Business Recorder
ISLAMABAD: Finance Minister Muhammad Aurangzeb told the National Assembly Standing Committee on Finance that Pakistan remains broadly on track on key economic indicators despite regional tensions and external pressures, expressing confidence that the International Monetary Fund (IMF) Executive Board would approve the next loan tranche. Minister for Finance and Revenue briefed the Committee on Pakistan’s current economic performance and held detailed deliberations on reforms aimed at strengthening the country’s housing finance sector. He informed the panel that Pakistan remains on track to achieve its key fiscal targets through prudent fiscal management, improved external account performance, and measures aimed at enhancing investor confidence and macroeconomic stability. The Chairman of the Committee appreciated encouraging economic indicators, including increased remittance inflows through Roshan Digital Accounts, improved access to international capital markets through Eurobond issuances, and progress on the approval process for Panda Bonds. READ MORE: Capital markets key as Pakistan bets on domestic funding: Aurangzeb The Members, however, stressed the importance of sustaining economic growth momentum by strengthening exports, diversifying export destinations, and addressing key supply-side constraints to ensure long-term economic resilience and stability. The Minister also responded in detail to various questions and queries raised by the Chair and Members of the Committee. The parliamentary body was also briefed by the Governor, State Bank of Pakistan, on foreign investment policy, including repatriation of capital and returns, key investor challenges, and measures to strengthen facilitation and confidence. Finance Minister Muhammad Aurangzeb, speaking during the committee meeting, said Pakistan’s financial position was significantly stronger compared to previous crises. Referring to the 2022 floods, he remarked that the government at that time had sought international assistance after one province was affected, whereas in 2025, the floods impacted three provinces, but Pakistan managed the situation without seeking external financial help. The finance minister also confirmed that the IMF Executive Board meeting was scheduled for Friday and expressed confidence that there would be no obstacle in securing approval for the next tranche. He said Pakistan had successfully reached a staff-level agreement with the IMF, which had already been endorsed by the Fund’s management. Chaired by Syed Naveed Qamar, the committee was informed that Pakistan had achieved its targets until April 2026, with the government maintaining primary surplus and external payment objectives. The finance minister said exports had posted growth on both monthly and annual bases, while remittances and IT exports also continued to rise. He added that the country was expected to remain in a current account surplus, and foreign exchange reserves were projected to reach the equivalent of three months of imports by June. Aurangzeb stated that despite a difficult global and regional environment, Pakistan successfully issued USD 750 million in bonds and was also planning to launch a USD 250 million Panda Bond during the current year. He further revealed that inflows under the Roshan Digital Account (RDA) scheme increased significantly, with USD 260 million received in March and expectations of further inflows in April. The finance minister acknowledged that petroleum imports had increased the import bill, while inflation remained a major challenge for ordinary citizens. However, he maintained that the government had taken measures to control inflation and preserve macroeconomic stability during the crisis. He also said economic growth for the current fiscal year was expected to remain between 3.7% and 4%. Later, speaking to journalists outside Parliament House, Aurangzeb declined to comment on whether electricity prices would increase or decrease in the coming months. He said Prime Minister Shehbaz Sharif and the energy minister were working extensively on reforms in the power sector and that details regarding electricity pricing would be shared later by the Ministry of Energy. Copyright Business Recorder, 2026
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