Hydropower Project Costs Soar Amid Inflation, Rupee Depreciation

Hydropower Project Costs Soar Amid Inflation, Rupee Depreciation

Pakistan's major hydropower projects, including Diamer Basha and Dasu, face cost escalations of up to 285%. This surge is driven by persistent inflation, sharp rupee depreciation from Rs 105 to Rs 290 per USD, and rising material prices. Diamer Basha Dam's cost increased by 134% and Dasu's by 260% due to foreign exchange losses and price hikes. Such significant cost overruns, fueled by inflation and a weakening rupee, suggest ongoing economic pressures, potentially leading investors to seek refuge in gold and silver, thus supporting higher local prices.

بحوالہ / Source: www.brecorder.com