The World Bank approves loan for Pakistan of about $722 million to support the country in its need for improving and developing urban facilities. Moreover, a loan of $70 million is also in providence for improving tourism in Khyber-Pakhtunkhwa (KPK).
Three Projects with Proper Funding:
According to a Washington-based lender, the World Bank is approving $652 million for the commencing of three projects assigned to work for infrastructure and institutions within Karachi. The World Bank mentions, “Karachi projects will focus on urban management, public transport, and safe water and sanitation to enhance Karachi’s liveability and competitiveness”
Even though Karachi requires billions of dollars to get up-to-the mark of a successful first-world city but this is just an initial step. Within a World Bank study, Karachi is dire of resources and property tax is not working in the city’s favor. Not to mention, the mismanagement in the coordination of the officials has played a major part within the development of unnecessary problems. The World Bank loan will look into the lack of cooperation. In addition, considering the operation of only a few agencies in Karachi, the city really is suffering.
Source: IIFL
The projects have been approved through the Karachi Transformative Strategy. The strategy addresses the ultimate need for big loans that Karachi would need in order to develop properly considering it has major problems like water supply, solid waste, and transport.
Moreover, The Competitive and Livable City of Karachi Project allowing $230 million is set to improve the performance of councils in order to maximize the coordination and achieve a proper workplace. Many of the things included in the project will see through private sectors in service delivery, property tax system, solid waste management, and business improvements. Will it work as smoothly as in mention, is still a concern.
The World Bank Country Director for Pakistan Illango Patchamuthu says, “We are committed to supporting the transformation of Karachi into a livable and competitive megacity,” to further add in, “Investments to improve institutions, services and infrastructure will further enhance the city’s contribution to the country’s economy and people’s well-being.”
Among the other projects within considerations includes The Karachi Mobility Project with a heaping $382 million. This is supposed to utilize Bus Rapid Transit System to better various elements like job access, mobility, etc. Taking into account the $70 million loans regarding Khyber-Pakhtunkhwa, Patchamuthu once again mentions, “Khyber Pakhtunkhwa has vast natural endowments and heritage assets that make it attractive for enhancing sustainable tourism. This project will support the province to build the needed capability and finance investments to harness this potential,”
The World Bank’s loan on Pakistan for Khyber Pakhtunkhwa Integrated Tourism Development Project will foresee multiple concepts like improving business, expanding infrastructure, etc.
The concern of paying back these loans should not be addressed because it is high time officials use such money in order to better the conditions of the city. Thus, that would improve the overall mechanism of Pakistan as well.
What do you think of the situation? The World Bank approves loan for Pakistan but will Pakistan get to see a significant change? Share your thoughts!
