Ayesha Saba

The Khyber Pakhtunkhwa (KP) government is actively expanding its development portfolio through a series of incoming projects in collaboration with multilateral, bilateral, and development partners, including the World Bank, Asian Development Bank (ADB), and the Government of Japan.

According to the documents available with Wealth Pakistan, the World Bank is expected to support two major interventions in KP through loan financing. These include KP Stunting Reduction (Integrated Primary Healthcare) Project, with a committed funding of US$300 million, and KP Rural Investment and Institutional Support MPA Phase-2 Project, valued at US$100 million.

Both projects are expected to be signed in 2027, reflecting the province’s commitment to addressing critical health challenges and strengthening rural development through institutional support and improved investment frameworks. The combined World Bank portfolio under the incoming pipeline stands at US$400 million.

In addition, the Asian Development Bank has outlined significant development initiatives, focusing on agriculture, transport, food security, climate adaptation, and natural resource management. One of the key projects includes KP Resilient Irrigated Agriculture Livelihoods Development Project, with a total estimated financing of US$200 million. The project is expected to be discussed during the ADB Consultation Mission, which is expected soon.

Another major initiative is Green Public Transport in Khyber Pakhtunkhwa Cities Improvement Project, with a total financing of US$220 million, planned for approval in 2026 (Q4). The project is currently in the consultant selection stage and is being processed as part of the broader KPCIP PRF-2 transport component, aimed at improving urban mobility and promoting environmentally sustainable public transport solutions.

The ADB’s pipeline further includes US$50 million KP Food Security and Sustainable Livestock Management Project (KP Green), with a targeted timeline of 2027. While the KP government has requested advancement of the project to 2026, the ADB has placed it for 2027, considering project scope finalization.

Another project under preparation is Improving Mining Practices in KP, with an estimated financing of US$150 million. The project is expected for approval in 2027 and is currently at the initial stage.

The extended ADB pipeline also features multiple projects planned for 2028, indicating long-term strategic planning and alignment with sustainable development priorities. These include NBs for Rehabilitation of Degraded Rangelands in KP (US$40 million), Kurram Tangi Integrated Water Resource Development (US$500 million), KP Horticulture Development Project (US$80 million), KP Hill Torrents Management Project (US$150 million), and Establishment of Biomechanics Lab in Peshawar (US$10 million).

Additionally, KP has proposed Integrated Climate Resilience through AI Practices (US$150 million), Installation of Ambient Air Stations in the Province (US$3 million), and Swat Basin Management Project (US$150 million). The overall ADB pipeline reflected in the document indicates an estimated total financing of US$1.703 billion.

Alongside multilateral development financing, the Government of Japan has also been engaged through a grant-based initiative titled Improvement of Water Supply in Haripur City, to be executed by the KP Public Health Engineering Department. The project is currently listed as “in pipeline,” indicating that preparatory processes are underway before formal commitment and implementation.

The incoming projects are expected to significantly contribute toward strengthening public health systems, ensuring food security, improving transport infrastructure, promoting sustainable agriculture, enhancing environmental protection, and supporting climate resilience interventions across the province.

Credit: INP-WealthPk