Pakistan Seeks IFC, World Bank Support To Expand SME, PPP And Housing Finance.
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✧ GENERATE BRIEFING
Pakistan engages with the IFC and World Bank to secure financing and technical support for SMEs, public-private partnerships, and housing under the 2026–35 CPF.The International Finance Corporation (IFC) and the World Bank have reaffirmed their commitment to expand development cooperation and private-sector investment in Pakistan. During a high-level meeting in Islamabad between Federal Minister for Economic Affairs Senator Ahad Cheema, IFC Regional Director Simon Andrews, and World Bank Country Director Bolormaa Amgaabazar, discussions centered on mobilizing up to $2 billion annually under the World Bank Group’s Country Partnership Framework (CPF) for 2026–35. The collaborative framework prioritizes expanding financial inclusion for small and medium enterprises (SMEs), scaling public-private partnership (PPP) infrastructure models, and strengthening institutional frameworks for housing finance. Key structural updates include plans to position the Public-Private Partnership Authority (P3A) under the Privatisation Division alongside new legislation to streamline bankable project development.
The International Finance Corporation (IFC) and World Bank have reaffirmed their commitment to supporting Pakistan’s development priorities through private-sector investment, technical assistance and project financing.
The commitment was reaffirmed during a meeting between IFC Regional Director Simon Andrews, World Bank Country Director for Pakistan Bolormaa Amgaabazar and Federal Minister for Economic Affairs Senator Ahad Cheema in Islamabad.
Cheema welcomed the IFC’s expanded engagement with Pakistan and highlighted the World Bank Group’s commitment to mobilise up to $2 billion annually under the Country Partnership Framework (CPF) for 2026–35 over the next decade.
The cooperation will focus on several priority areas, including small and medium enterprises (SMEs), public-private partnership (PPP) projects and housing finance. The participants also discussed opportunities to strengthen private-sector investment and improve access to financing.
IFC Regional Director Simon Andrews expressed particular interest in Pakistan’s SME sector. Cheema noted that SMEs can contribute significantly to economic growth and employment generation, making greater access to finance and investment an important policy priority.
The meeting also focused on strengthening Pakistan’s Public-Private Partnership Authority (P3A). The government is considering placing the authority under the Privatisation Division and introducing new legislation to expand its mandate.
Under the proposed framework, P3A would assist ministries in developing and promoting bankable projects, mobilising financing and regulating projects implemented through the authority. The IFC and World Bank representatives welcomed the government’s efforts to strengthen the PPP framework.
Housing finance was another key area of discussion. Cheema said the government is working to improve access to housing facilities and strengthen the institutional framework for housing finance, while inviting IFC support for expanding financing options for people seeking to build homes.
The World Bank’s 2026–35 Country Partnership Framework is designed around six development outcomes, including reducing child stunting and learning poverty, improving climate resilience, supporting cleaner energy, increasing public resources for inclusive development and promoting productive private investment.
The latest engagement signals continued cooperation between Pakistan and the World Bank Group as the country seeks to attract private investment, expand SME financing, develop PPP projects and improve access to long-term housing finance.
