World Bank loans 900 million to Pakistan

The World Bank has announced a 900 million dollar loan package to Pakistan. The aid will go primarily to education, but a portion of the money will also go to a microcredit fund.

From the AFP News via Google, we learn more about the loans.

The credits from the International Development Association, the World Bank's concessionary lending arm that specializes in helping the world's poorest 78 countries, carry a 0.75 percent service fee, a 10-year grace period, and a maturity of 35 years.

"Even where there have been gains in student enrollment as in Punjab and Sindh, these have yet to translate into improved student learning," World Bank country director for Pakistan Yusupha Crookes said in the statement.

A 350 million dollar package was approved for the Punjab province and a 300 million dollar package approved for the Sindh province.

The aid will help education by focusing on "improving governance, management, and capacity in education -- which are at the heart of both the provincial governments' reform strategies," Crookes said.

The Bank also approved 250 million dollar package for an anti-poverty program that has received 646 million dollars from the World Bank since 2000.

The program, which has reached more than 2.5 million people, includes funds for micro-credit loans and skills and enterprise development training.