WASHINGTON:
The Federal Minister for Finance and Income, Senator Muhammad Aurangzeb, met the Fitch Ratings team in Washington, DC, on the sidelines of international spring meetings of the monetary fund of the monetary fund.
According to a press release published on Friday, the Minister of Finance expressed his gratitude to Fitch Ratings for the upgrading of the sovereign credit note of Pakistan from CCC + to B-, describing it as a reflection of the improvement of macroeconomic perspectives and budgetary discipline. He explained that this positive revision would open the way to the return of Pakistan to the international financial markets.
During the meeting, Aurangzeb also updated the Fitch team on the government’s structural reform program, in particular in the fields of energy, taxation, public enterprises (public enterprises), public finances and debt management. The commitment included detailed responses to Fitch requests concerning the current pricing reforms, the improvements of the tax administration and the wider income mobilization strategies.
On the same key line, the Minister of Finance met with representatives of Moody’s, where he reiterated the government’s commitment to a structural reform program aimed at ensuring that Pakistan is firmly placed on the trajectory of long -term economic stability. It has cited positive economic indicators, in particular low inflation, surpluses of current and primary accounts, the stability of exchange rates and record entries of funds as proof of the stable economic base of Pakistan.
Aurangzeb has highlighted a complete tax reform initiative in progress, aimed at expanding and deepening the tax base thanks to improved processes, technological integration and staff development. Regarding pricing reforms, he expressed the government’s desire to make a constructive commitment to the United States administration.
In another important commitment, the Minister of Finance met Jihad Azour, director of the Middle East and Central Asia at the International Monetary Fund (IMF). He reiterated Pakistan’s commitment to keep the course on reforms and to rely on the achievements of the last eighteen months.
According to the declaration, Aurangzeb described the upgrading of the credit notation by Fitch as an external validation of the success of the reform program, and a critical boost to the confidence of investors in the economic trajectory of Pakistan.
Speaking during the vulnerable ministerial dialogue of 20 (V20) on “allowing the prosperity of the climate”, Aurangzeb also described the climatic financial strategy of Pakistan. He said the country worked on a climate prosperity plan and had a staff agreement with the IMF on a new RSF arrangement.
