PM beams at Moody's credit rating upgrade

Prime Minister Shehbaz Sharif on Wednesday expressed satisfaction with Moody's upgrade of Pakistan's credit rating and attributed the achievement to the hard work of the economic team and the blessings of the Almighty.

Moody's has upgraded Pakistan's local and foreign currency issuer and senior unsecured debt ratings to Caa2 from Caa3 owing to improvement in macroeconomic conditions, it said in a release on Tuesday.

"We have also upgraded the rating for the senior unsecured MTN programme to (P)Caa2 from (P)Caa3. Concurrently, the outlook for the Government of Pakistan has changed to positive from stable," the rating agency said in a statement.

The upgrade to Caa2 reflects Pakistan's improving macroeconomic conditions and moderately better government liquidity and external positions, from very weak levels.

During a review meeting on the nation's economic development and investment strategies, the prime minister stated that Pakistan's economy had been rescued from the brink of default by prioritizing the country's needs over political considerations during his previous term. He expressed satisfaction that, after stabilization, the economy is now on a path of progress and development.

Prime Minister Sharif highlighted that the benefits of focusing on national interests over political gains are now evident in the economy. He pointed out that Moody's Caa2 rating for Pakistan is an international endorsement of the government's economic strategies and expressed optimism that the economy will maintain its positive trajectory and continue to improve.

The prime minister commended the finance minister and his team for their significant progress in improving the overall economic situation.

He noted that interest shown by friendly countries in investing billions of rupees across various sectors is a direct result of the government's business and investment-friendly policies.

He warned that delays in executing investment projects from these countries would not be tolerated and instructed all ministers and relevant institutions to take immediate action to accelerate progress on these proposed projects.

The prime minister said that Pakistan offers substantial investment potential in sectors such as information technology, agriculture, minerals and precious stones, and energy. He added that foreign investment in these areas would not only boost domestic exports but also create employment opportunities for millions of young people.

During the meeting, the prime minister was briefed on the improvement in Pakistan's rating by Moody's, the progress on investment agreements with friendly countries in various fields, and ongoing projects. He was also updated on the progress of projects under the second phase of the China-Pakistan Economic Corridor (CPEC).

The prime minister directed that transparency should be a key priority in all projects and that their implementation should be ensured on a priority basis.

The meeting was attended by Deputy Prime Minister and Foreign Minister Muhammad Ishaq Dar, Federal Ministers Jam Kamal Khan, Ahad Khan Cheema, Ahsan Iqbal, Muhammad Aurangzeb, Attaullah Tarar, Sardar Owais Khan Leghari, Dr. Musadik Malik, and Abdul Aleem Khan.

Also present were Ministers of State Ali Pervaiz Malik and Shaza Fatima Khawaja, Deputy Chairman of the Planning Commission Jehanzeb Khan, Prime Minister's Coordinator Rana Ihsaan Afzal Khan, and other relevant senior officials.