Pakistan TV

ISLAMABAD: Minister of State for Finance, Revenue and Railways Bilal Azhar Kayani said on Thursday that, following the successful privatisation of Pakistan International Airlines (PIA), the next phase would focus on electricity distribution companies, including IESCO, GEPCO, and FESCO, as the government remains firmly committed to sustainable and inclusive growth.&nbsp;Speaking in an exclusive interview with Pakistan TV, Kayani described the successful privatisation of Pakistan International Airlines (PIA) as a landmark achievement after decades of failed attempts, saying it would reduce the burden of loss-making state-owned enterprises on the national exchequer and help transform PIA into a profitable, world-class airline.&nbsp;&ldquo;The momentum created by the PIA deal will help generate greater investor and advisory interest going forward for the privatization program,&rdquo; he said.&nbsp;&ldquo;The next phase of privatisation is focused on electricity distribution companies, including IESCO, GEPCO and FESCO,&rdquo; Kayani added.&nbsp;The minister said Pakistan&rsquo;s economy has undergone a significant turnaround over the past two years, shifting from crisis management to macroeconomic stabilisation.&nbsp;He added that the government assumed office in February 2024, at a time when inflation was hovering between 20 and 25 percent and Pakistan had just entered a new IMF programme.&nbsp;&ldquo;Today, less than two years on, we have not only successfully completed IMF reviews but also restored economic confidence,&rdquo; he said.&nbsp;The minister highlighted key achievements, including an increase in the tax-to-GDP ratio from 8.8 percent to 10.2 percent within a year, a notable rise in foreign exchange reserves, and a significant jump in workers&rsquo; remittances. &ldquo;Pakistan&rsquo;s improving outlook has been recognised globally, with all three major rating agencies, Standard &amp; Poor&rsquo;s, Moody&rsquo;s and Fitch, upgrading the country&rsquo;s ratings outlook,&rdquo; he added.&nbsp;Kayani credited Prime Minister Shehbaz Sharif&rsquo;s direct oversight of reforms at the Federal Board of Revenue (FBR) for improved tax collection.&nbsp;&ldquo;Initiatives such as Faceless Customs, digitisation of tax systems, and enforcement measures have reduced leakages and enhanced efficiency, earning recognition from the IMF, which showcased Pakistan&rsquo;s reforms as a case study during its annual meetings.&rdquo;&nbsp;Looking ahead, Kayani said the government&rsquo;s priority is shifting from stabilisation to quality GDP growth driven by exports and private-sector investment. He stressed the importance of inclusive growth that benefits lower-income groups and expands employment opportunities.&nbsp;&ldquo;To this end, the government is engaging closely with the private sector through working groups and policy consultations,&rdquo; he added.&nbsp;He also pointed to record-breaking performance at the Pakistan Stock Exchange as a reflection of growing investor confidence, while acknowledging it as one of several indicators of economic health. Additionally, Kayani praised the Special Investment Facilitation Council (SIFC) for improving ease of doing business by providing a one-window platform for domestic and foreign investors.&nbsp;The minister said reduced inflation, lower policy rates and a focus on export diversification, including IT and value-added agriculture, would help ensure sustainable economic growth in the years ahead.

The Experts Corner

After PIA’s privatization, Pakistan plans to privatize power DISCOs, citing economic stabilisation, IMF-backed reforms, improved ratings, and rising revenues.

After PIA success, government to privatise electricity distribution companies: Bilal Kiyani   

