Finance minister and ADB vice president review reforms, investment and measures to expand private-sector financing
ISLAMABAD: Federal Minister for Finance and Revenue Senator Muhammad Aurangzeb met Asian Development Bank (ADB) Vice President for South, Central and West Asia Yingming Yang to review Pakistan-ADB cooperation, structural reforms, investment, private-sector development and access to finance.
Yingming Yang congratulated the government on progress in macroeconomic stabilisation and appreciated improvements in fiscal management, the external account and overall economic stability.
He also welcomed positive developments in Pakistan’s sovereign credit ratings, describing them as evidence of continued reform efforts and stronger economic fundamentals.
Aurangzeb appreciated the ADB’s longstanding partnership with Pakistan and its support for the government’s reform agenda. He stressed the need to institutionalise reforms in domestic resource mobilisation, public finance, energy, insurance, pensions and other key sectors to put the economy on a sustainable growth path.
The finance minister said the government was shifting its focus from macroeconomic stabilisation towards sustainable and inclusive growth, with greater emphasis on investment, exports, employment generation and private-sector participation.
He welcomed the ADB’s expanding engagement beyond sovereign financing, including support for private-sector operations and public-private partnerships.
ADB, Pakistan focus on SME financing
Access to finance, particularly for small and medium-sized enterprises (SMEs), was highlighted as a key component of Pakistan’s growth and export strategy.
Aurangzeb outlined government efforts to expand SME financing and strengthen the sector’s contribution to employment, investment and exports. The meeting also discussed integrating SMEs into global value chains and improving their competitiveness.
The two sides reviewed the insurance transformation programme, public-private partnership initiatives and measures to improve project readiness and implementation capacity.
Aurangzeb also stressed the importance of mobilising greater domestic and private capital through innovative financing structures, co-financing and stronger participation from international development and financial institutions.
Potential areas for expanded cooperation included infrastructure, transport, clean energy, water resource management and climate resilience.
Yang reaffirmed the ADB’s commitment to supporting Pakistan’s development priorities and said the bank’s strategic priorities were closely aligned with the government’s reform agenda.
He expressed readiness to further support private-sector development, SME value-chain financing and other priority sectors, while highlighting the importance of maintaining fiscal prudence during Pakistan’s transition towards sustainable growth.
Pakistan seeks greater private-sector investment
The meeting also covered pension reforms, institutional strengthening and ongoing and pipeline policy-based operations aimed at supporting structural reforms and long-term economic transformation.
Aurangzeb welcomed the ADB’s continued engagement under Pakistan’s Country Partnership Strategy and emphasised that future cooperation should support private-sector-led growth, export competitiveness, access to finance, infrastructure development, climate resilience and social protection.
The discussions underline the government’s growing emphasis on private investment and access to finance as key drivers of economic expansion, alongside continued structural reforms and fiscal discipline.