World Bank approves $700mn financing for Pakistan

ISLAMABAD: The World Bank’s Board of Executive Directors has approved $700 million in financing for the Pakistan Public Resources for Inclusive Development – Multiphase Programmatic Approach (PRID-MPA).

PRID-MPA is a multi-year, multi-program initiative aimed at supporting macroeconomic stability and improving service delivery in the country.

According to a World Bank press release, the PRID-MPA is an innovative national program designed to support federal and provincial reforms to mobilize domestic revenue, enhance the quality of public spending, and leverage data and digital tools to improve service delivery.

The program is intended to support ongoing fiscal reforms aligned with the IMF Extended Fund Facility (EFF) and the National Fiscal Pact, and will provide up to $1.35 billion in total financing over multiple phases.

Of this amount, the World Bank has approved $600 million for federal-level programs and $100 million for the Sindh provincial program.

“Through this MPA, we are working with the Federal and Sindh governments to deliver tangible impacts—more predictable funding for schools and clinics, fairer tax systems, and stronger data for decision-making—while safeguarding priority social and climate investments and strengthening public trust,” said Bolormaa Amgaabazar, World Bank Country Director for Pakistan.

The federal component will focus on raising domestic revenues more fairly, improve budget planning and execution, and strengthen data systems for evidence-based decisions.

Key actions include advancing tax policy and administration reforms; financing and scaling the Integrated Financial Management Information System and its linked e-procurement platform; undertaking targeted subsidy reforms; and strengthening the national statistical system led by the Pakistan Bureau of Statistics, the statement added.

In Sindh, the program is expected to increase provincial revenues, enhance the speed and transparency of payments, and broaden the use of data to guide provincial decision making, the statement concluded.