Pakistan expects to raise more than $1 billion from privatizing five or six assets — Channel NewsAsia

In Bangkok, Thailand, Pakistan’s Finance Minister Muhammad Aurangzeb said the government expects to complete the privatization of five or six assets during this fiscal year. In his estimate, this could bring in more than $1 billion, Channel NewsAsia reports, citing Reuters . The minister also expects Pakistan’s economy to grow by more than 4% this fiscal year despite high oil prices. Growth forecast According to Aurangzeb, Pakistan, with a population of 255 million, has been able to secure sufficient fuel supplies and avoid shortages. He added that key sectors, including agriculture, remain resilient. The government is closely monitoring inflation because of its impact on commodity prices, the minister said. The country’s economy depends on energy imports from Gulf countries, remittances and financial support from the region, and also needs external financing to replenish foreign exchange reserves and make debt payments. More current news is available on the UA.News Telegram channel Telegram . In 2024, Pakistan agreed a 37-month, $7 billion Extended Fund Facility program with the International Monetary Fund. Last week, the country reached a staff-level agreement with the IMF that could potentially unlock about $1.21 billion in financing under the Extended Fund Facility and climate program. Negotiations and privatization Aurangzeb said Pakistan is continuing talks with the United States on a proposed $10 billion currency exchange rate stabilization mechanism. He did not provide a timeline for concluding the negotiations. Separately, the country is in talks with the Export-Import Bank of the United States and the U.S. International Development Finance Corporation. Following the privatization of Pakistan International Airlines last year, the government has about a dozen more assets in its plans. These include state-owned electricity distribution companies and outsourcing airport operations. Privatization is viewed as one of the indicators of the IMF’s confidence in Pakistan’s reforms. Officials previously noted that an inability to sell loss-making state-owned enterprises could once again increase pressure on public finances.