World Bank pauses implementation of $200 million Pakistan COVID-19 project

In this file photo, the International Monetary Fund (IMF) building sign is viewed in Washington DC on April 5, 2016. (AFP)
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Updated 02 March 2021
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World Bank pauses implementation of $200 million Pakistan COVID-19 project

  • The Pandemic Response Effectiveness Project was approved in April 2020 to help Pakistan fight the coronavirus 
  • Eight months later, Pakistani provincial and federal governments are yet to approve the project’s blueprint

KARACHI: The World Bank has paused implementation of its $200 million Pandemic Response Effectiveness Project (PREP) in Pakistan due to a ‘significant delay” in approvals by local authorities, the lender said, though it clarified that no funds had been withheld.
The global lender approved the project in April 2020 to help Pakistan “take effective and timely action to respond to the COVID-19 pandemic by strengthening the country’s national health care systems and mitigating socioeconomic disruptions.”
But eight months later, Pakistani provincial and federal governments were yet to approve the project’s blueprint, or PC-I (project Cycle-I), which is required to kickstart the project.
“The implementation of the PREP project has been significantly delayed due to the pending PC-I issue,” the Bank said in a statement. “Following Economic Affairs Division’s instruction, Federal and Provincial PC-Is were prepared for the Health component of the project. Due to a significant delay in their approval process, implementation has been on a pause. A restructuring is planned to amend one of the implementing agencies under the project.”
The global lender has also lowered Pakistan’s key implementation ratings for the project to ‘moderately unsatisfactory’ from the previous ‘satisfactory” and ‘moderately satisfactory.’
A Bank representative told Arab News that government approvals were still awaited.
“The activities under the health component are still going through the government approval process,” Mariam Altaf, External Affairs Officer at The World Bank in Islamabad, told Arab News. “No funds are being withheld. Until now, the World Bank has disbursed $79.4 million from the project total of $200 million.”
The collapse of the World Bank project will be a major blow to the South Asian nation where a second, deadlier wave of the coronavirus is picking up momentum, with 3,000 new cases reported for the second day in a row on Thursday.
The World Bank project was meant to help establish quarantine facilities in collaboration with public and private hospitals and supply equipment to hospitals, including ventilators and Personal Protection Equipment (PPEs) for doctors and paramedics.
The funding for the project came from the International Development Association (IDA), the World Bank’s concessional credit window for developing countries, of which $100 million was provided through the World Bank Group’s COVID-19 Fast-Track Facility.
Altaf said the Bank “continues to work with government counterparts so that these resources can be used quickly to respond to the current COVID-19 trends in Pakistan, as soon as approval is obtained for this health component.”
“As such, we believe the activities will commence and disbursements will increase shortly after Government approval is obtained,” she added. 


Multi-party summit pushes for talks between Pakistan government, opposition to ease tensions

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Multi-party summit pushes for talks between Pakistan government, opposition to ease tensions

  • National Dialogue Committee group organizes summit attended by prominent lawyers, politicians and journalists in Islamabad
  • Participants urge government to lift alleged ban on political activities, end politically motivated cases and release women prisoners

ISLAMABAD: Participants of a meeting featuring prominent politicians, lawyers and civil society members on Wednesday urged the government to initiate talks with former prime minister Imran Khan’s Pakistan Tehreek-e-Insaf (PTI) party, lift alleged bans on political activities and release jailed leaders of the PTI to foster reconciliation and pave the way for economic prosperity.

The summit was organized by the National Dialogue Committee (NDC), a political group formed last month by former PTI members Chaudhry Fawad Husain, ex-Sindh governor Imran Ismail and Mehmood Moulvi. The NDC has called for efforts to ease political tensions in the country and facilitate dialogue between the government and Khan’s party. 

The development takes place amid rising tensions between the PTI and Pakistan’s military and government. Khan, who remains in jail on a slew of charges he says are politically motivated, blames the military and the government for colluding to keep him away from power by rigging the 2024 general election and implicating him in false cases. Both deny his allegations. 

Since Khan was ousted in a parliamentary vote in April 2022, the PTI has complained of a widespread state crackdown, while Khan and his senior party colleagues have been embroiled in dozens of legal cases. Prime Minister Shehbaz Sharif last month reiterated his openness to talks with the PTI.

“The prime objective of the dialogue is that we want to bring the political temperatures down,” Ismail told Arab News after the conference concluded. 

“At the moment, the heat is so much that people— especially in politics— they do not want to sit across the table and discuss the pertaining issues of Pakistan which is blocking the way for investment.”

Former prime minister Shahid Khaqan Abbasi, who heads the Awaam Pakistan political party, attended the summit along with Jamaat-e-Islami senior leader Liaquat Baloch, Muttahida Quami Movement-Pakistan’s Waseem Akhtar and Haroon

Rasheed, president of the Supreme Court Bar Association. Journalists Asma Shirazi and Fahd Husain also attended the meeting. 

Members of the Pakistan Peoples Party, the ruling Pakistan Muslim League-Nawaz (PML-N) and the PTI did not attend the gathering. 

Muhammad Ali Saif, a former adviser to the Khyber Pakhtunkhwa chief minister, told participants of the meeting that Pakistan was currently in a “dysfunctional state” due to extreme political polarization.

“The tension between the PTI and the institutions, particularly the army, at the moment is the most fundamental, the most prominent and the most crucial issue,” Saif noted. 

‘CHANGED FACES’

The summit issued a joint communiqué after the meeting, proposing six specific confidence-building measures. These included lifting an alleged ban on political activities and the appointment of the leaders of opposition in Pakistan’s Senate and National Assembly. 

It also called for the immediate release of women political prisoners, such as Khan’s wife Bushra Bibi and PTI leader Yasmin Rashid, and the withdrawal of cases against supporters of political parties.

The communiqué also called for an end to media censorship and proposed that the government and opposition should “neither use the Pakistan Armed Forces for their politics nor engage in negative propaganda against them.”

Amir Khan, an overseas Pakistani businessperson, complained that frequent political changes in the country had undermined investors’ confidence.

“I came here with investment ideas, I came to know that faces have changed after a year,” Amir Khan said, referring to the frequent change in government personnel. 

The NDC plans to consult senior opposition leaders currently in prison to finalize a representative committee for talks once the government announces its own team.

“Let us create some environment. Let us bring some temperatures down and then we will do it,” Ismail said regarding a potential meeting with the jailed Khan. 

Khan’s party, on the other hand, has been calling for a “meaningful” political dialogue with the government. 

However, it has accused the government of denying PTI members meetings with Khan in the Rawalpindi prison where he remains incarcerated. 

“For dialogue to be meaningful, it is essential that these authorized representatives are allowed regular and unhindered access to Imran Khan so that any engagement accurately reflects his views and PTI’s collective position,” PTI leader Azhar Leghari told Arab News last week.