ISLAMABAD: Germany will provide Rs2.71 Billion (€13.5 million) to Pakistan to support the Billion Tree Afforestation Support Programme (Phase-1).
According to a press statement issues on Friday, a financing agreement was signed between Pakistan’s Ministry of Economic Affairs and KfW Development Bank of Germany. Secretary Economic Affairs Division Mian Asad Hayaud Din and Country Director KfW Bnak Sebastian Jacobi signed the agreement.
The signing of this agreement coincides with the celebrations for 60 years of development cooperation between the two countries.
With the funds provided by the German government, KfW Development Bank will support the efforts of the 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.
Addressing the agreement signing ceremony, Sebastian Jacobi stated that KfW was actively supporting the Pakistan in the energy and climate sectors with an active portfolio of more than €300 million.
He said that KfW had 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 solarisation 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, he added.
Secretary EAD Asad Hayaud Din expressed gratitude to the government of Germany for supporting the flagship project in 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. This investment will lead to a better and healthy future for the generations to come, he added.
According to the statement, Germany is also considering providing another €20 million for the next phase of the Billion Tree Afforestation Support Programme. Together, these investments will result in sustainable forest management by the government institutions and create jobs especially for women and youth.
The project will result in a clean and green environment through reduction in carbon emissions and also bring about socioeconomic benefits to local communities.