The grant of $450 million for the poor of Pakistan has been approved by the World Bank, on Thursday.
Besides the growing economy of Pakistan from the latest reforms of CPEC and more, the country still needs a hand to carry the deprived to meet their daily necessities. In a statement from the World Bank, a credit of $300 million is granted under the Finance for Growth Development Policy (FGDP). This would assist the country in an equal distribution of wealth.
This program is a long-term plan to establish the country. Under this financial policy, 50% adults of the country would have an access to this sum. The World Bank intends to continue this plan till 2020.
Under the FGDP, small and medium-sized enterprises would have an easy access to this grant. This would increase credit increase of 8% from 15% in 2015.
The World Bank Country Director for Pakistan, Illango Patchmuthu said that Pakistan has been doing good in developing its economy. However, the country still lags behind the required pace. This policy would fill the gap to great extent.
Of the $450 million grant, $100 million would be allocated to help the poor. Under the National Social Protection Program, the poor in the country would also be able to reform their lives. The Benazir Income Support Program would also fall under this new policy.
Another $50 million grant would be allocated to help the tourism industry of Pakistan. This program will not only help the tourism industry but would also boost in improving the infrastructure of the country.
Apart from this new grant from the World Bank, a potential credit is under review to increase the energy provision in Pakistan. A loan of $200 million from the WB for the renewable energy project is under consideration and is hoped to be approved soon.
Image credits: Social Justice Connection