Ayesha Saba

The Khyber Pakhtunkhwa government is implementing a portfolio of development initiatives in the province in partnership with German state-owned investment and development bank – Kreditanstalt für Wiederaufbau (KfW). The programme comprises eight components, with total disbursements reaching €28.941 million. According to an official document available with Wealth Pakistan, the Billion Tree Afforestation Support Project, which commenced on September 10, 2022 and is scheduled to close on June 30, 2027, has a net commitment of €13.5 million.

The project has recorded disbursements of €2.301 million, reflecting 17.04 percent progress, with €11.199 million remaining undisbursed. The Regional Infrastructure Fund (RIF-KP) carries a commitment of €11.5 million. The project has disbursed €10.5 million, indicating 91 percent disbursement. Similarly, the RRMIC Regional Infrastructure Fund (RIF-II), signed on December 22, 2022 and closing on December 30, 2028, has a net commitment of €17.5 million.

Disbursements stand at €1.17 million, representing 7 percent progress, with €16.33 million yet to be utilized. Under the Social Health Protection Initiative-I, which concludes on June 30, 2027, the full commitment of €9 million has been disbursed, achieving 100 percent disbursement. The Social Health Protection Initiative-II, with a commitment of €9.4 million, has recorded disbursements of €1.778 million, reflecting 18 percent progress, while €7.622 million remains undisbursed.

KfW Grant Pilot Project – Promoting Sustainable Urban Development through Resilient Resource Management with a Participatory Approach – was initiated on January 1, 2021 and is scheduled for completion on December 30, 2026. The project carries a net commitment of €5.5 million with €4.101 million having been disbursed so far, indicating 74 percent progress, with €1.4 million remaining. The Establishment of Two Renewable Energy Hubs/Centers in Khyber Pakhtunkhwa, which began on December 1, 2022 and is set to close on December 31, 2028, has a commitment of €3.4 million.

Disbursements so far amount to €0.091 million, representing 2.6 percent, with €3.309 million undisbursed. Two additional projects – Digital Governance Pakistan with a commitment of €16 million and Support to Dislocated People in Khyber Pakhtunkhwa amounting to €12.5 million – are yet to commence. Both projects are scheduled for completion by late 2027, and no disbursements have been recorded so far. Overall, the documents indicate steady implementation across multiple sectors, including forestry, infrastructure, health protection, urban development, renewable energy, digital governance, and social support.

While certain projects have achieved substantial disbursement progress, others remain at early stages of execution. The provincial government continues coordination with KfW to ensure effective utilization of committed funds and timely completion of the ongoing initiatives aimed at sustainable development and improved public service delivery in Khyber Pakhtunkhwa.

Credit: INP-WealthPk