World Bank Greenlights $350 Million to Strengthen Pakistan’s Economic Stability

“World Bank Approves $350 Million to Support Fiscal and Competitiveness Reforms in Pakistan”

The Board of Executive Directors of the World Bank granted approval on Wednesday for $350 million in financing to aid Pakistan in implementing fiscal and competitiveness reforms. This financial support is allocated for the Second Resilient Institutions for Sustainable Economy (RISE-II) Operation, with the objective of fortifying fiscal management and promoting competitiveness to foster sustained and inclusive economic growth, according to a statement from the World Bank.

Najy Benhassine, World Bank Country Director for Pakistan, emphasized the critical need for immediate fiscal and structural reforms in Pakistan to restore macroeconomic balance and establish the groundwork for sustainable growth. He stated, “RISE-II completes a first phase of tax, energy, and business climate reforms geared to raising additional revenues, improving the targeting of expenditures, and stimulating competition and investment.”

The World Bank outlined that the RISE-II Operation contributes to enhanced fiscal management by addressing areas such as improving fiscal policy coordination, enhancing debt transparency and management, strengthening property taxation, and improving the financial viability of the power sector.