The Asian Development Bank (ADB) has granted Pakistan a $400 million concessional loan to aid in the reconstruction of homes and infrastructure in Sindh province, heavily impacted by the 2022 floods.
The funds will be used for the Sindh Emergency Housing Reconstruction Project, which aims to repair flood-damaged houses and community facilities while boosting livelihood recovery and enhancing resilience to climate change.
The project is part of ADB’s broader response to Pakistan’s flood crisis and contributes to the bank’s pledge of $1.5 billion in aid from 2023 to 2025. Yevgeniy Zhukov, ADB’s Director General for Central and West Asia, emphasised that the initiative will help rebuild homes and restore essential services in Sindh, the province most affected by the floods. The disaster impacted 33 million people and caused extensive damage nationwide.
Sindh sustained about 83% of the total housing damage from the floods, with roughly 2.1 million homes either destroyed or severely damaged. Two years later, many survivors are still living in inadequate temporary shelters lacking basic services like water, sanitation, and electricity.
The ADB’s project will support the reconstruction of 250,000 homes with designs that are resilient to multiple hazards and environmentally friendly. Additionally, it will fund the construction of community infrastructure such as drinking water and sanitation facilities, covered drainage, and renewable energy solutions for 100,000 households in approximately 1,000 flood-affected villages.
The project also includes conditional cash grants for livestock, agriculture, small businesses, and e-commerce. A $500,000 technical assistance grant will be provided to support the government’s capabilities in procurement, compliance, and management.
Srinivas Sampath, ADB’s Director for Water and Urban Development, noted that the project not only aims to rebuild Pakistan effectively but also to promote community-driven climate resilience and disaster risk management strategies, better preparing the country for future hazards.
