FinMin projects 4% growth

Federal Minister for Finance Muhammad Aurangzeb appeared on "Mornings with Maria" on the Fox Business Network during the IMF-World Bank Spring Meetings 2026, where he highlighted Pakistan's economic outlook and its role in diplomatic efforts in the region.

Responding to a query, the finance minister noted that Pakistan's leadership was actively engaged in diplomatic efforts, aimed at sustaining the ceasefire and paving the way for further negotiations.

On the economic front, Aurangzeb outlined the impact of the Middle East conflict, noting that Pakistan was currently managing its first-round effects, including challenges related to energy procurement, pricing and logistics. He stated that the government's immediate focus had been on maintaining supply chain continuity, while the extent of second and third-round impact on inflation, growth and the external sector would depend on the duration and intensity of the conflict.

Remittances remained robust, reaching $3.8 billion in March, while the country also achieved a current account surplus. He expressed confidence that Pakistan would hit around 4% economic growth in the current fiscal year and meet fiscal and external-sector targets, including foreign exchange reserves equivalent to three months of imports. Reaffirming the commitment to financial discipline, Aurangzeb noted that Pakistan had successfully repaid $1.4 billion Eurobond on time. He praised the timely financial support extended by Saudi Arabia, including $3 billion in additional deposits and the extension of existing funding.

The finance minister outlined a forward-looking financing strategy, including plans to access international capital markets. He pointed out that the government was preparing for its inaugural Panda Bond, alongside exploring the Eurobond and other commercial financing avenues to diversify funding sources and sustain investor confidence.