Finance Minister Muhammad Aurangzeb said floods could affect Pakistan’s 4% growth goal but expects 3.5% growth this year.
ISLAMABAD: (UruPoint/UrduPoint / Pakistan Point News-Oct,22, 2025) Federal Finance Minister Muhammad Aurangzeb has said that Pakistan’s target of achieving 4% economic growth this year may be difficult to meet due to the recent floods.
In an interview with Chinese media, the finance minister highlighted Pakistan’s economic progress, noting improvements in foreign exchange reserves, a decline in inflation, and a reduction in the policy rate. He stated that the current reserves are sufficient to cover two and a half months of imports.
Aurangzeb added that inflation has fallen to single digits, and Pakistan’s economic achievements have been recognized internationally, with three major global rating agencies upgrading the country’s credit rating.
He mentioned that Pakistan’s GDP grew by 3% in the last fiscal year, while this year’s target of over 4% growth might be slightly affected by flood-related challenges. However, he expressed confidence that the economy could still achieve around 3.5% growth.
The finance minister further stated that the second phase of the China-Pakistan Economic Corridor (CPEC) is progressing well, and new investment opportunities from China are currently under consideration.
