| Islamabad: The World Bank has committed USD 2 billion to aid Pakistan’s flood recovery, with USD 1.55 billion designated for rehabilitation projects following the 2022 floods. This announcement was made during a media briefing on October 9.
Read: World Bank briefed on FBR’s digitalised tax policy
As per shared details, World Bank Country Director Najy Benhassine highlighted that this financial commitment was revealed at the Donors Conference held in Geneva in 2023. The funds will be distributed through a comprehensive strategy focusing on Immediate Response, Reconstruction and Rehabilitation, and Building Resilience. However, officials confirmed that the disbursement for housing reconstruction in Balochistan has yet to begin.
Ahsan, a World Bank representative, provided further details on fund allocation, stating that USD 454 million has already been accessed through existing projects. The breakdown includes USD 277 million designated for immediate response, USD 177 million for reconstruction and rehabilitation, and USD 1.55 billion earmarked for new projects aimed at enhancing resilience.
Among the newly funded projects, USD 213 million is specifically allocated for reconstruction and resilience in Balochistan. Additionally, the plans include USD 500 million for reconstruction and housing initiatives in Sindh, USD 40 million for health, USD 147 million for social protection, USD 98 million for agriculture, and USD 50 million for reconstruction efforts in Khyber Pakhtunkhwa.
Read: PAK seeks USD 230 mn World Bank restructuring for Click Karachi
Despite the urgency of the situation, World Bank officials confirmed that housing reconstruction disbursements in Balochistan have not yet commenced. Of the estimated 250,000 to 280,000 affected individuals, only 104 bank accounts have been opened so far. “While we have an implementation framework in place, progress may take longer than anticipated, but we are beginning to see advancements,” they noted.
In contrast, recovery efforts in Sindh are progressing more swiftly, with USD 22 million already disbursed for housing reconstruction and a total of USD 270 million allocated to flood-affected individuals thus far.
The country director stressed the importance of increasing access to concessional loans for low-income countries to bolster their recovery capabilities.
Read: World Bank approved USD 1.6 bn for flood relief efforts in Sindh
For the Sindh Flood Emergency Housing Reconstruction Project, budgeted at USD 500 million, the objective is to provide resilient, beneficiary-driven housing solutions in districts severely impacted by the 2022 floods. The Asian Development Bank (ADB) has pledged an additional USD 400 million, while the Islamic Development Bank (ISDB) has committed USD 200 million. To date, 935,000 bank accounts have been established for beneficiaries.
Regarding the Sindh Flood Emergency Rehabilitation Project, also valued at USD 500 million, the focus will be on restoring damaged infrastructure and providing short-term livelihood opportunities in flood-affected areas, while also enhancing the Government of Sindh’s capacity to tackle climate change and natural disaster challenges. |
|
