ISLAMABAD – Finance Minister Muhammad Aurangzeb has warned that climate change and rapid population growth pose serious challenges to Pakistan’s long-term development. Speaking at the Pakistan Business Summit, he said these issues directly affect the country’s productivity and global reputation. He also highlighted how poverty and poor child development worsen the situation. According to him, urgent action is needed to protect the country’s future.
The summit was hosted under the patronage of KP Governor Faisal Karim Kundi. It brought together top policymakers, business leaders, and executives to discuss Pakistan’s economy, innovation, and global competitiveness. The event was organized by Nutshell Group and Al Baraka Bank, with OICCI as the strategic partner. Participants explored reforms and investment strategies for sustainable growth.
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Aurangzeb stressed that the government is committed to creating a supportive environment for the private sector. He said the state’s role is to ensure macroeconomic stability and structural reforms. He noted key improvements in the economy, including lower financing costs, stronger foreign reserves, and stable currency rates. These changes, he said, have boosted investor confidence and improved profit repatriation.
He also shared that remittances hit $38 billion last year and are expected to rise to $41–43 billion this year. Pakistan successfully paid off a $500 million Eurobond in September, and preparations for a $1.3 billion payment in April 2026 are on track. The minister reaffirmed the government’s plan to separate tax policy from tax administration to ensure investor trust and policy continuity.
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The finance minister also highlighted reforms in state-owned enterprises, efforts toward privatization, and energy price adjustments. He discussed export-led growth plans, tariff cuts on raw and semi-finished goods, and steps to attract foreign direct investment. Referring to recent meetings in Beijing, Riyadh, Washington, and New York, he said investor interest is growing. Aurangzeb concluded by emphasizing better federal-provincial coordination and efficient use of the Rs 430 billion development budget to support infrastructure, health, and education.