WB Urges Stronger Federal-Provincial Coordination on Reform Agenda

World-Bank

Islamabad: The World Bank has called for stronger coordination between federal and provincial governments to ensure effective implementation of Pakistan’s reform programme under the Country Partnership Framework (CPF), with a focus on climate resilience, population management and sectoral sustainability.

The emphasis came during a meeting between World Bank Country Director for Pakistan Bolormaa Amgaabazar and Federal Minister for Finance and Revenue Muhammad Aurangzeb at the Finance Division on Wednesday, according to an official statement.

Discussions centred on enhancing cooperation under the CPF and advancing key government reform priorities. The agenda covered population and human capital development, climate resilience, agriculture sector reforms, energy sector sustainability and overall portfolio performance.

Senator Aurangzeb stressed that effective operationalisation of the CPF is critical, particularly in priority areas such as population management and climate change. He highlighted the need for close coordination between federal and provincial governments to ensure policy coherence, effective implementation and national ownership of reforms.

While noting that implementation responsibilities largely rest with the provinces, the finance minister emphasised that relevant federal ministries must remain actively engaged in planning, oversight and monitoring processes to ensure alignment with national objectives.

Both sides discussed measures to improve institutional coordination, enhance transparency in project design and target-setting, and strengthen monitoring mechanisms to deliver measurable development outcomes. The World Bank reaffirmed its commitment to working closely with stakeholders at both federal and provincial levels.

Progress in the agriculture sector also came under review, with discussions focusing on raising productivity, strengthening value chains, expanding access to finance and promoting private sector participation. The finance minister underscored the importance of aligning provincial initiatives with broader national reform efforts to support sustainable economic growth. The Bank expressed readiness to support agricultural transformation, including collaboration with the International Finance Corporation.

Energy sector reforms and financial sustainability were another key focus, with both sides exploring options to strengthen the sector’s long-term viability. It was agreed that technical-level engagements would continue to identify practical solutions consistent with Pakistan’s broader reform agenda and fiscal framework.

The country director also briefed the minister on the overall performance of the World Bank’s development portfolio in Pakistan, reiterating continued support for economic stabilisation, climate resilience and human capital development.

Minister Aurangzeb appreciated the World Bank’s ongoing engagement and reaffirmed the government’s commitment to advancing structural reforms, improving governance and ensuring that development programmes deliver sustainable and tangible benefits for the country.

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