Business & Finance / Pakistan

Pakistan and Japan sign JPY 2.91bn grant for child health facilities

The governments of Pakistan and Japan signed a JPY 2.91 billion (US$18.62 million) grant on 13 January 2026 to expand and equip child health facilities in South Punjab.

Secretary Economic Affairs Muhammad Humair Karim and Japanese Ambassador Akamatsu Shuichi signing the Pakistan-Japan grant agreement in Islamabad on 13 January 2026.
SIGNING CEREMONY Secretary Economic Affairs Muhammad Humair Karim and Japanese Ambassador Akamatsu Shuichi signing the Grant-in-Aid Project between Pakistan and Japan in Islamabad on 13 January 2026. Photo: Associated Press of Pakistan (APP).

What happened

The governments of Pakistan and Japan signed a grant agreement worth JPY 2.91 billion (US$18.62 million) on Tuesday, 13 January 2026, to improve child health care in South Punjab, the state news agency the Associated Press of Pakistan (APP) reported. The signing ceremony for the Grant Agreement, the Exchange of Notes and the Record of Discussion under the project titled “Improvement of Child Health Care Facilities in South Punjab” was held at the Ministry of Economic Affairs Division in Islamabad.

The Exchange of Notes were signed and exchanged by Muhammad Humair Karim, Secretary of the Ministry of Economic Affairs, and H.E. Mr. Akamatsu Shuichi, Ambassador Extraordinary and Plenipotentiary of Japan to Pakistan, on behalf of their respective governments, APP reported.

What the funding will do

Japan approved the JPY 2.91 billion (US$18.62 million) through the Japan International Cooperation Agency (JICA) under the Japanese Grant-in-Aid, APP said. The project is to strengthen diagnostic and treatment systems at the Children’s Hospital and the Institute of Child Health (ICH) in Multan and to improve their function as the only specialised tertiary care hospital in the region, through the expansion of the facility and the provision of medical equipment.

That equipment is intended for high-risk neonates, infants and children with serious illness or injuries, with the aim of improving the quality of health care services for children in southern Punjab and neighbouring provinces, according to the APP report.

Reactions

Humair Karim appreciated the government and people of Japan for their support and assured that Pakistan would extend all necessary facilitation to ensure the project’s successful implementation and more meaningful cooperation between the two sides, APP reported. Ambassador Akamatsu assured the commitment of his government to work closely with Pakistan to further strengthen friendly ties and bilateral cooperation.

What is still uncertain

The APP report did not give a timeline for procurement, construction or the start of services under the project, and did not state the project’s total cost or any Pakistani counterpart funding. It also did not say when the grant agreement would take formal effect.

Sources & reporting notes

This article summarises reporting published by the Associated Press of Pakistan on 13 January 2026. It is not eyewitness reporting.

  1. APP — Pakistan, Japanese government sign JPY 2.91 billion grant project13 January 2026 · Report from Islamabad on the grant agreement, the Exchange of Notes, the JICA funding and the South Punjab child health project.