Pakistan and the Asian Infrastructure Investment Bank (AIIB) have signed a $320.16 million loan agreement to rebuild key sections of the National Highway N-5.
The financing covers Phase-IA of the Reconstruction of National Highway N-5 under the Resilient Recovery, Rehabilitation and Reconstruction Framework Project.
Secretary Economic Affairs Muhammad Humair Karim Kidwai and AIIB Chief Investment Officer Konstantin Limitovskiy signed the agreement at a formal ceremony on Tuesday.
Federal Minister for Economic Affairs Ahad Khan Cheema was present at the signing, which also included a separate agreement between the AIIB and the National Highway Authority.
The project covers critical sections of the N-5 highway running through Sindh, Punjab and Khyber Pakhtunkhwa, linking major economic centres in the country.
AIIB Chief Investment Officer Limitovskiy said the N-5 forms part of a broader international transport corridor of significant strategic importance to the region.
He added that reconstruction work would incorporate modern, green and climate-resilient design standards aimed at ensuring long-term sustainability and durability.
Cheema described the AIIB as a reliable development partner, saying the project would strengthen climate-resilient infrastructure and boost regional trade and economic growth.
“The N-5 corridor connects key regions of Pakistan, enhancing regional connectivity, strengthening sustainable infrastructure, and supporting economic growth across the country,” said Kidwai.
Kidwai added that the agreement would deepen cooperation between Pakistan and the AIIB and support the broader sustainable infrastructure development network in the country.
The Economic Affairs Division said the agreement marked another milestone in Pakistan-AIIB cooperation, reflecting the commitment to resilient infrastructure and sustainable economic growth.
