Islamabad : Finance Minister Muhammad Aurangzeb has expressed optimism that Pakistan’s economy will expand by more than 4% during the current fiscal year, saying the country is moving into a new stage of economic development.
Addressing an event hosted by EXIM Bank in Islamabad, the finance minister said Pakistan had largely completed the economic stabilisation process and was now focusing on achieving sustainable growth.
He noted that the national economy recorded growth of around 3.7% in the previous fiscal year, describing the latest indicators as a sign of improving economic conditions.
Aurangzeb said Pakistan’s fiscal deficit had fallen to its lowest level in 22 years, while the country had maintained a primary surplus for three consecutive years. He added that the previous fiscal year also ended with a surplus in the current account.
The minister pointed out that Pakistan had historically witnessed cycles in which periods of strong economic expansion were followed by financial pressures. He attributed much of this pattern to the country’s heavy reliance on imported goods.
According to Aurangzeb, achieving economic growth itself is not the main challenge; the real objective is to sustain expansion without allowing new economic imbalances to emerge.
He said the government was therefore pursuing an export-led growth model aimed at creating a more resilient and sustainable economic structure.
The finance minister added that the fiscal room currently available to the government would be used to stimulate productive economic activity and enhance the country’s export capacity.
He said the federal budget provides a clear policy framework for developing the export sector and encouraging businesses to expand their presence in international markets.
Aurangzeb also called for diversification of Pakistan’s export portfolio, stressing the need to move beyond dependence on a narrow selection of products and markets.
He further supported concessional financing for small and medium-sized enterprises (SMEs), saying affordable funding could enable these businesses to expand operations, increase production and contribute more effectively to Pakistan’s export ambitions.
