Business

ADB approves $800m financing program for Pakistan

Published by
Digital Desk

ISLAMABAD: The Asian Development Bank (ADB) has approved an $800 million financing package for Pakistan under the Resource Mobilization Reform Program (Subprogram-II).

The package includes a $300 million budget support loan and ADB’s first-ever program-based guarantee of up to $500 million, aimed at mobilising as much as $1 billion from commercial lenders.

The funding supports Islamabad’s wide-ranging fiscal and governance reforms, including overhauls in tax policy and administration, public expenditure management, and digital governance to contain the fiscal deficit and reduce public debt.

According to Ministry of Economic Affairs officials, the ADB Board of Governors had originally convened to meet on May 28 to consider the loan request, but was postponed at the request of the Indian executive director.

The board eventually convened on June 3, approving the $800 million package, which will be used primarily to strengthen Pakistan’s foreign exchange reserves.

“Pakistan has made significant progress in improving macroeconomic conditions,” said ADB Country Director Emma Fan.

“This programme backs the government’s commitment to further policy and institutional reforms that will strengthen public finances and promote sustainable growth,” she said.

Digital Desk

Recent Posts

Pakistan’s timely policy may shield it from proposed U.S. additional tariffs

ISLAMABAD (Rizwan Abassi): Pakistan’s recent trade policy has gained significance amid reports that the United…

8 hours ago

Govt set to brief PPP on crucial legal changes ahead of Budget

ISLAMABAD: Important legislation may be considered in the negotiations between the Pakistan People's Party (PPP)…

8 hours ago

No visa agent needed! UK High Commissioner shares step-by-step visa guide

ISLAMABAD: If you are thinking of applying for a UK visa from Pakistan and are…

9 hours ago

Famous Anti-biotic medicine ‘Azomax’ declared fake

LAHORE: The Drugs Control of Punjab declared a Class-I alert after the lab tests confirmed…

9 hours ago

Unmarried women can now get financial support from BISP

KARACHI: The government has decided to include unmarried women above the age of 35 in…

10 hours ago

Minimum salary of 45,000 proposed in Budget 2026-27

ISLAMABAD: The Pakistan Institute of Development Economics (PIED) has recommended setting the minimum monthly wage…

10 hours ago