ADB approves $250 million loan to boost public-private partnerships in Pakistan

Staff members of the Asian Development Bank step out of the Manila-based lender's headquarters on February 17, 2009. (AFP/File)
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Updated 05 June 2024
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ADB approves $250 million loan to boost public-private partnerships in Pakistan

  • Loan to drive investments in infrastructure, services through public-private partnerships, says bank
  • Program may help in bridging financing gap in Pakistan’s public sector projects, says ADB economist 

ISLAMABAD: The Asian Development Bank (ADB) said on Wednesday it has approved a $250 million loan for driving investments in Pakistan through public-private partnerships (PPPs), in its bid to encourage the country in fulfilling its development goals. 

The regional development bank has committed over $52 billion to Pakistan, one of its founding members, since 1966 in public and private sector loans, grants, and other forms of financing to promote inclusive economic growth in the country. 

In December, the ADB approved three projects totaling $658.8 million to improve Pakistan’s domestic resource mobilization, rehabilitate schools damaged by the devastating August 2022 floods, and enhance agricultural productivity to improve food security.

“The ADB has approved a $250 million policy-based loan to help the Government of Pakistan drive sustainable investments in infrastructure and services through PPPs,” the development bank said in a statement.

It highlighted that the bank’s PPP program supported the implementation of government policies to create a fiscally affordable environment for public-private partnerships, apart from promoting economic growth. 

“This program is part of our comprehensive and integrated package of public sector management support that balances the country’s fiscal consolidation and growth objectives,” ADB director-general for Central and West Asia, Yevgeniy Zhukov, was quoted as saying.

The official said the program will help Pakistan’s government create an environment conducive to strategic, fiscally affordable PPPs that will bring the country closer to its development goals.

“The reforms will facilitate efficient infrastructure planning and promote sustainable development practices in infrastructure projects, such as climate risk screening and gender considerations in project feasibility assessments and PPP contracts,” the report stated.

ADB Economist Sana Masood termed it vital to mobilize private finance through PPPs, adding it might help bridge the financing gap in public sector projects. 

“This program will help ensure PPPs in Pakistan are structured correctly and implemented effectively to deliver more efficiency, innovation, and value for money,” she observed. 


Top Pakistani clerics warn government against sending troops to Gaza to disarm Hamas

Updated 23 December 2025
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Top Pakistani clerics warn government against sending troops to Gaza to disarm Hamas

  • Pakistani clerics raise alarm over reports of pressure on Muslim nations to provide troops for Gaza stabilization force under Trump peace plan
  • Islamabad has previously said that it is willing to join the international stabilization force but ‘not ready’ to play any role in disarming Hamas

ISLAMABAD: A group of Pakistan’s top religious and political leaders on Monday warned the government against sending Pakistani troops to Gaza to disarm Palestinian group Hamas, amid discussions over a proposed International Stabilization Force (ISF) for the Palestinian territory.

The representative gathering, chaired by prominent scholar Mufti Taqi Usmani, brought together leaders from Deobandi, Barelvi, Ahl-e-Hadees and Shia schools of thought, alongside leaders of the country’s main religio-political parties, Jamiat Ulema-e-Islam-Fazl (JUI-F) and Jamaat-e-Islami (JI).

The international stabilization force, which is to be composed of troops from Muslim countries, is the cornerstone of President Donald Trump’s peace plan for Gaza announced in Sept. Islamabad has previously said it is willing to join the ISF but “not ready” to play any role in disarming Hamas. Hamas’s Gaza chief Khalil Al-Hayya said this month the group had a “legitimate right” to hold weapons, while Israel has repeatedly insisted that Hamas be disarmed.

In a joint statement issued after the meeting in the port city of Karachi on Monday, Pakistani clerics raised alarm over reports that international pressure is mounting on Muslim-majority nations to provide troops for the transitional security force in Gaza, following Israel-Hamas ceasefire.

“In such circumstances, demands are being made to Muslim countries that they send their forces there to disarm Hamas,” the statement said. “Several Muslim governments have already refused this, and pressure is being increased on Pakistan.”

Last month, the United Nations Security Council approved Washington’s plan, which called for a yet-to-be-established Board of Peace as a transitional authority that Trump would head, and the stabilization force, which would be empowered to oversee borders, provide security and demilitarize the territory.

The gathering of Pakistani clerics urged Islamabad to resist any diplomatic overtures from Washington regarding troop deployment.

“This gathering, with full emphasis, demands the Government of Pakistan refrain from sending its forces to disarm Hamas and that it should not yield to any pressure in this regard,” the statement said.

The assembly expressed complete support for the liberation of Palestine and described the effort as a “duty of every Muslim.”

It said that Pakistan’s armed forces are “imbued with the spirit of jihad” and that the “notion of placing them against any sacred struggle for the liberation of Baitul Muqaddas or Palestine is impossible for the nation to accept.”

The religious leaders characterized the proposal as a “conspiracy” from which the government must “protect the country.”

Pakistani foreign office spokesperson Tahir Andrabi and the prime minister’s spokesperson for foreign media, Mosharraf Zaidi, did not respond to Arab News requests for comment on the statement.

Washington reportedly views Pakistan as a prime candidate for the ISF, given its experience in high-intensity border conflicts and internal counter-insurgency operations.

Last week, Pakistan’s foreign office said that Islamabad had not taken any decision on joining the proposed stabilization force for Gaza and had received no formal request from the US or any other country in this regard.

“I am not aware of any specific request made to Pakistan. We will inform you about any development if it takes place,” Andrabi told reporters.

He also sought to distance the government from rumors of a pending visit by Pakistan’s defense forces chief, Field Marshal Asim Munir, to the US to meet President Trump.