Web Desk

ISLAMABAD: Pakistan&rsquo;s Defense Minister Khawaja Muhammad Asif said Tuesday that the country demonstrated its military preparedness and operational capability during the May 2025 conflict with India, earning international recognition and boosting confidence in the country&rsquo;s defense sector.&nbsp;Speaking on Geo News program &quot;Capital Talk,&quot; Asif said Pakistan was &ldquo;ready and proved its abilities in the May war,&rdquo; adding that the confrontation highlighted the armed forces&rsquo; resolve and effectiveness. &nbsp;Asif said the conflict exposed India&rsquo;s strategic weaknesses and damaged Indian Prime Minister Narendra Modi&rsquo;s credibility at home and abroad.&nbsp;&ldquo;India reached out to the United States and also contacted China during the fighting,&rdquo; Asif said. &ldquo;Despite that, Pakistan delivered a decisive response.&rdquo;&nbsp;He warned that any future aggression would be met in the same way.&nbsp;Asif said Pakistan&rsquo;s aircraft and weapons systems were tested during the conflict and have since attracted international attention. &ldquo;Our military platforms have drawn global interest,&rdquo; he said. When asked whether Pakistan was prepared to fight on both its eastern and western borders in 2026, Asif said, &ldquo;Yes, we are completely ready, and we proved our preparedness in May last year.&rdquo;&nbsp;Reduced reliance on IMFThe minister said growing defense procurement orders reflect rising international confidence in Pakistan&rsquo;s military capabilities.&nbsp;&ldquo;This trend can help reduce Pakistan&rsquo;s reliance on the International Monetary Fund within six months,&rdquo; he said.&nbsp;The two nuclear-armed neighbors went to war in May after India launched what Pakistan described as an unprovoked attack following the killing of tourists in Indian-occupied Kashmir.&nbsp;India has accused Pakistani nationals of carrying out the attack, a claim Islamabad has denied. Pakistan has instead called for a neutral, international investigation.&nbsp;The fighting ended on May 10 with a US-brokered ceasefire.&nbsp;Asif said the May conflict reinforced Pakistan&rsquo;s defense readiness and deterrence posture, adding that the country&rsquo;s armed forces are respected worldwide.&nbsp;He also raised concerns about regional security, alleging links between India and militant groups, including the proscribed Tehreek-e-Taliban Pakistan, and the Afghan Taliban.&nbsp;Responding to a question on global affairs, Asif said Russia had &ldquo;some justifications&rdquo; for its actions in Ukraine but said the Venezuelan conflict had &ldquo;no legal or moral basis,&rdquo; warning that the global order is under strain.&nbsp;Commenting on Israel, Asif called Prime Minister Benjamin Netanyahu the world&rsquo;s &ldquo;most wanted criminal&rdquo; and a &ldquo;worst perpetrator against humanity.&rdquo;&nbsp;He added, &ldquo;If the United States truly stands for human rights, Netanyahu should be brought to trial.&rdquo;

Security

Says the country is prepared to counter threats on both eastern and western fronts, stressing deterrence against India and warning of militant risks linked to Afghanistan.

Pakistan defense minister says May conflict proved military readiness, deterrence strength

WASHINGTON: The International Monetary Fund said Friday that its board has approved $206 million in emergency financing for Sri Lanka, to help in the country&#39;s recovery from the devastating Cyclone Ditwah.&nbsp;The natural disaster killed more than 640 people, and affected more than 10 percent of Sri Lanka&#39;s population. Floods and landslides caused by the cyclone left extensive damage throughout the South Asian island nation.&nbsp;&quot;The disaster has created urgent humanitarian and reconstruction needs, generating significant fiscal pressures and balance-of-payments needs,&quot; IMF deputy managing director Kenji Okamura said in a statement.&nbsp;The IMF&#39;s emergency aid -- which comes under the Washington-based lender&#39;s rapid financing instrument -- is meant to help address these pressures, he added.&nbsp;The announcement comes a day after Sri Lanka&#39;s government unveiled plans for $1.6 billion in additional spending next year to fund cyclone recovery.&nbsp;While it is still early for a firm assessment, the fund&#39;s mission chief for Sri Lanka, Evan Papageorgiou, flagged a likely hit to economic activity in the short-term.&nbsp;&quot;Agriculture and tourism are key sectors in Sri Lanka&#39;s growth and are being hit the hardest,&quot; he told reporters in a briefing.&nbsp;&quot;Inflation is likely to rise due to supply disruptions, and the current account deficit will likely widen over the next year,&quot; he added.&nbsp;The government had also secured a World Bank agreement to repurpose $120 million from an ongoing project for disaster recovery spending.&nbsp;Separately, it got a $200 million loan from the Asian Development Bank to finance water management, the first such funding since the cyclone.&nbsp;The IMF said Friday that Sri Lankan authorities are still committed to their economic reform program aided by support of around $3 billion.&nbsp;A further tranche of this rescue package known as the Extended Fund Facility was coming up when the cyclone hit.&nbsp;The IMF said it has deferred the fifth review of the package, with a team set to visit Sri Lanka in early 2026 to resume discussions.&nbsp;It noted this deferment took place due to the time needed to assess the cyclone&#39;s economic impact and examine how an IMF-supported program can best support Sri Lanka&#39;s recovery and reconstruction efforts -- while preserving policy priorities

Asia

The IMF approved $206 million in emergency financing for Sri Lanka to aid recovery from Cyclone Ditwah, which killed over 640 people. The funds will address humanitarian needs, economic disruptions, and support ongoing reform programs.

