ISLAMABAD: The European Union (EU) and Pakistan have signed financing agreements worth €65 million to support Global Gateway investments, strengthen the rule of law and business environment, and enhance energy and environmental resilience.
According to a press release issued by the Ministry of Economic Affairs, the Government of Pakistan and the EU signed three grant agreements worth a total of €65 million (Rs20.64 billion) to launch three programmes: 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”.
The cooperation package operationalises the EU and Pakistan’s shared commitment to promoting economic and energy development and advancing 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.
Funded under the EU’s Multiannual Indicative Programme 2021-2027, the initiatives focus on three key areas of Pakistan’s development.
The “Global Gateway Development Facilitation for Pakistan: Investment Management and Financial Enabling Environment” project aims to attract more foreign investment by improving the tax system and strengthening the government’s long-term financial planning.
The “Energy and Natural Environment Resilience Programme in Khyber Pakhtunkhwa” is designed to expand renewable energy access in rural communities that are not connected to the electricity grid. It will also provide training to help attract private investment and increase private-sector participation in KP’s energy sector.
Building on previous EU assistance, the “EU Support to the Rule of Law and Business Environment in Pakistan” programme will further improve people’s access to police, prosecution, courts and legal aid services in KP and Balochistan.
The programme will also support Punjab and Sindh in expanding the use of alternative and commercial dispute-resolution mechanisms to help create a more favourable environment for European and other foreign companies seeking to invest in the provinces.
Speaking on the occasion, Karim said the programmes would also support authorities in KP in building a stronger and more resilient energy sector while promoting the sustainable management of natural resources.
The rule-of-law programme, he added, would further strengthen access to justice for citizens in KP and Balochistan.
Punjab and Sindh would also benefit from EU support to strengthen alternative and commercial dispute resolution through collaboration with the judiciary, legal professionals, universities and the business community.
