At the Pakistan Policy Dialogue in Islamabad, Deputy PM Ishaq Dar called for policy continuity, reform discipline and tech-driven governance to reset Pakistan’s economy.
Policy Continuity at the Heart of Economic Reset
Deputy Prime Minister and Foreign Minister Senator Muhammad Ishaq Dar placed policy continuity and responsible governance at the centre of Pakistan’s economic reset. Speaking as Chief Guest at the Pakistan Policy Dialogue, “Correcting Course: Pakistan’s Economic Reset,” in Islamabad, he said the goal was to strengthen the foundations of the economy rather than seek quick fixes.
Dar argued that durable reform depends on consistent policies and institutions that keep functioning beyond political cycles. When governments change, he noted, the overall direction of economic policy should remain steady so investors and businesses can plan with confidence.
He also called for a technology-enabled approach to governance. Digital tools, better use of data and faster decision-making, he said, can improve public service delivery and help turn policy intent into measurable outcomes for citizens and firms.
On the foreign policy side, Dar said Pakistan’s diplomatic outreach is increasingly focused on economic interests, with a stronger emphasis on exports, investment and job-creating partnerships.
Pakistan Policy Dialogue: Shared Platform for Reform
The Pakistan Policy Dialogue brought together senior policymakers, business leaders and development experts to debate how to reset the economy on realistic and reform-focused lines. Discussions covered growth-oriented policy choices, institutional strengthening, digitisation and the need to move from firefighting to long-term planning.
The Dialogue was organised by the Policy Research and Advisory Council (PRAC) with the Corporate Pakistan Group and Nutshell Group as partners, and the Ministry of Commerce and the Trade Development Authority of Pakistan as Founding Partners. Bank Alfalah and BankIslami supported the event as Platinum and Gold Partners.
In the opening session, “Resetting Pakistan’s Economic Direction,” Planning Minister Prof. Ahsan Iqbal, Finance Minister Senator Muhammad Aurangzeb and Climate Change Minister Senator Dr. Musadik Malik shared the stage with former State Bank Governor Dr. Ishrat Husain, Privatisation Adviser Muhammad Ali, PRAC Chairman Muhammad Younus Dagha and former Investment Minister Muhammad Azfar Ahsan.
Speakers agreed that while Pakistan has progressed since independence, it still lags behind peer countries on literacy, health, institutional strength and export competitiveness. A durable reset, they said, must combine macro stability with investment in human capital and productivity.
Digital Transformation, Climate Action and Green Growth
Former State Bank Governor Dr. Ishrat Husain noted that technology has shifted global growth towards services, yet Pakistan remains heavily focused on goods. To stay competitive, he said, the country must invest in human resources and expand technology-based service exports such as IT and business process outsourcing.
A session on bridging the digital divide focused on digital infrastructure, payments and inclusion. Jazz CEO Aamir Ibrahim argued for a cashless economy and wider use of digital payments such as Raast QR codes. S&P Global’s Mujeeb Zahur said investors assess countries on digital infrastructure, policy stability and ease of doing business when pricing risk.
Another panel on green growth examined how to finance climate action in a vulnerable country like Pakistan. Planning Commission Member Nadia Rahman said limited fiscal space means decarbonisation must rely on private capital through tools such as green bonds, sukuk, carbon finance, public-private partnerships and debt-for-climate swaps.
Competitiveness and Moving from Dialogue to Delivery
A session on competitiveness looked at tariff reforms, market openness and the gap between the traditional economy and Pakistan’s emerging startup and SME ecosystem. Adviser Khurram Schehzad said recent budget measures aim to phase in customs and tariff changes over five years and move away from purely enforcement-led policies.
Lucky Cement CEO Mohammad Ali Tabba said landmark privatisations and Pakistani firms acquiring exiting multinationals show that the private sector has the capability to drive growth. However, he stressed that structural bottlenecks in energy, water and exports must be addressed and that Pakistan should target 5–6 percent annual growth to create jobs and build resilience.
PRAC Chairman Muhammad Younus Dagha closed the Dialogue by stressing human resource development and multi-stakeholder collaboration. He noted that Pakistan has moved from default risk to a more stable macro position, but that sustaining this progress will depend on AI-ready skills, productive cities, effective local governments and predictable policies that reassure investors.
Participants agreed that the next step is to turn conversation into action by strengthening partnerships between the state, policymakers, business leaders, financial institutions and development partners so that Pakistan’s economic reset produces tangible results.
