Aurangzeb urges IFIs to align financing terms with improved ratings

Finance Minister Muhammad Aurangzeb has asked international lenders to price their financing in line with Pakistan's stronger credit standing and wider access to global capital markets, according to a finance ministry press release carried by Business Recorder. The remarks came during meetings in Bangkok with the IMF, the Multilateral Investment Guarantee Agency (MIGA) and the Asian Infrastructure Investment Bank, held on the sidelines of the World Bank Group and IMF Annual Meetings 2026. Aurangzeb also reviewed Pakistan's economic progress and discussed guarantees, infrastructure, energy security and future capital market issues.

In talks with IMF Deputy Managing Director Nigel Clarke, he pointed to three straight years of primary surpluses, higher foreign exchange reserves and a lower debt-to-GDP ratio. At a regional meeting with the IMF managing director, he said the fiscal shortfall had fallen to its lowest level in 22 years, growth reached 3.7 per cent and reserves covered three months of imports. The minister stressed that reforms and fiscal discipline must continue without reducing outlays for health and education.

With MIGA, Aurangzeb welcomed revised pricing and expressed a wish to move ahead with Board consideration and documentation. Discussions with the AIIB covered power transmission and the Karachi-Rohri section of the ML-1 railway, where cofinancing with the ADB or parallel financing was explored. The AIIB is aiming to approve a power transmission project before the year ends, the ministry said.