Saudi Fund for Development contributes $240m to support Pakistan energy transition

Saudi Fund for Development CEO Sultan Abdulrahman Al-Marshad, right, and Pakistan's Secretary Ministry of Economic Affairs Dr. Kazim Niaz, center, sign agreement on loan for Mohmand Dam project, in Islamabad on April 7, 2023. (APP)
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Updated 07 April 2023
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Saudi Fund for Development contributes $240m to support Pakistan energy transition

ISLAMABAD: The Saudi Fund for Development has signed a $240 million loan agreement to help build a major hydropower complex in Pakistan’s northwest, the Pakistani government said on Friday, adding it would contribute to the country’s energy security and increase its resilience against floods. 

Cash-strapped Pakistan relies heavily on energy imports from other countries. Islamabad has lately been looking to shift its energy sector to alternate sources, including hydro- and solar-power stations. The country also witnessed deadliest floods last year that killed more than 1,700 people, affected 33 million others and cost $30 billion in losses. 

The Mohmand Multipurpose Dam Project will enhance water and food security, and improve the standard of living for people living in the northwestern Khyber Pakhtunkhwa province, boosting the region's socio-economic development by creating employment opportunities and reducing poverty levels.  

“The Saudi Fund for Development has signed a $240 million loan agreement to support Pakistan's Mohmand Multipurpose Dam Project, a major hydropower complex that will contribute to Pakistan’s energy security, increase sustainable water supply for agriculture and human consumption and improve resilience to floods,” the Pakistani economic affairs ministry said in a statement. 

“This loan represents a strong partnership between Saudi Arabia and Pakistan in promoting sustainable development and achieving the SDGs (sustainable development goals).” 

According to the statement, the project, which is co-financed by the Saudi Fund for Development, Organization of the Petroleum Exporting Countries, Islamic Development Bank, and the Kuwait Fund for Arab Economic Development, is expected to have a significant impact on Pakistan's energy and water sectors.  

“By using renewable energy sources, the project will generate 800MW of electricity production capacity, contributing to Pakistan's energy security,” it said.  

Pakistan and Saudi Arabia enjoy cordial, wide-ranging ties in diverse sectors, such as economy, trade, defense, energy and others. Throughout their history, the Kingdom has extended financial assistance to Pakistan in economically difficult times.  

In January, Saudi Arabia’s Crown Prince Mohammed bin Salman directed the SFD to study fresh projects with a view to increasing investments in Pakistan to $10 billion instead of the previously envisaged amount of $1 billion. The SFD, to date, has financed around 41 development projects and programs in Pakistan, amounting to approximately $1.4 billion.


Saudi-French cooperation to localize veterinary vaccine manufacturing

Updated 17 February 2026
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Saudi-French cooperation to localize veterinary vaccine manufacturing

RIYADH: In the presence of sector leaders, the National Livestock and Fisheries Development Program signed a memorandum of understanding with French company Ceva under the patronage of Minister of Environment, Water and Agriculture Abdulrahman bin Abdulmohsen Al-Fadhli, who also chairs the program’s board.

The agreement aims to localize vaccine manufacturing, transfer technology and technical expertise, and expand the industrial and commercial production of veterinary vaccines across the Kingdom.

According to the MoU, the two parties will work to achieve high efficiency in mass production scale-up and establish a clear path for sustainable commercial operation that meets the needs of the local and national market, as well as strengthen the biosecurity and food security system.

The MoU also includes the development and modernization of messenger RNA vaccine technologies, along with joint research and development of a Middle East Respiratory Syndrome vaccine for camels. This involves designing, evaluating, and developing vaccines specifically tailored to combat the virus.

The agreement also covers the development of a rabies vaccine and related solutions, as well as supporting national efforts to control the disease through vaccine provision, capacity building, and the implementation of integrated prevention strategies.

The collaboration between the program and Ceva aims to meet the needs of the poultry vaccine market in the Kingdom, currently estimated at around SR750 million ($199 million).

The company will work to cover approximately 30 percent of this market with an initial investment of around SR250 million.

With continued government support for poultry projects and increased production in the sector, the market is expected to grow at a rate exceeding 10 percent annually, reaching approximately SR1.25 billion by 2030.

The addition of the world’s leading poultry vaccine manufacturer to Biotech Park highlights the program’s key role in developing new industries within the livestock and fisheries sector.

It also highlights the program’s commitment to building international partnerships with global companies, organizations, research centers, and universities to support advanced biotechnology industries and attract high-quality investments. It also seeks to create new economic sectors based on biotechnology, enhance veterinary health security, and support the sustainable economic development of the livestock sector, as well as empower national and emerging companies and provide advanced research and industrial infrastructure.

This will solidify the Kingdom’s position as a global hub for biotechnology industries and the development of national capabilities.

Ceva is the first international partner to join Biotech Park, the future veterinary biotechnology city launched by the program in Dhurma Governorate. The city is the world’s first specialized and fully integrated hub for veterinary biotechnology, serving as a benchmark for sector development and a platform supporting markets across the Kingdom, the Gulf, the Middle East, Africa and beyond.

The signing of Ceva is a significant step, given its position as the world’s leading manufacturer of poultry vaccines and medicines, and one of the most prominent international companies in the field of biotechnology.

The MoU aims to localize the veterinary vaccine industry, ensuring its compatibility with the strains of poultry diseases prevalent in Saudi Arabia. This includes the transfer of technology and technical expertise from Ceva, along with the implementation of specialized training programs to guarantee that manufacturing facilities comply with international Good Manufacturing Practice standards.