PM lauds World Bank's $40bn commitment in new CPF

February 17, 2025 (MLN): The World Bank Group's (WBG) recent launch of the new decade-long Country Partnership Framework (CPF) for 2026-2035, with its unprecedented commitment of $40 billion, was appreciated by Prime Minister Muhammad Shehbaz Sharif.

The Prime Minister met with Makhtar Diop, Managing Director and Executive Vice President of the International Finance Corporation (IFC), the private sector investment arm of the World Bank Group (WBG), to discuss IFC’s ongoing and pipeline portfolio in Pakistan.

CPF would include sovereign lending of $20bn by the International Development Association (IDA) and the International Bank for Reconstruction & Development (IBRD).

IFC will mobilize another $20bn to foster private sector investments in Pakistan, according to the press release issued today.

The Prime Minister lauded the IFC’s role in fostering private sector investments and expanding its portfolio in Pakistan.

He encouraged the IFC to enhance its support under the key areas including infrastructure and logistics, outsourcing of large airports, agriculture, information technology, mining, climate resilience, healthcare, and water & sanitation.

He also encouraged the IFC to enhance collaboration with the private sector arms of other multilateral institutions to maximize private sector participation in the development process and achieve greater impact.

The Prime Minister emphasized focus on export-led growth.

He underlined the need for digitization of the entire ecosystem of Pakistan’s economy.

Ongoing digitization efforts of the Federal Board of Revenue were also highlighted.

Diop reciprocated by highlighting the need for increased private sector investments to improve the road and power sector infrastructure, especially transmission lines and airport services.

He also emphasized the importance of investing in wheat storage infrastructure, including silos, to enhance the private sector’s role in facilitating exports.

In order to have a healthy population for sustained economic growth, the need for private investment in water, health, and sanitation – with desired social safeguards was also highlighted at the meeting.

Diop appreciated Pakistan’s productive engagement with the IMF and successful ongoing economic reforms.

He shared that the government’s efforts to create an enabling environment for private sector operations in Pakistan under the dynamic leadership of the Prime Minister has increased investors’ confidence.

He assured the Prime Minister of IFC’s continued support to the private sector in Pakistan duly aligned with the government’s priorities.

The Prime Minister underscored the need to design various programs to foster human development, especially the youth of Pakistan.

He noted that the youth of Pakistan was provided skills training through various initiatives.

Diop committed to enhancing IFC’s focus on the priority sectors of the government and thanked the Prime Minister and other relevant stakeholders of the government for their continued support of IFC’s interventions in Pakistan.

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