Portions of the approximately $6.6 billion[1] Karachi–Lahore Motorway are already under construction.[248] The $2.9 billion phase which will connect the city of Multan to the city of Sukkur over a distance of 392 kilometres has also been approved,[249] with 90% of costs to be financed by the Chinese government at concessionary interest rates, while the remaining 10% is to be financed by the Public Sector Development Programme of the Pakistani government.[250] In May 2016, the $2.9 billion loan were given final approvals required prior to disbursement of the funds were given by the Government of the People's Republic of China on 4 May 2016, and will be concessionary loans with an interest rate of 2.0%.[5] The National Highway Authority of Pakistan reported that contractors arrived on site soon after the loan received final approval.[94]