The framework will channel $20 billion through
the IDA and the IBRD. Additionally, the IFC will
provide $20 billion to bolster private sector growth
Web Desk
Islamabad: The World Bank (WB) has pledged an unprecedented $40 billion to Pakistan under a 10-year Country Partnership Framework (CPF) to drive inclusive and sustainable development, according to official sources and an official statement.
The framework will channel $20 billion through the International Development Association (IDA) and the International Bank for Reconstruction and Development (IBRD). Additionally, the International Finance Corporation (IFC) will provide $20 billion to bolster private sector growth.
Focus on Human Capital and Sustainability
According to World Bank Country Director Najy Benhassine, the CPF aims to address critical development challenges such as child stunting, learning poverty, climate change resilience, and energy sector sustainability.
“Our new decade-long partnership framework for Pakistan represents a long-term anchor for our joint commitment with the government to tackle acute development challenges,” Benhassine said.
Key Goals and Areas of Focus
The CPF emphasizes several strategic areas, including:
- Human Capital Development: Improving access to quality education for 12 million students and healthcare for 50 million citizens.
- Climate Resilience: Enhancing resilience to floods and climate-related disasters, benefiting 75 million people.
- Energy Sector Reform: Developing a financially sustainable energy sector, adding 10 gigawatts of renewable energy, and reducing transmission and distribution losses.
- Clean Water and Sanitation: Providing safe drinking water and sanitation for 60 million people to combat child stunting.
- Food Security and Family Planning: Strengthening food security for 30 million individuals and expanding family planning access to 30 million women.
- Economic Stability: Increasing tax-to-GDP ratio above 15%, enhancing fiscal space, and encouraging productive private investment to improve trade balances.
Alignment with National Goals
The CPF aligns with Pakistan’s National Economic Transformation Plan, “Uraan Pakistan,” and the Prime Minister’s Economic Transformation Agenda. Extensive consultations with stakeholders across Pakistan helped shape the framework’s priorities.
Historical Context and Current Engagement
Pakistan, a member of the World Bank since 1950, has received $48.3 billion in assistance to date. The current portfolio, encompassing 106 projects across IBRD, IFC, and MIGA, reflects a total commitment of $17 billion.
This new partnership represents a milestone in Pakistan’s developmental journey, offering a clear roadmap for inclusive growth, climate resilience, and economic transformation over the next decade.
