Govt to Roll Out New EV Policy on August 14 with Massive IMF Support
Pakistan to Unveil Rs. 100 Billion IMF-Backed EV Policy on August 14 – Big Push for E-Bikes and Rickshaws
In a landmark move towards sustainable transportation, the federal government is set to launch a new five-year electric vehicle (EV) policy on August 14, backed by a Rs. 100 billion subsidy package supported by the International Monetary Fund (IMF). According to sources in the Ministry of Industries and Production, the policy will primarily focus on the mass adoption of electric bikes and rickshaws.
For the current fiscal year, the IMF has allocated Rs. 9 billion to kickstart the policy’s implementation. Under this plan, 116,000 electric bikes are expected to be distributed over a two-year period, with each unit — whether a bike or rickshaw — receiving a subsidy of approximately Rs. 50,000.
EV Policy 2030: Addressing Past Shortfalls
The new policy, which will remain in effect until 2030, is designed to correct the shortcomings of the earlier EV framework, which failed to meet its ambitious targets. Against a goal of 500,000 two- and three-wheel electric vehicles, only 50,000 were introduced. In the public transport sector, just 200 electric buses were deployed versus a target of 1,000.
The performance of four-wheelers and heavy-duty vehicles was similarly underwhelming — with only 3,000 electric cars and 1,000 electric trucks hitting the roads against a target of 100,000 units.
Future Subsidy Projections
To sustain the momentum of the new initiative, future subsidy disbursements are planned as follows:
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Rs. 19 billion in FY2027
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Rs. 24.16 billion in FY2028
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Rs. 26.62 billion in FY2029
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Rs. 22.64 billion in FY2030
Official Launch on Independence Day
Prime Minister Shehbaz Sharif is expected to officially announce the EV policy and the rollout of electric bikes on August 14, aligning the policy launch with Pakistan’s Independence Day celebrations.
This initiative marks a major step toward reducing the country’s carbon footprint, lowering fuel dependence, and modernizing the transport sector with the support of international financial partners.
