World Bank to give Pakistan $240 million for Karachi water project

The World Bank has approved a $240 million financing package for the second Karachi Water and Sewerage Services Improvement Project (KWSSIP-2) to support Pakistan's efforts to improve its water and sanitation infrastructure.

This project aims to provide safely managed water, sanitation, and hygiene (WASH) services to the residents of Karachi.

"Access to safely managed WASH services is vital for public health and quality of life, and is crucial in addressing the stunting crisis in Pakistan," according to Najy Benhassine, World Bank country director for Pakistan.

The project will focus on expanding investments in bulk water augmentation, water treatment, wastewater treatment and reuse, water distribution, and sewer network rehabilitation. Approximately half of the beneficiaries will be women, while 58% will be youth aged 15-24, and over half a million people residing in informal settlements.

KWSSIP-2 builds upon the foundations laid by its predecessor, KWSSIP-1, and will finance and expand several investments to strengthen Karachi's water supply, sewerage, sanitation, and treatment infrastructure.

The long-term benefits of the project include reduced costs associated with alternative water sources, reduced time spent collecting water, and improved health outcomes resulting from reduced waterborne diseases.

Furthermore, KWSSIP-2 will address the gender gap in employment, representation, and leadership within the Karachi Water and Sewerage Corporation (KWSC) by supporting gender-inclusive recruitment plans, technical training for women, and institutionalizing an internship program for women graduates.

KWSSIP-2 is the first phase of the World Bank's support for the Pakistan Urban WASH Services Program, which aims to reach 33.5 million people with safely managed WASH services by 2035.

The project will be co-financed by the Asian Infrastructure Investment Bank, with a contribution of $240 million. The Government of Pakistan will provide an additional $250 million, while private sector and commercial finance are expected to contribute $269 million.