The deals cover a $330 million second power transmission project and a $400 million state-owned enterprise transformation acceleration program.
Economic Affairs Division Secretary Muhammad Humair Karim and Asian Development Bank Country Director Emma Fan show signed documents following an agreement ceremony between Pakistan and the ADB on December 25. Photo: PID
The government and the Asian Development Bank have signed agreements for two major projects worth a combined $730 million to support Pakistan’s energy infrastructure and institutional reforms.
According to the Economic Affairs Division, the agreements include the Second Energy Transmission Strengthening Project worth $330 million and the State-Owned Enterprises (SOE) Transformation Acceleration Program worth $400 million.
The power transmission project aims to enable the reliable evacuation of 2,300 megawatts of electricity from upcoming hydroelectric projects. It is also expected to alleviate overloading of existing transmission lines and improve the resilience of the national grid under contingency conditions.
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Secretary of the Ministry of Economic Affairs Muhammad Humair Karim acknowledged ADB’s role as a key development partner and said the transmission project would help secure Pakistan’s energy future by strengthening the backbone of the national grid.
He added that the Public Enterprises Transformation Program would support compliance with the Public Enterprises Act 2023 and the Public Enterprises Policy 2023, while improving operational efficiency, with special attention to the National Highways Authority.
ADB Country Director for Pakistan Emma Fan and Economic Affairs Division Secretary Humair Karim today signed two loan agreements totaling $730 million aimed at transforming the country’s state-owned enterprises (SOEs) and enabling the power transmission network to adopt… pic.twitter.com/OcV90XFMwH
— ADBPakistan (@PakistanADB) December 25, 2025
He described both initiatives as transformative and said the energy project would improve grid reliability, while the state-owned enterprise program would promote transparency, efficiency and sustainability across all state-owned enterprises.
ADB National Director Emma Fan welcomed the government’s commitment to the initiatives and highlighted the importance of the transmission project in strengthening energy infrastructure. He said the Public Enterprise Transformation Program comes at a critical time and would further bolster the government’s ongoing reform efforts.
Both parties reiterated their commitment to the effective utilization of financing to ensure the timely and successful completion of the two projects.
