of power substations, installation of micro-hydel power plants, and also providing micro-financing for solarization of the homes in off-grid areas.
These efforts will result in bringing sustainable and lasting positive impact in the lives of the deserving communities in the country and help mitigate the risks of climate change.
Mian Asad Hayaud Din, Secretary, Economic Affairs Division expressed gratitude to the Government of Germany for supporting the flagship project of the Government of Pakistan.
He further highlighted that the Government of Pakistan has set ambitious targets to mitigate the impact of climate change. In this regard, continued support of Germany is highly commendable. These investments will lead to a better and healthy future for the generations to come.
The Government of Germany is also considering providing another Euro 20 million for the next phase of the project.
Together, these investments will result in sustainable forest management by the government institutions and create jobs especially for women and youth. The signing of this agreement coincides with the celebrations for 60 years of development cooperation between the two countries.
