- Government update the project selection criteria for PSDP.
- Pakistan will report on the selection process.
- Pakistan will also implement an adaptation evaluation.
Islamabad: Pakistan has agreed to the demands of the International Monetary Fund (IMF) to update the selection of projects and increase the criteria for the weighting of climate change in August of next year, with a carbon rate that would be announced in the next budget, The news reported.
Pakistan has agreed to the IMF’s demand that all the new infrastructure projects that cost more than 7.5 billion rupees are published their documentation of the Planning Commission (PC-1) on the PC website. The Government will improve project evaluations and climatic detection evaluations to prioritize the infrastructure that has the greatest impact, the main official sources said.
The official said that Pakistan and the global lender have decided to extend the Federal Government’s budget labeling system to include the expense of subsidies and subsidies. They will also use the same process to label the expenditure of the provincial government, added the official.
He also committed to the IMF to work for the labeling and monitoring of climatic expenses and harmonizing budget labeling with other green taxonomies. The Government will update the project selection criteria for the Public Sector Development Program (PSDP) to prioritize climate friendly projects.
Climate change considerations will represent at least 30% of the selection criteria for infrastructure projects. A transparent score system with explicit protocols will be developed to evaluate projects.
The Government will publish the distribution of scores for new projects in August 2026. In addition, Pakistan will report on the selection process and publish scores for each project approved by the Central Development Work Party (CDWP) and the Executive Committee of the National Economic Council (ECNEC) annually.
Pakistan will also implement the adaptation and mitigation evaluation until the end of August 2027. All important important infrastructure projects will carry out climate vulnerability, adaptation and mitigation evaluations as a critical requirement for inclusion in PSDP.
