Pakistan’s fiscal consolidation is showing progress through a primary surplus, reduced fiscal deficits and stronger revenue mobilisation, Finance Minister Muhammad Aurangzeb said while highlighting the government’s economic reforms to international investors in London.
Aurangzeb made the remarks while addressing the Pakistan Investment Roundtable hosted by the Pakistan High Commission in London, which brought together leading investors and global financial management firms. State Bank of Pakistan Governor Jamil Ahmed, Finance Minister’s Advisor Khurram Schehzad and Pakistan’s High Commissioner to the UK Tipu Usman also attended the event.
The finance minister said the government remains committed to macroeconomic stabilisation while pursuing sustainable economic growth. He highlighted ongoing structural reforms aimed at creating a more supportive environment for the private sector and attracting foreign investment.
Aurangzeb said Pakistan is implementing reforms in state-owned enterprises alongside its privatisation programme. He also pointed to energy-sector reforms, greater financial transparency and improvements in the ease of doing business as key components of the government’s strategy to strengthen economic stability.
The finance minister emphasised the importance of broadening the tax base and improving tax enforcement to support long-term economic growth. He said discretionary powers of tax authorities had been eliminated and that the tax system no longer provides preferential treatment, while no additional taxes had been imposed on salaried individuals.
Aurangzeb also noted that Pakistan’s economy had faced setbacks from major nationwide flooding and the recent conflict in the Middle East, which contributed to volatility in global oil prices. Despite these challenges, he said Pakistan remains open for business and has renewed interest from international investors.
According to Aurangzeb, Pakistan has completed all IMF reviews on schedule, while the country has also received three rating upgrades. He further held discussions with representatives of financial institutions on Pakistan’s economic outlook, investment climate, cooperation with international organisations and potential investment opportunities across various sectors.
