Islamabad (TDI): Finance Minister Muhammad Aurangzeb has invited global stakeholders to invest in Pakistan’s agriculture, IT, renewable energy and pharma sectors.
In an article published on the WEF website, the minister highlighted the transformative journey embarked upon by Pakistan in recent years towards economic stabilization and growth.
He said that Pakistan’s economy is on a path to recovery. Inflation has dropped to 4.1 percent and foreign exchange reserves now provide over two months of import coverage.
The minister also highlighted the economic achievements of Pakistan, saying exports have risen by 7.1 percent, while the IT sector grew by an impressive 28 percent year-on-year.
The article said that Pakistan’s global default risk has dropped by 93 percent, signaling renewed faith in the country’s fiscal stability.
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Highlighting Pakistan’s potential as a lucrative investment hub, the Minister said that local and foreign investors, including global giants like Aramco, BYD and Samsung, are contributing to this economic revival.
He said that the current account has been in surplus for three consecutive months, and investor confidence is at a two-year high.
He said that foreign direct investment surged by 20 percent in the first half of the current fiscal year, reflecting renewed trust in Pakistan’s economic trajectory.
The minister said that initiatives like the Roshan Digital Account have attracted over nine billion dollars in inflows, while remittances reached a record 35 billion dollars this year.
He said that Pakistan’s equity market delivered an 87 percent return in dollar terms, underscoring strong investor sentiment.
“When I assumed office as Finance Minister in 2024, Pakistan faced severe fiscal and monetary pressures,” he added.
Inflation had surged to 38%, straining households and eroding purchasing power, foreign exchange reserves had dropped dangerously low, barely covering two weeks of essential imports like food and fuel.
Industrial output had contracted by 10.3%, and GDP growth had plummeted to 0.2%, he wrote.
“The compounded effects of COVID-19 and devastating floods causing over $30 billion in damages further tested our resilience.”
Minister on Reforms
Recognizing the gravity of the situation, “we implemented a series of necessary reforms,” he said.
The minister said that stabilizing the exchange rate, tightening fiscal policies, and curbing inflation through targeted monetary interventions is evident.
“With support from the IMF’s Extended Fund Facility (EFF) worth $7 billion, we initiated structural improvements in critical sectors such as energy and taxation. Central to this effort was “Uraan Pakistan”, an economic transformation plan launched in 2024.”
He said that this initiative aims to achieve sustainable, export-led 6% GDP growth by 2028 through public-private partnerships, enhanced export competitiveness and optimized public finances.
“Priority sectors include agriculture, energy, textiles, pharmaceuticals and IT.”
He also shed light on Uraan Pakistan is our collaboration with the World Bank on a $20 billion initiative targeting health, education, poverty alleviation, investment and climate resilience.
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This transformative partnership addresses critical challenges such as child malnutrition, educational outcomes and clean energy adoption.
By integrating sustainability into our development framework, “we are contributing to global efforts to achieve the United Nations Sustainable Development Goals (SDGs),” he said.
