LAHORE : The funding will be released under the bank’s Public Resources for Inclusive Development – Multiphase Programmatic Approach (PRID-MPA), which could provide up to $1.35 billion in total financing over time. Of the approved amount, $600 million has been earmarked for federal programmes, while $100 million will support a provincial initiative in Sindh.
The approval comes months after a $47.9 million World Bank grant in August to improve primary education in Punjab, reflecting continued international support for reforms in key social sectors.
World Bank Country Director for Pakistan Bolormaa Amgaabazar said the country’s path to inclusive and sustainable growth depends on mobilising domestic resources and using them efficiently and transparently. She noted that the PRID-MPA aims to deliver tangible results, including more predictable funding for schools and clinics, fairer tax systems, and stronger data for decision-making, while safeguarding social and climate investments and strengthening public trust.
World Bank Lead Country Economist for Pakistan Tobias Akhtar Haque said reinforcing Pakistan’s fiscal foundations was essential to restoring macroeconomic stability and strengthening institutions. He added that the programme introduces a coherent nationwide reform framework to expand fiscal space, boost investments in human capital and climate resilience, and improve revenue administration, budget execution, and statistical systems to ensure resources reach the front line more efficiently and accountably.
According to the lender, the federal component of the programme will focus on raising domestic revenues more fairly, improving budget planning and execution, and strengthening data systems for evidence-based policymaking. Key actions include tax policy and administration reforms, scaling up the Integrated Financial Management Information System and its linked e-procurement platform, targeted subsidy reforms, and strengthening the national statistical system led by the Pakistan Bureau of Statistics.
In Sindh, the programme is expected to boost provincial revenues, improve the speed and transparency of payments, and expand the use of data to guide decision-making. The initiative will also directly support more equitable financing for primary healthcare facilities and increased funding for schools.
The World Bank has approved $700 million in financing for Pakistan under the PRID-MPA to stabilize the economy and enhance public services. The funds will support federal and provincial initiatives, focusing on fiscal reforms, education, and healthcare. This move aims to strengthen Pakistan's fiscal foundations, improve revenue systems, and ensure efficient resource allocation.