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World Bank approves $1.69bn financing for Pakistan’s flood rehabilitation efforts

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  • WB says Sindh was the worst-affected province by floods.
  • Two projects worth $500 million and another is worth $292 million. 
  • Two projects of $200 million also approved.

ISLAMABAD: The World Bank’s Board of Executive Directors on Tuesday approved $1.692 billion in financing for five projects in the flood-hit province of Sindh, announced the global lender in a statement.

Out of the five, three projects support rehabilitation and housing reconstruction and the restoration of crop production for vulnerable communities. Out of the three, two projects are worth $500 million and another is worth $292 million. 

While the other two projects support health services for mothers and children. Both projects are worth $200 million.

“Sindh was the province worst affected by the 2022 floods. There were huge damages to the housing, health, and agriculture sectors and people lost their livelihoods. Beyond the rehabilitation and reconstruction of damaged houses and infrastructure, our engagement in the flood response effort is an opportunity to strengthen resilience, and reform institutions and governance structures”, said World Bank Country Director for Pakistan Najy Benhassine.

The $500 million “Sindh Flood Emergency Rehabilitation Project” will focus on providing short-term livelihood opportunities and strengthen the provincial government’s capacity to respond to disasters.

“The project will help restore and improve critical irrigation and flood protection infrastructure, water supply schemes, roads, and related infrastructure,” said the global lender in the statement. It has forecast that close to 2 million people, out of which 50% are women, will benefit from the restoration and resilient reconstruction of critical infrastructure.

A community-level cash-for-work program will provide short-term income support to approximately 100,000 households.

On the other hand, the $500 million “Sindh Floods Emergency Housing Reconstruction Project” will support owner-driven and multi-hazard resilient reconstruction of core housing units.

Meanwhile, the $292 million approved for the “Sindh Water and Agriculture Transformation Project” will increase agricultural water productivity, improve integrated water resources management, and restore crop production by flood-affected farmers.

“More than 885,000 households (approximately 4.4 million people) are expected to benefit from the project. As an immediate response to the floods, the project will provide cash transfers to 800,000 flood-affected farming households to help restore crop production through the purchase of seeds, fertilizer, and other critical inputs,” the WB said.

The lender has also approved $200 million for the “Sindh Strengthening Social Protection Delivery System Project” that will strengthen the provincial social protection delivery system and enhance access to and utilization of mother and child health services.

Another $200 million was also approved for the “Sindh Integrated Health and Population Project” to improve both the quality and utilisation of basic reproductive, maternal, newborn, child and adolescent health and nutrition services.

“It will also help in the rehabilitation and reconstruction of health infrastructure that was damaged in the floods, disrupting the delivery of these services. The project will improve access to quality healthcare services for, the population of the selected government dispensaries in remote and peri-urban areas especially women, girls, and children, and in the flood-affected settlements in Sindh,” said the lender.

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There are US$13,280.5 million in foreign exchange reserves in Pakistan.

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According to a representative for the central bank, as of April 19, 2024, the nation’s total liquid foreign reserves were valued at US$ 13,280.5 million. A loss of US$74 million left the State Bank of Pakistan’s foreign reserves at US$7,981.2 million.

Commercial banks have $5,299.3 million in reserves for Pakistan.

In the week that concluded on April 12, the State Bank of Pakistan’s (SBP) foreign exchange reserves increased by $14.4 million to $8.055 billion.

“In a weekly statement, SBP stated that it has repaid US$ 1 billion in principal and interest on Pakistan’s International Bond, which matures this week.”

But at $13.374 billion, the nation’s total reserves decreased by $68 million. In the same way, commercial banks’ reserves dropped to $5.319 billion, a reduction of $82 million.

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NIMA seminar to increase Pakistan’s ship recycling industry’s capacity

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According to a release, important players from a range of maritime industries attended the conference to discuss issues facing the shipping sector.

It further stated that the symposium cleared the path for the resurgence of a sustainable future in ship recycling.

Participants in the conference included representatives of the Gadani Ship Breaking Labour Union, PSBA, KS&EW, KPT, PMSA, GEMS, and the federal and Balochistani governments.

Furthermore, global perspectives and ideas were offered by international specialists such as Rabia Razzaque from UN-ILO and Professor Raphael Baumler from the World Maritime University.

The seminar emphasized Pakistan’s capacity to emerge as a pioneer in the field of environmentally friendly ship recycling.

In order to protect the environment and the safety of employees, the participants emphasized the importance of following international standards and regulations.

During his speech, Chief Guest Senator Nisar Ahmed Khoro emphasized the importance of the maritime industry’s resurgence and the crucial necessity for coordinated efforts from all parties involved.

A new age of economic prosperity, worker safety, and environmental responsibility for Pakistan’s maritime industry was called for as he urged the stakeholders to work together on a comprehensive SENSREC program.

Vice Admiral Ahmed Saeed (Retd), the president of NIMA, emphasized the significance of environmental stewardship and safety in ship recycling procedures.

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Inflows into the Roshan Digital Account surged to $7.660 billion on March 24.

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According to the data, remittance inflows for the month of March totaled US$ 182 million, whereas they were US$ 141 million in February and US$ 142 million in January 2024.

Millions of Non-Resident Pakistanis (NRPs), including those who own Non-Resident Pakistan Origin Cards (POCs), can now engage in banking, payment, and investing activities in Pakistan with the help of these accounts, which offer cutting-edge banking solutions.

According to a statement from the State Bank of Pakistan, the number of accounts registered under the program increased by 11,091 from 668,701 accounts in February 2024 to 679,792 accounts in March 2024.

As of March 2024, the central bank reported that foreign nationals of Pakistan have invested US $312 million in Naya Pakistan Certificates, US $528 million in Naya Pakistan Islamic Certificates, and US $31 million in Roshan Equity Investment.

It is important to note that former prime minister Imran Khan introduced the Roshan Digital Account initiative in September 2020 with the goal of giving Pakistanis living abroad access to digital banking services for the first time.

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