Aurangzeb meets global investors, says economy stabilised; new investment channels under consideration

Finance Minister Muhammad Aurangzeb Wednesday met a high-level delegation of international investors and representatives of major financial institutions to discuss economic reforms and prospects for increased investment in Pakistan.

The meeting was attended by representatives from the International Finance Corporation (IFC), Asian Development Bank (ADB), British International Investment (BII) and Baltoro Capital, according to a statement issued by the Finance Ministry.

During the discussion, the finance minister said Pakistan’s economy had stabilised over the past 18 months, citing improvements in the currency situation and macroeconomic indicators.

He expressed confidence that the country’s foreign exchange reserves would reach a level equivalent to approximately three months of imports by the end of the current year.

Aurangzeb said the government was committed to giving the private sector a central role in economic development and was considering new avenues for investment in local currency to deepen domestic capital markets.

He also highlighted plans to boost exports through trade reforms and tariff rationalisation, adding that Pakistan was being placed on a development trajectory inspired by successful Southeast Asian economies.

The finance minister noted that services sector exports had recorded growth and were expected to improve further. He said reforms in the energy sector, tax system and tax collection mechanisms would continue, alongside efforts to broaden the tax base and create a more conducive environment for investment.

He informed the delegation that the government was making timely payments on all external debt obligations and was working to regain access to global debt markets.

Plans are also under consideration to attract international investment through instruments such as Panda Bonds and the Global Medium Term Note Programme, he added.

Representatives of the international institutions reiterated their continued support for Pakistan’s reform agenda and private-sector-led growth. It was agreed to explore enhanced cooperation in infrastructure development, small and medium enterprises, employment generation and other key economic sectors.