ISLAMABAD: The world Bank agreed loan of $20 billion to Pakistan, The funds will be allocated across six key sectors, with an emphasis on climate resilience, poverty reduction, healthcare, education, tackling child stunting, and inclusive development.
Additionally, the World Bank has highlighted clean energy, air quality improvement, and the fostering of private sector investment as critical focus areas.
This loan is part of a broader ten-year Country Partnership Framework (CPF) between Pakistan and the World Bank, which is now entering its final planning phase. A comprehensive national plan is in the works to guide its implementation.
Under the same framework, an additional $20 billion is set to be available for Pakistan’s private sector, albeit at higher interest rates compared to the concessional loan. The total lending volume under the agreement is expected to reach $40 billion over the next decade.
Sovereign loans will be provided through the World Bank’s International Development Association (IDA), while the financing for the private sector will be managed by the International Finance Corporation (IFC), according to government sources.
