Pak, China engage in high-level talks on energy sector reforms
Islamabad: Finance Minister Senator Muhammad Aurangzeb and Minister for Power Sardar Awais Ahmad Khan Leghari engaged in high-level discussions with Chinese authorities to address the challenges in Pakistan’s energy sector, as reported on August 9.
As per details, minister Aurangzeb welcomed the Chinese delegation, emphasizing the enduring and robust relationship between Pakistan and China. He highlighted recent positive developments in Pakistan’s economy, including an uptick in foreign exchange reserves, reduced inflation, and improved tax collection. The minister underscored the government’s commitment to implementing significant reforms in state-owned enterprises (SOEs) and pursuing privatization efforts to drive economic growth. A key point of discussion was Pakistan’s request for China to reprofile the debt related to its power sector. Aurangzeb reiterated Pakistan’s dedication to securing increased foreign direct investment (FDI) and emphasized the country’s focus on export-led growth as a cornerstone of its economic strategy. Minister Leghari also expressed his deep appreciation for China’s substantial investment in Pakistan’s energy sector, acknowledging the critical role it plays in the country’s development. He outlined the government’s ongoing reforms aimed at resolving persistent challenges in the energy sector and ensuring its long-term sustainability.
In response, China’s Chargé d’Affaires Shi Yuanqiang reaffirmed Beijing’s commitment to supporting Pakistan’s economic development. He noted that the Chinese Embassy was actively coordinating with relevant departments in both countries to ensure the successful implementation of agreements reached during recent high-level visits. Last month, Finance Minister Aurangzeb announced that Pakistan had initiated discussions with China on reprofiling its energy sector debt, focusing on a project-by-project approach. He added that Pakistan intends to appoint a local advisor in China to facilitate this complex process.