During the New Global Financial Pact Summit in Paris, Prime Minister Shahbaz Sharif of Pakistan engaged in a productive conversation with Islamic Development Bank (IDB) President Dr. Muhammad Al Jasser. The summit served as a backdrop for discussions between the two leaders, who engaged in a friendly and productive dialogue.
A meeting that ended with a fond farewell, the Prime Minister and the IDB President were seen departing hand in hand, with Al Jasser leading the way. The rapport between the two was evident in a warm exchange wherein Al Jasser expressed his affection for Pakistani mangoes, a gift promised to him by the Prime Minister. Sharif also extended an invitation to Al Jasser to visit Pakistan at his earliest convenience.
A subsequent press release from the Prime Minister’s Office outlined the key topics of their discussion. The leaders reflected on the enduring relationship between Pakistan and the IDB, assessing progress on ongoing projects and considering potential areas for further cooperation.
Prime Minister Sharif expressed his gratitude to Dr. Al Jasser on behalf of the Pakistani government and its citizens for the IDB’s role in the International Conference on Climate Resilient Pakistan, held in Geneva on January 9, 2023. Sharif praised the IDB’s commitment to offering $4.2 billion in support of Pakistan’s recovery from devastating floods and recognized Dr. Al Jasser’s instrumental leadership role in securing this substantial financial aid.
The Prime Minister emphasized the invaluable contribution of IDB’s partnership with Pakistan in aiding the country’s residents to reconstruct their lives and livelihoods. He further highlighted how this alliance supports the government’s sustainable development objectives.
Dr. Al Jasser was informed about the newly-established Special Investment Facilitation Council during the meeting. The council aims to facilitate foreign investment in Pakistan by providing a comprehensive solution to address concerns of foreign investors.
The New Global Financing Pact Summit, taking place from June 22 to 23, is the Prime Minister’s current engagement at the invitation of French President Emmanuel Macron. At this forum, Sharif has urged the global community to develop a strategy for the fair and judicious allocation of resources to promote sustainable world peace and harmony.
The Summit, framed by France as a forum for consensus-building, places leaders under scrutiny to generate tangible results amidst mounting global debt and successive crises in recent years. There is an increasing awareness of the financial challenges we face and the need to significantly boost clean energy investment in developing nations to effectively curb global warming.
In a significant development at the summit, IMF Director Kristalina Georgieva announced the successful mobilization of $100 billion in “special drawing rights” to support a climate and poverty fund.
Furthermore, World Bank President Ajay Banga revealed the introduction of a debt repayment “pause” mechanism for countries affected by a crisis. This allows them to concentrate on crucial matters without the stress of impending debt. Other financial commitments include a €2.5 billion pledge by wealthy nations and multilateral development banks to assist Senegal in reducing its reliance on fossil fuels, and an agreement by China and other creditors to restructure $6.3 billion in loans for Zambia, which defaulted on its debt following the outbreak of the Covid pandemic.
