Pakistan, Italy sign €20m loan for agriculture capacity building

June 30, 2026 (MLN): Pakistan has signed a 20 million euro concessional loan agreement with Italy to support capacity building and extension services in the agriculture sector under the Technical and Vocational Education and Training (TVET) National Reform Programme.

The agreement was signed in Islamabad by Secretary Economic Affairs Muhammad Humair Karim and Italian Ambassador Marilina Armellin, formalising support for the Professional Capacity Building and Extension in Agriculture project, according to Radio Pakistan.

The initiative aims to strengthen the capabilities of farmers, extension workers, trainers, and other stakeholders through modern, demand-driven training programmes geared toward boosting productivity, promoting sustainable agricultural practices, and improving livelihoods.

Under the project, focus will remain on crops including olives, pistachios, dates, mushrooms, cherries, grapes, peaches, and almonds, leveraging Italian expertise in modern agronomic techniques alongside Pakistan's agricultural potential.

The Pakistan Oilseed Department, working in coordination with provincial agriculture departments, will implement the project, which is expected to generate rural employment, raise producer incomes, cut post-harvest losses, strengthen farmer cooperatives, and enhance the overall competitiveness of Pakistan's agriculture sector.

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