IMF approves $206M aid to Sri Lanka after Cyclone Ditwah

ISLAMABAD: Pakistan&rsquo;s finance ministry has clarified that the structural benchmarks recently highlighted under Pakistan&rsquo;s IMF Extended Fund Facility (EFF) are part of a phased, medium-term reform agenda previously agreed with the Fund, and do not constitute new or abrupt conditions.&nbsp;In a statement on Sunday, the ministry said the measures build on reforms already initiated by the government and are implemented in a sequenced, step-by-step manner to achieve the program&rsquo;s policy objectives. It emphasized that the Memorandum of Economic and Financial Policies (MEFP) finalized after the EFF&rsquo;s Second Review supplements the earlier MEFP, ensuring continuity and deepening of Pakistan&rsquo;s reform agenda.&nbsp;According to the statement, the benchmarks cover multiple sectors, including fiscal management, governance, financial markets, state-owned enterprises, energy, trade, and corporate regulation.&nbsp;Key measures include enhancing the transparency of civil servants&rsquo; asset declarations, strengthening the operational effectiveness of the National Accountability Bureau, empowering provincial anti-corruption bodies with access to financial intelligence, and improving remittance flows by addressing bottlenecks in cross-border payments.&nbsp;The ministry also highlighted reforms in financial markets, including a comprehensive study of the local currency bond market to broaden the investor base, as well as a reform roadmap for the Federal Board of Revenue, operationalization of the Tax Policy Office, and preparation of a medium-term (3-5 year) tax strategy to enhance revenue predictability and administration.&nbsp;On energy and state-owned enterprises, it cited the ongoing privatization of selected power distribution companies, preconditions for private-sector participation in HESCO and SEPCO, and the signing of Public Service Obligation (PSO) agreements with major entities.&nbsp;In trade and commodity markets, deregulation of the sugar sector aims to reduce price distortions and liberalize operations. At the same time, corporate and regulatory reforms seek to strengthen governance, compliance for unlisted firms, and efficiency in special economic zones. Contingency measures, including a Federal Excise Duty on fertilizer and pesticides, remain part of the program framework.&nbsp;The ministry noted that the IMF&rsquo;s Second Review report confirmed eight of 13 prior benchmarks had been met, including approval of the FY26 budget in line with program targets, implementation of the new agricultural income tax, and amendments to improve asset disclosures. Some benchmarks were delayed due to ongoing reforms and recent floods, and the authorities have requested that their deadlines be reset while emphasizing that overall progress remains on track.&nbsp;The finance ministry concluded that the phased approach ensures reforms are sustainable, sequenced, and aligned with Pakistan&rsquo;s medium-term economic priorities, reiterating that the EFF&rsquo;s structural benchmarks support the government&rsquo;s own reform agenda rather than imposing externally driven conditions.

Economy

 The benchmarks cover multiple sectors, including fiscal management, governance, financial markets, state-owned enterprises, energy, trade, and corporate regulation.

