Islamabad: Finance Minister highlighted economic turnaround at Pakistan Conference at Harvard University. He also invited Global Investors and Partners to Join Pakistan’s Journey of Resilience and Transformation.
“Pakistan has reached a pivotal moment of economic recovery and transformation,” said Federal Minister for Finance and Revenue Senator Muhammad Aurangzeb.
He emphasized that after inheriting an economy facing significant challenges—ranging from a shrinking GDP to dwindling reserves—the government had stabilized the country’s fundamentals, restored confidence, and reignited economic growth.
Senator Aurangzeb made these remarks while addressing the Pakistan Conference 2025, titled “Bridging Divides, Building Tomorrow: Pakistan’s Path to Inclusive Growth and Governance,” held at Harvard University.
This annual flagship event brings together policymakers, academics, business leaders, and students to discuss Pakistan’s economic, political, and social trajectory.
Organized by Harvard students with support from university research centers, the conference is the largest student-led event on Pakistan in the United States.
It serves as a vital platform to promote collaborative solutions, foster global engagement, and highlight the resilience and creativity of the Pakistani people.
Key Achievements
In his speech, the Finance Minister highlighted several key achievements in Pakistan’s recent economic performance:
- A historic reduction in inflation to 0.7%, the lowest in 60 years.
- Foreign exchange reserves that have doubled.
- A 3% appreciation in the currency.
- A current account surplus exceeding $1 billion as of March 2025.
- A 44% increase in Foreign Direct Investment (FDI).
- A 24% rise in IT exports.
- Record-high remittances, projected to reach $38 billion.
- For the first time in 24 years, Pakistan achieved a fiscal surplus, including the highest primary fiscal surplus in two decades.
- Fitch upgraded Pakistan’s sovereign credit rating to B- with a stable outlook.
The Finance Minister emphasized that “stability is not an end but a means to an end,” outlining the government’s strategic goals, which include maintaining fiscal discipline, controlling inflation, and implementing deep structural reforms in energy, taxation, governance, and the management of state-owned enterprises.
He pointed out major growth opportunities in the country’s abundant mineral resources, expanding IT sector, green energy initiatives, and the country’s youthful entrepreneurial population.
Strengthening human development, he added, is essential to sustaining high and inclusive growth.
Regarding debt management, Senator Aurangzeb noted that Pakistan had successfully reduced its public debt-to-GDP ratio from 75% to 67.2%.
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The government has a plan to bring this ratio below 60% over the medium term through prudent fiscal management, enhanced domestic financing, and tax reforms.
Rightsizing government expenditures and privatizing loss-making state-owned enterprises are expected to save up to 2% of GDP annually.
Efforts are focused on enhancing transparency, ensuring competitive processes, and boosting investor confidence.
On the financial sector, the Minister outlined plans to build a more resilient system by expanding digital banking, capital markets, and green finance initiatives.
In discussing the challenges posed by climate change, Senator Aurangzeb reaffirmed Pakistan’s commitment to integrating climate resilience into infrastructure and agriculture.
He specifically mentioned the Resilience and Sustainability Facility (RSF) from the IMF and the Country Partnership Programme (CPF) approved by the World Bank as crucial components of Pakistan’s efforts to build climate resilience.
“Pakistan’s future will be shaped by bold, necessary choices,” concluded the Minister. “By investing in our people, modernizing our economy, and staying committed to reform, Pakistan will emerge stronger, greener, and more competitive.”
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Following his speech, the Finance Minister engaged with participants, responding to their questions regarding Pakistan’s future economic roadmap.
