Pakistan, EIB Sign €60m deal to upgrade Karachi’s sanitation systems

December 18, 2025 (MLN): Pakistan and the European Investment Bank (EIB) have taken a significant step toward upgrading Karachi’s water and sanitation systems by signing a declaration to move forward with a large-scale sewage and wastewater management project.

The declaration was signed in Brussels, APP reported.

It was formalized by Secretary of the Ministry of Economic Affairs Muhammad Humair Karim on behalf of Pakistan and Edvardas Bumsteinas, Head of Division for Asia Pacific at the EIB.

Senior officials from both sides attended the ceremony, including Myriam Ferran, Deputy Director-General at the European Commission’s DG INTPA; Pakistan’s Ambassador to the European Union Rahim Hayat Qureshi; EU Ambassador to Pakistan Raimundas Karoblis; and Paola Pampaloni, Acting Managing Director at the European External Action Service.

The declaration paves the way for EIB financing for the Karachi Water Infrastructure Framework; a project focused on rehabilitating and building critical water treatment facilities in the city.

Backed by an EIB financing package of around €60 million, the initiative aims to improve wastewater handling, expand access to safe drinking water, and strengthen long-term water security for Karachi’s rapidly growing population.

The project aligns with Pakistan’s broader efforts to modernize urban infrastructure and develop climate-resilient public services in one of the country’s largest metropolitan centers.

Addressing the ceremony, the Secretary of the Ministry of Economic Affairs welcomed the EIB’s expanding role in Pakistan and stressed the need for closer collaboration with European partners to meet pressing development and infrastructure challenges.

 He also expressed interest in broadening cooperation through additional EIB-supported projects in key priority sectors.

The agreement emphasized the growing momentum in Pakistan–EU relations and reflects shared commitments to sustainable development, improved public service delivery, and enhanced climate and environmental resilience.

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