International Finance Corporation unveils $1.5bn investment plan for Pakistan

Published November 3, 2023
Logo of World Bank-affiliate International Finance Corporation — X/ @IFC_org
Logo of World Bank-affiliate International Finance Corporation — X/ @IFC_org

ISLAMABAD: The Board of Investment (BoI) and the World Bank-affiliate International Finance Corporation unveiled a visionary investment plan, for which the IFC committed to inject over $1.5 billion into Pakistan’s economy in the form of short- and long-term investments aimed at catapulting the country into a new era of prosperity and development, BoI anno­unced on Thursday.

The pledge follows the IFC’s successful mobilisation of $1.5bn FY23, marking a significant doubling of investments in Pakistan compared to the previous year.

The World Bank’s steadfast dedication to Pakistan, even amid economic challenges, underscores the country’s strategic importance on the global stage, said the BoI.

BoI Secretary Muhammad Sohail Rajput and IFC Country Manager for Pakistan and Afghanistan Zeeshan Sheikh unveiled the investment plan at the BoI headquarters.

Mr Sheikh underscored the IFC’s mission to unlock Pak­istan’s private sector potential by focusing on key areas such as enhancing access to finance, improving technical and digital infrastructure, strengthening the pharmaceutical sector, and supporting export-oriented industries.

These pivotal investments are poised to create jobs, foster economic growth, and drive innovation, aligning with Pakistan’s economic vision for the future, he said.

He also highlighted the vast potential for investments in Pakistan’s climate-focused sectors, pharmaceutical space, agriculture, industrial and energy sectors, demonstrating a keen commitment to sustainable development.

In addition to the IFC’s contribution, the World Bank will allocate over $3bn for infrastructure development in Pakistan’s energy sector, he said.

Mr Sheikh said that two significant agreements were signed with the government, providing loans worth $500 million to Punjab and Khyber Pakhtun­khwa for critical projects.

Furthermore, a memorandum of understanding was signed with the Sindh government to provide clean drinking water to a substantial population in Karachi, addressing a crucial societal need.

BoI Secretary Sohail Rajput reaffirmed the government’s unwavering dedication to attracting foreign investment and fostering a conducive environment for investors. He emphasised the immense potential across various sectors for foreign investors, showcasing Pakistan as a prime destination for business opportunities.

Published in Dawn, November 3rd, 2023

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