The program aims to help the Government of Punjab to increase its own source revenue; and to improve reliability of resource allocation and access to digital services for people and firms in the Province.
This could happen if "the meaningful rollout of an approved vaccine is delayed by about three quarters and is limited by a general reluctance to be immunized."
The World Bank’s Country Director describing the Ehsaas Programme as “a flagship programme of social safety” said it was a model for other countries to follow as well.
The loan will be used to boost longer-term financing for businesses hit by the pandemic downturn and to fund programmes focused on increasing their use of technology.
The economy of the former Yugoslav republic is set to contract by 4.6% this year.
Ukraine has registered 12,811 new coronavirus cases in the past 24 hours, bringing the total number to 885,039 with 14,998 deaths since the pandemic started.
These investments will bolster Pakistan’s efforts to build resilience to natural hazards such as floods and droughts in the Sindh province, and will strengthen solid waste management in Karachi.
"Pakistan had the fourth highest investment commitments--a new entrant to the top five countries this year—with US$1.9 billion of investment commitments, accounting for 0.69 percent of GDP," the Private Participation in Infrastructure (PPI) 2020 Half Yearly Report said.
While the World Bank's revised forecast was worse than its previous estimate of a decline of 6.9%, it was slightly better than the government's forecast of an 8.5%-9.5% GDP drop this year.
Pakistan had the fourth-highest investment commitments—a new entrant to the top five countries this year—with $1.9 billion of investment commitments, accounting for 0.69 percent of its GDP.
In 1979, he helped orchestrate the rescue of Chrysler Corp from the verge of bankruptcy, together with Chrysler’s chief executive Lee Iacocca and Paul Volcker, who was then president of the New York Federal Reserve.
Malpass said he was pleased by progress made by the Group of 20 major economies on increasing debt transparency and providing debt relief to the poorest countries.
Debt reduction and transparency will enable productive investment, a key to achieving an earlier, stronger and more lasting recovery.
WB study was of the view that Pakistan has tremendous potential to generate solar and wind power; utilizing just 0.071 percent of the country’s area for solar photovoltaic (solar PV) power generation would meet Pakistan’s current electricity demand.
The program supports efficiencies in public resource management that generate savings and create fiscal space for growth-generating investments in the Punjab province.
In a communique, the joint World Bank and International Monetary Fund Development Committee said the “bold and decisive” response should be accompanied by a review of the World Bank Group’s financial capacity beyond the current fiscal year to ensure that it remains “adequately capitalized to fulfill its mandate.”
IMF has provided some $100 billion in assistance to over 80 countries during the pandemic so far.
The World Bank shareholders in 2018 approved a $13 billion capital increase that mandated the bank wind down lending to wealthier middle-income countries.
The financing plan, part of $160 billion in total resources that the multilateral development lender has pledged to provide to developing countries through June 2021 to help them fight the coronavirus pandemic.
Malpass, speaking to reporters as the World Bank's and International Monetary Fund's virtual annual meetings get underway.
"I think there may be compromise language that may be a six month extension (and) that it can be renewed depending on debt sustainability," Malpass said.
WB said that the country’s economic growth is projected to remain below potential, at 0.5pc for FY21 compared to over 4pc annual average in the previous three years to FY2019.
WB forecasts a sharper than expected economic slump across the region, with regional growth expected to contract by 7.7 percent in 2020, after topping 6 percent annually in the past five years.
The WB in a series of tweets stated that in view of the emergency situation and ongoing floods in Karachi, the Sindh government would finance and implement activities through its funds.