Climate Change a Battle for Survival — Government Can’t Fight Alone, Says Finance Minister

Karachi: Federal Finance Minister Muhammad Aurangzeb has emphasized that climate change is a battle for survival and the government alone cannot tackle it without the active involvement of the private sector. Speaking at a workshop organized by the Pakistan Banks Association, the minister highlighted two major challenges facing Pakistan — a rapidly growing population and climate change.
He revealed that Pakistan is working with the World Bank on a comprehensive six-point framework, with two of those dimensions directly focused on climate resilience. He urged the private sector to step up and support the government in its climate change mitigation efforts.
The government cannot fight this alone. The private sector must lead. Our role is to create a conducive business environment,” Aurangzeb said. He added that climate action requires long-term thinking and sustainable investment, not just short-term fixes.
Addressing economic progress, the minister noted that the Pakistan Stock Exchange is breaking previous records and that global rating agencies and Gallup surveys have given positive feedback on Pakistan’s economic direction. He said reforms in tariff structures, customs duties, and regulatory duties are planned over the next 4–5 years to boost exports.
Aurangzeb also announced that future budgets of the Federal Board of Revenue (FBR) will be developed by the newly established Tax Policy Office, marking a shift in policy planning. He stressed the importance of moving toward a cashless economy — a goal personally overseen by the Prime Minister — and stated that a Capital Markets Development Council will soon be formed, involving the State Bank and other financial institutions.
He shared that in the coming months, policies on tariffs, electric vehicles, and digital transformation will be finalized, while Haroon Akhtar is leading work on a new industrial policy. The minister also mentioned steps being taken to privatize three DISCOs (power distribution companies) and address circular debt in the gas sector.
Funds are available — now is the time to mobilize them for bankable investment projects,” Aurangzeb said, adding that Mustafa Kamal is playing a key role in population control initiatives, and women’s economic participation is vital for poverty reduction.
He also revealed that Pakistan will soon undergo a review by the IMF team for the recently signed 37-month program and expressed confidence in Pakistan’s long-term economic outlook, envisioning a developed economy by 2047.
In a media interaction following the event, Aurangzeb said Pakistan’s anti-money laundering laws are strong and were instrumental in the country’s removal from the FATF grey list. He added that post-rain damage in KP is under discussion with provincial authorities and that relief and rehabilitation efforts are the first priority.
SBP Governor and SECP Chairman Also Address Economic Reforms**
Earlier, State Bank Governor Jameel Ahmad said the country is on a path to economic stability and growth. He pointed out that low domestic savings — just 7.4% — is a major hurdle, increasing reliance on foreign debt, which in turn affects inflation and balance of payments.
SECP Chairman Akif Saeed emphasized the government’s focus on promoting industrialization. He noted that while banks dominate the capital market with 25% capitalization and 34% share in the index, there’s a need to increase bank-led brokerage services and diversify asset management beyond fixed income.
Saeed concluded by saying the SECP is actively working to promote digitalization, transparency, and capital market growth through investor awareness, IPO facilitation, and policy consultations.