Pakistan says IMF benchmarks part of ongoing reform agenda

ISLAMABAD: The International Monetary Fund officially launched its new regional center in Shanghai on Monday, aiming to strengthen research, policy dialogue, and capacity-building across the Asia-Pacific region, marking a significant expansion of the fund&#39;s presence in the region. <div class="fr-embed"><div class="twitter-tweet twitter-tweet-rendered" style="display: flex; max-width: 550px; width: 100%; margin-top: 10px; margin-bottom: 10px;"><iframe id="twitter-widget-0" scrolling="no" frameborder="0" allowfullscreen="true" title="X Post" src="https://platform.twitter.com/embed/Tweet.html?dnt=false&embedId=twitter-widget-0&features=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%3D%3D&frame=false&hideCard=false&hideThread=false&id=1997868040684474655&lang=en&origin=https%3A%2F%2Fmain.d1wrm1qseko1cp.amplifyapp.com%2Farticles%2F&sessionId=e8a889d7c22acd41d230d76ea7167318b94c6287&theme=light&widgetsVersion=2615f7e52b7e0%3A1702314776716&width=550px" style="position: static; visibility: visible; width: 550px; height: 630px; display: block; flex-grow: 1;"></iframe></div> </div>The Shanghai Regional Center, established in partnership with the People&#39;s Bank of China, will serve as a hub for research on economic policies affecting emerging and middle-income countries across the region, the IMF said in the press release. The center will also facilitate engagement with member countries and capacity-building programs. &quot;The center will further strengthen the IMF&#39;s engagement in the dynamic Asia Pacific region, deepen our understanding of perspectives from member countries, and foster international economic cooperation,&quot; IMF Managing Director Kristalina Georgieva said in a statement. Johannes Wiegand, a veteran IMF economist with extensive experience in global and regional economic policy, will serve as the center&#39;s first director. The facility will be co-located with the China IMF Capacity Development Center to maximize collaboration between the two institutions. The IMF thanked China for its financial contributions in setting up the facility. The launch event included an inaugural research seminar titled &quot;Trending Issues in Macroeconomic Policy Research,&quot; which brought together economic scholars from across the region and IMF staff. Participants discussed challenges facing emerging economies, including structural transformation, growth, finance, artificial intelligence, and innovation. The Shanghai center is part of the IMF&#39;s global network of 20 regional centers and offices. These facilities serve various functions, from research and policy analysis to technical assistance and stakeholder engagement.

China

The International Monetary Fund launched its Shanghai Regional Center to enhance engagement in the Asia-Pacific region, promote economic research, and facilitate capacity-building programs for emerging markets, in partnership with the People's Bank of China.

IMF opens Shanghai center to boost Asia-Pacific engagement

ISLAMABAD: The International Monetary Fund&rsquo;s (IMF) Executive Board will convene on Dec. 8 to consider Pakistan&rsquo;s request for a $1.2 billion disbursement under the Extended Fund Facility (EFF) and the Resilience and Sustainability Facility (RSF), according to the Fund&rsquo;s updated schedule.&nbsp;Pakistan and the IMF reached a staff-level pact in October after nearly two weeks of negotiations in Karachi, Islamabad, and Washington.&nbsp;The deal, covering reviews of both the EFF and RSF programs, now awaits formal clearance from the IMF Executive Board before any funds are released. Board approval would unlock about $1.2 billion in fresh financing, around $1 billion under the EFF and $200 million through the RSF.&nbsp;&#39;On the right path&#39;In a separate development, IMF Deputy Managing Director Bo Li praised Pakistan&rsquo;s reform momentum and said the country was &ldquo;on the right path of reform and resilience,&rdquo; according to a statement from the Finance Division.&nbsp;He noted that, in addition to the $7 billion stabilization program, the RSF would provide $1.3 billion to strengthen climate-related fiscal and financial resilience. The IMF and Pakistan reached a staff-level agreement in October after negotiations in Karachi, Islamabad, and Washington. The Fund earlier said Pakistan had made progress in fiscal consolidation, reduced inflation, and rebuilt external buffers, while noting continued risks from flood-related losses and the need for a tight, data-driven monetary policy. Report flags systemic governance gapsThe board meeting follows the publication of the IMF&rsquo;s long-delayed Governance and Corruption Diagnostic Assessment, which is required for board approval. The report flagged systemic governance gaps and estimated Pakistan could lift growth by up to 6.5% over five years if it implements a 15-point reform plan. Opposition groups demanded investigations into what they termed major governance failures highlighted in the assessment. Khyber Pakhtunkhwa Chief Minister Mohammad Sohail Afridi demanded accountability over alleged irregularities referenced in the IMF&rsquo;s diagnostic report, saying the findings raised &ldquo;grave questions&rdquo; over the use of public resources. He voiced concern about funds being diverted abroad instead of supporting domestic development. Finance Minister Muhammad Aurangzeb said the diagnostic assessment&#39;s findings should catalyze overdue reforms, adding that several recommendations were already underway.&nbsp;

Board approval would unlock fresh financing, around $1 billion under the EFF and $200 million through the RSF.

