The Asian Development Bank (ADB) approved a $603 million loan on Wednesday to help strengthen and expand the government’s ambitious Ehsaas social protection plan.
The plan will use conditional cash transfers to support the implementation of Pakistan’s national social protection and poverty reduction strategy Ehsaas.
“Under the Integrated Social Protection Development Program, ADB will provide a regular loan of $600 million and a $3 million grant from the Asian Development Fund, and will administer a $24 million grant from the Education Above All Foundation,” a statement by the ADB said.
“The program marks a significant shift in ADB’s strategic engagement in the social protection space in Pakistan in line with Ehsaas priorities,” said ADB Director General for Central and West Asia Yevgeniy Zhukov.
“ADB’s support will transition from unconditional cash transfers that provide income support to a mixed-modality approach that focuses more on conditional cash transfers for education, health services, and nutritional supplies that will help reduce intergenerational poverty through human capital development.”