Finance Minister Concludes Washington Visit with Key Meetings

ISLAMABAD: Senator Muhammad Aurangzeb, the Federal Minister for Finance and Revenue, wrapped up the fourth day of his trip to Washington, DC, engaging in several productive discussions with major financial institutions, credit rating agencies, and international corporations during the Spring Meetings of the International Monetary Fund (IMF) and the World Bank.

Engagement with VISA

The Finance Minister commenced his schedule by meeting with Andrew Torre, VISA’s Regional Vice President. He conveyed his gratitude for VISA’s role in advancing the digitalization of Pakistan’s financial landscape and the introduction of its diverse suite of financial offerings.

He emphasized that VISA’s decision to increase the size of its Pakistan office threefold, along with its partnerships with 1-Link and PayPak, would greatly bolster financial inclusion, e-commerce development, transaction security improvements, and payment gateway enhancements, thereby facilitating remittance flows. He assured Torre of the government’s complete assistance in resolving any operational challenges encountered within Pakistan.

Meeting with Philip Morris International

Subsequently, Minister Aurangzeb convened with Christos Harpanditis, Vice President of Philip Morris International.

Acknowledging the company’s long-term investment in Pakistan, the Finance Minister underscored the improving business conditions and the government’s taxation overhauls centered on people, process, and technology. He stressed the vital importance of robust enforcement and compliance mechanisms to combat the illegal production and distribution of cigarettes.

Seminar at JP Morgan

During a seminar hosted by JP Morgan, entitled “Pakistan’s Economic and Monetary Policy Outlook,” the Finance Minister updated institutional investors on Pakistan’s stable macroeconomic indicators. These included favorable surpluses, decreasing inflation rates, strong foreign exchange reserves, and responsible debt management, all of which contributed to Fitch’s recent upgrade of the country’s sovereign credit rating.

Aurangzeb also voiced significant concern regarding the loss of tourist lives in a terrorist incident in India, reaffirming Pakistan’s firm condemnation of terrorism in every form.

Discussion with Asian Development Bank (ADB) President

In a meeting with Masato Kanda, President of the Asian Development Bank (ADB), Minister Aurangzeb congratulated him on his recent appointment and expressed his appreciation for the ADB’s continued partnership with Pakistan. He also acknowledged its contributions to Pakistan’s development through initiatives like the Country Partnership Strategy 2026-2030 and budgetary support.

Both parties addressed the ADB’s project pipeline and pledged to expedite project implementation. He requested ADB’s backing for a partial credit guarantee related to the issuance of the Panda bond and conveyed optimism regarding the realization of budgetary support within the current year.

He also affirmed Pakistan’s delegation’s participation in the CAREC meeting slated for November 2025.

Meetings with Fitch and Moody’s

The Finance Minister engaged in separate discussions with Fitch Ratings and Moody’s, thanking Fitch for its decision to upgrade Pakistan’s sovereign rating to B-. He also detailed the advancements made in structural reforms concerning energy, taxation, state-owned enterprises (SOEs), public finance, and debt management.

In his interaction with Moody’s, he emphasized positive economic indicators, including contained inflation, fiscal surpluses, and record levels of remittances, while also underlining the reform efforts aimed at expanding the tax base. Regarding trade matters, he reiterated Pakistan’s dedication to maintaining constructive dialogue with the US Administration.

Digital Transformation and World Bank Support

The Finance Minister met with Sangbu Kim, World Bank’s Vice President for Digital Transformation, and emphasized Pakistan’s progress under the Digital Pakistan Policy, specifically in taxation reforms and the comprehensive digitization of the FBR (Federal Board of Revenue).

He also emphasized the necessity for horizontal integration across various government bodies, seeking the Bank’s assistance in operationalizing the Country Partnership Framework (CPF) via technology.

Vulnerable 20 (V20) Ministerial Dialogue

At the Vulnerable 20 (V20) Ministerial Dialogue, centered on “Enabling Climate Prosperity,” Senator Aurangzeb presented Pakistan’s Climate Financial Strategy and the formulation of a Climate Prosperity Plan.

He highlighted the recent staff-level agreement secured with the IMF under the Resilience and Sustainability Facility (RSF) and noted that the World Bank’s 10-year CPF prioritizes climate resilience and decarbonization.

The Minister advocated for reforms within the international financial framework to assist climate-vulnerable countries and emphasized the imperative of capacity-building to cultivate bankable climate projects.

Interaction with Pakistan Bank-Fund Staff Association (PBFSA)

The minister also engaged with members of the Pakistan Bank-Fund Staff Association (PBFSA), apprising them of Pakistan’s improving macroeconomic situation, including the successful IMF staff-level agreement under the Extended Fund Facility (EFF) and RSF.

He also touched upon the World Bank’s 10-year CPF, designed to tackle Pakistan’s challenges related to population growth and climate change, and reiterated the government’s commitment to implementing structural reforms.

Meeting with IMF Director for the Middle East and Central Asia

During a meeting with Jihad Azour, IMF Director for the Middle East and Central Asia, the Finance Minister expressed his gratitude to the IMF for the successful staff-level agreement pertaining to Pakistan’s economic program. He reaffirmed Pakistan’s dedication to sustaining reforms, citing Fitch’s sovereign credit rating upgrade (CCC+ to B-) as evidence of the nation’s progress.

Meeting with Standard Chartered Bank Delegation

Senator Aurangzeb concluded his day by meeting with the Standard Chartered Bank delegation, led by Roberto Hoornweg, expressing appreciation for the bank’s support in bridging Pakistan’s financing gap during a crucial period. He provided the team with an update on Pakistan’s macroeconomic stability, privatization initiatives, and strategies for re-entry into international capital markets following the Fitch rating upgrade.