In New York, caretaker Prime Minister Anwaarul Haq Kakar announced thatPakistan is making efforts to unlock $10 billion in pledged donations toaid its recovery from devastating floods. These rebuilding initiatives arecontingent on securing the promised funding.
Donors worldwide had stepped forward to assist Pakistan following lastyear’s devastating floods, with the $10 billion representing over half ofIslamabad’s estimated recovery needs. “In all our interactions, the keypoint has been to align our projects with the pledged funds, ensuring theirconversion into tangible financial support,” Kakar stated during aninterview with PTV on the sidelines of the United Nations General Assembly.
He added, “We are working to ensure that the promised funds are disbursedto Pakistan and utilized for the benefit of flood-affected individuals.”Securing this funding is critical for Pakistan, but the government has yetto receive it, raising concerns about future debt obligations.
An IMF bailout was postponed until July of this year due to concerns abouta lack of fiscal reform. Key contributors included the Islamic DevelopmentBank with $4.2 billion, the World Bank with $2 billion, Saudi Arabia with$1 billion, along with contributions from the European Union, China,France, and the United States. The floods, exacerbated by global warming,impacted at least 33 million people and resulted in over 1,700 deaths frommid-June 2022 to mid-November of the same year.
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During his address to the United Nations General Assembly, Kakar mentionedthat the total cost of the resiliency and recovery plan had been estimatedat $13 billion, and specific projects were being presented to donors.
He expressed hope that development partners would prioritize fundallocation and urged developed nations to fulfill their commitment ofproviding $100 billion annually in climate financing to less-developednations.