IMF board to meet Dec. 8 on Pakistan’s $1.2B disbursement

ISLAMABAD: Pakistan Finance Minister Muhammad Aurangzeb said the country remains on a stabilization trajectory under its IMF-supported program, as he outlined progress on reforms, trade diversification, and digital growth at the 23rd Doha Forum, according to a statement from the finance ministry.&nbsp;Speaking at a high-level panel titled &ldquo;Global Trade Tensions: Economic Impact and Policy Responses in the MENA Region,&rdquo; Aurangzeb said Pakistan had made &ldquo;significant progress&rdquo; in macroeconomic stabilization and was advancing structural reforms in taxation, energy, state-owned enterprises, and private-sector development.&nbsp;He noted that fiscal indicators had strengthened, citing a return to primary and current account surpluses supported by &ldquo;annual remittances of $18 billion &ndash; $20 billion from the MENA and Gulf regions,&rdquo; the statement said.&nbsp;On trade performance, Aurangzeb said Pakistan had maintained &ldquo;constructive engagement&rdquo; with the United States on tariff issues, securing a favourable 19% tariff on major textile exports. He added that Islamabad was accelerating product and market diversification to widen export resilience.&nbsp;The minister said Pakistan&rsquo;s IT services exports were on track to reach &ldquo;$4 billion this year&rdquo; and highlighted deepening trade ties with Gulf and Central Asian economies.&nbsp;However, he warned that climate change and demographic pressures remained Pakistan&rsquo;s most serious long-term threats. The statement quoted him as saying that floods this year had reduced GDP growth by 0.5%.&nbsp;Qatari Finance Minister Ali bin Ahmed Al Kuwari praised Pakistan as a &ldquo;brother country&rdquo; and said a forthcoming Free Trade Agreement between Pakistan and the Gulf Cooperation Council (GCC) would significantly expand bilateral trade and long-term economic cooperation, according to the statement.&nbsp;He highlighted existing ties in liquefied natural gas, agriculture, and textiles. He said Qatar was eager to collaborate with Pakistan in artificial intelligence and digital technologies, citing its expanding talent base.&nbsp;IMF Deputy Managing Director Bo Li commended Pakistan&rsquo;s reform momentum and resilience-building efforts, noting that the Fund had approved an additional $1.3 billion in support under its Resilience and Sustainability Facility, the statement said.&nbsp;Aurangzeb also outlined what he described as Pakistan&rsquo;s &ldquo;balanced and pragmatic&rdquo; approach to relations with both China and the United States, citing progress under CPEC Phase 2.0 and emerging cooperation with Washington in minerals, AI, blockchain, and digital governance.&nbsp;In a separate bilateral meeting, Aurangzeb and Al Kuwari agreed to deepen economic cooperation and maximize the benefits of the new FTA. They also discussed strengthening long-term energy collaboration and pursuing joint initiatives in AI, digital infrastructure, and skills development, the statement added.

Pakistan Finance Minister Muhammad Aurangzeb told the Doha Forum that IMF-backed reforms have stabilized the economy, boosted trade diversification and IT exports, as Qatar and the IMF pledged deeper cooperation, investment, and resilience support.

