ISLAMABAD: The World Bank has agreed to provide $840m for the Tarbela Dam extension project after the Ministry of Water and Power accepted the WB condition to open a separate escrow account to avoid the curse of the circular debt, a senior official of the ministry said.
The WB decision will be a big blow to the oil mafia which is minting billions of rupees on account of thermal generation based on costly furnace oil and diesel.
The secretary water and power took the much-awaited decision to open the escrow (revolving) account to obtain the credit line of $840m for the Tarbela Extension IV Project, which the World Bank had withheld and linked to the opening of the account.
“Yes, we have decided to open the account and the World Bank will soon issue the NOC (No Objection Letter) to this effect. The NTDC will open the account either in the National Bank of Pakistan (NBP) or in Habib Bank Limited (HBL),” said a senior official of the Ministry of Water and Power.
Internews
