Govt eyes expanded IFAD support for agriculture

April 3, 2026 (MLN): Pakistan is seeking expanded financial and technical support from the International Fund for Agricultural Development (IFAD) to scale up rural development, climate resilience, and agricultural modernization efforts, as both sides explored new project pipelines and deeper collaboration.

The move shows government’s push to secure concessional financing and technical backing to address mounting pressures in the agriculture sector, including climate change, resource constraints, and low productivity key risks for food security and rural incomes.

During discussions, the government emphasized the need to broaden ongoing cooperation with IFAD beyond existing programmes, with a focus on rural economic activity, value chain development, and the adoption of modern farming practices.

The proposed expansion comes as agriculture remains a critical pillar of Pakistan’s economy, contributing around one-fifth of GDP and employing a large share of the rural workforce.

Pakistan’s partnership with IFAD dates back to 1979 and has supported projects targeting poverty reduction and livelihood improvement, particularly in underserved regions such as Gilgit-Baltistan and Sindh’s coastal districts, including Sujawal, Badin, and Thatta, according to the press release.

These initiatives have primarily focused on smallholder farmers, rural youth employment, and community-driven development models.

IFAD reaffirmed its continued financial engagement in Pakistan, noting that multiple projects are already underway with a focus on improving farm productivity, strengthening market access, and enhancing resilience to climate shocks.

The organization’s concessional financing model remains a key attraction for Pakistan amid tight fiscal space and external financing needs.

Ongoing programmes, including the National Poverty Graduation Programme, were highlighted for their outreach and impact at the grassroots level, with officials stressing the need to scale up such interventions through additional funding and innovative approaches.

Separately, closer collaboration in agricultural research and innovation is also under consideration, with proposals to establish joint frameworks such as a Centre of Excellence aimed at boosting productivity and farmer incomes.

The renewed push for expanded IFAD support comes at a time when Pakistan is increasingly prioritizing food security and rural development within its broader economic stabilization framework, with agriculture seen as a key lever for sustainable growth and poverty reduction.

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