Finance Minister Muhammad Aurangzeb has said Pakistan is likely to receive around $200 million under the International Monetary Fund’s Resilience and Sustainability Facility, with the IMF Executive Board scheduled to meet on Friday to consider the disbursement.
Speaking at the Breathe Pakistan International Climate Change Conference 2026 in Islamabad, the minister said the expected funding would support the country’s efforts to strengthen climate resilience and sustainability as it faces mounting environmental and economic pressures.
Aurangzeb said the issue of climate financing had also figured prominently during the recent IMF and World Bank Spring Meetings in Washington, where finance ministers taking part in the Coalition of Finance Ministers for Climate Action stressed the need to move beyond discussion and focus on implementation and financing.
He said Pakistan was currently working on its Climate Prosperity Plan, with priority areas including electric vehicle-focused supply chains and the promotion of green technologies. He also described the State Bank of Pakistan’s steps to encourage green financing as a positive development.
The finance minister praised the National Disaster Management Authority for deploying artificial intelligence-based early warning systems, saying the technology was helping authorities shift from reactive responses to more proactive planning in climate-related emergencies.
Referring to the 2022 floods, Aurangzeb said a number of international commitments announced at the Geneva conference had not fully materialised because project financing had been included in the pledged amounts. However, he said Pakistan was able to absorb the economic impact of the 2025 floods without relying entirely on foreign assistance, owing to improved macroeconomic stability.
He added that Pakistan currently had access to annual climate-related financing of around $600 million to $700 million through multilateral lenders, including the World Bank and the Asian Development Bank.
Aurangzeb said the government was also pursuing other green financing options, including Panda Bonds worth about $250 million denominated in Chinese yuan, as well as local green Sukuk issuances.
He stressed the need to speed up investment in renewable energy sources such as solar, wind and hydropower to reduce reliance on imported fossil fuels, adding that the government was prepared to support the transition through subsidies and guarantees.
