Finance Minister Muhammad Aurangzeb expressed optimism about the progress of ongoing talks with the International Monetary Fund (IMF) regarding external financing.

In an informal conversation with journalists on Thursday, the minister stated that discussions for the approval of the IMF loan program are at an advanced stage and will soon be finalized. “Talks with the IMF on external financing will be finalized soon,” he remarked.

Aurangzeb emphasized that the approval process of the loan programme from the IMF Executive Board is progressing smoothly.

“We are at an advanced stage for approval from the Executive Board, and it will come soon. The final date for the approval cannot be given yet,” he maintained, but assured that the loan program is expected to be approved by the end of this month.

The minister also highlighted ongoing negotiations with Saudi Arabia for an oil loan facility, allowing deferred payments. He noted that mutual investment opportunities in various projects are also being explored with the Kingdom.

In addition to talks with friendly countries, Aurangzeb confirmed that the government is engaging with commercial organizations to secure further financing options.

Virtual discussions between officials from the Finance Ministry and the IMF mission took place on Tuesday evening, focusing on critical issues of external financing and revenue generation.

During the talks, Finance Ministry officials briefed the IMF mission on the government’s efforts to secure external financing. This included updates on loan rollovers and new financing commitments from friendly countries. Sources revealed that a timeline has been provided to the IMF, with expectations for loan rollovers to be completed by next week.

The IMF mission emphasized the importance of rolling over $12 billion in debt before the loan can be approved by the Executive Board.

The IMF mission has expressed the need for the FBR to meet its revenue targets for this month. In response, the IMF has requested a detailed plan from the FBR to bridge the gap caused by the shortfall and ensure that revenue targets are met.

Finance Minister Muhammad Aurangzeb has outlined the government’s plans to tackle Pakistan’s economic challenges and the pressing issue of climate change.

In a keynote speech at a recent ceremony, he announced that the staff-level agreement with the International Monetary Fund (IMF) is expected to be approved by the IMF Executive Board by the end of this month. Following this approval, climate financing will be discussed next.

“Climate financing will also be discussed after the agreement is approved by the IMF Executive Board,” said Aurangzeb. He added that these discussions will take place with the IMF and the World Bank during the annual meeting in October.

“Pakistan is included in the list of countries affected by climate change,” he emphasized, underscoring the urgency of addressing environmental issues besides controlling population.

Aurangzeb highlighted the significant challenge posed by Pakistan’s rapidly growing population, describing it as a “population bomb” that has already exploded. He stressed the need for effective planning to mitigate the impacts of both population growth and climate change.

“Pakistan has to make effective plans for climate change financing from the IMF and World Bank,” he said.

The finance minister outlined several key areas that require improvement to bolster the country’s economic situation, including the budget, tax measures, energy sector, and living standards. He emphasized that the ministries of finance and climate change, the IMF, and the World Bank are collaborating closely to enhance the monitoring of climate change projects.

“Monitoring of climate change projects should be improved in collaboration with IMF and World Bank,” Aurangzeb stated. He called for the development of important policies based on climate change to avoid its adverse effects and stressed the vital role of the private sector in improving Pakistan’s economy.

Aurangzeb concluded by highlighting the government’s commitment to creating effective climate change financing plans with support from the IMF and World Bank. He urged all stakeholders to contribute to the national effort to address these pressing issues.