WASHINGTON (Agencies) The World Bank will administer a new multi-donor fund with an initial commitment of $ 110 million from donors for the development in border regions of the Federally Administered Tribal Areas (Fata), Khyber Pakhtunkhwa and Balochi-stan, Finance Advisor Abdul Hafeez Shaikh revealed. Wrapping up a series of meetings with top World Bank and International Monetary Fund leaders, Dr Shaikh also said the countrys programme with the IMF remained on track and that the next tranche of $1.3 billion would be forthcoming after the Funds review meeting scheduled for May 14. Pakistan will honour its international commitments and retain the confidence of its development partners despite facing some stiff challenges, stated the finance advisor, who had some 40 meetings with leaders of finance institutions, his counterparts from other countries and American officials during the four-day visit. During his interactions, Dr Shaikh said he found widespread international acknowledgement of the fact that Islamabad has determinedly adhered to its economic stabilization programme. We feel Pakistan is internationally well-aligned, political stability and the country is being recognized internationally. So, there is a platform for us to build upon and steer Pakistan on the path of economic growth, Shaikh told Pakistani journalists at the countrys embassy in Washington. The new multi-donor fund approved by the World Bank during Shaikhs visit for 2010 spring World Bank-IMF meetings, will comprise contributions from small donors that do not have presence in Pakistan but want to spur economic development of the country, widely seen as key partner of the international in peace and security efforts. The fund is likely to grow further with more international support. Besides, Dr Shaikh led talks with the World Bank leaders on energy projects. The Bank pledged to resume the IBRD financing in infrastructure projects and President Robert Zoellick also showed interest in fast-tracking projects to establish links with resource-rich Central Asia. Another major indication of the growing international confidence in Pakistan was the International Finance Corporations decision to boost its portfolio to $ one billion - the highest level in Pakistan so far - in the areas of energy, agri-business, financial sector, housing, private-public partnership and alternate energy, specially wind power. The finance advisor also discussed advancing Pakistan-US cooperation in trade and economic fields with senior American officials including US Trade Representative Ron Kirk, Deputy Secretary of State Jack Lew, Deputy Secretary of Treasury Neil Wolin and Special Representative for Pakistan and Afghanistan Richard Holbrooke. Dr Shaikh saw progress towards legislation on materializing two key initiatives including establishment of a special investment fund for Pakistan and the long-awaited Reconstruction Opportunity Zones plan. Hafeez Sheikh said all the issues between government and IMF have been settled and electricity tariff would not be increased by six percent temporarily. The IMF board would meet on May 14 after which the next tranche of $ 1.3 billion would be released for Pakistan, he said. In order to seek trenches of loans from IMF, two sides agreed upon raising power tariff on different stages, however, temporarily no immediate hike in electricity tariff has been decided, he said. Replying to another question, he said we have assured IMF about enforcement of Value Added Tax (VAT) in Pakistan. The IMF has expressed stratification over countrys current economic situation, Sheikh said. In order to expand tax net, he said we would review enforcement of new taxes in the country. No new transit agreement would be inked with Afghanistan, he said. The top finance advisor to the prime minister also addressed the US-Pakistan Business Council in Washington and projected vast investment opportunities in energy sector including the massive coal reserves. These meetings were quite useful in terms of highlighting Pakistans efforts to deal with economic challenges-Pakistans priorities in energy food security, water and agriculture, human development and social safety nets for the poor, Shaikh summed up. Dr Shaikh also held bilateral meetings with his counterparts from China, Saudi Arabia, Afghanistan and Iran. We had good meetings with Chinese and Saudi Arabian finance ministers, both promised to encourage their private sectors in their countries to explore opportunities in energy existing in Pakistans infrastructure livestock, agri storage investment. With Afghanistan, the Pakistani officials discussed ways on strengthening railways and road links that would connect the country to central Asian states. In answer to a question about the governments plans to deal with the energy shortages, Dr Shaikh said in the short-term the recent conservation steps announced by the government coupled with better water inflows are expected to significantly reduce energy gap this summer. In addition, greater investment in various energy sectors and exploitation of coal reserves will be a priority in medium-term plans. The government has also decided to hold a summit on improved utilization of gas reserves. Pakistans delegation to the World Bank-IMF meetings included State Bank of Pakistan Governor Syed Salim Raza, Finance Secretary Salman Siddique, Secretary Economic Affairs Sibtain Fazal Halim and Minister Economic at the Embassy of Pakistan Abdul Wajid Rana.