KARACHI: US Treasury Secretary Scott Bessent met with Pakistani Finance Minister Muhammad Aurangzeb and backed his country’s push to implement economic reforms and prepare for a return to international capital markets, the US Treasury said on Wednesday.
The statement did not address Pakistan’s request for a $10 billion exchange stabilization facility, first reported by Reuters. Aurangzeb delivered the request during the meeting, sources told Reuters.
He also held meetings with US EXIM Bank President John Jovanovic and senior officials of the International Monetary Fund (IMF) to discuss Pakistan’s macroeconomic performance during his visit to Washington.
During his meeting with Aurangzeb, Bessent emphasized the importance of sustaining the momentum of Pakistan’s reform agenda to promote durable economic growth and strengthen the country’s long-term economic resilience.
“Secretary Bessent welcomed the progress Pakistan has made in restoring macroeconomic stability and advancing fiscal consolidation, recognizing the government’s efforts to implement significant economic reforms,” the US Treasury said in a statement.
“Bessent expressed support for Pakistan’s efforts to build greater economic self-reliance and commended the government’s commitment to creating the conditions for a successful return to international capital markets.”
Pakistan has been hit hard by the Iran war, given its dependence on Gulf energy imports, remittances and financing support from the region.
The country narrowly avoided default in 2023 with a $3 billion IMF standby deal and later secured a $7 billion Extended Fund Facility, along with a separate $1.3 billion loan to build up its resilience to climate change and natural disasters. But its reserves still depend on official financing, rollovers and deposits from China and Saudi Arabia.
Islamabad’s request for the bilateral currency stabilization fund comes after it stepped up to broker talks on ending the Iran war, which helped raise its diplomatic profile and earned praise from the Trump administration.
Following Aurangzeb’s meeting with the EXIM chief, his ministry issued a statement welcoming the US export credit agency’s proposal to deepen ties, establish a multi-year transaction pipeline, and facilitate US financing.
“Both sides agreed to identify near-term transactions, designate focal persons, and work toward finalizing the strategic framework, with a view to having it signed on the sidelines of the United Nations General Assembly session in September 2026,” the minister said in a post on X.
EXIM confirmed the meeting took place in its own post on X, but gave no details about any US financing plans.
“Chairman @JJovanovicUSA met with Pakistan’s Minister of Finance and Revenue Muhammad Aurangzeb @Financegovpk to advance stronger economic cooperation and create new opportunities for American businesses to compete and win abroad,” it wrote.
The finance minister also held meetings with the senior IMF management, including Mr. Dan Katz, First Deputy Managing Director, Mr. Nigel Clarke, Deputy Managing Director, Mr. Jihad Azour, Director of the IMF’s Middle East and Central Asia Department, and Ms. Iva Petrova, Mission Chief for Pakistan, according to his ministry.
During the meetings, both sides reviewed Pakistan’s macroeconomic performance and progress under a $7 billion Extended Fund Facility (EFF), $1.4 billion Resilience and Sustainability Facility (RSF), and the broader IMF-supported reform program. Aurangzeb highlighted the country’s improved fiscal and external balances, achievement of revenue targets, stronger foreign exchange reserves, record remittances, and an improved current account position.
“Discussions also covered tax and energy reforms, privatization, tariff rationalization, debt management, diversification of financing sources, and Pakistan’s return to international capital markets,” the Pakistani finance ministry said.
“Both sides also exchanged views on human capital development, women’s economic participation, demographic challenges, technology-led growth, and private sector-led, export-oriented development,” it said, adding the finance minister reaffirmed his government’s commitment to fiscal discipline, policy credibility, structural reforms, and long-term economic transformation.