 At Doha Forum, Pakistan signals economic stabilization, trade expansion

ISLAMABAD: The International Monetary Fund (IMF) has assigned India a &#39;C&#39; grade for its national accounts and government finance data in its 2025 Data Adequacy Assessment, marking the second consecutive year the country has received this rating.&nbsp; The grade indicates that India&#39;s economic statistics contain shortcomings that hamper effective surveillance and analysis. What does a &#39;C&#39; grade mean?The &#39;C&#39; rating signifies that the data provided to the IMF &quot;have some shortcomings that somewhat hamper surveillance.&quot;&nbsp; The rating places India below the &#39;A&#39; (adequate) and &#39;B&#39; (broadly adequate) categories, suggesting that persistent issues make it challenging for economists, investors, and policymakers to obtain a completely accurate and timely picture of the Indian economy. The report cites several reasons for the rating, including the use of an outdated base year, flawed deflation calculation methods, and a lack of government finance statistics. &#39;Numbers remain disappointing&#39; The report has attracted opposition criticism from the Bharatiya Janata Party (BJP)-led Indian government.&nbsp; Congress leader Jairam Ramesh, the party&#39;s general secretary in charge of communications, wrote on X that &ldquo;the economic numbers remain disappointing.&rdquo;<div class="fr-embed"><div class="twitter-tweet twitter-tweet-rendered" style="display: flex; max-width: 550px; width: 100%; margin-top: 10px; margin-bottom: 10px;"><iframe id="twitter-widget-0" scrolling="no" frameborder="0" allowfullscreen="true" title="X Post" src="https://platform.twitter.com/embed/Tweet.html?dnt=false&embedId=twitter-widget-0&features=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%3D%3D&frame=false&hideCard=false&hideThread=false&id=1994368354296222134&lang=en&origin=https%3A%2F%2Fmain.d1wrm1qseko1cp.amplifyapp.com%2Farticles%2F&sessionId=6bc66bbe3b23caf8095de451d9a26e689bb3eb87&theme=light&widgetsVersion=2615f7e52b7e0%3A1702314776716&width=550px" style="position: static; visibility: visible; width: 550px; height: 897px; display: block; flex-grow: 1;">&nbsp;</iframe></div></div>The government is understating inflation to make GDP growth appear better, he said. &#39;Huge concern&#39; Opposition politicians are not the only ones calling out the government for the &#39;C&#39; grade report.&nbsp; Writing for The Wire, economist Arun Kumar, a former professor at Jawaharlal Nehru University, New Delhi, called the C-grade rating a &quot;huge concern,&quot; noting that GDP data have been in disrepute since the 2011-12 series was introduced.&nbsp; Both Kumar and Pronab Sen, India&#39;s former chief statistician, said India&#39;s GDP is &quot;less than reliable,&quot; with problems arising from how India estimates the unorganized sector, according to The Wire. On the other hand, BJP leader Meenakashi Lekhi, quoted by The Print, dismissed the opposition&#39;s focus on the C-grade as &quot;cherry-picking&quot; and spinning a narrative to destabilize India. The opposition&#39;s use of the IMF rating, he said, appears to be part of a broader critique of the government&#39;s credibility in its economic data and statistical methodology.

India

The rating places India below the 'A' (adequate) and 'B' (broadly adequate) categories, suggesting that persistent issues make it challenging for economists, investors, and policymakers to obtain a completely accurate and timely picture of the Indian economy.

