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Thursday, 12 January, 2023 I 19 Jamadi us Sani, 1444
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g Yet beYond immediate dar reveals project loans will be rolled out reparations, pakistan needs over next three Years clear agenda on climate front
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ore than 90 percent of the pledges made at monday’s geneva moot for flood relief in pakistan have come in the form of project loans. a high-powered press conference that involved prime minister shehbaz sharif and other members of cabinet including finance minister ishaq dar revealed the details of the pledges made by different states and stakeholders at the specially called conference. according to the finance minister, the project loans will be rolled out over the next three years. the presser revealed that $8.7 billion of the nearly $10 billion in pledges came in the form of project loans. What are project loans? as the name suggests, project loans are intended as financing for very particular initiatives for a set purpose.the money is dependent on compliance and is monitored to be used for a specific purpose. a country may, for example, assist another in the construction of a school or a hospital in a region. in this scenario, the funds help support the project. the funding may or may not originate from a single source. in this particular case, the moot included generous contributions from the islamic development bank, the asian development bank, and friendly states including saudi arabia. project finance is the funding (financing) of long-term in-
frastructure, industrial projects, and public services using a non-recourse or limited recourse financial structure. most of the loans are expected to be for infrastructure development. according to the latest report of the post-disaster needs assessment (pdna), pakistan needs at least $16.3 billion for post-flood rehabilitation and reconstruction. the pdna report, released by the representatives of the government and the international development institutions, calculated the cost of floods at $30.1 billion – $14.9 billion in damages and $15.2 billion in losses. Yet beyond this immediate need for reparations, pakistan also needs a clear agenda on what it wants to do on the climate front. there is the immediate concern of rising temperatures, for example.pakistan faces a problem where even if it is given the climate financing that it is asking for, it will not know how to spend this money effectively. The Geneva Moot the moot had been planned and called after last year’s cop27 conference at which pakistan was centre stage owing to last year’s super floods that left the country deeply devastated and struggling to finance the recovery effort. the conference, which was cohosted by the united nations secretary general antonio guterres and prime minister shehbaz sharif, was attended by heads of state, government representatives, and other stakeholders.
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Details from the presser while talking about the pledges dar said project loan financing had already crossed $8bn, which included commitments from the islamic development bank, the asian development bank, the asian infrastructure investment bank, and the world bank. these were some of the largest donations, the idb pledging $4.2 billion while the adb committed $2 billion. “i am not incorporating the pledge made by the saudi development bank on purpose here because it is not clear whether their announcement of $1bn pertains to programme lending or project loan,” dar said. the finance minister did not reveal what the terms of these loans were. however, the prime minister said “we expect the terms to be lenient”. “be it bilateral or multinational donation, a sum of $9.7 billion is the total amount [that was pledged] and the islamic development bank (adb) held a major share of $4.2bn of the total financial commitments,” prime minister shahbaz sharif earlier said while talking about the outcome of donors’ conference. giving a breakdown of the amount pledged at the conference, the prime minister said saudi arabia committed $1 billion followed by china $100m, Qatar $25m, canada $18.6m, denmark $3.8m, european union €87m, france €380m, germany €84m, italy €23m and azerbaijan $2m.
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KSB Pumps resumes production after 10 days profit report MuhaMMad Raafay Khan
the ksb pumps company limited (ksbp) will resume plant operations from thursday, just 10 days after it announced a temporary closure of its main hassanabdal factory. the company made the announcement to the pakistan stock exchange (psx) on wednesday. the notification read, “with reference to our earlier disclosure of material information dated january 02, 2023 relating to temporary suspension of the plant operations of the company. this is to inform you that plant operations will resume with essential manpower effective january 12, 2023.” the company had temporarily suspended its plant operations at the start of last week after facing a lack of demand and import access to essential raw materials. the import restrictions, placed in may of last year after the change of government, had led to the closure of operations of many of the end customers of ksbp. these restrictions impacted the clearance of consignments of raw materials and components necessary for the company’s production operations. the positive development caused ksbp share price to increase by 4.78% during the wednesday trading session to close at rs. 118.47. the sales of the company for the third quarter ending september 2022 were rs. 1,204 million, an increase of 35% compared to the same period last year. the com-
pany also posted a quarterly profit after tax (pat) of rs. 8.26 million, an increase of over 120% compared to the same period last year. Company profile ksb pumps company limited (a ksb group company) was incorporated in pakistan in 1959 and listed on the psx in 1979. it is a subsidiary of ksb se & co. kgaa, a german multinational, and is principally engaged in the manufacture and sale of industrial pumps, valves, castings and related parts and after market services. the factory of the company is located at hazara road, hassanabdal. ksb pakistan has led the pump, valve and system solutions market in the country for over six decades in addition to exporting its products to foreign markets. it specialises in six market areas, i.e. general industry, mining, energy, building services, petrochemicals / chemicals and water. the multinational ksb group finds its origin in frankenthal, germany and is a leading international supplier of pumps, valves and related systems for industrial applications, building services, process engineering, energy conversion, water treatment, water transport, solids transportation and other related applications. ksb group has been growing continuously since its foundation in 1871, and today operates in more than 100 countries of the world with its own sales & marketing companies, manufacturing facilities and after sales service operations.
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