The World Bank has approved an additional $108 million in financing for Pakistan to advance infrastructure, economic opportunities, and resilience in the Khyber Pakhtunkhwa (KP) province. The funds will be channeled into two critical initiatives — the Khyber Pakhtunkhwa Rural Accessibility Project (KPRAP) and the Khyber Pakhtunkhwa Integrated Tourism Development (KITE) project.
$78 Million to Expand Rural Road Connectivity
A significant portion of the approved financing — $78 million — has been allocated to the KPRAP. The project aims to improve rural infrastructure by upgrading and rehabilitating critical road networks across KP. These roads will enhance access to essential services such as schools, health facilities, and markets for an estimated 1.76 million people.
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The upgraded roads are being designed with a focus on climate resilience to better withstand natural disasters. Special attention is also being given to ensuring safe and affordable transportation for girls attending school, helping reduce barriers to education in rural areas.
According to Najy Benhassine, World Bank Country Director for Pakistan, “By rehabilitating critical rural road infrastructure and enhancing disaster preparedness, the KPRAP is not only improving access to essential services like health and education, but also fostering economic resilience and creating job opportunities.”
Muhammad Bilal Paracha, Task Team Leader for the KPRAP, emphasized that the project “is crucial for improving the lives of people in the province, particularly women and girls, by enhancing access to essential services and economic opportunities.”
$30 Million to Promote Sustainable Tourism
The remaining $30 million will be directed toward the Khyber Pakhtunkhwa Integrated Tourism Development Project (KITE), which aims to develop eco-tourism and improve accessibility to the province’s scenic destinations.
The financing will be used to complete the rehabilitation of two important roads that connect major tourist locations. In addition to infrastructure, the project includes components for technical assistance, capacity building, heritage conservation, and the adoption of digital platforms to modernize tourism services.
Kiran Afzal, Task Team Leader for KITE, highlighted the project’s collaborative and sustainable approach: “The KITE project is encouraging responsible tourism in Khyber Pakhtunkhwa in collaboration with public and private sector stakeholders. This means better roads, improved tourist facilities, and more opportunities for local communities to benefit from the growth of the tourism economy.” Afzal also noted that the initiative would help train locals, create employment, and contribute to preserving Pakistan’s rich cultural and natural heritage.
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This additional financing reflects the World Bank’s ongoing commitment to Pakistan’s development goals, particularly in regions where improved service delivery and disaster resilience are critical. It also aligns with the Bank’s broader South Asia strategy for sustainable, inclusive, and climate-resilient growth. Officials from Pakistan’s Planning Ministry welcomed the support, describing it as “a positive step toward inclusive growth” at a time when the country is grappling with economic challenges and the need for infrastructure investment remains pressing.