Pakistan and EU Sign €65 Million Grant Agreements
Pakistan and the European Union have signed three grant agreements worth a combined €65 million, equivalent to around Rs. 20.64 billion, to support investment, energy resilience, and the rule of law.
The agreements were signed by EU Ambassador to Pakistan Raimundas Karoblis and Secretary of the Economic Affairs Division Muhammad Humair Karim.
The funding comes under the EU’s Multiannual Indicative Programme 2021-2027 and will support projects aimed at strengthening Pakistan’s economic development, energy sector, investment environment, and legal institutions.
Support for Investment and Financial Planning
Under the Global Gateway development facilitation program, the initiatives will focus on improving Pakistan’s tax system and strengthening long-term financial planning.
The program is also designed to help create conditions that can encourage greater foreign investment in the country.
Renewable Energy Support in KP
The Energy and Natural Environment Resilience program in Khyber Pakhtunkhwa will support renewable energy projects in rural communities that are not connected to the national electricity grid.
The program will also provide training and other support aimed at encouraging private investment and increasing private-sector participation in the province’s energy sector.
Improving Access to Justice
Another program, titled EU Support to the Rule of Law and Business Environment, will focus on improving access to police services, prosecution, courts, and legal aid in Khyber Pakhtunkhwa and Balochistan.
The initiative will also support Punjab and Sindh in expanding alternative and commercial dispute-resolution mechanisms. These measures are intended to help businesses resolve disputes more efficiently and support investment activity.
Officials Highlight Cooperation
Muhammad Humair Karim welcomed the EU’s continued support, saying the projects align with Pakistan’s objectives of attracting foreign investment, expanding electricity access in off-grid rural areas of KP, and improving mechanisms for resolving commercial disputes.
EU Ambassador Raimundas Karoblis said the agreements demonstrate the European Union’s continued support for Pakistan’s economic development and investment objectives through the Global Gateway initiative.
He also highlighted the EU’s planned support for energy development and sustainable natural resource management in KP, improved access to justice in KP and Balochistan, and stronger dispute-resolution mechanisms in Punjab and Sindh.
