ISLAMABAD: DFID and the World Bank signed an agreement establishing the ‘Pakistan Accelerating Growth and Reforms Trust Fund’ to help the Pakistan government implement its economic reform program.
The UK government is seeding this fund with a pledge of £30 million, and subject to effective utilisation and progress it hopes other development agencies will consider participation in its execution and contributions as needed.
Resources will be available to finance technical assistance to the Government over the next four years. The program will be administered on DFID’s behalf by the World Bank through a trust fund. It will facilitate the Government’s timely access to experts, advice and specialists needed for implementing reforms.
It will also provide access to World Bank and other international experience and best practices wherever this can help the Government design a customised approach to four main reform areas: Energy, Tax, privatisation/restructuring of State Owned Enterprises, and Debt Management.
The trust fund supports the economic reform program announced by the Government in 2013. The Government has since reduced the fiscal deficit, rebuilt foreign exchange reserves and started tax reforms, including the phasing out of special exemptions. More reforms will be necessary to increase jobs and growth.