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ADB to Provide $2 Billion Annually to Pakistan for Infrastructure and Climate Initiatives
The Asian Development Bank pledges $2 billion in annual aid to Pakistan for the next three years, focusing on infrastructure and climate resilience.
ND
by News Desk
2024-09-18
ADB to Provide $2 Billion Annually to Pakistan for Infrastructure and Climate Initiatives

The Asian Development Bank (ADB) has announced a significant financial commitment to Pakistan, pledging $2 billion in annual assistance over the next three years. This aid will support crucial infrastructure development and climate-resilient initiatives, reflecting the bank’s long-standing partnership with the country.

 

In an official statement, the ADB reaffirmed its commitment to helping Pakistan achieve sustainable economic recovery and stability. The bank's president commended Pakistan's recent signs of economic improvement, noting the progress made despite the country's ongoing challenges.

 

During discussions, former President Asif Ali Zardari emphasized Pakistan’s urgent need for climate finance, calling on the ADB to enhance its support in combating climate change. Zardari stressed the severe impact of climate change on Pakistan, particularly following the devastating floods of 2022, which had a lasting effect on the economy, agriculture, and critical infrastructure, including education and roads.

 

The ADB’s country partnership strategy for Pakistan (2021–2025) is focused on three key areas: improving economic management, building resilience, and promoting competitiveness and private sector development. This strategic framework underscores the bank’s commitment to not only short-term economic stabilization but also long-term, sustainable growth.

 

As of December 31, 2023, the ADB has provided Pakistan with 755 public sector loans, grants, and technical assistance packages, amounting to a total of $41.4 billion. The bank’s current sovereign portfolio includes 55 active loans and four grants valued at $10.11 billion.

 

The cumulative disbursements from both sovereign and non-sovereign loans and grants to Pakistan have reached $31.76 billion. These funds have been made available through the ADB’s regular and concessional capital resources, as well as the Asian Development Fund and other special funds.

 

With Pakistan facing increasing climate challenges, the ADB’s financial assistance will play a pivotal role in building climate-resilient infrastructure and fostering economic growth in key sectors, including agriculture, education, and transportation.
Tagged:

ADB

PakistanEconomy

EconomicRecovery

InfrastructureDevelopment

ClimateResilience

ClimateFinance
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