ISLAMABAD - The Senate Standing Committee on Finance and Economic Affairs was informed on Wednesday that the government was facing serious problems in arranging financial resources for Diamer Bhasha Dam, as the World Bank has refused to provide financing for the dam.

The Senate Standing Committee on Finance, Revenue and Economic Affairs met under the chair of its chairperson Senator Nasreen Jalil. The officials of Economic Affairs Division briefed the committee about the construction of Diamer Bhasha Dam. The Committee was informed that total cost of Diamer Bhasha dam is around $12 billion. The committee was informed that World Bank has refused to provide financing for the Diamer Bhasha Dam, as the Bank believed that investment in this dam is not viable option. The officials of Economic Affairs Division also informed the Senate body that USAID has announced to provide $220 million for the Diamer Bhasa Dam, which is not enough against the complete cost of $12 billion.

The official further informed that government had arranged only $3 billion with the help of international financing institutes, therefore World Bank showed concerns for arranging $ 9 billion. The committee was informed that World Bank termed it an investment risk by investing in said dam.