During high-level discussions in Washington, officials from the World Bank and Pakistan reaffirmed their commitment to the newly introduced Country Partnership Framework (CPF) for 2026–2035, which is supported by an unprecedented $40 billion pledge.
This announcement underscores the strengthening development partnership between the two entities.
Federal Minister Ahad Khan Cheema, while in the U.S., engaged with Anna Bjerde, Managing Director for Operations, and Martin Raiser, South Asia Regional VP. Cheema praised the enhanced collaboration and reiterated Pakistan’s commitment to the successful execution of the CPF.
“This enhanced engagement has culminated in the development of the new Country Partnership Framework … a transformative ten‑year strategy backed by an unprecedented $40 billion commitment from the World Bank,” stated the Economic Affairs Division.
Expanding on the Initial $20 Billion Agreement
Previously, the World Bank had announced a $20 billion CPF which involved funding from IDA, IBRD, IFC, and MIGA between 2026 and 2035, signifying a groundbreaking long-term framework for Pakistan.
The updated commitment amplifies the total support to $40 billion, emphasizing the broadened scope of the partnership.
Six Essential Development Objectives
The CPF is directed towards six key areas:
- Reducing Child Stunting: Enhance access to clean water, sanitation, health, nutrition, and family planning.
- Addressing Learning Poverty: Raise the standard of foundational education.
- Climate & Food Resilience: Establish flood defenses and secure water-agriculture systems.
- Improving Clean Energy & Air Quality: Promote sustainable energy solutions and reduce pollution.
- Fiscal Reform & Public Spending: Enhance revenue generation and budget oversight.
- Fostering Inclusive Private Sector Growth: Attract private investments to stimulate trade and economic diversification.
Strategic Insights and Support Mechanisms
The CPF spans a decade, with a mid-term Performance and Learning Review slated for FY2030.
Around $20 billion will be sourced through IDA and IBRD, while the remaining funds will come from private-sector financing through IFC and MIGA.
This “IF and THEN” framework connects funding disbursement to tangible policy and structural reforms in areas such as taxation, energy transition, and social protection.
Pakistan’s Strategic Shift and Regional Integration
Cheema expressed support for Pakistan’s inclusion in the MENA region portfolio, highlighting it as a means to enhance knowledge-sharing and foster synergies with neighboring nations. The government is currently developing an implementation framework aimed at ensuring the CPF’s success.
Prime Minister Shehbaz Sharif commended the World Bank agreement on social media, viewing it as a testament to the Bank’s faith in the country’s economic stability and potential.
This $40 billion initiative represents a significant turning point, with the CPF transforming from prior fragmented initiatives into a concentrated, decade-long strategy. It aligns with Pakistan’s wider reform agenda, which includes energy reform, education, human capital development, and climate resilience, and is poised to drive sustainable growth well into the future.
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