IMF gives India 'C' grade on economic data quality

ISLAMABAD: Pakistan&#39;s Ministry of Finance has published the International Monetary Fund (IMF)&rsquo;s &ldquo;Governance and Corruption Diagnostic Assessment &ndash; November 2025&rdquo; (GCDA) of Pakistan on its official&nbsp;website. The GCDA says Pakistan&rsquo;s policy efforts under the Extended Fund Facility have already delivered significant progress in stabilizing the economy and rebuilding confidence, amid a challenging global environment. &ldquo;Fiscal performance has been strong, with a primary surplus of 2.0 percent of GDP achieved in the first half of FY25, keeping Pakistan on track to meet the end-FY25 target of 2.1 percent of GDP.&rdquo; &ldquo;Inflation fell to a historic low of 0.3 percent in April, and progress on disinflation and steadier domestic and external conditions have allowed the State Bank of Pakistan to cut the policy rate. Gross reserves stood at US$10.3 billion at the end of April, up from US$9.4 billion in August 2024, and are projected to reach US$13.9 billion by the end of June 2025 and continue to be rebuilt over the medium term,&rdquo; it adds. Anti-corruption recommendationsAmong the 11 actions recommended on anti-corruption, the GCDA stresses on focusing on the main agencies and making action plans public, saying: &ldquo;...adopt and implement a risk-based approach to addressing corruption vulnerabilities in federal agencies by: (i) publishing an action plan to mitigate risks in the top ten agencies with highest corruption risks and macro critical exposures based on a centralized assessment using pre-established and public criteria (Year 1); and (ii) annually reporting on implementation progress and risk reduction outcomes in these agencies (Year 2).&rdquo; The recommendations include enhancing &ldquo;the NAB&rsquo;s independence and effectiveness in investigating high-level corruption by strengthening appointment procedures of its head, enhancing investigative capacities, and establishing robust internal accountability.&rdquo; &lsquo;Asset declarations of high-level public officials&rsquo;&nbsp;The report recommends establishing a centralized authority to collect, digitize, and publish asset declarations of high-level public officials with adequate powers and resources to conduct risk-based verification. It stresses &ldquo;increased information sharing by making use of protocol among NAB (National Accountability Bureau), AGP (Auditor-General of Pakistan), and FBR (Federal Board of Revenue) to assess corruption risks and identify suspicious transactions/behaviors for further investigation.&rdquo; It recommends strengthening FIA&rsquo;s (Federal Investigation Agency) investigative capacities on corruption offenses and deepening coordination and collaboration with NAB. Asset declaration of high-level federal civil servants&nbsp;The GCDA also recommends enhancing &ldquo;the independence of Provincial Anti-Corruption Establishment by removing the requirement for approval of higher authorities for corruption investigations, enhancing investigative capacities, and establishing robust internal accountability mechanisms.&rdquo; &nbsp; It recommends strengthening &ldquo;the independence of the accountability courts by establishing a transparent and merit-based process for appointing judges and beginning to publish performance information based on a robust framework.&rdquo; The GCDA also lists strengthening &ldquo;accountability and integrity among high-level federal civil servants by initiating the publication of asset declarations in 2026, and introducing risk-based verification of asset declarations.&rdquo; Membership in key networks&nbsp;The assessment further recommends pursuing &ldquo;membership in key international networks for sharing of information and transparency, including the Egmont Group, ARIN, and Open Government Partnership&rdquo; and&nbsp;stresses on &ldquo;ensuring proactive disclosure of information by public agencies and improving responsiveness to RTI requests.&rdquo; It also recommends establishing a Whistleblower Protection regime and forming a Whistleblower Protection and Vigilance Commission.

The IMF’s governance assessment for Pakistan recommends risk-based anti-corruption reforms, stronger oversight bodies, asset-declaration systems, whistleblower protections, and judicial independence, while noting progress toward economic stabilization, falling inflation, rising reserves, and strong fiscal performance under ongoing policy efforts.

