The agreement of the two loans was signed on Monday in Islamabad.

One loan of $200m will go to various urban planning reforms in the Punjab province while $180m will help improve road traffic efficiency under the Central Asia Regional Economic Cooperation Corridor Development Investment Programme. 

ADB country director for Pakistan Xiaohong Yang said: “Investments [in] the key national highway infrastructure and improved road safety will lead to systematic transport sector development and job creation, while our investment in Punjab will help deliver inclusive and sustainable urban development.”

She added: “The agreements signed today demonstrate ADB’s continued partnership with the government of Pakistan to improve living standards through quality investments in infrastructure.”