Pakistan calls for country-led, results-based approach to global development financing
The country has long struggled with foreign loans and aid programs that often impose rigid conditions, restricting its ability to pursue development goals on its own terms. Facing recurring external financing gaps, high debt servicing costs and limited fiscal space, Pakistan has also called for greater access to low-cost financing to support areas like climate adaptation and social spending without deepening its debt burden.
Finance Minister Muhammad Aurangzeb raised these issues during his address at the Fourth International Conference on Financing for Development (FfD4) in Spain.
'In his remarks, the Finance Minister laid out a ... comprehensive strategy ... to foster meaningful progress,' said a statement issued by the Ministry of Finance. 'As a first step, he stressed the need for urgent execution of priority actions to transition from pledges to tangible delivery.'
'This, he noted, must involve greater country ownership of development agendas, with national strategies taking precedence over donor-driven models,' the statement added. 'Aligning frameworks with domestic priorities is key to ensuring sustainability and relevance on the ground.'
Aurangzeb also called for expanding access to concessional and blended financing, particularly for investments aligned with the Sustainable Development Goals (SDGs) and climate resilience.
He emphasized that international financial institutions and credit rating agencies should account for a country's reform efforts, developmental ambitions and climate vulnerabilities when assessing risk and setting lending terms.
The minister further advocated for a shift in how development cooperation is approached within developing countries, arguing for a move away from input-focused models toward results-driven strategies linked to measurable outcomes.
He underscored the importance of integrating cross-cutting priorities, such as gender equity, digital inclusion and climate resilience, into national development plans.
Aurangzeb also urged a scale-up of South-South and triangular cooperation, describing such partnerships as more contextually grounded and effective than externally imposed frameworks.
The minister reaffirmed Pakistan's commitment to building inclusive, results-driven partnerships during the conference.
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