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Federal Minister for Finance and Revenue, Senator Muhammad Aurangzeb, on Friday outlined Pakistan\u2019s progress in restoring macroeconomic stability and the government\u2019s priorities for moving towards investment, capital formation, exports, and private sector-led growth.<\/strong><\/p>\n The minister was addressing the \u201cFireside Chat: Pakistan: External Shocks Remain Manageable\u201d at the J.P. Morgan Emerging and Frontier Markets Opportunities Conference in London<\/p>\n The conference saw strong interest in Pakistan from leading global institutional investors and top money managers, with 55 global investment funds engaging with the Pakistani delegation through a number of one-on-one meetings and a full investor session.<\/p>\n The Finance Minister outlined six priorities: strengthening macroeconomic stability; promoting sustainable, productivity- and export-led growth; continuing structural reforms; shifting from aid to trade and investment; expanding access to finance; and preparing Pakistan for the digital economy, including blockchain and Web 3.0.<\/p>\n He said that over the last three years, Pakistan\u2019s overriding task had been to restore macroeconomic stability and rebuild credibility. He noted that significant progress had been made in fiscal consolidation, external sector stability, inflation, debt management and international market access. GDP growth had recovered to 3.7 percent in FY26, while the fiscal deficit had declined to 2.6 percent of GDP, a multi-year low, with the country recording a primary surplus for the third consecutive year.<\/p>\n The Finance Minister said the objective was now to ensure that stability became durable and provided the foundation for a different growth model, one increasingly driven by investment, productivity, exports and private sector activity rather than short-term, consumption-led expansion.<\/p>\n Highlighting improvements in Pakistan\u2019s sovereign debt position, the Finance Minister said the government had pursued active liability management, extended domestic debt maturities and reduced refinancing risks. He said these measures, together with fiscal consolidation, were strengthening the overall sovereign balance sheet and supporting greater confidence in Pakistan\u2019s economic outlook.<\/p>\n Senator Muhammad Aurangzeb said Pakistan had also re-established access to international capital markets through diversified instruments and investor pools.<\/p>\n He referred to the inaugural award-winning Panda Bond issuance and Pakistan\u2019s subsequent record US$3 billion dual-tranche Eurobond transaction, noting strong investor demand for both.<\/p>\n Aurangzeb said privatisation was being pursued as part of a broader restructuring of the role of the State, with progress across PIA, DISCOs, financial institutions, other SOEs and airport operations.<\/p>\n He said access to finance was also being expanded across SMEs, agriculture and housing so that macroeconomic stability could translate into greater credit, investment and productive activity. He stressed that public balance sheets alone could not finance Pakistan\u2019s next phase of growth and that private capital would increasingly have to play a larger role.<\/p>\n On external economic engagement, the Finance Minister said Pakistan was moving decisively from traditional dependence on aid towards stronger trade and investment flows.<\/p>\n On the occasion, the Governor State Bank of Pakistan, Jameel Ahmad, highlighted the strengthening of Pakistan\u2019s external position, noting the improvement in foreign exchange reserves, the quality of reserve accumulation, rising remittance flows and strengthening external-sector fundamentals.<\/p>\n He also highlighted the growing contribution of Roshan Digital Account flows, external sector reforms and the strengthening of financial sector fundamentals.<\/p>\n He noted the progress made in containing inflation over the years, adding that these developments had contributed to greater macroeconomic stability and strengthened the foundations for sustainable growth and investment.<\/p>\n<\/div>\n