WASHINGTON – Global financial institutions including the World Bank (WB), Asian Development Bank (ADB), and International Finance Corporation (IFC) on Wednesday pledged their backing for Pakistan’s economic stabilization endeavors through structural reforms, digital transformation, and privatization initiatives.
The assurance was extended during sideline discussions of Federal Minister for Finance and Revenue, Muhammad Aurangzeb, who led a Pakistani delegation at the IMF and World Bank-2024 Spring Meetings in Washington DC, engaging with heads and representatives of these lending institutions.
Minister Aurangzeb, in discussions with WB Group President Ajay Banga, commended the bank’s consistent support for Pakistan’s development agenda. He emphasized the government’s dedication to advancing crucial reforms in taxation, energy, and privatization sectors.
The significance of digital technologies in enhancing governance and public service delivery was underscored, with a commitment to collaborating closely with the WB to drive revenue reform and timely investments in critical areas. Both parties agreed on the necessity of a ten-year rolling Country Framework Plan.
Ajay Banga pledged full support for Pakistan’s reform and digitalization efforts to stabilize the economy.
During a meeting with WB Senior Managing Director Axel Van Trotsenburg, Minister Aurangzeb discussed the bank’s engagement with Pakistan and explored avenues to maximize Regional IDA resources for development projects, including those in flood-affected areas. The finance minister extended an invitation to the WB President to visit Pakistan at his earliest convenience.
In discussions with ADB President Masatsugu Asakawa, Minister Aurangzeb acknowledged ADB’s partnership with Pakistan and its role in addressing macroeconomic imbalances, stabilizing the economy, and promoting growth.
Masatsugu Asakawa reaffirmed ADB’s commitment to supporting Pakistan’s sustainable development.
At the meeting with IFC Regional Vice President for MCT, Hela Cheikhrouhou, the finance minister outlined the government’s structural reform agenda and appreciated IFC’s efforts to enhance the investment climate in Pakistan. Cheikhrouhou expressed interest in further collaboration, emphasizing tailored financial solutions to support sustainable development.
Minister Aurangzeb also met with CEO of the U.S. International Development Finance Corporation (DFC), Scott Nathan, highlighting Pakistan’s commitment to attract investments across various sectors. He requested DFC’s assistance in debt financing, political risk insurance, and capacity building for potential projects.
On the sidelines of the IMF and World Bank-2024 Spring Meetings, Minister Aurangzeb attended the G-24 Finance Ministers and Central Bank Governors’ Meeting, emphasizing the need for enhanced private sector engagement, addressing climate change impacts, and leveraging climate finance.
Additionally, discussions were held with Saudi Arabia’s Finance Minister Mohammed Al-Jadaan on deepening economic ties and with Türkiye’s Treasury and Finance Minister Mehmet Simsek on bolstering bilateral trade and investment cooperation, particularly in power generation and distribution.
