Pakistan and the Islamic Development Bank (IsDB) signed three financing agreements worth $603 million (Rs168.49 billion) in Islamabad to support key infrastructure, social protection, and education projects.
The agreements were finalized after a meeting between Federal Minister for Economic Affairs Ahad Khan Cheema and IsDB Vice President Dr Rami Ahmed. The documents were signed by Dr Rami Ahmed on behalf of the Islamic Development Bank and Economic Affairs Division Secretary Muhammad Hameer Karim for Pakistan.
The signing ceremony was attended by Federal Minister Ahad Khan Cheema, Federal Minister for Poverty Alleviation and Social Safety Syed Imran Ahmed Shah, and other senior government officials.
Under the agreements, the Islamic Development Bank will provide $475 million for the construction of the M-6 Sukkur–Hyderabad Motorway, a key segment of the planned Peshawar–Karachi Motorway, aimed at improving national connectivity and trade.
Another agreement focuses on launching a poverty alleviation programme for extremely poor and flood-affected households. The initiative aims to move vulnerable families away from long-term reliance on cash assistance by supporting sustainable livelihoods, economic self-reliance, and stable income opportunities. The programme will be implemented in 25 districts and is expected to benefit 160,866 households.
In addition, the Islamic Development Bank will provide $10 million for an out-of-school children project in Azad Jammu and Kashmir. The project aims to re-enrol around 60,000 children in schools and provide training to 4,000 teachers, strengthening the region’s education system.
Officials said the agreements reflect continued cooperation between Pakistan and the Islamic Development Bank to support development priorities, social protection, and long-term economic growth.
