Pakistan to pursue full $1.7 billion World Bank loan package

Officials say the Pakistan World Bank loan will not be abandoned, though reform progress is slow and two key commitments are under scrutiny.

Pakistan plans to go ahead with the full $1.7 billion World Bank programme despite slow progress on early reforms.

The first phase is $700 million: $600 million for the federal government and $100 million for Sindh.

A $164.5 million advance was paid on June 29, 2026, after the programme became effective on May 14.

Reports say the government has twice raised import taxes in breach of a tariff policy condition, and a Rs87 billion Sindh project has raised questions about the National Fiscal Pact.

Officials say there are no plans to abandon the programme, and the next $200 million tranche for Khyber-Pakhtunkhwa is being processed.

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Zaviya News