- The economy of Pakistan on the path of improvement, explains the Minister of Finance.
- The lower policy rates have benefited business owners, notes Aurangzeb.
- Inflation fell to a single figure, reflecting economic stability.
The Minister of Finance, Muhammad Aurangzeb, said on Saturday that the government’s decision to expand the tax base reduced the burden of the national treasury.
Speaking in Faisalabad, the financial tsar said that Pakistan’s economy is moving towards improvement, driven by key reforms.
Aurangzeb stressed that a lower policy rate also benefited business owners and that continuous economic stability measures gave positive results. He also reiterated that inflation has decreased to a single figure, relieving the public.
The Minister of Finance stressed that recent tax reforms had considerably increased income collection. Responding to concerns about the request for assistance from the International Monetary Fund (IMF), he noted that sustainable governance cannot rely solely on charity, stressing the importance of a solid economic framework.
Aurangzeb also underlined the need for collaboration from the public-private sector to stimulate economic growth, declaring that working together is crucial for long-term progress.
The IMF recently confirmed that two of its missions will visit the country in the next two weeks; The first mission will focus on discussions concerning climate financing, while the second will make the first review of Pakistan’s progress in the context of 7 billion dollar funds (EFF), the news reported on Saturday.
The government led by Prime Minister Shehbaz Sharif obtained approval from the IMF executive council for a new loan program in September 2024, followed by the disbursement of a branch of $ 1.02 billion.
With IMF officials in Pakistan, Islamabad will also have to develop a wider consensus on the main contours of the next budget for 2025-266 with lender staff.
If the two parties do not reach a consensus, the completion of the first exam could be linked to the approval by the budget parliament.
As agreed, the first examination and approval of a billion dollars by the IMF board of directors should be carried out by April 2025.
Earlier this week, Finmin Aurangzeb said Pakistan expected $ 1.5 billion in climate funding from the IMF.
The IMF’s second mission would go to Pakistan in March for a six -month exam under the efficient $ 7 billion, the financial TSAR said that all questions related to the world lender were good.
The Minister of Finance said that the current account had displayed a deficit of $ 420 million in January 2025, up 4% against $ 404 million the same month of last year.
However, he pointed out that the current account maintained a surplus of $ 682 million in the first seven months of fiscal year 25, a net reversal compared to the deficit of $ 1.801 billion in the same period last.