ISLAMABAD: Pakistan and Germany’s state-owned development bank KfW have finalized an €18 million grant agreement, officials said on Friday. The grant will support green energy and renewable power projects in Pakistan’s northern regions, aiming to promote sustainable development and energy access.
The agreement was signed on behalf of Pakistan by Secretary of Economic Affairs Muhammad Humair Karim, while KfW Country Director Sebastian Jacobin signed for the German bank. Officials described the grant as a major step in fostering environmentally friendly solutions to meet the region’s growing energy demands.
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Secretary Humair Karim expressed Pakistan’s gratitude to the German government, saying the support would help expand green energy projects while addressing rising power needs in northern areas. He added that the initiative aligns with Pakistan’s environmental and sustainable development goals.
KfW Country Director Sebastian Jacobin said the grant would improve access to sustainable energy for local communities, create new job opportunities, and boost tourism in the northern regions. He emphasized the long-term social and economic benefits of the initiative.
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The grant reflects ongoing cooperation between Pakistan and Germany in renewable energy development, supporting climate-friendly projects and sustainable growth in vulnerable regions of the country.