Pakistan Seeks $500 Million Additional Project Financing from Multilateral Institutions

The government is preparing to secure an additional $500 million in project financing from multilateral institutions during the current fiscal year, sources told ProPakistani. Discussions are underway with the Asian Development Bank (ADB), the World Bank, and the Islamic Development Bank (IDB) to finalize the additional funding. Sources revealed that the Ministry of Finance and the Economic Affairs Division are in talks with these multilateral institutions to secure the financing. The revised estimate for project financing during the current fiscal year has been set at $5.6 billion, compared to the initial budget estimate of $ 5.1 to $5.2 billion. The Asian Development Bank is expected to provide over $300 million for social protection and development projects. Efforts are being made to secure $100 million in additional financing from the ADB by the end of December. Similarly, the World Bank is expected to provide approximately $150 million in additional funding for the Dasu Dam and its associated transmission lines. Discussions are also ongoing with the Islamic Development Bank for additional financing for various projects. However, sources said that negotiations with the World Bank and the Islamic Development Bank have not yet been finalized. The Ministry of Finance has tasked the Economic Affairs Division with leading the efforts to secure the additional financing. The funds are expected to help ease payment pressures and support the government’s development agenda.