Islamabad: The World Bank is set to approve a USD 250 million loan to Pakistan to improve flood resilience, early warning systems, and disaster preparedness in Khyber Pakhtunkhwa (KP), one of the country’s most flood-prone provinces. The loan, provided through the International Development Association (IDA), is expected to be approved by the World Bank’s executive board in June.
KP has experienced significant losses from floods over the years, with major events in 2010, 2022, and 2025 causing approximately USD 2.3 billion in cumulative damages. The 2025 monsoon alone resulted in localised riverine, glacial, and flash flooding, claiming 509 lives.
The project will focus on strengthening infrastructure and planning for resilience, with USD 193 million allocated to the design and construction of priority flood protection measures. These include embankments, retaining walls, flood channels, check dams, and other structural works designed to withstand up to a 1-in-100-year flood, taking climate change into account.
Other project components include developing long-term infrastructure investment plans, enhancing community preparedness, establishing early warning systems, and supporting emergency response efforts. Nature-based solutions, such as slope stabilization and riverbank restoration, will also be incorporated where feasible.
The loan comes as Pakistan faces rising climate risks, with more frequent and intense floods, heatwaves, droughts, and other extreme events affecting livelihoods, crops, infrastructure, and economic activity. Officials say the funding will help reduce the province’s vulnerability to climate-related disasters while supporting long-term development and poverty reduction.
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