Islamabad(The COW News Digital)Federal Finance Minister Muhammad Aurangzeb has said mobilizing private-sector capital is essential to achieving sustainable economic growth in Pakistan, stressing that stronger cooperation between the government and businesses is needed to support long-term economic stability.
Addressing a ceremony in Islamabad, the finance minister said the government would not allow Pakistan to fall back into the repeated cycle of economic ups and downs. He emphasized that attracting private investment is a key component of the country’s development strategy.
Aurangzeb said investment could be significantly increased through public-private partnerships and privatization. He added that the government is pursuing a structural reform agenda aimed at creating a more stable and sustainable economic environment.
According to the finance minister, transparency, efficiency and investor confidence will remain important priorities throughout the privatization process. He said private investment must be encouraged in infrastructure and public-service projects through public-private partnerships.
Aurangzeb stressed that partnerships between the government and private sector need to be strengthened further to accelerate economic development. He maintained that the economic stability achieved through difficult decisions must now be made permanent.
Highlighting improvements in the country’s fiscal position, the finance minister said the overall deficit had declined from 12.5 percent to 2.6 percent. He also pointed to a significant increase in tax collection by the Federal Board of Revenue.
He said FBR revenue had increased by around 40 percent over the past few years, while the tax-to-GDP ratio had improved from 8.8 percent to 10.3 percent.
The finance minister also highlighted Pakistan’s growing information technology sector. According to Aurangzeb, IT services exports reached $4.6 billion during the last financial year, with freelancers contributing approximately $1.6 billion to the country’s IT export earnings.
He said merchandise exports remained around $30 billion, but stressed that further efforts were required to increase the country’s export potential.
Aurangzeb said reforms were continuing in several key areas, including the energy sector, state-owned enterprises, taxation and privatization. He emphasized that sustained reforms and greater private-sector participation would be crucial for maintaining economic stability and creating new opportunities for investment and growth.
The minister’s remarks come as Pakistan seeks to strengthen economic fundamentals, attract investment and reduce dependence on traditional sources of government financing. He reiterated that creating a stronger partnership between the public and private sectors would remain central to the country’s future economic strategy.
