Pakistan To Take $918 Million Loan From World Bank, Agreement Signed

The programme is aimed at "contributing to a sustainable increase in domestic revenue by broadening the tax base and facilitating compliance."

Islamabad (UrduPoint / Pakistan Point News – 18th June, 2019) Pakistan and the World Bank have signed a loan agreement worth $918 million.

World Bank Country Director Patchamuthu Illangovan signed the agreements on behalf of the World Bank while Economic Affairs Division Secretary Noor Ahmed signed the financing agreements on behalf of the Government of Pakistan.

Adviser to the Prime Minister on Finance, Revenue and Economic Affairs Dr Abdul Hafeez Shaikh on Tuesday witnessed the signing of three loan agreements worth a total of $918 million with the World Bank.

The representatives of the Higher Education Commission (HEC) and Government of Khyber Pakhtunkhwa signed their respective project agreements.

After the agreements were signed, the World Bank's country director held a meeting with the Dr Sheikh, who thanked the World Bank for extending their continuous support to Pakistan's government in its efforts to achieve the sustainable economic development of the country.

The details of the three project the funds will be used for are as follows:

According to a press release from the Economic Affairs Division said, the programme is aimed at "contributing to a sustainable increase in domestic revenue by broadening the tax base and facilitating compliance.

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It is hoped that the programme will increase Pakistan's tax to GDP ratio to 17 per cent, increase the number of active taxpayers to 3.5 million, reduce the compliance burden of paying taxes and improve the efficiency of customs controls.

The development objective of the programme is to "support research in strategic sectors of the economy, improve teaching and learning and strengthening governance in the higher education sector."

The finances will be used towards nurturing academic excellence in strategic sectors, supporting decentralized higher education institutes for improved teaching and learning, equipping students and higher education institutions with modern technology, higher education management information system and data drive services and capacity building, project management and monitoring and evaluation.