ISLAMABAD – The European Union has approved a €160 million loan for Pakistan, to be provided through the European Investment Bank (EIB), marking a major investment in the country after a decade.
Of the total, €100 million will be allocated to assist flood-affected communities in Sindh, where 2.1 million homes will be built or reconstructed to withstand future natural disasters.
The remaining €60 million will be spent on improving water supply infrastructure in Karachi, enhancing the city’s water distribution systems.
This marks the EIB’s largest investment in Pakistan in ten years, aimed at strengthening both disaster resilience and urban utilities in the country.
A day earlier, the European Union, in collaboration with the Government of Pakistan inaugurated the first-ever High-Level EU-Pakistan Business Forum in Islamabad, marking an important milestone in strengthening bilateral economic relations.
The Forum brings together around 1000 senior policymakers, European and Pakistani business leaders, investors and financial institutions. With the EU being the largest single market in the world, a leading of outward Foreign Direct Investment globally and Pakistan’s number one export destination, the Forum represents a significant opportunity to further the EU-Pakistan economic partnership. It aims to turn strong trade ties into increased investment flows, technology partnerships, greater innovation, and sustainable industrial growth.
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