Pakistan, IFC advance discussion to establish fund for entrepreneurs, startups

Pakistan and the International Finance Corporation, the private-sector arm of the World Bank, have taken further steps toward setting up a fund for entrepreneurs and startups, Business Recorder reported. The plan is intended to strengthen the country's entrepreneurial system and attract private financing. Details emerged from a high-level meeting between Finance Minister Muhammad Aurangzeb and Simon Andrews, who directs IFC activities for Pakistan and four other countries.

The IFC team gave the minister an update on the fund, which is being built with relevant stakeholders, and on housing projects meant to ease constraints on developer supply. On farm lending, the talks centred on AgriConnect, including ways to use electronic warehouse receipts as security for loans and better storage facilities. Aurangzeb also pressed for ways to ensure lenders and farmers have more confidence in the system.

Public-private partnerships also featured, with the IFC describing its work alongside provincial governments on water quality and safety projects and metering upgrades for power distribution companies. Both parties discussed increasing lending denominated in local currency and building longer-term funding mechanisms for private projects. Aurangzeb cited improving macroeconomic stability and rising investor confidence, saying the government aims to turn these gains into more investment and private-led growth, and both sides pledged to deepen cooperation.