Pakistan signs loan agreement worth $918 million with World Bank

Pakistan signed on Tuesday a loan agreement worth a total of $918 million for the execution of three programs with the World Bank.

The ceremony was witnessed by Adviser to the Prime Minister Imran Khan on Finance, Revenue and Economic Affairs Dr Abdul Hafeez Shaikh. Country Director World Bank Patchamuthu Illangovan signed the agreements on behalf of the World Bank. Whereas, Economic Affairs Division Secretary Noor Ahmed signed the financing agreements on behalf of the Government of Pakistan.

Similarly, the representatives of the Higher Education Commission and Government of Khyber Pakhtunkhwa (KP) signed their respective project agreements, local media reported.

In the agreement, $400 million will be used in a program aimed at increasing the domestic revenue of Pakistan.  This will be done by broadening the tax base and facilitating compliance. Similarly, $400 million will be allocated for higher education development program. While $118 million will be used in a program aimed to increase collection of KP’s own revenue and improve the management of public resources.

Following the agreement, the World Bank’s country director held a meeting with Sheikh. The adviser to PM thanked the World Bank for their continuous support to Pakistan in their 'efforts to achieve the sustainable economic development of the country.'