Pakistan targets investment-led growth through sustained reforms

October 23, 2026 (MLN): Pakistan aims to convert macroeconomic stability into sustainable, investment-driven and export-led growth through continued structural reforms, fiscal discipline and consistent economic policies, Finance Minister Senator Muhammad Aurangzeb said during a meeting with senior World Bank and International Finance Corporation (IFC) representatives.

The meeting included Sandeep Mahajan, Regional Practice Director for the Prosperity Vertical covering the Middle East, North Africa, Afghanistan and Pakistan (MENAAP) at the World Bank, accompanied by Country Director Bolormaa Amgaabazar and IFC Division Director Simon Andrews.

Mahajan congratulated Pakistan on restoring macroeconomic stability and praised the government's handling of the recent crisis triggered by regional conflict. He noted that the buffers established through stabilisation measures and a timely policy response had helped the country withstand external pressures.

The World Bank representatives stressed the need to preserve these gains through continued reforms and effective implementation of economic policies.

Muhammad Aurangzeb highlighted Pakistan's renewed access to international capital markets, including its recent issuance of US$3 billion in Eurobonds with five-year and 10-year maturities. He also underscored the importance of creating conditions for further sovereign credit rating upgrades, strengthening investor confidence and improving the country's credit profile.

Discussions focused on developing a credible framework to sustain fiscal discipline, address vulnerabilities in the external sector and encourage private-sector investment. The participants also exchanged views on international practices for strengthening fiscal frameworks and policy credibility to manage external risks.

Policy continuity emerged as another key priority, with Aurangzeb emphasising that investment and productivity growth require predictable policies and consistent implementation.

The meeting also examined ways to advance the government's growth and employment agenda by encouraging private investment, improving the regulatory environment and mobilising financing for infrastructure development.

Privatisation, clear regulatory frameworks and credible post-privatisation arrangements were among the issues discussed. The participants also explored the potential for infrastructure development through suitable financing structures and collaboration with development partners.

Both sides reaffirmed their commitment to continued cooperation, focusing on structural reforms, sustained macroeconomic stability and policy consistency to translate economic progress into greater investment, job creation and improved opportunities for the people of Pakistan.

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