The Asian Development Bank (ADB) on Friday approved two financing packages worth a combined $540 million for Pakistan, after the World Bank cleared a separate $400 million loan.

The ADB loans include a $400 million results-based facility for state-owned enterprise (SOE) reforms and a $140 million concessional loan for the Sindh Coastal Resilience Sector Project.

In a statement, the ADB said the SOE programme aims to improve governance and performance across Pakistan’s public entities.

It said restructuring and commercialisation of the National Highway Authority (NHA) remains a key priority.

The bank noted “significant progress” in SOE reforms over the past five years, adding that the enactment of the SOE Act and policy in 2023 marked a major milestone.

The ADB will also provide $750,000 in technical assistance to support implementation.

The $140 million Sindh Coastal Resilience project is expected to directly benefit about 500,000 people.

According to the bank, the project will protect 150,000 hectares of agricultural land from flood risks and aims to restore 22,000 hectares of forests.

It said the initiative will strengthen food security, biodiversity and environmental sustainability along the coastal belt.

The ADB added that the project will be co-financed through a $20 million grant and a $20 million concessional loan from the Green Climate Fund.

The bank said its new financing aligns with Pakistan’s broader development agenda, with a focus on climate resilience, institutional reform and improved service delivery.