Karachi: The Federal Minister for Finance and Revenue, Senator Muhammad Aurangzeb, announced the formation of a specialized SME Finance Task Force aimed at enhancing financial access for small and medium enterprises (SMEs). Speaking at the Pakistan Banking Summit 2026 in Karachi, he urged an industry-wide initiative to boost private sector lending while detailing the government’s broader strategy for banking reforms and sustainable economic development.
According to Press Information Department, the newly created Task Force will be spearheaded by the State Bank of Pakistan, with participation from the Pakistan Banks’ Association, Small and Medium Enterprises Development Authority, chambers of commerce and industry, and the Ministry of Finance. The Task Force is tasked with proposing actionable measures to improve SME financing and widen credit accessibility across the banking sector.
Senator Aurangzeb underscored the critical role of the banking sector in fostering economic growth, emphasizing that increased lending to SMEs and key sectors like exporters, agriculture, manufacturing, and information technology is essential for sustainable growth. He highlighted that access to finance should be a collective industry effort rather than the burden of a few institutions, noting budgetary provisions already made in the Budget FY27.
The Finance Minister pointed to Pakistan’s positive macroeconomic trajectory, citing accomplishments such as a primary surplus, reduced fiscal deficit, improved debt metrics, and consistent current account performance. He noted the government’s commitment to converting macroeconomic stability into sustainable growth through policy reforms and consistent strategies.
The Federal Budget FY27 introduced significant measures to enhance competitiveness and support various sectors, as stated by Senator Aurangzeb. He emphasized the government’s dedication to modernizing tax administration with technology-driven processes to enhance transparency and taxpayer trust.
The government aims to expand risk-sharing and credit guarantee schemes for SMEs and small farmers while sustaining targeted support for export-oriented sectors. Senator Aurangzeb also stressed the importance of diversifying government borrowing and deepening domestic debt markets to alleviate reliance on the banking sector, thereby enabling more private lending.
Additionally, Senator Aurangzeb outlined the government’s financial sector reform agenda, covering areas like privatization, climate finance, digital assets, and financial innovation. The recent enactment of the Virtual Asset Act 2026 was highlighted as a step towards modernizing the regulatory framework for digital assets.
In closing, the Finance Minister reaffirmed the government’s commitment to collaborating with stakeholders to develop a modern, inclusive, and resilient financial system that supports investment, innovation, and sustainable economic growth.