British International Investment is planning to significantly expand its investment footprint in Pakistan, with a focus on mobilising additional private capital across infrastructure, climate finance, financial services, technology, small and medium-sized enterprises and private markets. The development was discussed during a meeting between Federal Minister for Finance and Revenue Senator Muhammad Aurangzeb and British International Investment Managing Director and Head of Asia Srini Nagarajan. The discussions covered Pakistan’s investment prospects, ongoing economic reforms and opportunities for international capital to participate in priority sectors.
Srini Nagarajan briefed the finance minister on British International Investment’s 2026–31 strategy, under which the institution plans to invest at least $2 billion across Asia and Africa, with particular attention to South Asia and frontier markets. He identified Pakistan as an important investment destination and expressed interest in increasing the institution’s presence in the country. The discussions focused on ways to mobilise private capital and develop investment opportunities in infrastructure, climate finance, private equity, small and medium-sized enterprise financing and other areas connected with Pakistan’s economic and structural reforms.
British International Investment also highlighted potential opportunities in renewable energy, power transmission and other infrastructure projects. The institution expressed readiness to bring international expertise to the development of viable financing structures that can support major projects and encourage additional private investors to participate. The discussions reflected an emphasis on creating financing models capable of attracting long-term capital while supporting infrastructure development and Pakistan’s broader economic transformation.
Private markets were another important area of discussion, with British International Investment highlighting private equity, fund-of-funds structures and private credit as potential avenues for strengthening Pakistan’s domestic investment ecosystem. The institution welcomed reforms in the country’s capital markets and efforts to improve the investment and exit environment. These developments could help create greater opportunities for domestic and international investors while strengthening the mechanisms available for businesses seeking long-term funding outside traditional financing channels.
Senator Muhammad Aurangzeb highlighted improvements in macroeconomic stability and investor confidence, along with the government’s focus on structural reforms, privatisation and private-sector-led growth. He pointed to Pakistan’s successful $3 billion international bond issuance, progress on privatisation and improvements in sovereign credit ratings as indicators of stronger investor confidence and renewed engagement with international capital markets. The finance minister also briefed British International Investment on reforms covering taxation, energy, tariff policy, capital markets and digitalisation.
The finance minister further discussed the government’s five-year tariff rationalisation programme, which is aimed at improving industrial competitiveness. The meeting also explored new capital-market instruments for infrastructure financing and innovative investment mechanisms. Among the ideas discussed was the potential tokenisation of suitable existing real estate assets, which could provide another mechanism for attracting investment into eligible assets and expanding the range of financial instruments available in the market.
Senator Muhammad Aurangzeb also outlined the government’s work on a National Private Equity Policy Framework. The framework is intended to support the development of Pakistan’s private equity ecosystem, strengthen domestic fund-management capabilities and attract long-term capital from both local and international investors. The discussion also covered the government’s Access to Finance agenda, with attention to improving funding opportunities for small and medium-sized enterprises, agriculture and underserved segments through private credit, risk-sharing mechanisms, digital platforms and stronger financial infrastructure.
British International Investment reaffirmed its commitment to Pakistan and expressed confidence in the country’s economic prospects. Senator Muhammad Aurangzeb encouraged the institution to consider investment proposals in a timely manner and move towards concrete transactions. Both sides agreed to maintain close engagement and explore actionable opportunities involving investment, knowledge sharing and private capital mobilisation across Pakistan’s priority sectors, potentially increasing the role of international development investment in infrastructure, financial services, technology and other areas of the economy.
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