ADB okays $300m loan to boost Pakistan’s Covid-19 response

Published May 20, 2020
The project will support purchase of medical supplies and personal protective equipment. — AFP/File
The project will support purchase of medical supplies and personal protective equipment. — AFP/File

ISLAMABAD: The Asian Development Bank (ADB) has approved a $300 million emergency assistance loan to strengthen Pakistan’s public health response to the coronavirus pandemic and help meet basic needs of vulnerable and poor segments of society.

The project will support purchase of medical supplies and personal protective equipment (PPE) for hospitals and their frontline health workers, upgrading of medical facilities and training of health workers.

The project also involves purchase of vehicles to strengthen rescue capacity in remote border areas and improve Covid-19 awareness among marginal communities with limited television or internet connectivity.

The project will provide cash assistance for directly benefiting women of poor households through the government’s Ehsaas Emergency Cash Assistance Package, launched in response to the Covid-19 pandemic. The government’s cash assistance package is delivered through its Ehsaas Kafaalat social protection and welfare programme.

“These payments are designed to meet the basic food needs and necessary living expenses of poor and vulnerable women and families that are the bedrock of Pakistani society,” said Zheng Wu, ADB project administration unit head and co-team leader of the project.

He said unconditional cash transfers helped improve nutritional intake of poor households and boosted women’s economic empowerment.

ADB Vice President Shixn Chen said the financing through the project would fast-track the ADB’s assistance to strengthen Pakistan’s public health capabilities, provide immediate support to vulnerable women and their families and facilitate knowledge-sharing with Pakistan’s neighbours and other countries in the Central Asia Regional Economic Cooperation region.

“The Covid-19 pandemic is having a significant detrimental impact on the health and economic prospects of the people of Pakistan,” Mr Chen said. This project would build Pakistan’s capacity to cope with the Covid-19 pandemic and other health emergencies.

The government of Norway has contributed $5.28m in grant proceeds for Pakistan’s Covid-19 response, which will be administered by the ADB.

Last month, the ADB reallocated $30m from the National Disaster Risk Management Fund (NDRMF) Project and the NDRMF board of directors allocated an additional $20m from the interest earned from the Endowment Fund capitalised under the project to procure medical equipment to strengthen hospitals and other medical facilities.

In March, the ADB approved $2.5m in grants to help Pakistan purchase PPE and other medical supplies.

On April 13, the ADB tripled to $20bn its initial package to address the immediate needs of its developing member countries, including Pakistan, as they respond to the Covid-19 pandemic. The ADB also approved measures to streamline its operations for quicker and more flexible delivery of assistance.

Published in Dawn, May 20th, 2020

Follow Dawn Business on Twitter, LinkedIn, Instagram and Facebook for insights on business, finance and tech from Pakistan and across the world.

Opinion

Who bears the cost?

Who bears the cost?

This small window of low inflation should compel a rethink of how the authorities and employers understand the average household’s

Editorial

Internet restrictions
23 Dec, 2024

Internet restrictions

JUST how much longer does the government plan on throttling the internet is a question up in the air right now....
Bangladesh reset
23 Dec, 2024

Bangladesh reset

THE vibes were positive during Prime Minister Shehbaz Sharif’s recent meeting with Bangladesh interim leader Dr...
Leaving home
23 Dec, 2024

Leaving home

FROM asylum seekers to economic migrants, the continuing exodus from Pakistan shows mass disillusionment with the...
Military convictions
Updated 22 Dec, 2024

Military convictions

Pakistan’s democracy, still finding its feet, cannot afford such compromises on core democratic values.
Need for talks
22 Dec, 2024

Need for talks

FOR a long time now, the country has been in the grip of relentless political uncertainty, featuring the...
Vulnerable vaccinators
22 Dec, 2024

Vulnerable vaccinators

THE campaign to eradicate polio from Pakistan cannot succeed unless the safety of vaccinators and security personnel...