Notwithstanding India’s concerns, China has agreed to provide Pakistan USD 448 million for the Neelum-Jhelum hydropower project, currently underway in Pakistan-occupied Kashmir (PoK), work on which had slowed down due to a financial crunch.
International bodies had refused to fund the 969-MW project, being built on the Neelum river in PoK, as it is located in the disputed region of Kashmir. India had flagged its concerns regarding Chinese activities in PoK during China’s Premier li Keqiang’s visit to New Delhi last week.
The agreement with the state-run Export-Import Bank of China is a “significant development in efforts to secure requisite financial resources for the remaining works” of the project, according to sources.