Pakistan wants larger, extended loan programme with IMF: Aurangzeb

WASHINGTON: Federal Minister for Finance and Revenue Muhammad Aurangzeb has said that Pakistan wants to enter into a larger and extended loan programme with the International Monetary Fund (IMF).

Attending the Roundtable conference with Investors in Washington, the finance minister highlighted Pakistan’s stable macroeconomic indicators including declining inflation, stable currency, strong growth of agriculture sector, strong remittances, rising forex reserves and buoyant stock market.

He also discussed key priorities of the Government around taxation, energy sector reforms and privatization programme.

Separately, Finance Minister Aurangzeb has assured that Pakistan would pitch bankable and investable projects to Saudi investors, highlighting the country’s investment potential and favorable policies.

He gave this assurance while meeting Sultan Abdulrahman Al-Marshad, the CEO of the Saudi Fund for Development in Washington.

The two sides discussed potential avenues for enhanced economic cooperation between Pakistan and Saudi Arabia.

During the meeting, the Finance Minister briefed Sultan Abdulrahman Al-Marshad on his recent visit to Saudi Arabia as well as the recent visit of a high-level Saudi delegation to Pakistan.

Both sides reviewed and expressed satisfaction with the progress of ongoing development projects.

The Finance Minister also discussed funding of ongoing projects, including Diamer Bhasha Dam and the N-25 Highway from Karachi to Chaman.

Finance Minister Muhammad Aurangzeb also met with Citibank officials in Washington DC and briefed them on the positive economic indicators including rising stock market, renewed interest of foreign buyers and institutional flows on the back of Stand-by Arrangement (SBA) signed with IMF.

The Finance Minister said Pakistan has successfully repaid Eurobond on time. He said the government has initiated discussion with IMF on a larger and extended programme.

He also highlighted priority areas of taxation, energy sector overhaul and reforms in state owned enterprises.

Meanwhile, the Finance Minister also held a meeting with Moody’s Investor Service on the sidelines of IMF and World Bank Spring meetings in Washington.

During the meeting, the finance minister briefed them about key economic indicators and how macro-economic stabilization has been achieved after entering into Stand-by Arrangement with the IMF. Aurangzeb highlighted key priorities of the government around tax reforms, energy sector reforms and privatization agenda.

He said the government wanted to tap international capital markets with a focus on Middle East and China.

He also addressed key questions related to inflation, level of foreign exchange reserves, debt repayments, external account vulnerability and domestic liquidity.