Key points:
- European Investment Bank signs €60 million loan to improve Karachi’s water and sanitation infrastructure.
- The project under the EU’s Global Gateway initiative will enhance public health and water security.
- Agreement formalised during the 15th EU-Pakistan Joint Commission, marking first EIB-Pakistan loan in ten years.
BRUSSELS: The European Investment Bank (EIB) has signed its first loan agreement with Pakistan in a decade, committing €60 million to support clean drinking water initiatives in Karachi, Pakistan’s largest city.
The agreement, formalised on the sidelines of the 15th EU-Pakistan Joint Commission, is part of the European Union’s Global Gateway strategy, which aims to strengthen sustainable infrastructure and public services in partner countries.
Under this project, the funding will be used to rehabilitate and construct key water treatment facilities, improve sanitation systems, and bolster public health, addressing the growing demand for safe and reliable water in Karachi’s rapidly expanding urban population.
Officials said the project is expected to enhance water security, sanitation, and overall public health, while also strengthening urban infrastructure to meet long-term population needs. This €60 million loan marks the first collaboration between the EIB and Pakistan in ten years, signalling renewed European support for critical development projects in the country.
Today, the 🇪🇺 @EIB signed its first loan agreement with 🇵🇰 Pakistan in a decade: a €60 million loan supporting the delivery of clean drinking water for #Karachi.#GlobalGateway in action.@KaroblisR pic.twitter.com/sxq1PIxeCH
— EUPakistan (@EUPakistan) December 17, 2025
According to the official X account of EU Pakistan, “Today, the European Investment Bank signed its first loan agreement with Pakistan in a decade, supporting the delivery of clean drinking water for Karachi. The signing took place in Brussels on the margins of the 15th EU-Pakistan Joint Commission. The agreement formalises €60 million loan, as a part of the Global Gateway, to rehabilitate and construct key water treatment facilities, improve sanitation, public health and water security for Karachi’s growing population.”
