Pakistan’s Finance Minister Muhammad Aurangzeb continued his efforts to attract global investment on the fourth day of his visit to Washington, D.C., for the Annual Meetings of the International Monetary Fund (IMF) and World Bank Group. During a series of high-profile meetings with key financial institutions and investors, he emphasized Pakistan’s recent economic progress, strategic reforms, and the government’s commitment to fostering a business-friendly environment.
At investor forums hosted by Citibank, Standard Chartered, and JP Morgan, Aurangzeb outlined Pakistan’s economic performance in the last fiscal year, emphasizing positive shifts across core economic indicators. He highlighted reforms across taxation, energy, and state-owned enterprises (SOEs), alongside government right-sizing and privatization initiatives. Additionally, he noted the crucial role of provincial governments in boosting the national tax-to-GDP ratio and discussed the recent National Fiscal Pact, which outlines the collaborative financial framework between federal and provincial governments to streamline resource mobilization.
In discussions on the Federal Board of Revenue (FBR) reforms, the Finance Minister detailed advancements in personnel, processes, and technology, which aim to modernize the institution and enhance revenue collection. He also fielded questions from investors on Pakistan’s Sovereign Wealth Fund, Special Economic Zones (SEZs), and renegotiations of power purchase agreements (PPAs) with Chinese Independent Power Producers (IPPs), which are intended to increase energy efficiency and support sustainable growth.
A key meeting was held with Dr. Muhammad Sulaiman Al Jasser, President of the Islamic Development Bank (IsDB), where Aurangzeb expressed appreciation for IsDB’s role as a longstanding partner in Pakistan’s development journey. He commended IsDB’s financial support across sectors, including energy, transportation, education, and health. The minister highlighted Saudi Arabia’s recent high-level engagements with Pakistan’s private sector, citing the Saudi Minister for Investment’s recent visit aimed at fostering business-to-business partnerships. Aurangzeb praised IsDB’s investment in Pakistan’s Mohmand Dam, a project co-financed by the Arab Coordination Group, which he suggested could be a model for future joint financing initiatives in Pakistan.
Aurangzeb also met with the U.S.-Pakistan Business Council (USPBC), where he acknowledged their efforts in strengthening trade and investment ties between the United States and Pakistan. He pointed to the presence of over 80 U.S. companies in Pakistan, a testament to the country’s economic potential and favorable investment policies. The minister reiterated the government’s commitment to attracting U.S. businesses and invited them to leverage Pakistan’s Special Investment Facilitation Council (SIFC), which offers a streamlined, one-window facility for investors. He also recalled the Prime Minister’s invitation for a USPBC-led business delegation to visit Pakistan, aimed at exploring opportunities for mutually beneficial partnerships in key sectors.
In a strategic meeting with JP Morgan, Aurangzeb presented Pakistan’s improving economic outlook, particularly in light of the recently concluded Stand-By Arrangement (SBA) with the IMF. He stressed the importance of Extended Fund Facility (EFF) reforms for lasting macroeconomic stability and structural transformation. He discussed Pakistan’s planned issuance of a Panda Bond, which will be the country’s first engagement with China’s capital markets, expected to offer diversified funding sources and financial stability.
In a separate meeting with Anneliese Dodds, the UK’s Minister of State for Development, Women, and Equalities, Aurangzeb commended the long-standing development partnership between Pakistan and the UK. He acknowledged the UK’s contribution of USD 120 million to the International Finance Corporation’s Climate Investment Funds for Pakistan, underscoring the nation’s increasing focus on climate resilience and green financing. He encouraged UK investors to tap into opportunities in Pakistan’s agriculture, IT, and mining sectors, especially in light of improved investment conditions.
Aurangzeb also engaged with World Bank’s Managing Director of Operations, Anna Bjerde, to discuss Pakistan’s development agenda under the Country Partnership Framework (CPF). Aurangzeb updated her on the Joint Domestic Resource Mobilization Initiative (JDRMI), which aims to enhance Pakistan’s fiscal capacity through collaborative efforts with the World Bank and IMF. He lauded the World Bank’s decision to waive commitment fees for specific project financing, a move that will facilitate smoother project implementation in Pakistan. Aurangzeb concluded by requesting capacity-building support to ensure effective implementation and ongoing improvements in Pakistan’s development initiatives.
Concluding the day, the Finance Minister attended a Small Talks Forum hosted by Bank of America (BoFA) Securities, where he elaborated on Pakistan’s economic stabilization strategies. Aurangzeb reiterated the government’s commitment to EFF reforms, especially in areas like taxation, energy management, and privatization. He highlighted ongoing reforms within the FBR, aiming to boost tax compliance and revenue. To potential investors, he extended invitations to partner in Pakistan’s evolving sectors, such as IT, renewable energy, mining, and agriculture.
The minister’s day culminated with a reception hosted by Ajaypal Singh Banga, President of the World Bank Group, where he presented Banga with framed photographs of Sikh Gurdwaras in Pakistan, reflecting the cultural and historical ties between the nations.
Aurangzeb’s presence at these meetings underscores Pakistan’s proactive stance in promoting economic opportunities and engaging with global investors, a critical move toward sustaining economic resilience and growth.