MANILA: Asian Development Bank (ADB) has approved $ 1.5 billion in financing to help government of Pakistan provide social protection, promote food security and support employment for its people amid devastating floods and global supply chain disruptions.

According to ADB information, loan, provided under ADB’s Building Resilience with Active Countercyclical Expenditures (BRACE) Programme will help fund government’s $ 2.3 billion countercyclical development expenditure program designed to cushion impacts of external shocks, including Russian invasion of Ukraine.

“Pakistan’s recovery from Covid-19 endemic has been impeded by external shocks,” said ADB Director General for Central and West Asia Yevgeniy Zhukov. “Increasing business costs and rising living expenses are affecting millions of Pakistanis, especially poor and vulnerable. ADB’s programme will help government manage impacts of high prices, increasing food insecurity, slowing business activity and reducing income for vulnerable groups, many of whom are also reeling from devastating floods.”

ADB’s assistance will help to expand number of families receiving cash transfers from 7.9 million to 9 million, increase number of children enrolled in primary and secondary schools and enhance geographic coverage of health services and nutritional supplies for pregnant and lactating mothers and children under 2 years old. “Programme is part of a comprehensive and well-coordinated package of support. It will help government deal with impact of immediate shocks to economy, while in parallel, continue structural reforms that are necessary to improve country’s medium- to long-term macroeconomic prospects,” said ADB Director for Public Management, Financial Sector and Trade Tariq Niazi. 

Published in The Daily National Courier, October, 22 2022

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