ISLAMABAD, Feb 14: China has pledged $300 million for reconstruction of Muzaffarabad, Bagh and Rawalakot, affected by the 2005 earthquake in Azad Kashmir.

The amount will be used for developing the cities under the Urban Development Programme. Pakistan will also contribute $53 million.

Erra’s development programme is aimed at providing safe housing, improved environment and modern infrastructure to boost economic and social growth in earthquake-affected areas.

More than $190 million will be spent on 90 projects in Muzaffarabad, $123.55 million on 50 projects in Bagh and over $38 million for executing 30 projects in Rawalkot.

These projects include construction of government buildings, roads and bridges, shopping centers, satellite towns, playgrounds and parks, education and health facilities, wholesale markets, slaughterhouses, transport terminals, neighborhood centres and designing and laying of infrastructure facilities like water supply, sewerage, underground electricity and telecom cables. These facilities will be developed by Chinese companies.

An umbrella contract signing ceremony for the execution of the projects was held here on Saturday at the Earthquake Reconstruction and Rehabilitation Authority (Erra) headquarters.