ISLAMABAD: Finance Minister Muhammad Aurangzeb assured a high-level delegation of US investors and business professionals on Monday that the government is committed to implementing economic reforms.
The delegation put together by Ambassador Ali Jehangir Siddiqui comprised entrepreneurs, business practitioners, and professionals in technology, academia, and finance. Key members included Auren Hoffman, Chief Executive Officer of SafeGraph, Kristen Edwards Marqua (Hakluyt & Company), Michael Levi (The D.E. Shaw Group), Dr Jeff Chang (Rad AI), and others.
An official finance ministry announcement said that Mr Aurangzeb welcomed the delegation and briefed them about the country’s recent macroeconomic progress, highlighting significant achievements in overcoming longstanding challenges.
“Pakistan has historically struggled with twin deficits; however, due to improved export performance, the economy is now operating with a surplus in fiscal and current accounts. Foreign exchange reserves have crossed the $12 billion mark, inflation has been brought down to single digits, and the policy rate is moving in the right direction,” he noted.
He further elaborated on the government’s comprehensive reform agenda, encompassing privatisation, SOE restructuring, rightsizing of the federal government, and pension reforms.
Mr Aurangzeb also addressed two existential challenges — rapid population growth and climate change.
“With a population growth rate exceeding 2pc, we face severe implications for food security, child stunting, and out-of-school children. Climate change exacerbates these vulnerabilities, making it imperative to secure financial and technical assistance to tackle these issues effectively,” he remarked.
He also mentioned that he has emphasised the importance of these priorities in discussions with international partners, including World Bank President Ajay Banga.
Addressing a query on implementing IMF conditions and structural reforms, the minister remarked that the willingness and ability to execute reforms are crucial. “While we have significant work ahead, as long as we maintain commitment and momentum, and stay the course, we will achieve the desired outcomes”, he added.
Responding to another question, he stressed the role of the private sector in driving economic growth. “Policy frameworks and continuity are the government’s responsibility, but the private sector must lead the economy. The government’s focus is on creating an enabling environment to support this transition,” he stated.
The delegation appreciated the government’s efforts in stabilising the economy and discussed opportunities for collaboration in areas such as innovation, investment, and financial inclusion.
Published in Dawn, December 10th, 2024
