Pakistan and the International Monetary Fund (IMF) have agreed to maintain the momentum of ongoing economic reforms.
The understanding was reached during Finance Minister Senator Muhammad Aurangzeb’s meeting with IMF Director Jihad Azour in Washington D.C., held on the sidelines of the IMF and World Bank Annual Meetings.
Finance Minister Muhammad Aurangzeb, along with his delegation, met Mr. Jihad Azour, Director of the IMF’s Middle East and Central Asia Department.
Both sides reviewed progress under the Second Review of the Extended Fund Facility (EFF) and reaffirmed their commitment to sustaining the current reform agenda.
The discussions focused on Pakistan’s efforts to maintain macroeconomic stability, fiscal discipline, and structural reforms to strengthen the economy. The IMF team appreciated the progress made so far and emphasized the importance of continuing the reform process to ensure sustainable growth.
Engagement with World Bank
On the sidelines of the same meetings, the Finance Minister also met Mr. Axel van Trotsenburg, Senior Managing Director of the World Bank Group. During the meeting, Aurangzeb expressed gratitude for the World Bank’s continued support for Pakistan’s national development and reform programs.
He highlighted that climate change poses an existential threat to Pakistan, recalling the devastating impact of recent floods that severely affected the agriculture sector and GDP growth.
The minister underscored the need for enhanced investment in climate adaptation and mitigation, and the mobilization of additional resources to manage future natural disasters effectively.
Commonwealth finance ministers’ meeting
Senator Aurangzeb also attended the Commonwealth Finance Ministers’ Meeting, where he emphasized the importance of implementing climate finance mechanisms and establishing a disaster risk reduction fund to support vulnerable economies.
He reiterated Pakistan’s call for international cooperation to tackle the growing economic and environmental challenges faced by developing nations.
In another engagement, the Finance Minister met with members of the U.S.-Pakistan Business Council, reaffirming the government’s commitment to promoting and facilitating private sector growth. He invited American companies to invest in Pakistan’s key sectors, including energy, technology, and manufacturing, highlighting ongoing reforms that aim to improve the business climate.
