PM Shehbaz says Pakistan's macroeconomic indicators showing positive trend, reforms yielding results 

Davos (Web Desk): Prime Minister Shehbaz Sharif on Wednesday said Pakistan’s economy was gaining strength and moving ahead with renewed optimism, as positive trends in major economic indicators continued to emerge.

Speaking at an event held at the Pakistan Pavilion on the sidelines of the 56th Annual Meetings of the World Economic Forum (WEF) in Switzeland's Davos, the prime minister said the country had passed through a difficult phase of reforms that helped restore macroeconomic stability.

He added that the government’s attention was now firmly fixed on boosting exports and ensuring sustainable, long-term economic growth.

PM Shehbaz said inflation had been brought down dramatically from a peak of 30 percent to 5.5 percent, while the policy interest rate had been lowered from 22.5 percent to 10.5 percent, describing these developments as a result of prudent and disciplined economic policies.

He also noted encouraging progress in the information technology sector, with IT exports reaching nearly $3 billion a year through offshore channels.

The prime minister acknowledged that export performance still faced challenges but said the direction ahead was clear. He stressed that Pakistan must rely on export-led growth and pointed to reforms in revenue collection as a central element of this approach.

PM Shehbaz said the government had carried out fundamental reforms in the tax system, which was now being fully digitized. These steps, he added, had pushed the tax-to-GDP ratio up from 9 percent a few years ago to 10.5 percent, calling the increase a meaningful achievement.

Turning to sector-specific opportunities,  the premier said that agricultural exports had recorded solid performance in the previous year and that Pakistan was now entering the mining and minerals sector.

He said agreements had been finalized with American and Chinese companies to explore and develop the country’s largely untapped mineral resources in Gilgit-Baltistan, Azad Jammu and Kashmir, Khyber Pakhtunkhwa and Balochistan.

PM Shehbaz said Pakistan was also advancing quickly in emerging areas such as information technology, artificial intelligence and crypto, describing the country’s large youth population as both a pressing challenge and a powerful asset.

The prime minister said the federal and provincial governments were jointly running programs to equip young people with vocational and technical skills.

 He highlighted the work of the National Vocational and Technical Training Commission, noting that its initiatives were independently audited and internationally certified, allowing Pakistani youth to find decent employment in Gulf states and other regions.

On the diplomatic front, PM Shehbaz said Pakistan maintained strong economic relations with China and was expanding cooperation with the United States, particularly in the fields of mining, minerals, counterterrorism and technology.

He also referred to ongoing transparent privatization efforts, including Pakistan International Airlines, and said further privatization and outsourcing were planned in airports, power distribution companies and transmission networks.

Speaking about the International Monetary Fund (IMF) programme, the prime minister said Pakistan had fulfilled the Fund’s tough conditions in both letter and spirit, adding that the IMF was now citing Pakistan as a positive example for other developing countries.

As regards structural reforms, he said the government had taken difficult but necessary decisions to close inefficient and loss-making state institutions.

He said the Utility Stores Corporation had been shut down to stop the waste of public funds and address issues of poor-quality goods, while PASSCO and the Pakistan Public Works Department had also been closed. Despite resistance from vested interests, these steps had saved billions of rupees for the national exchequer.

PM Shehbaz said Pakistan had reached a stage where it was ready to move forward decisively, stressing that national unity, transparency and the continuation of reforms were essential for lasting economic progress and prosperity.