Finance Minister Muhammad Aurangzeb has said foreign investors are increasingly showing interest in Pakistan as the country moves towards greater economic stability and confidence among local investors improves.
Speaking to the media at the Overseas Chamber of Commerce and Industry in Karachi on Thursday, Aurangzeb said recent developments indicated that the economy was moving in the right direction.
“PIA privatisation hit a lot of boxes,” the finance minister said, referring to the privatisation process of Pakistan International Airlines.
He said two major conglomerates had submitted bids for the national flag carrier, with offers totalling $1.2 billion.
However, Aurangzeb noted that foreign investors had not participated directly in the PIA privatisation process.
“Foreign investors come after local investors express interest. There was no foreign interest in the PIA privatisation,” he said.
Saudi, Turkish firms show interest in power distribution companies
The finance minister said Saudi and Turkish investors had expressed interest in the privatisation of the first three state-owned power distribution companies, commonly known as Discos.
He said three Turkish firms had now joined local investors interested in the Discos.
Aurangzeb described the process as a sequence in which economic stability first helps restore the confidence of domestic investors, followed by increased interest from foreign investors.
“This is a waterfall that you first bring economic stability, gain confidence of local investors and then the foreign investors come in,” he said.
The minister added that the government was working on a comprehensive plan to increase investment in the country.
Aurangzeb begins IMF talks for fourth EFF and third RSF reviews
FBR surpasses September collection target
Aurangzeb also praised the Federal Board of Revenue (FBR) for exceeding its tax collection target for the first quarter of the fiscal year.
According to The News, the FBR collected Rs3,066 billion by September 30 against a target of Rs3,053 billion.
The tax authority collected Rs1,343 billion in September alone, helping it surpass the period’s overall target.
Govt seeks sustainable economic growth
Aurangzeb said the country was moving towards sustainable economic stability and that the government was seeking to achieve export-led growth to avoid repeated boom-and-bust cycles.
He acknowledged that inflation had been brought down to single digits but said it had risen again amid higher global oil prices linked to the US-Iran conflict.
Referring to his earlier comments about the economic costs associated with protests and long marches, the finance minister stressed the importance of political dialogue in maintaining economic stability.
“We don’t have to boil the ocean. We have to agree on two to three points,” he said, calling for consensus on key issues affecting the economy.
