Islamabad: The Government of Pakistan and the Asian Development Bank (ADB) on Tuesday signed two major climate resilience initiatives worth USD 304.5 million, aimed at strengthening coastal protection in Sindh and promoting climate-resilient, low-carbon agriculture in Punjab.
The agreements include the Sindh Coastal Resilience Sector Project (SCRP) amounting to USD 180.5 million, and the Punjab Climate Resilient and Low Carbon Agriculture Mechanization Project valued at USD 124 million.
Speaking on the occasion, Secretary Ministry of Economic Affairs Muhammad Humair Karim appreciated ADB's role as a trusted development partner and its continued support to Pakistan in advancing climate resilience, sustainable agriculture, and inclusive growth. He said the Sindh Coastal Resilience Project would promote integrated water resources and flood risk management, restore nature-based coastal defenses, and strengthen institutional and community capacity for strategic action planning.
The SCRP will be financed through USD 140.5 million from ADB, including a USD 140 million loan and a USD 0.5 million technical assistance grant, USD 40 million from the Green Climate Fund, and USD 20 million as counterpart funding from the Government of Sindh. The project is expected to directly benefit more than 3.8 million people in the districts of Thatta, Sujawal, and Badin.
The Secretary further said that the Punjab Climate Resilient and Low Carbon Agriculture Mechanization Project would enhance agricultural productivity and climate resilience across 30 districts of Punjab. The project, with a total cost of USD 129 million, will be financed through a USD 120 million ADB loan, a USD 4 million ADB grant, and USD 5 million in counterpart funding from the Government of Punjab.
Under the project, small farmers will gain improved access to climate-smart machinery, circular agriculture practices will be introduced to reduce crop residue burning, testing and training facilities will be established, and 15,000 women will be empowered through skills development and livelihood diversification.
Muhammad Humair Karim emphasized that both initiatives are transformative in nature, noting that the Sindh project will safeguard livelihoods, food security, and biodiversity along the province's vulnerable coastal belt, while the Punjab project will drive sustainable, low-carbon agricultural growth and inclusive development.
ADB Country Director Ms. Emma Fan welcomed the initiatives and reaffirmed ADB's commitment to supporting Pakistan's climate and development priorities. She highlighted the importance of the Sindh Coastal Resilience Project in addressing climate-induced risks faced by coastal communities and described the Punjab mechanization project as a key step toward modernizing agriculture and reducing emissions.
Both sides reaffirmed their commitment to ensuring effective utilization of funds and timely completion of the two projects.