Federal Minister for Finance Muhammad Aurangzeb and the UK Minister for Development, Baroness Chapman, held the first federal-level Pakistan-UK development talks in eight years on Wednesday, marking a significant milestone in bilateral relations. The meeting, which also included British High Commissioner Jane Marriott, focused on economic cooperation, Pakistan’s ongoing structural reform agenda, and the future of trade and investment between the two nations.
The talks took place at a time when Pakistan-UK bilateral trade has surpassed £5.5 billion, with over 200 British companies currently operating in Pakistan. The revival of ministerial-level dialogue underscores a renewed momentum in economic engagement between the two countries.
During the meeting, both sides discussed Pakistan’s ongoing reform efforts, including structural reforms across taxation, energy, state-owned enterprises, public finance management, and privatisation. They also explored opportunities for deeper collaboration in trade, investment, and climate resilience. Aurangzeb highlighted the government’s progress in macroeconomic stabilisation and emphasised efforts to improve energy sector efficiencies, debt management, public-sector right-sizing, pension reform, and fiscal sustainability.
Earlier in the day, Baroness Chapman, accompanied by Education Minister Khalid Maqbool Siddiqui, inaugurated the next phase of the Pak-UK Education Gateway. This initiative, a partnership between the British Council and the Higher Education Commission, aims to strengthen academic collaboration in addressing climate change and economic growth challenges. The new phase includes a start-up fund to support the commercialisation of research and aims to expand access to UK university programmes for Pakistani students through distance-learning pathways.
Aurangzeb also expressed appreciation for the UK’s support at the International Monetary Fund (IMF), which helped Pakistan complete its programme reviews. Both sides discussed the importance of federal-provincial coordination to strengthen investment in key areas such as health, education, population management, and climate resilience, as well as addressing women’s economic participation and demographic challenges.
Chapman later met with Prime Minister Shehbaz Sharif to launch regulatory reforms aimed at improving Pakistan’s business environment. Alongside Climate Change Minister Musadik Malik, she also launched a new Green Compact, establishing a framework for UK-Pakistan collaboration on tackling climate change, protecting nature, and advancing green technologies.
“Pakistan is a crucial partner for the UK. We work together to tackle the drivers behind organised crime and illegal migration, keeping both our countries safer,” Chapman said. “We remain firm friends of Pakistan, including in times of crisis, as shown through our flood response,” she added.
Both sides reaffirmed their commitment to strengthening the long-standing partnership, agreeing to continue high-level exchanges and enhance private sector collaboration in pursuit of shared development priorities.
