Senator Aurangzeb, Atlantic Council discuss Pakistan’s path to sustainable growth

Finance Minister Senator Muhammad Aurangzeb told Michael Kugelman of the Atlantic Council that Pakistan's economy is regaining momentum, with GDP up 3.7% in FY26, and roughly 4% is projected for FY27. A press release said the talk happened on the sidelines of the IMF-World Bank Annual Meetings 2026 in Bangkok. He said industry and agriculture are recovering, and that policy is shifting from stabilisation toward growth powered by investment and exports.

On revenue, he said tax receipts have climbed 40% over two fiscal years, pushing the tax-to-GDP ratio up to roughly 10.3%, which he attributed partly to digital systems and structural changes. Internationally, he noted that Pakistan chairs the Borrowers' Platform Governing Council and takes over the G-24 chairmanship on November 1, which he called a boost to its voice in global financial talks. He also cited a Panda Bond issue and a re-entry into the Eurobond market, aimed at broadening financing sources.

On reforms, officials are pressing ahead with transferring power distribution firms to private hands and contracting out airport operations, as private and overseas investors show more interest. He added that Rs838 billion has been set aside for the Benazir Income Support Programme and targeted help for vulnerable households. Finally, he outlined wider use of digital payments, financial inclusion and AI adoption, aimed at boosting efficiency, openness and opportunity for citizens.