ISLAMABAD, May 11 (ABC): The Khyber Pakhtunkhwa government has spent more than Rs580 million during Fiscal Year 2025-26 under the KP Rural Investment and Institutional Support Project, a World Bank-funded initiative focused on improving infrastructure, agriculture, sanitation, and public services in the province’s merged districts.
According to official documents available with Wealth Pakistan, the project aims to strengthen rural development and institutional capacity in underserved areas of Khyber Pakhtunkhwa through long-term investment in public infrastructure and local services.
What is the KP Rural Investment and Institutional Support Project?
The KP Rural Investment and Institutional Support Project is a multi-department development program with a total estimated cost of Rs109.9 billion. It is scheduled to continue until June 2031.
The project is being implemented through several provincial departments, including Agriculture, Irrigation, Public Health Engineering (PHED), Communication & Works (C&W), and Local Government.
By June 2025, cumulative spending under the project had reached Rs707 million. For FY2025-26, the provincial government allocated Rs4.2 billion, of which Rs580.46 million has been utilized so far, representing a release rate of 12.29%.
Why does the project matter?
The merged districts of Khyber Pakhtunkhwa have faced infrastructure and service delivery gaps following their integration into the province.
The project is designed to improve access to clean water, sanitation, roads, agricultural support, and local public services in rural communities. It also aims to strengthen government institutions responsible for planning and managing development projects.
Officials say the initiative focuses on long-term economic activity by supporting farming, water management, and local business opportunities.
What support is being provided to farmers?
Under the Agriculture Department, the project is promoting modern farming practices and expanding agricultural services in rural areas.
According to the documents, authorities have distributed 168 agricultural machines to support on-farm processing and value addition businesses.
The project has also completed 145 rainwater harvesting and soil erosion control structures to improve water conservation and land management.
To support year-round farming, officials have installed around 310 walk-in tunnel systems and 213 vertical farming units in remote areas. These technologies are intended to help farmers improve crop productivity and extend growing seasons.
What infrastructure work is underway?
In the Communication and Works sector, five out of 14 planned infrastructure schemes on state-owned land have received approval.
The remaining projects are currently undergoing approval procedures and preparation of planning documents known as PC-1s, which are required before development work can begin.
Land acquisition efforts are also underway for 18 additional sites in coordination with the Finance Department, the Senior Member Board of Revenue, and district administrations.
What is planned for water and sanitation services?
The Public Health Engineering Department has hired consultants for the design and supervision of sanitation-related projects.
A total of 32 schemes are currently under preparation, including 13 drinking water supply projects and 19 sanitation schemes.
The Bajaur rehabilitation project has already been approved by the Provincial Development Working Party (PDWP), while planning work is ongoing for projects in Mohmand, Khyber, Kurram, and Orakzai districts.
Officials are also revising sanitation planning and financing models, with updated cost estimates expected after final project designs are completed.
How is the project being monitored?
The documents state that project management and monitoring systems are now operational.
A Project Coordination and Management Unit (PCMU) has been established to oversee implementation, while monitoring and evaluation firms have been hired to support transparency and track project progress.
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