Pakistan will require nearly $566 billion in investment to deliver on its latest climate commitments by 2035, according to a briefing on green finance and sustainability disclosure frameworks held in Karachi on Wednesday.
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The country’s updated Nationally Determined Contributions (NDC) 3.0 outline a 17 percent unconditional and 33 percent conditional reduction in greenhouse gas emissions, alongside targets to boost electric vehicle adoption by 30 percent and transition 60 percent of the energy mix to renewables.
Experts said mobilising large-scale green-aligned capital will be critical to meeting the ambitious goals. Frameworks such as the Pakistan Green Taxonomy (PGT) and enhanced environmental, social and governance (ESG) disclosure practices are expected to guide investments toward sustainable infrastructure and climate mitigation projects.
OICCI hosted an interactive ESG-focused workshop on Pakistan Green Taxonomy, led by Mr. Farrukh Rehman, Chairman of the Sustainability Working Group at the Institute of Chartered Accountants of Pakistan (ICAP). The workshop commenced with opening remarks by OICCI Secretary… pic.twitter.com/6C8Oa9JPQK
— OICCI (@oicci_pakistan) January 13, 2026
The session, hosted by the Overseas Investors Chamber of Commerce and Industry (OICCI), brought together senior industry leaders and followed the Securities and Exchange Commission of Pakistan’s revision of ESG Disclosure Guidelines for publicly listed companies. The updates formally align corporate reporting requirements with the PGT and are intended to improve transparency, support climate transition efforts and strengthen investor confidence.
Introduced by the State Bank of Pakistan in 2024, the PGT provides criteria for identifying economic activities that contribute to environmental objectives, including climate mitigation, water security, pollution prevention, biodiversity protection and circular economy practices. The ESG reporting guidelines will gradually become mandatory between 2029 and 2031, creating standardised metrics for both financial and non-financial sustainability information.
Climate regulatory expert Farrukh Rehman said integration of the taxonomy into ESG reporting offers a roadmap for businesses to align operations with national climate priorities. More transparent reporting, he argued, is likely to attract green financing and accelerate progress toward Pakistan’s environmental commitments.
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Pakistan has outlined ambitious goals to reduce its vulnerability to climate shocks while decarbonising key sectors, but analysts warn that bridging the investment gap will require global partnerships, concessional finance and domestic reforms.