Pakistan’s economy grows 3.7%, forex reserves hit $21.4bn Aurangzeb
— October 7, 2026KARACHI (AIA) Finance Minister Muhammad Aurangzeb has said Pakistan continues to consolidate its macroeconomic gains, with foreign exchange reserves reaching $21.4 billion a few weeks ago, the highest level in the country’s history.
Virtually addressing the 10th Annual Microfinance Conference in Karachi, Aurangzeb said the reserves are sufficient to cover three months of imports.
He said Pakistan is now moving towards growth, with the economy expanding by 3.7 per cent during the last financial year. Growth of 4 per cent has been projected for the current financial year.
The finance minister reaffirmed the government’s commitment to sustainable and responsible economic growth to avoid boom-and-bust cycles and further strengthen the private sector’s role in economic activity.
He also stressed the need to widen access to financial resources for people and communities with limited access to financial services. Around Rs6 billion has been approved and more than Rs2 billion disbursed to small farmers under a collateral-free financing scheme over the past seven to eight months, he said.
Aurangzeb called for stronger cooperation between commercial banks and the microfinance sector to expand financing for SMEs, agriculture and affordable housing.
He said the export refinance limit has been increased from Rs1 trillion to Rs1.5 trillion, with 20 per cent of the facility earmarked for SMEs.
