Pakistan must act on climate change or face economic setbacks, warns FinMin Muhammad Aurangzeb
\n ISLAMABAD
\nFinance Minister Muhammad Aurangzeb has expressed confidence that Pakistan will soon receive positive news from the International Monetary Fund (IMF), saying that negotiations are in their final stages with no major hurdles in the way.
\nSpeaking to journalists on Friday, the minister reassured that Pakistan is on track to meet the IMF\u2019s economic discipline targets. He emphasised that discussions with the global lender are progressing smoothly and that the ongoing talks will conclude soon.
\nAurangzeb underscored the government\u2019s commitment to economic reforms, adding that Pakistan is adhering to the agreed-upon financial framework.
\nHe noted that the country remains focused on fiscal responsibility, which will help secure the next tranche of funding.
\nPakistan and the IMF have made significant progress towards reaching a Staff-Level Agreement (SLA) on the first review of the $7 billion loan programme.
\nIMF Mission Chief to Pakistan Nathan Porter, in a statement last week after concluding his visit, said: \u201cThe IMF and the Pakistani authorities made significant progress toward reaching a Staff Level Agreement on the first review.\u201d
\nThe IMF team, led by Porter, was in Pakistan from February 24 to March 14 to hold discussions on the first review of Pakistan\u2019s economic programme supported by the EFF and the possibility of a new arrangement under the lender\u2019s Resilience and Sustainability Facility (RSF).
\nThe country\u2019s latest loan programme, secured by the Prime Minister Shehbaz Sharif-led government last year, has played a key role in stabilising Pakistan\u2019s economy and the government has said the country is on course for a long-term recovery.
\nIf the IMF approves the first review of the loan, the country is in line to receive about $1bn as the second instalment of the loan package.
\nClimate change threats
\nSeparately, while addressing an event, the finance minister spoke about the growing challenges posed by climate change. He highlighted the rapid melting of glaciers, the economic disruptions caused by fog in Lahore, and the country\u2019s overall vulnerability to environmental shifts.
\nAurangzeb stressed the need for a structured climate financing system to combat these threats. He revealed that Pakistan had held positive discussions with the IMF over the past two weeks regarding climate financing and disaster recovery.
\nHe further disclosed that international donors have pledged $10 billion for flood rehabilitation projects, but Pakistan has struggled to develop viable implementation plans to fully utilise the assistance. He urged the need for practical and actionable climate projects to secure future funding.
\nThe minister acknowledged that pollution levels are rising and controlling environmental degradation remains a significant challenge. He affirmed that the finance ministry would extend full cooperation to the climate change ministry to address these concerns.
\nPakistan\u2019s water cycle has been adversely affected, and insufficient winter rainfall signals a growing environmental crisis, FinMin Aurangzeb warned. The minister stressed that climate change and population growth are two major threats that the country must tackle urgently.
\nAurangzeb also noted progress in Pakistan\u2019s partnership with the World Bank, particularly in financing and capacity building for climate resilience. He cited the work done by the Everest K2 Research Centre as a positive step in understanding glacial melt patterns and their impact on water resources.
\nEmphasising the urgency of the matter, the finance minister called for reducing project timelines to counter environmental risks effectively. He reiterated that failure to address climate challenges would have severe economic consequences for Pakistan.<\/p>\n","protected":false},"excerpt":{"rendered":"
Pakistan must act on climate change or face economic setbacks, warns FinMin Muhammad Aurangzeb ISLAMABAD Finance Minister Muhammad Aurangzeb has expressed confidence that Pakistan will soon receive positive news from the International Monetary Fund (IMF), saying that negotiations are in their final stages with no major hurdles in the way. Speaking to journalists on Friday, […]<\/p>\n","protected":false},"author":2,"featured_media":465104,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[2],"tags":[],"class_list":{"0":"post-468375","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"has-post-thumbnail","7":"category-top-news"},"yoast_head":"\n