PM orders swift setup of private equity fund to drive growth

ISLAMABAD: Prime Minister Shehbaz Sharif on Monday directed relevant authorities to expedite the establishment of a private equity fund aimed at boosting private sector investment, fostering small and medium enterprises (SMEs), and driving sustainable economic growth in Pakistan.

Chairing a review meeting on private investment and macroeconomic stability, Sharif instructed officials to formulate a comprehensive roadmap to strengthen both public equity markets and alternative private equity channels.

The initiative is intended to broaden available investment funds and pave the way for increased foreign direct investment (FDI).

“Fostering private investment is essential for the country’s economic progress,” Sharif said during the meeting.

He noted that private equity funds serve as vital catalysts for injecting capital into the economy, expanding commercial enterprises, and generating employment opportunities.

The prime minister highlighted key growth drivers including minerals, agriculture, livestock, energy, and information technology, emphasizing that public equity markets must play a pivotal role in funding development across these high-potential sectors.

Addressing existing financial bottlenecks, Sharif pointed out that bank financing for long-term commercial investment remains limited, stressing that developing alternative investment instruments has become an urgent economic imperative for the country.

“The government is prioritizing measures that build Pakistan’s economy on strong and sustainable foundations through private-sector-led investment, industrial expansion, and export growth,” Sharif added.

The meeting was attended by Deputy Prime Minister and Foreign Minister Ishaq Dar, Minister of State for Finance Bilal Azhar Kayani, Special Assistant to the PM Haroon Akhtar and officials from relevant ministries and financial institutions.