ISLAMABAD  -  Minister for Finance and Revenue Senator Muhammad Aurangzeb Tuesday stressed the need for effective projects to address climate change challenges, advocating for active participation and financing from the private sector.

Addressing the “Climate Action for Pakistan” event organised by Acumen Pakistan, the minister highlighted that climate change was an international issue impacting many regions globally.

He noted that Pakistan was among the countries most affected by climate change and in 2022 floods, it suffered massive destruction and incurred losses estimated at $30 billion.

Aurangzeb mentioned that at the Geneva conference, various countries, bilateral and multilateral partners, and international organizations pledged over $9 billion in assistance for Pakistan. However, the country did not receive the promised funds.

The finance minister stressed that the private sector played a crucial role in climate financing and should assume leadership in this area.

He also indicated that there would be discussions with the International Monetary Fund (IMF) management board regarding climate financing, expressing confidence that the IMF’s Board of Directors would approve the staff-level agreement by the end of the month. Last month, Pakistan secured a new $7 billion IMF bailout agreement to keep its economy afloat and continue with structural reforms.

Aurangzeb assured that Pakistan’s economy was on a path to stability, with ongoing reforms aimed at fostering sustainable economic growth and development.

He emphasised the need for expanding the tax system, improving transparency, implementing energy sector reforms and enhancing governance.  “The current government is taking necessary measures in these areas,” he informed. “Pakistan requires increased resources to accommodate its growing population,” he noted.