Finance Minister Senator Muhammad Aurangzeb told a visiting German business delegation led by Ambassador Ina Lepel that Pakistan is stabilising and opening to new investment, citing easing inflation, stronger reserves, credit outlook upgrades and fresh access to capital markets.
Macroeconomic signals and reform agenda
The minister briefed companies arranged by AHK, the German Bilateral Chamber of Commerce in Pakistan.
Furthermore, he said the currency is steady, foreign exchange reserves cover about two and a half months of imports.
Moreover, it is projected to reach three months by the fiscal year end, while inflation is expected at five to seven percent.
He noted that Fitch, S and P, and Moody’s have raised Pakistan’s outlook and the recent IMF staff level agreement supports the policy path.
He stressed structural reforms in taxation, energy, privatisation and public finance. Additionally, the tax to GDP ratio is targeted to rise from 10.2 percent to 11 percent this year and to 13 percent over the next couple of years through compliance, technology and transparency.
Privatisation pipeline and market access
Aurangzeb said 34 state owned enterprises have been moved to the Privatisation Commission.
The PIA transaction is under way with interest from four major global groups, while some non performing entities are being closed to improve fiscal discipline.
He outlined plans to re enter international markets with a Panda Bond in China and a Eurobond under the Global Medium Term Note programme next year.
Inviting German firms to explore technology, energy and manufacturing, he promised smooth profit repatriation, support for IT exports and a clearer path for foreign direct investment.
Ambassador Lepel thanked the minister for the briefing and welcomed the reform push aimed at stability and transparency.
Top 5 Exports from Pakistan to Germany in 2023
| Rank | Product | Value |
|---|---|---|
| 1 | Non-Knit Men’s Suits | $419M |
| 2 | House Linens | $335M |
| 3 | Non-Knit Women’s Suits | $175M |
| 4 | Knit Sweaters | $174M |
| 5 | Knit T-shirts | $106M |
Top 5 Exports from Germany to Pakistan in 2023
| Rank | Product | Value |
|---|---|---|
| 1 | Rubberworking Machinery | $100M |
| 2 | Engine Parts | $14.4M |
| 3 | Scrap Iron | $35.2M |
| 4 | Medical Instruments | $31.9M |
| 5 | Scrap Aluminium | $29M |
