Finance Minister Muhammad Aurangzeb announced that Pakistan’s economy is stabilizing, citing a combination of fiscal discipline, structural reforms, and effective policy interventions. Speaking at a national forum, he emphasized that these measures are yielding tangible improvements in macroeconomic indicators.

Enhanced Tax Revenue Through Digitalisation and Broader Base

Aurangzeb highlighted the role of digital tax systems and an expanded tax base, particularly including agriculture and retail sectors. Through the Federal Board of Revenue’s digital platforms, compliance has improved while government revenue saw a marked increase, reducing dependency on foreign loans.

SOE Restructuring Reduces Public Sector Burden

A significant component of the economic turnaround is the restructuring of state-owned enterprises (SOEs). By streamlining operations, removing inefficiencies, and reducing subsidies to loss-making entities, pressure on the national budget has decreased, with public funds now being better allocated.

Export-Led Strategy Supports Growth and Employment

The finance minister emphasized promoting an export-led growth model, with policy incentives directed at IT, agriculture, textiles, and manufacturing sectors. Incentives for the private sector, regulatory simplification, and improved business climate were spotlighted as key drivers for job creation and economic dynamism.

Collaboration with IMF and Global Financial Institutions

Aurangzeb underscored Pakistan’s active engagement with the IMF and other global development partners. He described the country’s financial management reforms such as energy pricing and subsidy rationalisation as potential frameworks for other emerging economies tackling instability.

Looking Ahead: Attracting Investment and Sustaining Momentum

Moving forward, Aurangzeb said the government is focused on attracting foreign and domestic investment, creating job opportunities across provinces, and ensuring inclusive, long-term economic stability. These foundational reforms are intended to transition Pakistan into a sustainable growth trajectory.