KUALA LUMPUR, Dec 19 — The World Bank has provided a US$70 million financing package to a Malaysian paper and packaging manufacturer for sustainable paper production, Xinhua reported.
The funding was extended to XSD International Paper Sdn Bhd (XSD), a manufacturer of coated duplex board paper and grey board in Malaysia, through the International Finance Corporation (IFC), the World Bank’s private sector arm.
IFC said in a statement yesterday that the financing, which includes a US$28 million green loan, will support XSD’s planned construction of a cogeneration plant in Kulim, Kedah, using biomass to generate electricity and steam. The remaining funds will be used to finance a third production line for duplex board paper.
The project is expected to generate economic benefits by creating an estimated 750 direct jobs and 1,810 indirect jobs, boosting incomes for local communities in the state of Kedah.
Carsten Mueller, regional industry director of manufacturing, agribusiness and services in Asia Pacific at IFC, said the partnership reflects a commitment to creating jobs, promoting best practices, and supporting inclusive and sustainable growth in Malaysia. — Bernama
