The US Export–Import Bank has approved $1.25 billion in financial assistance for Pakistan’s major mineral project, Reko Diq, a development being considered a significant boost for the country’s economy.
In a statement posted on social media platform X on Wednesday, the US Embassy said that this new financial support would help promote economic development in Balochistan through a strengthened partnership between Pakistan and the United States.
Reko Diq is an important project located in Balochistan, comprising vast copper and gold reserves and considered among the world’s largest mineral deposits. The project is a joint venture: 50% owned by Canada’s Barrick Gold and 50% by Pakistani partners, with a target to begin production in 2028.
In a video message, US Chargé d’Affaires A. I. Natalie Baker said that in the coming years, financing provided by EXIM Bank would enable the supply of up to $2 billion worth of American machinery and services for the Reko Diq project, which will be used in mining operations. According to Baker, the project will create 6,000 jobs in the United States and 7,500 jobs in Pakistan’s Balochistan province.
She said that Reko Diq is a model project that will open new avenues of employment and prosperity for American exporters as well as Pakistani local communities and partners. Baker further stated that such economic agreements have been made a key component of US diplomacy under President Trump’s administration.
Last month, EXIM Bank’s head, Reta Jo Lewis, told the Financial Times that the bank would invest $100 billion in the coming years to strengthen supply chains for critical minerals, nuclear energy, and liquefied natural gas. According to her, the initial projects include Egypt, Pakistan, and Europe.
