Pakistan may urge the Biden administration to influence multilateral creditors to lend Islamabad $13 billion for 24 projects.
Pakistan prepares documentation, a special paper that will be presented to US authorities on the eve of the approaching donors’ summit in Geneva on January 9, 2023.
Over two dozen infrastructure projects worth $13 billion to restore flood-affected districts in Pakistan, approved by relevant forums, will be discussed.
The Flood Protection Project will cost $4 billion, and the rest will be irrigation-related. In addition, the government plans to use $8 billion from its budgetary resources and $8 billion from multilateral and bilateral creditors to finance reconstruction in flood-hit areas.
Considering donor tiredness and involvement elsewhere, the government devised a policy to use 50% of its funds for medium-term reconstruction.
In this time of need, donors will contribute $8.2 billion.
Out of the $8.2 billion identified as a financial deficit by Pakistani authorities, international creditors like the World Bank, Asian Development Bank, and Asian Infrastructure Investment Bank (AIIB) funded and approved $2 billion projects for the reconstruction phase in flood-affected areas.
Pakistan has $2.4 billion pledged. At the Geneva donors’ conference, it was expected to receive another $1 billion.
The Pakistan-UN meeting is expected to raise $3.5 to $4 billion. However, how much the international world helps Islamabad reconstruct flood-ravaged districts in Pakistan remains to be seen.
In the next conference, Pakistan will seek foreign assistance for education, health, and other social sectors.
