Pakistan’s Real Economy Is Near $1 Trillion, Says Finance Minister Aurangzeb

Finance Minister Senator Muhammad Aurangzeb said Pakistan’s real economy could be close to $1 trillion, nearly double the officially recorded figure. Speaking at a business session organized for the visiting Saudi business delegation at the Overseas Investors Chamber of Commerce and Industry (OICCI) in Karachi, Aurangzeb said the Prime Minister is personally leading two key reform tracks — tax reforms and Pakistan’s digital transformation toward a cashless economy. “Pakistan’s recorded economy stands at US$411 billion, but nearly half remains undocumented,” the minister said. “The real size of our economy is closer to a trillion dollars.” He added that digitization and documentation would be pivotal in broadening the tax base and improving fiscal stability. Aurangzeb reaffirmed that Pakistan’s economic growth must be driven by the private sector, with the government providing an enabling ecosystem for business and investment. He said macroeconomic stability had been restored, with all three major global rating agencies aligned for the first time in several years. Referring briefly to the recently approved Pakistan–Saudi Arabia Security Pact, the minister said the agreement reflects growing confidence between the two countries and paves the way for deeper economic collaboration. He also noted that Pakistan is in a constructive phase of talks with the IMF, with only a few pending matters before a likely staff-level agreement in Washington. Aurangzeb said the government is focused on converting stabilization into growth by promoting exports, improving energy efficiency, and accelerating digital transformation. “We are now in a phase where reform, documentation, and investment must go hand in hand,” he remarked.