How Pakistan Secretly Diverted Balochistan Flood Funds, Leaving Thousands Without Homes
News world How Pakistan Secretly Diverted Balochistan Flood Funds, Leaving Thousands Without Homes How Pakistan Secretly Diverted Balochistan Flood Funds, Leaving Thousands Without Homes Published
News world How Pakistan Secretly Diverted Balochistan Flood Funds, Leaving Thousands Without Homes How Pakistan Secretly Diverted Balochistan Flood Funds, Leaving Thousands Without Homes Published By, Last Updated: August 11, 2026, 19:57 IST Pakistan has redirected Balochistan flood relief funds, leaving 134,000 families uncertain as the World Bank raises concerns over the housing reconstruction project. The proposed $180 million additional financing was ultimately rejected by the steering committee, deepening uncertainty over the future of thousands of flood-hit families. (Representational image; source: Reuters File) More than 134,000 families affected by the devastating 2022 floods in Balochistan could be left without the homes they were promised after Pakistan restructured a Rs115 billion World Bank-backed rehabilitation programme and shifted funds away from housing. The move has reportedly left the World Bank concerned, particularly after Pakistan’s project steering committee rejected an additional $180 million that could have expanded housing reconstruction to more flood-affected families. Instead, the remaining funds are being redirected towards infrastructure projects, including roads and irrigation. The controversy centres on the Integrated Flood Resilience & Adaptation Project (IFRAP), a $400 million World Bank-funded programme created to help Balochistan recover from the 2022 floods.
Its housing component was designed around an owner-driven, community-led model aimed at helping families rebuild stronger and more disaster-resistant homes. However, the project steering committee, headed by Planning Minister Ahsan Iqbal and Balochistan Chief Minister Sarfraz Bugti, has capped the housing component at around 69,000 homes. That decision could leave a large number of verified families outside the housing programme. The World Bank’s concerns extend beyond the funding shift. Pakistan’s Economic Affairs Division has recorded the lender’s concerns over changes to the project’s leadership arrangements, while disagreements have emerged over the programme’s management and implementation. The proposed $180 million additional financing was ultimately rejected by the steering committee, deepening uncertainty over the future of thousands of flood-hit families. The decision comes amid allegations of serious irregularities in the housing programme, including record tampering, duplicate claims and multiple payments for the same houses. Officials have also been investigating allegations that attempts were made to obstruct the probes. Questions over the actual number of completed houses have further complicated the project.
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