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World Bank Moves Pakistan, Afghanistan Out of South Asia Region

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Context:

In a significant restructuring, the World Bank has shifted Pakistan and Afghanistan out of its South Asia administrative region, grouping them under the Middle East and North Africa (MENA) region. This move, while framed as a managerial alignment by the bank, comes at a time when India has raised serious concerns over international lending to Pakistan, citing its role in terrorism financing and misuse of aid.

Current Composition of World Bank's South Asia Region

With this change, the South Asia region will now consist of only six countries:

  • India
  • Bangladesh
  • Bhutan
  • Maldives
  • Nepal
  • Sri Lanka

Pakistan and Afghanistan will now be grouped with MENA countries such as:

  • Lebanon
  • Syria
  • Libya
  • Yemen
  • West Bank and Gaza

India’s Strategic Position

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India has long opposed multilateral loans to Pakistan, particularly those from:

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