Private Investment of $2.5 Billion Expected in Strategic Mining Project
In a major diplomatic win, Pakistan has secured a $700 million concessional loan from the International Finance Corporation (IFC) and the World Bank for the Reko Diq mining project — one of the country’s most strategic mineral development ventures.
The loan was approved during a board meeting in Washington, overcoming strong opposition from India, which had actively campaigned to block the financing. The decision is seen as a setback for India’s diplomatic efforts and a boost for Pakistan’s position in global development financing.
The funding is expected to unlock an estimated $2.5 billion in private sector investment for Reko Diq, reaffirming investor confidence in the project’s viability. The mine is considered a key asset for Pakistan’s long-term economic growth and mineral sector development.
Dr. Tauqeer Hussain Shah, advisor to the prime minister, played a pivotal role in securing the loan, leading successful lobbying efforts with international financial institutions. His strategic engagement at the World Bank was instrumental in achieving the breakthrough.
The approval not only bolsters Pakistan’s economic outlook but also underscores its effective diplomacy in advancing national interests amid regional geopolitical challenges. The decision marks a crucial advancement in the development of the Reko Diq project, which is expected to significantly enhance Pakistan’s mining sector and contribute to national revenue.
