Pakistan has sought additional assistance from the World Bank under the International Development Association (IDA) windows, while emphasising the need for structural reforms in its gas and power sectors to ensure long-term efficiency and sustainability.
Federal Minister for Finance and Revenue Senator Muhammad Aurangzeb made the request during a meeting with World Bank President Ajay Banga on the sidelines of the IMF–World Bank Annual Meetings in Washington D.C.Â
The finance minister reaffirmed Pakistan’s commitment to deepening its partnership with the Bank and recalled the prime minister’s earlier engagement with Mr. Banga during the UN General Assembly session.
Aurangzeb briefed the World Bank chief on Pakistan’s flood response efforts and acknowledged the Bank’s timely support following the post-flood damage assessment. He supported the proposal to use technology and cooperative models to reach small farmers and improve agricultural resilience. He also thanked the World Bank for its technical assistance in developing Pakistan’s Tariff Policy and for collaborating on the Country Partnership Framework (CPF).
The minister underscored that additional IDA support was vital amid reduced allocations and stressed the need for a comprehensive approach to energy sector reforms.
During a separate roundtable organised by the Peterson Institute for International Economics (PIIE), Aurangzeb discussed Pakistan’s macroeconomic progress, highlighting the Staff Level Agreement (SLA) with the IMF, improved credit ratings, and ongoing Federal Board of Revenue (FBR) reforms centered on people, processes, and technology. He said privatisation and fiscal reforms were being accelerated to strengthen revenue generation and efficiency.
Aurangzeb also met Baroness Jenny Chapman, UK Minister for International Development and Africa, and appreciated the UK’s continued development partnership and collaboration on the Digital Dashboard initiative. He stressed the importance of aligning development projects with national priorities and enhancing oversight of off-budget programs. Both sides reaffirmed their commitment to advancing sustainable growth and institutional capacity building.
In a separate engagement, the finance minister met officials from Fitch Ratings and welcomed the agency’s decision to upgrade Pakistan’s credit rating to B- with a stable outlook. He briefed Fitch on Pakistan’s structural reform agenda, including measures in taxation, energy, privatization, and state-owned enterprise restructuring.
Aurangzeb also held a meeting with Dr. Hajar El Haddaoui, Director General of the Digital Cooperation Organization (DCO), and discussed Pakistan’s digital transformation initiatives focused on IT, payment systems, and government digitization. He welcomed the DCO’s plan to expand operations in Pakistan, which he said would enhance regional digital collaboration and innovation.
Meetings with the management of Sharjah Islamic Bank, Ajman Bank, and Dubai Islamic Bank (DIB) centered on Pakistan’s financing strategy and plans to issue Panda Bonds in the Chinese market. Aurangzeb praised DIB’s continued role as the lead arranger of Pakistan’s sovereign Sukuk and reaffirmed the government’s focus on diversifying funding sources.
In another discussion with The Currency Exchange Fund (TCX), Aurangzeb welcomed its interest in supporting Pakistan through local currency loan hedging mechanisms. He noted that the government aims to extend the maturity profile of domestic and external debt to reduce refinancing and interest rate risks.
The finance minister reaffirmed Pakistan’s commitment to sustaining reform momentum and strengthening global partnerships to promote macroeconomic stability, digital innovation, and energy sector modernization.
