UK helps Pakistan save billions through governance reforms


UK helps Pakistan save billions through governance reforms

ISLAMABAD: A six-year UK-backed governance reform initiative has unlocked over £1.9 billion in public finance and delivering major improvements in planning, budgeting, and revenue mobilisation in Punjab and Khyber Pakhtunkhwa (KP).

According to a communique from British High Commission, Islamabad, the Sub-National Governance Programme has successfully concluded.

The landmark UK ran from 2019 to 2025, and delivered major governance reforms across Punjab and KP.

“Working closely with provincial governments, the programme has helped to achieve savings to reinvest into other public services,” the communique added

One of the most significant achievements of the programme, the commission said, was supporting the Government of Punjab in developing a comprehensive pensions reform plan.

“This included the introduction of a new pensions scheme where both the employer and employee pay in, which is expected to save the Government of Punjab PKR 2.7 trillion over the next 30 years.”

The programme also played a key role in improving social protection systems.

“In Punjab, 35 million people’s social and economic data was collected, meaning the government can now better target urgent cash assistance and food subsidies.”

The programme helped design and rollout social protection initiatives such as Ba-Himmat Buzurg, which offers elderly people with no source of income financial assistance, and the Himmat Card, which provides financial support for people with disabilities in Punjab.

In KP, reforms focused on improving urban services, including the introduction of sustainable door-to-door waste collection, which is now being expanded province-wide.

Sam Waldock, who recently joined British High Commission in Pakistan as Development Director, said the programme demonstrated “what is possible when strong partnerships come together to support long-term reform, changing people’s lives. We’ve strengthened institutions, improved service delivery, and helped Pakistan unlock more of its resources to finance its own development.”

He added that it had “led to direct improvements to the day to day lives of millions- from helping people to access essential cash assistance, to creating waste management systems which makes their surroundings cleaner and more hygienic.”

The commission reiterated its commitment to continue work on governance reform in Pakistan.

“In collaboration with UN Development Programme, the UK will continue to focus on sustained institutional reform and improved public financial management, it said.

The commission promises that several key initiatives, including further reforms to provincial pension schemes, will be carried forward in the UK’s new National Governance Programme.

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