ISLAMABAD: The World Bank has approved a $150 million programme to help the Sindh government improve urban property tax collection and strengthen municipal service delivery in 25 towns of Karachi.
The Sindh Property Revenues Enhancement Programme (Sindh PREP) approved by the World Bank board of executive directors, will benefit Karachi’s 25 local councils. Its primary beneficiaries are the 3.58 million people living in these councils, where service delivery investments will be financed, the World Bank resident mission in Islamabad announced on Saturday.
The programme will support the Sindh government in improving urban immovable property tax (UIPT) collection and strengthening municipal service delivery capacity in selected local councils of Sindh.
“Cities that can raise their own revenues can plan and invest for the long term,” said Bolormaa Amgaabazar, World Bank Country Director for Pakistan. “Today, Sindh’s local councils depend on provincial transfers for more than 95 per cent of their revenues. By helping Karachi collect the property taxes from its residents and businesses, and by reinvesting most of that revenue in local services, this programme will give Sindh’s cities the means to finance the infrastructure they need.”
About 70 percent of collected UIPT revenues will be reinvested directly into municipal infrastructure and services in participating local councils.
“Karachi has significant untapped potential to generate revenues from its property base and use those resources to fund the infrastructure its residents and businesses need. This programme will help Sindh strengthen fiscal sustainability enabling cities to plan, invest, and deliver services from their own resources effectively,” said Davison Muchadenyika, senior urban development specialist at the World Bank.
Published in Dawn, November 1st, 2026
Source: www.dawn.com
