Asian Development Bank approves $730m for power, SOE reforms
ISLAMABAD: Pakistan and the Asian Development Bank (ADB) on Thursday signed two major initiatives worth $730 million aimed at strengthening the power transmission system and accelerating the state-owned enterprises transformation programme.
Under the initiative the breakdown shows that the second power transmission strengthening project was valued at $330m, while the accelerating SOE transformation programme amounted to $400m, respectively.
An official announcement said that Ministry of Economic Affairs Secretary Muhammad Humair Karim expressed appreciation for ADB’s role as a trusted development partner and its continued support to Pakistan in advancing critical infrastructure and governance reforms.
He highlighted that the transmission project will enable reliable evacuation of 2,300MW from upcoming hydropower projects, relieve overloading of existing transmission lines and enhance resilience under contingency conditions. He added that the SOE Transformation Programme will strengthen compliance with the SOE Act 2023 and SOE Policy 2023, besides improving operational efficiency, particularly focusing on the National Highway Authority (NHA).
Mr Humair emphasised that both initiatives are transformative in nature as the transmission project will secure Pakistan’s energy future by strengthening the backbone of the national grid whereas the SOE programme will enhance transparency, efficiency and sustainability of SOEs nationwide.
ADB Country Director Ms Emma Fan expressed appreciation for the government of Pakistan’s strong commitment to these initiatives. She emphasised upon significance of the transmission project in strengthening energy infrastructure.
Besides, she highlighted that significance of SOEs transformation programme comes at a critical time in Pakistan and it will further strengthen the reform efforts of government of Pakistan.
Both sides expressed their commitment to effectively utilise the financing for successful and timely completion of the two initiatives, added the announcement.
Published in Dawn, December 26th, 2025
