Islamabad, March 7, 2016
— IFC, a member of the World Bank Group, has won an award from Infrastructure Journal magazine, a leading sector publication, for arranging $122 million in debt financing for a new hydropower plant in Pakistan.
The Infrastructure Journal Awards recognize excellence, achievement and innovation in energy and infrastructure finance. IFC won the magazine’s “Asia Pacific Hydro Deal of The Year award” for providing financing for the 102-megawatt Gulpur Hydro project, developed by Mira Power Limited, a subsidiary of Korea South East Power Co. Ltd (KOSEP) of South Korea.
The project involves the construction and operation of a run-of-the-river hydro plant on the Poonch River, which is expected to help ease crippling power shortages in Pakistan and meet demand for over 430,000 individual residential customers.
The complex financing for the project comprised an IFC investment of $50 million and a mobilization of $72 million in senior loans from development finance institutions. Other lenders to the project included ADB and Korea EXIM Bank. Gulpur is KOSEP’s first international hydro project to reach financial commitment.
Pakistan has been facing a severe power deficit in recent years with daily blackouts of up to six hours or more in many areas, hindering industrial growth and adversely affecting the quality of life for millions. The deficit is estimated to have cut economic growth by about 2 percent of the country’s annual Gross Domestic Product.
The country represents IFC’s second-largest exposure in the MENA region, with over $5.6 billion in cumulative investments committed to date.
About IFC
IFC, a member of the World Bank Group, is the largest global development institution focused on the private sector in emerging markets. Working with more than 2,000 businesses worldwide, we use our capital, expertise, and influence, to create opportunity where it’s needed most. In FY15, our long-term investments in developing countries rose to nearly $18 billion, helping the private sector play an essential role in the global effort to end extreme poverty and boost shared prosperity. For more information, visit
www.ifc.org
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