Aurangzeb Hopeful of IMF Approval for $1.2 Billion Loan Tranche Today

Finance Minister Muhammad Aurangzeb said Pakistan’s macroeconomic indicators remain broadly on track despite regional tensions and external pressures, expressing hope that the International Monetary Fund Executive Board will approve the next $1.2 billion loan tranche for Pakistan on Friday.

The finance minister made these remarks while briefing the National Assembly Standing Committee on Finance and Revenue, chaired by Syed Naveed Qamar at Parliament House.

During the meeting, Jameel Ahmad informed lawmakers that the State Bank of Pakistan had purchased $27 billion from the market over the last three years and repaid nearly $5 billion last month alone.

He added that Pakistan’s foreign exchange reserves are expected to reach the $17 billion mark by the end of June 2026. Aurangzeb told the committee that Pakistan would continue prudent fiscal policies, improve external account performance, and pursue structural reforms to maintain macroeconomic stability and enhance investor confidence.

The finance minister also highlighted increased remittance inflows through Roshan Digital Accounts, improved access to international capital markets through Eurobond issuances, and progress on the planned Panda Bond issuance.

According to the briefing, exports recorded growth on both monthly and yearly bases, while remittances and IT exports also continued to increase. Aurangzeb said Pakistan is expected to remain in a current account surplus, while reserves are projected to cover around three months of imports by June.

He further revealed that Pakistan successfully issued $750 million in bonds despite a difficult global environment and plans to launch a $250 million Panda Bond later this year.

Aurangzeb also acknowledged that rising petroleum imports had increased pressure on the import bill, while inflation remained a challenge for ordinary citizens. However, he maintained that the government had taken measures to preserve macroeconomic stability during the crisis. The finance minister said economic growth for the current fiscal year is expected to remain between 3.7 percent and 4 percent.

Meanwhile, SBP Governor Jameel Ahmad said inflation had declined to 7 percent in February before geopolitical tensions affected the outlook. He noted that higher food and energy prices pushed core inflation to 8.2 percent but expected inflationary pressures to ease once regional tensions subside. He also rejected concerns regarding import restrictions, saying Pakistan made external payments of $4.5 billion in April without imposing import controls.

So pakistan having highest taxes, highest unemployment , major failure in tax reforms, high subsidies to the rich, extremely high prices is considered being “on track” ?

If failure was a person. This guy is