The World Bank has extended the timeline for the Punjab Resource Improvement and Digital Effectiveness (PRIDE) project, moving its closing date from August 31, 2025, to June 30, 2026. The decision grants an additional ten months to ensure the completion of critical reforms aimed at strengthening fiscal management and expanding digital public services in Pakistan’s most populous province.
According to official documentation, the request for an extension was submitted by the Economic Affairs Division (EAD) on July 22, 2025, following extensive discussions with the Punjab government. The World Bank approved the extension after evaluating the status of ongoing reforms and acknowledging the need for more time to consolidate results that had already been achieved under the programme.
The PRIDE project was initially approved in December 2020 and became effective in January 2021, with financing provided through a $304 million loan from the International Bank for Reconstruction and Development (IBRD). The programme’s design focuses on strengthening Punjab’s revenue base, enhancing fiscal sustainability, and introducing digital systems that improve service delivery for citizens.
One of the key areas highlighted for completion during the extension period is business process re-engineering. This reform involves modernizing bureaucratic procedures, streamlining operations, and increasing efficiency within provincial departments. Another significant initiative under the extended timeline is the development of a disaster risk financing strategy, a critical need given Pakistan’s vulnerability to floods, earthquakes, and other natural calamities.
Officials also pointed out that certain targets required adjustments due to overlapping reforms at both federal and provincial levels. Additionally, financial projections had to be recalibrated in light of the Pakistani Rupee’s depreciation, which has affected cost structures for several ongoing initiatives. These factors, combined with the technical complexity of fiscal reforms, made the extension a necessary step to safeguard long-term outcomes.
The World Bank emphasized that the new closing date will help consolidate achievements made so far, ensuring that gains are not only implemented but sustained beyond the life of the project. The PRIDE project remains closely aligned with the World Bank’s Country Partnership Framework (CPF), which prioritizes expanding fiscal space, improving public spending efficiency, and enabling the transition toward digital governance.
For the Punjab government, the extension offers an opportunity to strengthen its fiscal position at a time when public finances are under considerable stress. The Finance Department has committed to ensuring the optimal utilization of available resources, focusing on revenue mobilization and digital innovation. Officials underscored that the additional months will allow for the proper implementation of systems that can deliver results well into the future.
Observers note that the extension reflects the challenges inherent in reforming complex governance structures in Pakistan. However, it also underscores the importance of sustained international support in helping provinces modernize financial systems and embrace digital transformation. If successfully implemented, the PRIDE project could serve as a model for other provinces seeking to improve fiscal management and strengthen resilience against economic and environmental shocks.
With the revised schedule, the Punjab Resource Improvement and Digital Effectiveness programme is now expected to close by June 2026, marking the completion of a critical phase in Punjab’s fiscal and digital reform journey.
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