Punjab Human Capital Investment Project

The objective of Punjab Human Capital Investment Project (PHCIP) is to increase the utilization of quality health services, and economic and social inclusion programs among poor and vulnerable households in the select districts in Punjab. PHCIP will support implementation of key investments in health, education, and social protection for human capital accumulation in Punjab. The sponsoring agency of PHCIP is Government of the Punjab through World Bank -International Development Agency and in-kind counterpart funding. The signing as well as effectiveness date of the project is 18th May 2020, whereas the closing date of loan agreement is 30th June 2025. The total cost of the approved project is US$ 330 million where US$ 200 million will be provided by World Bank and US$ 130 million from counterpart funding.

The spread of Punjab Human Capital Investment Project (PHCIP) is over 11 Districts of Punjab including    Muzaffargarh, Bahawalpur, Rajanpur, DG Khan, Rahimyar Khan, Bahkkar, Mianwali, Bahawalnagar, Lodhran, Layyah, Khushab. The Implementing Partners of the projects are Punjab Social Protection Authority (PSPA), Primary and Secondary Health Department (PSHD), Punjab School Education Department (SED). Gestation period of the project is from 2021 till 2025 and the lead agency for PHCIP is Punjab Social Protection Authority (PSPA)

Project Digest:


The Punjab Human Capital Investment Project (PHCIP) consists of the following components:

Component 1: Health Services Quality and Utilization:

The component will improve maternal and new- born health, especially among poor and vulnerable households. This will enable a strong start in a child’s first 1,000 days.

  • Quality of Health Services (approximately US$45 million equivalent): (a) Strengthening the primary health-care facilities in the provision of good quality services and their adherence to Minimum Service Delivery Standards (“MSDS”) by: (i) upgrading of selected basic health units (“BHUs”) in Select Districts to provide uninterrupted (“24/7”) services all days of the week, including provision of essential equipment, medicines and supplies; and (ii) upgrading of selected rural health centers in the Selected Districts to provide neonatal intensive care on a pilot basis; (b) hiring/recruiting and/or training healthcare personnel, including pediatricians, medical officers, lady health workers and lady health visitors; (c) providing nutrition services through outdoor therapeutic program counters; (d) providing population welfare services in close coordination with the department responsible for population welfare; and (e) upgrading/scaling-up the electronic medical records system for, and implementing the Environmental and Health Care Waste Management Plan (“EHCWMP”) in, health facilities in the Select Districts.
  • Utilization of Health Services (approximately US$70 million equivalent):   Increasing the utilization of key health services among poor and vulnerable households, as identified through the NSER, in the Select Districts, through: (a) implementing a conditional cash transfer program and providing Conditional Cash Grants (“CCGs”) to eligible pregnant or lactating women and/or parents of children up to 2 years of age (“Eligible CCG Beneficiaries”); and (b) carrying out outreach, social mobilization and information dissemination campaigns among health service beneficiaries.

Component 2: Economic and Social Inclusion:

This component comprises supplementary activities to improve households’ economic and social inclusion. It will be introduced and are expected to contribute to building early childhood human capital among poverty-stricken households.

  • Economic Inclusion (approximately US$35 million equivalent): Promoting the economic inclusion of poor and vulnerable eligible young parents through the provision of technical assistance, goods and training, including and not limited to provide: (a) labor market readiness training; (b) Livelihood Support Grants (“LSGs”) or the Productive Assets; and (c) intensive coaching aimed at improving adaptive productive behavior to help increase resilience of households of the Eligible Young Parents.
  • Social Inclusion for Education (approximately US$30 million equivalent): Strengthening the selected education programs/ initiatives through: (a) conducting an initial needs assessment; (b) filling the gaps in learning through training of school-related staff; (c) developing detailed lessons; (d) conducting specialized early childhood education social mobilization campaign; (e) upgrading classroom facilities to be conducive to learning; and (f) establishing and building capacity for a special foundational learning cell in the SED.

Component 3: Efficiency and Sustainability through Social Protection Services Delivery Systems and Project Management:

Modernizing and improving coordination and interoperability of Punjab’s social protection systems and programs by strengthening the administrative, operational, policy and planning functions and capabilities of Punjab Social Protection Authority (PSPA), including the development of IT systems and technical assistance for: (a) enhancing procurement, financial management, human resources, auditing and monitoring and evaluation functions; as well as (b) upgrading and/or customizing their systems for identifying and mobilizing program beneficiaries, defraying benefits and/or rendering welfare services/program, and redressing grievances.

Key Principles of the Project:

Poverty targeting:
For objective targeting based on the household poverty status, the NSER will be used.

Geographic targeting of most vulnerable districts:
Initially, 11 out of 36 districts in Punjab will be prioritized. Among the 11 districts, 8 districts are from South Punjab, where poor households are concentrated.15 The number of districts covered by the Project depends on the scope and cost of planned activities, as well as available resources.

Integrated, but selective:
Interventions will be integrated (addressing both demand and supply challenges) in the same set of locations within the same households, multisectoral (health, education, SP) and selective (complementing existing programs)

The Project will: (i) address gender gaps in immunization and school enrollment for early education; (ii) promote ante-natal care (ANC) and skilled birth attendance; and (iii) address specific constraints faced by women in income-generating activities and diversification of income sources.

PHCIP Component-wise Expected Beneficiaries: