Finance Minister Senator Muhammad Aurangzeb met with Saudi Finance Minister Mohammed Aljadaan on the sidelines of the World Economic Forum Annual Meeting 2026 to discuss Pakistan’s economic outlook and potential avenues for enhanced investment cooperation. The meeting underscored the commitment of both countries to strengthen their longstanding economic partnership.
During the discussion, Aurangzeb briefed his Saudi counterpart on Pakistan’s recent macroeconomic improvements, noting that the economy was on a stable growth trajectory. He highlighted that foreign exchange reserves had improved, providing approximately three months of import cover, reflecting enhanced resilience in macroeconomic fundamentals.
The finance minister also pointed to improving investor confidence, citing that 16 initial public offerings were currently in the pipeline following nine IPOs completed last year. He added that more than 120,000 new investors had entered the capital market, signaling renewed confidence in Pakistan’s economy. Interest rates had started to decline, and the independence of the State Bank of Pakistan in setting monetary policy remained firmly upheld. Economic growth reached 3.1% last year and accelerated to 3.7% in the first quarter of the current fiscal year.
Aurangzeb emphasised the government’s focus on maintaining a sustainable current account alongside steady GDP growth. He noted that remittances, which support economic stability, were projected to rise from $38 billion last year to over $41 billion this year. Growth in IT services was also contributing positively to the current account, and he acknowledged Saudi Arabia’s ongoing support in this sector.
The finance minister discussed efforts to attract foreign direct investment, particularly in priority sectors including minerals and mining, agriculture, and export-oriented industries. He briefed Aljadaan on Pakistan’s privatisation programme, highlighting recent progress such as foreign investment in a digital venture and developments related to Pakistan International Airlines. Plans to proceed with phased privatisation of selected state-owned enterprises, including certain power distribution companies and major airports in Islamabad, Lahore, and Karachi, were also shared.
Saudi Finance Minister Mohammed Aljadaan shared insights from Saudi Arabia’s experience with privatisation, noting the transformation of airports into revenue-generating assets as a successful example of economic reform.
The meeting concluded with both ministers reaffirming their commitment to deepen economic cooperation and expand investment ties between Pakistan and Saudi Arabia, paving the way for increased bilateral trade, strategic investments, and continued collaboration in priority economic sectors.
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