Pakistan, EU sign three grant agreements worth €65m

The Governments of Pakistan and the European Union (EU) have inked three grant agreements, amounting to a total of €65 million, to initiate three distinct programs. These initiatives are the 'Global Gateway development facilitation for Pakistan', 'Energy and Natural Environment Resilience in Khyber Pakhtunkhwa', and 'EU Support to the Rule of Law and Business Environment in Pakistan'.

This funding package is a testament to the shared commitment of the EU and Pakistan towards fostering economic and energy development, and upholding the rule of law. The agreements were officially signed by Raimundas Karoblis, the EU Ambassador to Pakistan, and Muhammad Humair Karim, the Secretary of the Economic Affairs Division.

These grants, funded under the EU’s Multiannual Indicative Programme 2021-2027, concentrate on three primary facets of Pakistan's development. The 'Global Gateway development facilitation for Pakistan: Investment Management and financial enabling environment' project aims to stimulate foreign investment in Pakistan by refining the tax system and fortifying the government’s long-term financial planning.

The 'Energy and Natural Environment Resilience programme in Khyber Pakhtunkhwa (KP)' intends to extend renewable energy to rural communities without access to the electricity grid. Additionally, it will offer training to encourage private investment and enhance private sector participation in KP’s energy sector.

Building on earlier EU assistance, the 'EU Support to the Rule of Law and Business Environment in Pakistan' will further facilitate access to police, prosecution, courts, and legal aid in the provinces of KP and Balochistan. This program will also assist the provinces of Punjab and Sindh in broadening the use of alternative and commercial dispute resolution mechanisms in legal cases, thereby making the provinces more appealing to European and other companies for investment.