In a massively positive development, chairman of the Islamic Development Bank (IsDB) Group, Muhammad Al Jasser, on Monday pledged $4.2 billion for flood rehabilitation and reconstruction in Pakistan.
In addition, the World Bank also committed $2 billion for the purpose while USAID pledged $100 million. Moreover, Japan committed $77 million and Germany committed €84 million.
“I am pleased to announce that the Islamic Development Bank Group, as part of contributing to the achievement of Pakistan’s climate resilience and development objectives, pledges a financing amount of $4.2 billion over the next three years,” said Muhammad Al Jasser at the International Conference on Climate Resilient Pakistan in Geneva on Monday.
The Islamic Development Bank Group has announced a financing amount of
$ 4.2 billion dollars to meet Pakistan’s Climate & Resilience Objectives #PMShehbazinGeneva #ResilientPakistan pic.twitter.com/frIeMBSGT0— PTV News (@PTVNewsOfficial) January 9, 2023
Asian Development Bank (ADB) Vice President Shixin Chen stated that his organisation will “prioritise up to $1 billion”.
The European Union (EU) announced over €500 million in pledges.
European Commission President Ursula von der Leyen announced support to the reconstruction of Pakistan of over €500 million.
“The EU and its member states were among the first to react when the floods hit. We stood by you then and we show our solidarity today,” she said.
In response to the announcements, Information Minister Marriyum Aurangzeb said the international community and development partners have demonstrated exemplary compassion for flood victims.
At the Intl Conference on #ResilientPakistan @vonderleyen announced support to the reconstruction of Pakistan of over €500 million from #TeamEurope. The EU & its Member States were among the 1st to react when the floods hit. “We stood by you then & we show our solidarity today.” pic.twitter.com/s37jfsQp9E
— EU at the UN – Geneva #MultilateralismMatters (@EU_UNGeneva) January 9, 2023
“Islamic Development Bank Group has pledged $4.2 billion at Geneva moot, World Bank Vice President for South Asia Martin Raiser announced $2 billion, responding to PM’s call for concrete action,” she said.
Prime Minister Shehbaz Sharif had earlier announced a comprehensive framework document for flood recovery and rehabilitation of Pakistan.
Addressing the conference co-hosted by the United Nations (UN) and the Pakistan government, PM Shehbaz stated that completion of the plan will take three years.
The PM had called upon the international community to support Pakistan financially.
“The most important link for this framework will be the financial resourcing,” he said. “The plan is broad and it will be presented in next session of conference.”
The first part of the framework will focus on flood recovery and reconstruction while the second part will prioritize reconstruction of highways and railways as well as setting up of a warning system.
“Pakistan’s ability to recover from the large-scale disaster will hinge on speed of these actions and your support will make huge difference,” the PM told participating nations.
Citing a disaster needs assessment prepared by the government of Pakistan in October 2022, he stated that the scale of financial burden on Pakistan from floods is $33 billion which is 8% of the country’s GDP.
Pakistan: Last year’s floods have affected 33 million people & could push 9 million more into poverty.
Monday’s International Conference on Climate Resilient Pakistan will support recovery efforts & discuss climate-induced disaster preparedness. https://t.co/FDmaGH6YgA pic.twitter.com/S97au8X6JF
— United Nations (@UN) January 9, 2023
“One can go on and on about the records broken by the disaster, but we are racing against time. The relief work is not over yet especially in parts of Sindh and Balochistan” he said.
In Sindh, the water has yet to be drained from agricultural lands, the PM said.
“We need to give the affectees their future back,” he stressed.
PM Shehbaz thanked the friendly countries for helping save thousands of lives and restoring communication in affected areas through immediate funding.
He also thanked UN Secretary-General Antonio Guterres for holding the conference.
Speaking at the event, Pakistan Foreign Minister Bilawal Bhutto urged the international community to aid the country in flood recovery and rehabilitation as the government is undertaking the exercise of “building back better.”
He thanked all countries that disbursed financial assistance and aid to Pakistan in a bid to deal with flood catastrophe.
“The magnitude of disaster is huge and we are prioritising resilient recovery and reconstruction,” he said. “The government of Pakistan has worked with UN, World Bank, Asian Development Bank and European Union to prepare a comprehensive framework document for flood recovery and rehabilitation.”
According to Bilawal, half of the framework will be implemented from Pakistan’s own resources while the remaining half would be covered through international aid.
“We will indulge in rebuilding and rehabilitation of homes, roads, bridges and infrastructure and we will need support of international partners.”
IsDB Group Chairman Muhammad Al Jasser pledged $4.2 billion on behalf of the institution over the next three years aimed at fulfilling Pakistan’s climate resilience and development objectives
In a video message, French President Emmanuel Macron pledged $10 million in additional aid support.
He also said that Paris was ready to support Pakistan in its talks with financial institutions, as the country faces huge losses from recent floods.
