Pakistan Seeks HEDP Project Extension to Finalize IT Work

The federal government has formally requested a fourth HEDP project restructuring from the World Bank to extend the $393.73 million Higher Education Development in Pakistan (HEDP) initiative, enabling completion of critical IT-related activities at universities that are expected to have a lasting impact beyond the project’s closing.

Now in its sixth year, the HEDP project’s core objective is to enhance research excellence in strategic sectors, improve teaching and learning outcomes, and strengthen governance within Pakistan’s higher education system.

The Economic Affairs Division has submitted a letter seeking a four-month extension of the project timeline, citing procedural delays and logistical challenges that disrupted the delivery of IT hardware and slowed the deployment of related software and service packages. The HEDP project restructuring aims to allow time for finalizing five IT packages currently in advanced stages of implementation.

Despite delays, overall progress has been rated “moderately satisfactory.” Notable results so far include:

• 31 research grants awarded in Year 2 achieved 80% of their targets,
• 28 grants from Year 3 met 60% of goals,
• 9 Rapid Technology Transfer Grants (RTTGs) in Year 5 hit 50% of outcomes,
• NAHE trained 1,113 faculty and 903 education managers,
• 50 Quality Enhancement Cells completed Self-Assessment Reports (SARs),
• 20 affiliating universities implemented career/internship frameworks,
• 300 institutions connected to PERN,
• HEC developed major policies, including the Undergraduate Education Policy and the Open Distance Learning Policy.

Of the 11 intermediate results indicators, nine have already been achieved, while the remaining two are expected to be met by June 30, 2025.

As of June 10, 2025, $375.70 million of the allocated IDA credit has been disbursed—$319 million through Performance-Based Conditions (PBCs) and $56.7 million for the Investment Project Financing (IPF) component. The remaining $12.3 million for PBCs is approved and under processing, with IPF funds to be released in FY2026.

This latest HEDP project restructuring only proposes extending the closing date to October 31, 2025. There will be no changes to the project development objective (PDO), its indicators, activity scope, financial management systems, or monitoring and evaluation mechanisms. The budget, procurement, and safeguard arrangements will remain unchanged.

This marks the fourth restructuring of the HEDP project:

• The first (June 2021) introduced Component 6 to address COVID-19 disruptions, added emergency learning support, and reallocated funds.
• The second (June 2023) repurposed unused PBC funds to launch new RTTGs focused on climate resilience, import substitution, and emergency preparedness.
• The third (April 2024) extended the project to June 2025, realigned PBC targets, dropped outdated components, and redirected $4 million to IT upgrades and a graduate labor market study.

The proposed fourth restructuring aims solely to ensure the final delivery of advanced IT infrastructure across participating universities. The government emphasizes that the benefits of this extension will extend well beyond the project’s formal completion, helping modernize higher education nationwide.