Islamabad: Muhammad Aurangzeb, Pakistan’s Minister for Finance, has reaffirmed the government’s commitment to privatization and public-private partnerships as a means to attract private capital and drive economic growth. Addressing an event organized by the Asian Development Bank in Islamabad, Aurangzeb emphasized the government’s priorities, which include empowering the private sector, maintaining structural reforms, and avoiding economic instability.

According to Radio Pakistan, Aurangzeb highlighted significant fiscal progress, noting a 40 percent increase in revenues over the past two years, while efforts to control expenditures continue. He revealed that the tax-to-GDP ratio currently stands at 10.3 percent, with a short-term target of elevating it to between 11 and 12 percent.

The Finance Minister expressed optimism about the technology sector, reporting IT exports of $4.6 billion in the last fiscal year, with freelancers contributing $1.6 billion. Aurangzeb stated the goal of achieving an economic growth rate exceeding 4 percent for the current fiscal year. He noted that foreign exchange reserves were at $18.5 billion as of June 30, with a target of $21 billion by year-end.

Muhammad Ali, Adviser on Privatization, also addressed the event, reinforcing the belief that Pakistan’s future economic growth will be driven by the private sector. He announced the consolidation of the Public Private Partnership Authority, known as P3A, under the privatization division to streamline procedures and enhance efficiency.

Ali detailed ongoing efforts in privatization, including 27 transactions involving power distribution companies, airports, insurance companies, and banks. He emphasized Pakistan’s proven capability and commitment to privatization, citing the sale of Pakistan International Airlines (PIA) as an example.