World Bank pledges $40 bln to Pakistan under 10-year CPF

ISLAMABAD: The World Bank (WB) has pledged to provide $40 billion to Pakistan under the 10-year Country Partnership Framework (CPF), according to sources in the Ministry of Economic Affairs.

The sources termed the commitment as a testament to the successful efforts of Prime Minister Shehbaz Sharif in securing international support for Pakistan’s economic growth, adding the joint efforts by PM and Army Chief, General Asim Munir have started producing results.

According to the WB official statement, the new framework for the country aimed to support inclusive and sustainable development through a strong focus on building human capital, in addition to fostering durable private sector growth.

Out of the total $40 billion, $20 billion would be provided through the International Development Association (IDA) and the International Bank for Reconstruction and Development (IBRD).

The CPF will focus on six key development areas, including reducing child stunting, mitigating climate change, improving learning outcomes, providing clean water, and promoting public resources and private investment for comprehensive development.

The International Finance Corporation (IFC) will also provide funding of $20 billion to support the CPF.

Specific goals include increasing tax revenue to over 15% of GDP, adding 10 Gigawatts of renewable energy capacity, providing quality education to 12 million students, and delivering healthcare services to 50 million people.

The framework also aims to provide safe drinking water and sanitation facilities to 60 million people, strengthen food security for 30 million individuals, and increase access to family planning services for 30 million women.

Additionally, the CPF includes objectives to address flood and disaster risks, benefiting 75 million people, the sources added.

It is worth mentioning, that 19 out of 24 directors voted in favor of Pakistan when approving the 10-year Country Partnership Framework.

PM welcomes framework

Prime Minister Shehbaz Sharif on Wednesday welcomed the World Bank’s pledge of $20 billion under its first-ever 10-year Country Partnership Framework (CPF) for Pakistan.

The prime minister, in a social media post on his X timeline, said that while focusing on six key areas, including child nutrition, quality education, clean energy, climate resilience, inclusive development, and private investment, CPF reflected Pakistan’s national priorities, as envisioned in its Home Grown Economic Transformation Plan.

The prime minister deeply appreciated the efforts of the Chief of the Army Staff General Asim Munir and other colleagues who had worked day and night to strengthen Pakistan’s foundation for such transformative partnerships.

“CPF reflects the World Bank’s confidence in Pakistan’s economic resilience and potential. We look forward to strengthening our partnership as we align our efforts for creating lasting opportunities for our people,” he remarked.