Islamabad, July 5, 2025: The World Bank has approved an extra $55 million in funding for Pakistan’s Electricity Distribution Efficiency Enhancement Project.
The approval was given on June 27, 2025, under the delegated powers of the World Bank’s Board of Executive Directors, according to news sources.
Technical consultations on the funding took place earlier on June 18 at the World Bank’s office in Islamabad. The purpose of the additional funds is to boost operational performance in selected regions, back the wider power sector reform program, and support the Country Partnership Framework between Pakistan and the World Bank.
READ MORE: Finance Minister Meets World Bank Delegation
Negotiations included several documents, such as the draft Financing Agreement between the Government of Pakistan and the World Bank, Project Agreements with HESCO and PESCO, the Project Paper, Disbursement and Financial Information Letter, and the Environmental and Social Commitment Plan.
READ MORE: World Bank Greenlights $108M for Pakistan
Although both HESCO and PESCO have not been included in the privatization list, they continue to be vital for performance upgrades. The World Bank has stated that related documents will be disclosed following its Access to Information Policy, subject to the approval of the Government of Pakistan.
