ISLAMABAD: The Asian Development Bank (ADB) has agreed to a $600 million loan to support Pakistan's poverty reduction Ehsaas program, the economic affairs ministry announced on Thursday.
Ehsaas, the Pakistani government's ambitious poverty alleviation plan, aims to help the country’s poorest gain better access to health care, education, and employment.
The $600 million loan announcement was made during ADB country director Yong Ye's meeting with Economic Affairs Minister Omar Ayub Khan on Thursday.
"It will support GoP's (government of Pakistan) efforts to implement high priorities i.e. social protection & poverty reduction, in a coordinated & cohesive manner," the ministry said in a statement.
EAD and @ADB_HQ has recently negotiated $ 600 Mn for #BISP #Ehsaas under Integrated Social Protection Development Program. It will support GoP's efforts to implement high priorities i.e. social protection & poverty reduction, in a coordinated & cohesive manner. @appcsocialmedia
— Economic Affairs Division, Government of Pakistan (@eadgop) October 21, 2021
Ehsaas (Compassion) is a social safety and poverty alleviation program launched by Pakistan in 2019.
When the COVID-19 pandemic hit Pakistan, the government introduced cash grants under the Ehsaas program to support families deprived of livelihoods by coronavirus lockdowns and restrictions on commercial activity.
The Ehsaas Emergency Cash (EEC) initiative provided a one-time grant of Rs12,000 ($77) to nearly 100 million low-income households.
In May, the World Bank ranked the EEC among the top four global social protection measures, based on the percentage of population covered.
