ISLAMABAD, Aug 25: The World Bank-administered Multi-Donor Trust Fund (MDTF), set up for Khyber Pakhtunkhwa, Fata and Balochistan, on Thursday approved a $20 million grant to create sustainable employment opportunities in militancy-hit Khyber Pakhtunkhwa and Fata.
The project envisages rehabilitation of some 850 small and medium enterprises, mobilisation of diaspora investments and building institutional capacities to support regulatory reforms.The Economic Revitalisation of Khyber Pakhtunkhwa and Fata (ERKF) project is a three-year endeavour that will rehabilitate, upgrade and support the development of crisis-hit SMEs in these areas, says a press release issued here by the World Bank.
The MDTF, which provides a coordinated financing support to the government`s development programmes in KP, Fata and Balochistan, serves as a funds mobilisation mechanism for the implementation of the Post-Crisis Needs Assessment (PCNA) designed jointly by the World Bank and the Asian Development Bank. Its overall objective is to support reconstruction and reduce the potential for renewed conflict in Khyber Pakhtunkhwa.
Commenting on the approval of the grant, Secretary, Economic Affairs Division, Abdul Wajid Rana said: “Small businesses are the backbone of the economy of Khyber Pakhtunkhwa and Fata.”
“These businesses suffered immense losses in the militancy crisis of 2009. Now is their chance to recover and help the province stand on its feet once again,” he said.