Pakistan’s finance ministry releases IMF report highlighting reform needs

Gaitty Ara Anis

WASHINGTON, DC: Pakistan&rsquo;s mining sector is poised for major expansion, with Finance Minister Muhammad Aurangzeb projecting that the first year of commercial operations at the Reko Diq copper and gold project could generate $2.8 billion in copper exports, a 10% increase in the country&rsquo;s overall export base.&nbsp;Speaking exclusively to Pakistan TV Digital&nbsp;at the conclusion of his weeklong US visit for the IMF-World Bank Annual Meetings in Washington, Aurangzeb said the project is only the beginning, with additional mines and concessions expected to come online in the coming years.&nbsp;&ldquo;This is just the start because there are other mines and concessions coming through,&rdquo; he said.&nbsp;Aurangzeb highlighted that the Reko Diq project is attracting US investment, with the International Finance Corporation (IFC) leading the syndication and the US EXIM Bank expected to participate once the US government shutdown concludes.&nbsp;Islamabad&rsquo;s long-term vision includes smelting and value addition, which will enhance Pakistan&rsquo;s industrial output. &ldquo;That&rsquo;s not going to happen overnight, but where we are headed has huge upside for Pakistan,&rdquo; he said.&nbsp;Yuan bonds: diversifying Pakistan&rsquo;s fundingAlongside mining, Pakistan plans to issue its first-ever yuan-denominated bonds worth $250 million by the end of 2025, part of a strategy to diversify funding sources and strengthen macroeconomic resilience.&nbsp;&ldquo;From our perspective, this is a very important trade, a funding diversification discussion,&rdquo; Aurangzeb said. &ldquo;We have previously done Euro issuances and US dollar Islamic support, so we have been late, quite frankly, in terms of tapping the second-largest and second-deepest capital market in the world.&rdquo;&nbsp;He said the government will raise about $250 million equivalent in Chinese yuan (RMB) in the first phase and called the move &ldquo;long overdue&rdquo; to strengthen ties with Asian markets and reduce reliance on Western financial channels.&nbsp;Aurangzeb confirmed that the issuance will feature credit enhancement from the Asian Infrastructure Investment Bank (AIIB) and the Asian Development Bank (ADB).&nbsp;&ldquo;We are following the Egyptian model because they had credit enhancement so that we will have the same from AIIB and ADB,&rdquo; he explained.&nbsp;Two non-deal roadshows have already generated &ldquo;strong investor interest,&rdquo; and the minister said the issuance is expected to be completed before the end of the calendar year, supported by &ldquo;very strong underwriters.&rdquo;&nbsp;Macroeconomic stability and reform commitment&nbsp;Aurangzeb said the bond issuance is part of a broader strategy to consolidate macroeconomic stability, which has shown notable improvements.&nbsp;&ldquo;If we look at it holistically, around macroeconomic stability, a stable currency, FX reserves, inflation coming into single digits, and the policy rate coming down. We are making progress that now has two external validations,&rdquo; he said.&nbsp;He cited the IMF staff-level agreement and upgrades from all three major credit rating agencies as indicators that Pakistan&rsquo;s reform direction is recognized internationally.&nbsp;&ldquo;That too has happened after the test of two and a half to three years,&rdquo; he added.&nbsp;Aurangzeb stressed that the government is focused on long-term sustainability, emphasizing reforms in taxation, energy, state-owned enterprises, and public finances.&nbsp;&ldquo;That is what is going to give permanence, because oil prices can go up and down,&rdquo; he said.&nbsp;Privatization drive&nbsp;On privatization, Aurangzeb acknowledged past delays but emphasized that progress is now decisive.&nbsp;&ldquo;This is one area where we haven&rsquo;t done well in the last 18 months,&rdquo; he said. &ldquo;But we are beginning to move in that direction.&rdquo;&nbsp;The first privatization in this cycle was the sale of a small public-sector bank to a UAE-based conglomerate.&nbsp;&ldquo;It&rsquo;s a step in the right direction. They have big plans in terms of investment flows and maybe even going digital with that institution,&rdquo; he said.&nbsp;Describing the transaction as the &ldquo;first run on the board,&rdquo; Aurangzeb said it demonstrates the government&rsquo;s commitment to structural reform.&nbsp;The Pakistan International Airlines (PIA) privatization is also advancing.&nbsp;&ldquo;Last year we weren&rsquo;t successful, but this year, with the reopening of flight routes to Europe in January and to the UK recently, the airline&rsquo;s value proposition has improved,&rdquo; he said.&nbsp;A shortlist of qualified bidders has been finalized, and due diligence is ongoing.&nbsp;&ldquo;I&rsquo;m quite sanguine that before the year is out, this is going to go through,&rdquo; he added.&nbsp;The minister also mentioned finalizing a sell-side advisor for the Roosevelt Hotel transaction in New York. Additionally, three power distribution companies (DISCOs) are in Phase One of privatization, with international advisors Albert Alers and Marcelis leading the process.&nbsp;&ldquo;We have good traction there as well,&rdquo; he said, noting that 24 state-owned enterprises have been handed over to the Privatization Commission. &ldquo;The first one is the first drop,&rdquo; he added, echoing Prime Minister Shehbaz Sharif&rsquo;s remarks.&nbsp;Building economic resilience&nbsp;Aurangzeb emphasized the importance of fiscal and external buffers to manage global economic cycles.&nbsp;&ldquo;At some point, these cycles will reverse. Commodities go through cycles, and countries go through cycles. Countries that do well are those that build buffers, fiscal and external, and let the private sector lead growth,&rdquo; he said.&nbsp;He added that with renewed investor confidence, structural reforms, and diversified funding, Pakistan is now positioned to convert early recovery signs into long-term sustainable stability.&nbsp;&ldquo;The direction of travel is clear. We are turning the first drops of progress into a steady stream of sustainable reform,&rdquo; Aurangzeb concluded.

Pakistan finance minister Muhammad Aurangzeb

In a wide-ranging interview with Pakistan TV Digital, Finance Minister Muhammad Aurangzeb says Pakistan will generate $2.8 billion in copper exports, issue $250 million yuan bonds, and advance privatizations.

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