World Bank approves $400 million for Pakistan
- By Shoaib Nizami -
- Dec 12, 2025

The World Bank (WB) has announced that it will provide Pakistan with $400 million in funding for the Punjab Inclusive Cities Program.
According to the statement, the funds will help deliver clean drinking water, sanitation and waste management services to 4.5 million people across 16 cities in Punjab, Pakistan.
An additional 2 million residents will benefit from improved solid waste collection and cleanliness systems.
The statement further noted that the program aims to significantly reduce child stunting and waterborne diseases. It will also support local government bodies by increasing their revenue generation and strengthening their institutional autonomy.
The World Bank said the initiative will enhance the capacity of Punjab’s cities to better cope with floods and droughts in the future.
On Thursday, Pakistan received a $1.2 billion installment from the International Monetary Fund (IMF).
The third tranche of $1 billion with $200 million under climate change-related projects have been received by the SBP, the sources said.
This disbursement is expected to support Pakistan’s fiscal stability and provide resources for targeted environmental initiatives.
It is to be noted that on December 9, the International Monetary Fund (IMF) Executive Board approved $1.29 billion in new disbursements for Pakistan after completing its latest review of the country’s economic program.
According to the IMF statement, the Board approved $1.09 billion under Pakistan’s ongoing Extended Fund Facility (EFF), along with the first tranche of $200 million from the Resilience and Sustainability Facility (RSF), which supports climate adaptation and mitigation reforms.