Pakistan and the Asian Development Bank (ADB) on Tuesday signed a $500 million loan agreement for the Climate and Disaster Resilience Enhancement Programme (CDREP) to boost the country’s perseverance against catastrophes triggered by natural hazards and the impacts of environmental crises.
The programme aims to foster Pakistan’s institutional capacity for planning, preparedness, and response. It will help promote inclusive investments in disaster risk reduction and climate resilience while supporting the scaling up of disaster risk financing through a risk-layered approach.
The agreement was signed after the approval of Federal Minister for Economic Affairs, Ahad Cheema, according to a press release issued by the Economic Affairs Division (EAD).
Secretary of the Ministry of Economic Affairs, Dr Kazim Niaz and ADB Country Director, Ms Emma Fan signed the loan agreement. The ceremony was attended by senior officials from the government and the multilateral lender.
Cheema, while consenting to the agreement, said that signing the agreement underscores Pakistan’s commitment to prioritise climate change initiatives and scaling up disaster risk financing using a risk-layered approach.
“This programme is designed as a programmatic approach and aims to strengthen Pakistan’s capacity for climate change adaptation and disaster risk management, addressing the country’s vulnerabilities to natural disasters and climate impacts,” both officials said in a joint statement after signing the agreement.
Last week, Pakistan launched its first National Climate Finance Strategy (NCFS) to tackle the growing challenges of global warming with a strategy of mobilising funds for climate mitigation and adaptation efforts. The strategy focuses on increasing climate-related investments, attracting international financing, and enhancing domestic financial systems.
