The International Finance Corporation (IFC) has committed approximately $2.7 billion for Pakistan during the current year, aimed at strengthening private sector growth, expanding infrastructure investment, and supporting job creation initiatives.
The announcement came during a meeting between Federal Minister for Finance and Revenue Muhammad Aurangzeb and an IFC delegation led by Simon Andrews, Divisional Director for Pakistan, Afghanistan, and Central Asia.
IFC officials briefed the finance minister on the institution’s expanding engagement in Pakistan, noting that its annual investment portfolio now exceeds $2 billion, with commitments rising to nearly $2.7 billion this year.
Aurangzeb congratulated Andrews on his recent appointment and acknowledged the IFC’s growing role in Pakistan’s economic development through investments, trade finance programs, and advisory services.
Key areas of cooperation include strengthening the financial sector through risk-sharing and guarantee facilities designed to expand trade financing and improve credit access for small and medium enterprises. The IFC is also working to increase local-currency financing to help businesses manage foreign exchange risks.
Upcoming initiatives discussed during the meeting included the launch of a diversified payment rights facility and plans for a green bond issuance in collaboration with a major local bank.
Both sides also explored opportunities to scale up private sector participation in infrastructure and public-private partnership projects. While progress has been achieved in urban water management and distribution efficiency programs, officials emphasized the importance of developing a stronger pipeline of bankable projects in energy, transport, logistics, and agribusiness sectors.
The discussion further covered cooperation in entrepreneurship, innovation, and employment generation, including proposals to develop Pakistan’s venture capital ecosystem and enhance private sector input in policymaking.
Regional economic connectivity also featured prominently, with talks focusing on improving trade and infrastructure linkages with Central Asian markets.
The finance minister briefed the delegation on the government’s ongoing efforts to preserve macroeconomic stability, highlighting measures related to fiscal discipline, energy supply management, and targeted subsidy reforms amid global economic challenges.
Both parties reaffirmed their commitment to deepening collaboration to advance Pakistan’s reform agenda, stimulate private investment, and promote sustainable economic growth.
