ISLAMABAD: The Asian Development Bank (ADB) has offered Pakistan additional loans to support institutional reforms, capacity building, and budgetary assistance. The offer was made during a meeting with Finance Minister Muhammad Aurangzeb, alongside an ADB delegation led by Country Director Emma Fan and Director General Leah Gutierrez.
Read More: ADB okays $48m loan for Balochistan water resources development
ADB, which holds about $17 billion of Pakistan’s existing debt, has already committed $43.4 billion through 764 public sector loans, grants, and technical assistance projects. Pakistan’s total external debt stood at $107 billion by the end of June 2025, according to the IMF.
The delegation highlighted potential areas for future engagement, including insurance sector reforms, pension reforms, public-private partnerships, climate resilience, and social sector development. ADB representatives appreciated Pakistan’s reform progress under the IMF’s Extended Fund Facility (EFF).
Strengthening Pakistan–ADB Partnership 🇵🇰🤝🌏
Federal Minister for Finance & Revenue, Senator Muhammad Aurangzeb, today held a comprehensive meeting with a high-level Asian Development Bank (ADB) delegation led by Ms. Emma Fan, Country Director, and Ms. Leah Gutierrez, DG… pic.twitter.com/jsna7MOv3V
— Ministry of Finance, Government of Pakistan (@Financegovpk) December 15, 2025
Ms. Fan emphasized the importance of faster project readiness and streamlined processes to ensure timely disbursements and tangible development outcomes. She reiterated ADB’s commitment to supporting reforms aimed at improving implementation efficiency and strengthening institutional capacity.
Recent ADB-approved loans have focused on preparing key infrastructure projects, including sections of the Mainline-1 railway. The delegation also discussed private sector development, potential guarantees, and public-private partnership initiatives, such as proposed airport transactions.
Finance Minister Aurangzeb thanked ADB for its consistent support and stressed the need for impact-driven and KPI-focused development partnerships. He highlighted Pakistan’s reform progress, including improved credit ratings, IMF review successes, and the approval of the Resilience Sustainability Facility.
The minister reaffirmed commitment to structural reforms, including taxation, energy sector restructuring, state-owned enterprises privatisation, and public financial management. He also noted ongoing efforts to enhance project readiness and execution, which are critical to achieving visible development outcomes.
Read More: ADB announces $330m additional assistance to Pakistan
Both sides agreed to continue close coordination under the upcoming country partnership framework, with a focus on inclusive, sustainable growth and deepening Pakistan-ADB collaboration in 2026 and beyond.