Finance Minister Mohammad Aurangzeb has announced a significant drop in inflation to 3% this month, crediting the decline to ongoing economic reforms.
In an interview with Nikkei Asia, he emphasized the transformative impact of these reforms, noting that inflation had peaked at 38% in May 2023. Aurangzeb reaffirmed Pakistan’s commitment to adhering to International Monetary Fund (IMF) conditions, expressing optimism that the 25th IMF program would be the last.
He highlighted Pakistan’s strategic focus on stabilizing export growth, attracting foreign investment, and strengthening ties with global financial markets. The country is also preparing to tap into China’s financial markets, including plans to issue yuan-denominated Panda Bonds by the fiscal year’s end and explore corporate stock listings in Hong Kong.
Aurangzeb anticipates an improved credit rating for Pakistan, aiming for a ‘B’ rating from global agencies. He also discussed potential joint stock listings of Pakistani-Chinese ventures in Hong Kong, alongside plans for additional listings of Pakistani companies.
The finance minister underlined the significance of the China-Pakistan Economic Corridor (CPEC), calling it a cornerstone of Pakistan’s development and a key element of the Belt and Road Initiative. He emphasized the project’s role in enhancing bilateral ties with China.
To support ongoing initiatives, Aurangzeb assured that Pakistan is maintaining stringent security measures for Chinese nationals and other foreign personnel, ensuring their safety as part of its development efforts.
