World Bank reaffirms commitment to $20b Pakistan development programme

ISLAMABAD:

The World Bank reaffirmed its commitment to Pakistan’s $20 billion development programme on Sunday, underscoring its continued support for the country’s reform and development agenda.

Finance Minister Muhammad Aurangzeb met World Bank Group Managing Director Anna Bjerde on the sidelines of the AlUla Conference for Emerging Market Economies in Saudi Arabia.

The meeting reviewed progress under Pakistan’s Country Partnership Framework (CPF) and followed up on the recent visit of the World Bank president to Pakistan. Discussions focused on key priority sectors, including energy, education, health, climate resilience, infrastructure, fiscal reforms, and debt-for-development swaps.

Both sides emphasised the need for a more focused approach, clear performance trackers, and robust implementation to ensure timely and tangible results.

Bjerde reaffirmed the World Bank Group’s strong commitment to Pakistan’s 10-year, $20 billion development program. The finance minister reiterated Pakistan’s commitment to close collaboration with the World Bank, including active engagement with provincial governments to ensure effective coordination and delivery.

Last year, the World Bank Board approved a $20 billion loan package for Pakistan for the 2025-2035 period.

The Country Partnership Framework was officially released after approval by the World Bank Group’s Board of Executive Directors. The $20 billion package aims to reduce Pakistan’s learning poverty, improve poor health outcomes, and protect people from climate change risks.

Before approving the plan, the World Bank projected economic growth of just 3.8% in 2029, a budget deficit of 6% of GDP, and a debt-to-GDP ratio of 73% — three key indicators of economic health.