Aurangzeb Highlights Positive Macroeconomic Outlook During US Meetings

Finance Minister Muhammad Aurangzeb wrapped up the fourth day of his visit to Washington for the 2025 Spring Meetings of the International Monetary Fund (IMF) and the World Bank, where he met with key financial institutions, rating agencies, and global corporations. The meetings focused on global economic challenges and Pakistan’s macroeconomic progress.

In his engagements, the finance minister met with Visa’s regional Vice President Andrew Torre, expressing appreciation for Visa’s role in Pakistan’s digital economy transformation. He highlighted Visa’s decision to expand its offices and collaborate with 1-Link and PayPak, which will promote financial inclusion, e-commerce, transaction security, and remittances. Aurangzeb assured Torre of full government support for operational matters.

He also met with the vice president of Philip Morris International, emphasizing the need for effective enforcement to curb illicit cigarette production and sales. Additionally, Aurangzeb briefed institutional investors at a JP Morgan seminar on Pakistan’s Economic and Monetary Policy Outlook, highlighting stable macroeconomic indicators, including twin surpluses, declining inflation, and robust foreign exchange reserves. He noted that these factors contributed to Fitch’s recent upgrade of Pakistan’s sovereign credit rating.

During his visit, the minister expressed concern over the tragic loss of tourist lives in a terrorist attack in India and reiterated Pakistan’s strong condemnation of terrorism.

ADB Support for Pakistan’s Development

In a separate meeting with Masato Kanda, President of the Asian Development Bank (ADB), Aurangzeb commended the ADB’s continued support through initiatives like the Country Partnership Strategy 2026-2030. They discussed accelerating the execution of ongoing projects and exploring a partial credit guarantee for Pakistan’s Panda bond issuance.

Aurangzeb also expressed his commitment to participating in the CAREC meeting scheduled for November 2025.

Engagement with Fitch and Moody’s

The finance minister met with representatives from Fitch Ratings and Moody’s, thanking Fitch for upgrading Pakistan’s sovereign rating to B- and highlighting the progress made in structural reforms in energy, taxation, and public finance. With Moody’s, he emphasized the country’s strong economic performance, including low inflation, fiscal surpluses, and record remittances, while focusing on efforts to broaden the tax base.

World Bank and IMF Discussions

Aurangzeb also met Sangbu Kim, Vice President for Digital Transformation at the World Bank, to discuss Pakistan’s advancements under the Digital Pakistan policy, particularly in taxation reforms and digitization of the Federal Board of Revenue. He sought the World Bank’s support in further operationalizing the Country Partnership Framework (CPF) through technology.

At the Vulnerable 20 (V20) Ministerial Dialogue, Aurangzeb outlined Pakistan’s Climate Financial Strategy and stressed the need for reforms in international financial architecture to support climate-vulnerable nations.

The minister also engaged with members of the Pakistan Bank-Fund Staff Association to update them on Pakistan’s improving macroeconomic indicators, including the successful IMF staff-level agreement under the Extended Fund Facility and the Resilience and Sustainability Facility (RSF). He reaffirmed Pakistan’s commitment to sustaining reforms.

Final Engagements

In a meeting with Jihad Azour, IMF Director for the Middle East and Central Asia, Aurangzeb thanked the IMF for the successful staff-level agreement and reaffirmed Pakistan’s dedication to continuing its economic reforms. He concluded his visit with a meeting with Standard Chartered Bank’s Roberto Hoornweg, acknowledging the bank’s crucial role in bridging Pakistan’s financing gap during a critical period.

Source: Web Desk