World Bank approves $400 million to improve water and sanitation in Punjab


Authorities seek to reduce waterborne diseases and strengthen urban local governments

The World Bank. Photo: archive

The World Bank has approved $400 million for a new project to improve water, sanitation, hygiene (WASH) services and urban governance in 16 secondary cities in Punjab.

The Punjab Inclusive Cities Program (PICP) will fund the rehabilitation of water supply networks, sewerage systems, sewage treatment plants and stormwater drainage.

It will also strengthen the capacity of local governments for sustainable service delivery, income generation and solid waste management, including safe disposal systems.

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According to Bolormaa Amgaabazar, World Bank Country Director for Pakistan, “Reducing child stunting is essential for Pakistan’s future. Through the Punjab Inclusive Cities Programme, we are investing in clean water, sanitation and hygiene services to break the cycle of malnutrition and disease that prevents so many children from reaching their full potential.”

He added that the project represents a “significant step towards improving urban infrastructure and strengthening local institutions, thereby laying the foundation for healthier communities and a more prosperous Pakistan.”

The program aims to provide drinking water, sanitation, hygiene and drainage services to around 4.5 million people, while improving solid waste management services will benefit another 2 million people.

The project is expected to help reduce healthcare costs by reducing waterborne diseases, supporting efforts to reduce childhood stunting, and strengthening the capacity of urban local governments.

According to Amena Raja, Senior Urban Specialist at the World Bank, “The program complements infrastructure investments with capacity building and income generation, helping to ensure that service delivery is sustainable. It will also help cities in Punjab better withstand floods and droughts, ensuring that urban development is environmentally responsible and climate resilient.”

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The program includes gender-focused components, such as prioritizing the hiring of women in decision-making roles, creating gender grievance tables, and offering skills development programs for female staff.

Community awareness campaigns on home hygiene are also part of the project. Additionally, the program aims to mobilize private investment to support water and sanitation services in secondary cities.

The PICP aligns with national development priorities and complements provincial efforts such as the Punjab Development Program and the Punjab Suthra Programme. It constitutes the second phase of the World Bank’s multi-phase programmatic approach to urban water, sanitation and hygiene services in Pakistan.

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