World Bank plans to loan Pakistan $20 billion over coming decade

The World Bank plans to loan Pakistan $20 billion over the coming decade to nurture its private sector and bolster resilience to climate change, Prime Minister Shehbaz Sharif said.
Sharif said the World Bank funding would be used for "child nutrition, quality education, clean energy, climate resilience, inclusive development and private investment".
The deal "reflects the World Bank's confidence in Pakistan's economic resilience and potential," he said on social media platform X on Wednesday.
The IMF deal - Pakistan's 24th since 1958 - came with conditions that the country improve income tax takings and cut power subsidies, cushioning costs of the sector.
The World Bank said the new $20 billion scheme would begin in the fiscal year 2026 and last until 2035.
"The economy is recovering from the recent crisis as the government has launched an ambitious programme of fiscal, energy and business environment reforms," said a summary of the plan released by the World Bank.
The World Bank plans for "more selective, stable, and larger investments in areas critical for sustained development and that require time and persistence for impact", it said.
The World Bank's Pakistan director Najy Benhassine said in a statement the deal "represents a long-term anchor" that will "address some of the most acute development challenges facing the country".