Pakistan deepens global partnerships as Japan’s JBIC joins Reko Diq lender group
Aurangzeb seeks China’s support for BRICS-backed bank membership
WASHINGTON/ISLAMABAD: Finance Minister Muhammad Aurangzeb met with China’s Deputy Finance Minister Liao Min in Washington and sought Beijing’s support for Pakistan’s membership in BRICS’ New Development Bank (NDB), the Ministry of Finance said on Friday.
The meeting was held on the sidelines of the plenary meetings of the International Monetary Fund (IMF) and World Bank (WB) in Washington, DC, where Aurangzeb had arrived on Sunday on a six-day trip from Oct 13 to 18.
NDB — established in 2015 by the BRICS — is a multilateral development bank aimed at mobilising resources for infrastructure and sustainable development projects in BRICS, as per their website. In February, the Economic Coordination Committee (ECC) of the cabinet had approved Pakistan’s membership in the NDB.
In a statement issued on Friday, the ministry said, “Aurangzeb sought China’s support for Pakistan’s membership in the NDB and welcomed enhanced investment from Chinese enterprises in key sectors, including information and communication technology, agriculture, industry, and minerals.”
The minister briefed Min on the staff-level agreement reached with the IMF last week, terming it “external validation of the government’s ongoing economic reform agenda”.
The pair also discussed “latest developments regarding the issuance of the Panda Bond in the Chinese market”.
“The finance minister expressed gratitude to the office of the executive director [at the] IMF for extending full support to Pakistan during recent Board meetings,” the statement added.
Aurangzeb also extended an invitation to the Chinese official to visit Pakistan at a “mutually convenient time”.
Formerly the BRICS Development Bank, NDB was set up by founding members — Brazil, Russia, India, China and South Africa — to support public or private projects through loans, guarantees, equity participation and other financial instruments.
NDB is headquartered in Shanghai, China and has regional offices in other member states. India originally proposed that the bank simplify mutual settlement and lending operations among BRICS countries and reduce dependence on the US dollar and the euro.
The finance minister also met with US Congressman French Hill, who is the chairman of the US House Financial Services Committee.
As per the finance ministry, the pair discussed avenues for “strengthening Pakistan-US economic and financial cooperation, with particular emphasis on the digitisation of financial services, development of the new economy, mineral sector collaboration, and broader partnerships in information technology”.
Auragazeb also held meetings with representatives from Bangladesh, Japan and attended seminars arranged by the World Economic Forum (WEF) and JP Morgan.
Addressing the WEF’s dialogue on “Leveraging Innovation for Inclusive and Sustainable Growth“, the minister remarked that “technology must be guided by inclusion and resilience strategies and highlighted the role of AI-led monitoring in boosting efficiency and productivity.”
Meanwhile, Pakistan secured a significant boost in investor confidence after the Japan Bank for International Cooperation (JBIC) agreed to join the Reko Diq lender group, during Finance Minister Muhammad Aurangzeb’s series of high-level meetings in Washington DC. During his interaction, the finance minister met with Nobumitsu Hayashi, Governor of the Japan Bank for International Cooperation (JBIC), and “welcomed JBIC’s formal commitment to join the Reko Diq lender group, noting that this move would strengthen investor confidence and encourage Japanese businesses to expand their presence in Pakistan”. Staff Report
