Pakistan targets over 4% growth and $1 billion from upcoming privatisations

At the IMF and World Bank meetings in Bangkok, Finance Minister Muhammad Aurangzeb projected fiscal-year growth exceeding 4% despite elevated oil costs. He noted that the country has avoided fuel shortages and that agriculture remains stable. The government intends to privatise five to six state-owned assets, which could bring in more than $1 billion, following last year’s sale of Pakistan International Airlines.

Aurangzeb also referenced a recent staff-level IMF agreement that may unlock about $1.21 billion, and ongoing negotiations with the United States for a $10 billion exchange-stabilisation facility, without committing to a schedule. The broader economic recovery rests on the $7 billion IMF Extended Fund Facility signed in 2024, which includes measures such as higher farm-income taxes.