Federal Finance Minister Muhammad Aurangzeb attended the 15th V20 Ministerial Meeting in the United States, where he underscored the escalating impact of floods in Pakistan and called for the immediate activation of the Loss and Damage Fund.
He also met with International Finance Corporation (IFC) Managing Director Makhtar Diop, discussing Pakistan’s economic progress and investment opportunities.
Focus on climate resilience and economic sustainability
Addressing the V20 session, the finance minister emphasized the increasing intensity and continuity of floods in Pakistan, describing them as a serious threat to the country’s socio-economic stability. He expressed gratitude to international partners for their cooperation in preparing Pakistan’s Climate Prosperity Plan, which aims to build resilience against climate-related disasters.
Aurangzeb assured the participants that the Pakistani government will finance flood-related rescue and relief operations through its own resources, reflecting a commitment to self-reliance and fiscal discipline.
He also pointed out that funding is available under the Country Partnership Framework to implement critical climate adaptation and infrastructure projects.
Call for swift action on global climate funds
Aurangzeb urged for the immediate operationalization of the Loss and Damage Fund, a mechanism designed to help developing nations recover from climate-induced disasters.
He also highlighted the need to accelerate decision-making processes within the Green Climate Fund, noting that bureaucratic delays are hindering timely disbursements to vulnerable countries like Pakistan.
Meeting with IFC managing director
On the sidelines of his US visit, the Finance Minister met IFC Managing Director Makhtar Diop to discuss bilateral cooperation and private sector development. He thanked the IFC for granting Pakistan regional hub status in its recent restructuring, describing the move as a strong vote of confidence in Pakistan’s economy.
During the meeting, Aurangzeb briefed the IFC chief on progress in the Reko Diq project and expressed optimism that Exim Bank would soon join as a project partner.
He praised IFC’s continued support in financial cooperation, digital payment rights initiatives, and its advisory role in sectors such as pharmaceuticals, electric vehicles, and commodity exchanges.
The two leaders also attended the signing ceremony of the Swap Agreement between the State Bank of Pakistan and IFC, marking a new phase in financial collaboration.
Positive outlook on IMF and global negotiations
Speaking to the media in Washington, Finance Minister Muhammad Aurangzeb described Pakistan’s negotiations with the IMF and World Bank as “positive and constructive.” He said that discussions with the US government and international institutions were also encouraging.
The minister confirmed that economic reforms were discussed in staff-level talks with the IMF, adding that Pakistan is “on the path of economic recovery.”
He noted growing confidence among American companies to invest in Pakistan and said that Chinese investment will further accelerate the country’s development prospects.
Vision for sustainable economic and climate progress
Aurangzeb reaffirmed Pakistan’s commitment to strengthening international partnerships for economic stability and climate resilience. He said the government remains focused on building a robust financial system, promoting green investment, and ensuring sustainable recovery from natural disasters.
