National Bank of Pakistan Ready to Finance IP Gas Pipeline

The National Bank of Pakistan (NBP) said on Tuesday that it is ready to finance the Iran-Pakistan (IP) gas pipeline project if the State Bank of Pakistan (SBP) directs it to do so, The Express tribune has reported.

“The IP [gas pipeline] is a big project: a consortium of banks can finance it, and we can become a part of such a consortium if the SBP directs us,” NBP Senior Vice President and Divisional Head of Consumer and Retail Banking Adnan Adil Hussain said while addressing a press conference in Islamabad.

Pakistan and Iran signed a deal in 2010 under which Tehran would supply gas to its eastern neighbour from 2014, with sales to reach up to one billion cubic feet (28 million cubic meters) per day by mid-2015.

The pipeline will have a length of 900 km and will stretch from Assaluyeh in southern Iran to the border with Pakistan. Another 800 kilometers pipeline was also needed inside Pakistan to receive gas from Iran’s South Pars field in the Gulf.