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World Bank approves USD 700 million to boost Pakistan’s financial health

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The approval comes after a World Bank grant of USD 47.9 million in August 2025 to enhance primary education in Pakistan's Punjab province

The World Bank has approved USD 700 million in financing for Pakistan as part of a multi-year initiative aimed at promoting macroeconomic stability and enhancing service delivery.

The lender stated that the funds will be released under the bank’s Public Resources for Inclusive Development – Multiphase Programmatic Approach (PRID-MPA), which could provide up to USD 1.35 billion in total financing, according to The Dawn.

“Around USD 600 million of this will be allocated to federal programmes, while USD 100 million will be allocated to a provincial programme in Sindh,” the media outlet stated.

The approval comes after a World Bank grant of USD 47.9 million in August 2025 to enhance primary education in Pakistan’s Punjab province.

In a separate statement, the lender quoted Bolormaa Amgaabazar, the World Bank’s country director for Pakistan, as saying, “Pakistan’s pathway to inclusive, sustainable growth lies in mobilising more domestic resources and applying them efficiently and transparently to deliver results for people.”

She stated that the MPA enables the bank to work with the federal and Sindh governments to “deliver on impact-more reliable budgeting for schools and clinics, fairer taxation, and better data for decision-making, all while protecting priority social and climate investments, and building public trust.”

Tobias Akhtar Haque, World Bank lead country economist for Pakistan, added that “strengthening the fiscal foundations was key to restoring macroeconomic stability, delivering results, and strengthening institutions.”

“Through the PRID-MPA, we are launching a coherent nationwide approach to support reforms that expand fiscal space, bolster investments in human capital and climate resilience, and strengthen revenue administration, budget execution, and statistical systems,” the official added.

“These reforms will ensure that resources reach the front line and deliver better outcomes for people across Pakistan with greater efficiency and accountability,” he concluded.

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