Ayesha Saba

Pakistan continues to receive multilateral financing for key transport and urban infrastructure projects during FY26, with several road, urban mobility and water-sector initiatives listed under ongoing disbursements and active financing arrangements, according to the Foreign Economic Assistance Monthly Report for November 2025 issued by the Ministry of Economic Affairs.

The document lists financing for the National Highway N-55 (Indus Highway) upgrading project, specifically the Shikarpur–Rajanpur section, under Asian Development Bank (ADB) support. The project is included among transport-sector initiatives receiving external assistance during the reporting period and forms part of the broader highway upgrading programme aimed at improving north–south connectivity.

In the urban transport segment, the report records disbursements for the Karachi Yellow Line Bus Rapid Transit project, which is supported by the International Bank for Reconstruction and Development (IBRD). The project is listed under the urban mobility category and reflects continued external financing for mass transit development in Karachi.

The document also includes multiple urban water and sanitation projects for Karachi, financed through multilateral arrangements involving the World Bank Group and other co-financiers. These projects are shown under the urban infrastructure and water supply sectors and are listed as ongoing initiatives within the external assistance portfolio.

According to the report’s project tables, the Karachi water and sewerage initiatives are structured across different financing tranches and are aligned with long-term urban infrastructure development plans. The projects are recorded separately from transport schemes, highlighting the report’s sector-specific categorisation.

The document further distinguishes between projects financed through investment loans and those supported under results-based or programme financing, ensuring clarity in the classification of funding modalities. Urban transport and water projects are primarily listed under investment financing.

Overall, the inclusion of major road upgrading, urban mobility and water-sector projects in the November report reflects the continued presence of multilateral financing in Pakistan’s transport and urban infrastructure portfolio during FY26, as recorded in the official external assistance data.

Credit: INP-WealthPk