Finance Minister Mohammed Aurangzeb called for “leveraging” Pakistan’s improving economic position to achieve lasting macroeconomic stability.
The remarks from Aurangzeb came on Wednesday while speaking at the launching ceremony of ‘Pakistan Economy Dashboard’.
“[On the economic front] we are in a good place,” he said.
“However, it is extremely critical that we leverage this position to do what we need to do in terms of bringing permanence to that macroeconomic stability.”
He said the latest CPI inflation figures have “surpassed all expectations”.
“On the back of these numbers, I think it is going to continue to buttress the economy and take us from stabilization to a growth path”.
Pakistan’s headline inflation clocked in at 6.9% on a year-on-year basis in September 2024, lower than the reading in August 2024 when it stood at 9.6%, showed Pakistan Bureau of Statistics (PBS) data on Tuesday.
The CPI reading is the lowest since January 2021, according to PBS.
Aurangzeb said that the government last week rejected all bids, which was “a symbolic and important move”.
“This shows that the government is in no desperation to borrow, when we borrow it will be on our terms. For the banking sector, the message is very loud and clear: they need to start lending to the private sector.”
Stressing on leveraging macroeconomic stability, Aurangzeb said that authorities need to ensure that “we continue with structural reforms”.
“It is a defining moment for the country that we continue with full rigour and vigour in terms of these structural reforms,” the Finance Minister said.
He maintained that the only way the current International Monetary Fund (IMF) programme will be the last is if we execute structural reforms.
The Pakistani authorities and the IMF team reached a staff-level agreement on the EFF in the amount equivalent to SDR 5,320 million (or about USD 7 billion) on July 12.
Addressing the attendees, Aurangzeb said that Pakistan Economy Dashboard establishment will help improve transparency.
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