World Leader Shehbaz praises World Bank's involvement regarding the contention over the Indus Waters Treaty
In a significant development, Pakistan and the World Bank have strengthened their long-standing partnership, with the international institution reaffirming substantial financial and strategic support for the South Asian nation.
Prime Minister Shehbaz Sharif met with Ousmane Dione, the World Bank's Regional Vice President for MENAAP, in Islamabad. During the meeting, the PM expressed gratitude to the World Bank for aid during the 2022 floods, which enabled immediate relief activities, reconstruction, and rehabilitation in Pakistan.
The World Bank has committed up to $40 billion over a 10-year period, as part of a new Country Partnership Framework (CPF) for 2026-2035. This CPF focuses on inclusive and sustainable development, human capital building, energy, climate change, and governance reforms. Pakistan is the first country to launch such a longer-term CPF, aiming for transformational socio-economic development.
The World Bank leadership has praised Pakistan’s macroeconomic recovery and reform agenda under Prime Minister Shehbaz Sharif’s government. Dion, the World Bank Regional Vice President, commended the progress made by Pakistan under the new Country Partnership Framework. He highlighted the crucial role of PM Shehbaz's leadership in advancing institutional reforms, restoring investor confidence, and promoting inclusive economic growth.
While specific mention of a $55 million power efficiency project was not detailed in the sources, energy sector support is a clear priority under the CPF. The World Bank Country Director for Pakistan, appointed as of July 2025, has highlighted ongoing support to the energy sector’s sustainability as a key focus area.
The Indus Waters Treaty was a subject of discussion, with Pakistan expressing concerns over India's unilateral actions. However, the conversation did not involve any discussion about Pakistan's stance on the Indus Waters Treaty.
Prime Minister Shehbaz Sharif thanked Ajay Banga, the World Bank's President, and Najy Benhassine, the former World Bank Country Director for Pakistan, for their roles in advancing the new Country Partnership Framework for Pakistan. Ousmane Dione, the World Bank Regional Vice President, thanked PM Shehbaz Sharif for the warm hospitality during his visit to Pakistan.
The meeting discussion focused on bilateral cooperation and Pakistan's long-term development goals. Dion reiterated the World Bank's commitment to deepening and broadening Pakistan's partnership and cooperation in key sectors of the economy. He also praised Pakistan's ongoing macroeconomic recovery and the government's efforts towards fiscal stability and sustainable growth.
In conclusion, the World Bank's reaffirmed support for Pakistan through the 10-year CPF will significantly contribute to the nation's efforts in energy, human capital, climate change, and governance reforms. The partnership between the two entities is expected to continue strengthening, with the new CPF aligning with Pakistan's strategic priorities and aiming to support durable private sector growth and inclusive economic progress.
- The new Country Partnership Framework (CPF) focuses on environmental science, energy, climate change, and governance reforms in Pakistan's development plan.
- The World Bank leadership praised Pakistan's macroeconomic recovery and reform agenda, with a special mention of Prime Minister Shehbaz Sharif's role in institutional reforms, restoring investor confidence, and promoting inclusive economic growth.
- The World Bank has committed up to $40 billion over a 10-year period, with a clear priority on energy sector support, including a $55 million power efficiency project.
- The discourse during the meeting addressed important aspects like climate change, general news, and policy and legislation,, with a mention of the ongoing concerns about India's actions related to the Indus Waters Treaty.
- The commitment from the World Bank will help Pakistan in its long-term development goals, particularly in ensuring sustainable finance and fostering a conducive environment for war-and-conflicts resolution, energy production, and environmental-science research.
- In the general-news sphere, the increased financial and strategic support from the World Bank will have a positive impact on the growth and progress of various industries in Pakistan.
