KARACHI: Pakistan’s Finance Minister Muhammad Aurangzeb this week met International Monetary Fund (IMF) Middle East and Central Asia Director Jihad Azour to reaffirm Islamabad’s commitment to structural reforms and macroeconomic stability under an ongoing $7 billion IMF bailout program.
The engagement came on the opening day of Aurangzeb’s official visit to Washington DC, where he is attending the Annual Meetings of the IMF and World Bank Group and holding high-level discussions aimed at bolstering investor confidence and development cooperation.
“Both sides exchanged views on Pakistan’s reform agenda and reaffirmed their shared commitment to sustaining the current momentum of reforms,” the Finance Division said in a statement after Aurangzeb met Azour, adding that the meeting reviewed progress under the Second Review of the Extended Fund Facility (EFF) and “acknowledged the importance of maintaining macroeconomic discipline.”
The talks took place as Pakistan moves through the mid-point of its 37-month IMF arrangement, which seeks to strengthen the country’s fiscal position, curb inflation and stabilize reserves after years of economic turbulence and climate-related shocks. The IMF currently projects Pakistan’s GDP to expand 3.6 percent in FY 2026, while the World Bank expects 2.6 percent.
In a separate session, Aurangzeb attended the Commonwealth Finance Ministers’ Meeting, where he emphasized prioritizing “concrete actions to advance a resilient and prosperous Commonwealth.”
He voiced support for the operationalization of the Commonwealth Infrastructure and Financial Resilience Hub and its Technical Assistance Fund, highlighting the urgency of climate financing and activation of the global Loss and Damage Fund for vulnerable economies.
Separately, Aurangzeb met World Bank Senior Managing Director Axel van Trotsenburg, thanking the institution for its “continued commitment to Pakistan’s national development agenda.” He noted that the climate crisis remains an “existential challenge for Pakistan,” citing the devastation of recent floods and their impact on agriculture and GDP growth.
Both sides agreed on the need to mobilize additional resources for adaptation and future disaster response.
The finance minister also held detailed discussions with International Finance Corporation (IFC) Regional Vice President Riccardo Puliti on scaling up private-sector investment under the 10-year Country Partnership Framework. They agreed to expedite financial closure of the IFC-backed Reko Diq mining project in Balochistan province, one of Pakistan’s largest planned foreign-investment ventures. Aurangzeb welcomed IFC’s decision to open a new regional office in Islamabad to deepen collaboration.
At the Islamic Development Bank (IsDB), Aurangzeb met President Dr. Muhammad Sulaiman Al-Jasser and reviewed Pakistan’s active portfolio, thanking the bank for approving financing for two sections of the M-6 motorway. The two sides agreed to accelerate project implementation and craft a new Country Engagement Framework.
The minister also briefed the US-Pakistan Business Council and held talks with Citi Bank executives, stressing Pakistan’s “stabilizing macroeconomic outlook” and its emergence as a regional hub for digital innovation and financial services.
At both engagements, Aurangzeb highlighted the July 2025 US tariff deal that reduced duties on Pakistani exports to 19 percent, the lowest in South Asia, and pledged continued facilitation for foreign investors in mining, agriculture, IT, and pharmaceuticals.
In addition, Aurangzeb met US Treasury Assistant Secretary Robert Kaproth and Counselor Jonathan Greenstein, welcoming “successful negotiations with the US administration leading to a tariff deal” and briefing them on Pakistan’s new legislation governing virtual assets. He invited US firms to explore opportunities in Pakistan’s oil, gas, mineral and IT sectors.
Aurangzeb’s packed Washington schedule also included meetings with media outlets, including Reuters and the Associated Press, and a dinner hosted by Pakistan’s ambassador to Washington, Rizwan Saeed Sheikh.
