The World Bank has unveiled a $20 billion Country Partnership Framework (CPF) for Pakistan, spanning FY 2026-2035, aimed at addressing critical development challenges, including child stunting, climate resilience, and transitioning to cleaner energy. However, disbursement of funds will depend on the pace of structural reforms and collaborative progress with authorities, World Bank Country Director for Pakistan Najy Binhassine stated at the launch event.
The CPF introduces a decade-long strategy for sustainable growth and development in Pakistan, with a mid-term review in FY2030 to reassess progress and adjust targets if needed.
Implementation will involve rolling two-year business plans jointly developed with the government to define project pipelines and investments. The framework prioritizes six key outcomes, which enjoy broad political support, according to Binhassine.
The CPF will operate using an “IF and THEN” approach, focusing on scaling up areas backed by government commitment, policy reforms, and implementation progress. Martin Raiser, Vice President for South Asia, emphasized the importance of leveraging private investment and aligning resources with other development partners, including the International Monetary Fund (IMF) and Asian Development Bank (ADB).
“This partnership represents a unified vision to address Pakistan’s most pressing challenges,” Raiser said. He highlighted ongoing macroeconomic stabilization and the government’s launch of the National Economic Transformation Plan, Uraan Pakistan, as critical steps towards recovery.
The CPF will emphasize collaboration among the World Bank, International Finance Corporation (IFC), and Multilateral Investment Guarantee Agency (MIGA) to unlock private investment in priority sectors such as energy, water, agriculture, digital infrastructure, and transport. Joint Engagement Plans (JEPs) will be introduced to coordinate solutions and foster investment in these areas.
Additionally, the CPF will incorporate a Pakistan Data and Monitoring and Evaluation (M&E) Lab to track progress on targets, particularly in areas like gender outcomes and climate resilience. Secretary of Economic Affairs Division, Dr. Kazim Niaz, described the CPF as a cornerstone of Pakistan’s long-term economic partnership with the World Bank.
The initiative has received strong backing from the World Bank’s Board of Directors, which commended Pakistan’s commitment to the CPF’s long-term goals during discussions in Washington. The CPF represents a shift in how the World Bank engages with countries, emphasizing a focus on results and long-term planning.
“This partnership will require leadership, persistence, and strategic planning,” Raiser said, adding, “We are ready to adjust course as circumstances demand, ensuring efforts remain aligned with Pakistan’s priorities and for the benefit of its people.”
The $20 billion pledge reflects the World Bank’s confidence in Pakistan’s economic recovery, contingent on sustained reforms and effective implementation to achieve ambitious development outcomes over the next decade.
