Aurangzeb seeks World Bank, IFC support on debt management and capital markets

WASHINGTON: Finance Minister Muhammad Aurangzeb on Monday called for stronger technical assistance for Pakistan’s debt management during meetings with senior World Bank Group and International Finance Corporation officials in Washington, according to statements issued by the Ministry of Finance.

Aurangzeb arrived in Washington earlier in the day to represent Pakistan at the International Monetary Fund and World Bank Group Spring Meetings 2026. He is expected to attend more than 50 high-level meetings scheduled from April 13 to 18.

In a meeting with World Bank Vice President Jorge Familiar Calderon, the finance minister congratulated him on his recent appointment and highlighted what the ministry described as the important role of the World Bank Group Treasury in helping developing countries improve access to capital markets, financial innovation, and advisory support in debt and risk management.

According to the ministry, Aurangzeb outlined Pakistan’s diversified financing strategy, referring to instruments including Sukuk and environmental, social, and governance-linked financing, along with efforts to access non-traditional markets. He also pointed to ongoing work to deepen the domestic bond market as part of broader efforts to reinforce Pakistan’s financial system.

The statement said the minister stressed the value of knowledge sharing and capacity building and sought enhanced technical support, advanced analytical tools, and specialised training for Pakistan’s Debt Management Office to improve long-term financial resilience. The adviser of the Ministry of Finance’s Debt Management Office would act as the focal person for coordinating collaborative programmes with the World Bank Group.

Meeting with IFC chief

In a separate meeting with International Finance Corporation Managing Director Makhtar Diop, Aurangzeb asked for IFC support in developing Pakistan’s capital markets, drawing on successful examples from comparable economies, the ministry said.

The finance minister also referred to the economic effects of the ongoing conflict in the Middle East and said the government was closely monitoring the evolving situation and responding in a timely and effective manner, according to the statement.

He appreciated the IFC’s continued support for Pakistan, particularly its role in mobilising local currency financing. The ministry said he underscored the need to further expand IFC engagement to encourage private sector investment, improve productivity, and support job creation.

Aurangzeb also acknowledged the IFC’s contribution to trade finance and described it as critically important in the current economic environment. The statement added that he called for closer cooperation between the IFC and Prime Minister Shehbaz Sharif’s Task Force on Agriculture to support growth and innovation in the sector.

He also appreciated the IFC’s evolving capital mobilisation strategy, particularly its shift from a traditional balance sheet approach to an originate-and-distribute model aimed at leveraging private capital at scale. The ministry said the meeting reaffirmed the strong partnership between Pakistan and the IFC and reflected a shared commitment to sustainable economic growth through private sector development.

Talks on demographic challenges and social protection

Separately, Aurangzeb met World Bank Managing Director (Operations) Anna Bjerde and highlighted the need for a coordinated federal and provincial approach to address Pakistan’s demographic challenges effectively, the finance ministry said.

During the meeting, he appreciated the World Bank Group’s longstanding support for Pakistan’s reform and development agenda. The two sides also discussed Pakistan’s economic outlook, including the management of first- and second-order effects arising from the ongoing conflict in the Middle East, according to the statement.

The ministry said both sides agreed on the importance of strengthening social protection measures to shield vulnerable segments of the population from the impact of external shocks.

The meeting also reviewed progress under the Country Partnership Framework. While noting meaningful progress in several priority areas, both sides stressed the need for continued efforts to fully achieve the framework’s objectives.

The statement added that Aurangzeb requested World Bank Group support for the development of a comprehensive master plan to address Pakistan’s demographic challenges.

He called for enhanced technical support, advanced analytical tools, and specialised training for Pakistan’s Debt Management Office to strengthen long-term financial resilience.