Pakistan, IFAD agree to boost agricultural cooperation

April 17, 2026 (MLN):  Pakistan and the International Fund for Agricultural Development (IFAD) agreed to further strengthen cooperation on agricultural transformation, productivity enhancement, and financing support during a meeting held on the sidelines of the World Bank–IMF Spring Meetings 2026.

Federal Minister for Finance and Revenue Senator Muhammad Aurangzeb met IFAD President Mr. Alvaro Lario in Washington, D.C., where both sides discussed Pakistan’s ongoing agriculture sector reforms and IFAD’s expanding role in supporting the country’s development agenda, according to a press release issued.

During the meeting, the Finance Minister noted that Pakistan is currently IFAD’s largest core borrower, with the most extensive programme of engagement in any single country within the organization’s portfolio.

Senator Aurangzeb emphasized that agriculture remains a key national priority, while acknowledging that Pakistan continues to underperform in terms of yields, productivity, and value chain development relative to its potential.

He highlighted government initiatives aimed at agricultural transformation, including new leadership induction, training of young graduates in modern farming practices through international exposure, and deregulation of key commodity markets.

The Finance Minister informed that deregulation of the sugar sector has already been approved, while reforms in the wheat sector are underway, with the federal government gradually stepping back from procurement.

He further stressed the need to improve access to finance for smallholder farmers, reduce post-harvest losses, and expand investment in storage and value chain infrastructure.

He also raised concerns over global fertilizer supply challenges and their potential impact on agricultural productivity.

Senator Aurangzeb appreciated IFAD’s evolving approach, particularly its increased focus on private sector engagement and innovative use of its financial instruments.

Both sides agreed on the importance of scaling up collaboration, including potential co-financing arrangements with multilateral partners such as the Asian Development Bank (ADB) and the World Bank, to enhance development impact.

The Finance Minister also proposed closer engagement between IFAD and Pakistan’s Prime Minister’s Agricultural Task Force to better align ongoing programmes with national priorities.

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