Federal Minister for Economic Affairs Ahad Cheema held a meeting with the President of the Japan International Cooperation Agency (JICA), Dr. Tanaka Akihiko, who was accompanied by a high-level delegation, to discuss avenues for strengthening bilateral development cooperation and expanding JICA's support for Pakistan's priority sectors.
Welcoming the JICA President and his delegation, the Minister appreciated JICA's longstanding partnership with Pakistan and acknowledged its significant contribution to the country's socio-economic development over the past seven decades. He noted that Japan's Official Development Assistance to Pakistan, amounting to approximately US$11.7 billion, has played a vital role in advancing key sectors, including energy, transport infrastructure, industry, agriculture, water resources, health, education, and security.
During the meeting, the Minister invited JICA to consider co-financing the Main Line-1 (ML-1) Railway Project, highlighting that the Asian Development Bank (ADB) and other development partners are already supporting the strategic initiative. He emphasized that the modernization of ML-1 would strengthen Pakistan's transportation network, facilitate trade, improve industrial connectivity, and contribute significantly to sustainable economic growth. In response, Dr. Tanaka acknowledged the importance of the project and stated that JICA would consider the proposal.
The Minister also emphasized the importance of investing in skilled workforce development to enhance Pakistan's human capital and meet the evolving demands of domestic and international labour markets. The JICA President expressed his support for the proposal and indicated that JICA would facilitate Pakistan in this area by considering the initiative as part of its future project pipeline.
Highlighting the growing importance of the digital economy, the Minister sought JICA's support for upgrading internet infrastructure in rural areas of Pakistan to improve digital connectivity and create greater opportunities for freelancers, entrepreneurs, and e-commerce businesses. Dr. Tanaka appreciated the proposal and acknowledged its potential to contribute to inclusive economic development.
The Minister further requested JICA's assistance in conducting feasibility studies for major development projects, noting that high-quality project preparation is essential for attracting investment and ensuring successful implementation. The JICA President reaffirmed that feasibility studies are among JICA's core strengths and assured the Minister of the agency's support in assisting the Government of Pakistan in this area.
The Minister also underscored the vast potential for cooperation in promoting Pakistan's tourism sector, particularly through the preservation, conservation, and upgradation of Gandhara art and civilization sites. He observed that enhanced collaboration in this field would help promote cultural tourism and strengthen people-to-people ties between Pakistan and Japan. Dr. Tanaka welcomed the proposal and said JICA would give it due consideration.
Briefing the delegation on Pakistan's economic outlook, the Minister reaffirmed the Government's commitment to prudent macroeconomic management and comprehensive structural reforms aimed at ensuring long-term economic stability and sustainable growth. He noted that following the successful completion of the IMF Stand-By Arrangement (SBA), Pakistan's engagement under the Extended Fund Facility (EFF) and the Resilience and Sustainability Facility (RSF) has progressed substantially, with the country meeting all quantitative performance criteria.
He added that the economy is now firmly on a path of consolidation, supported by sustained reforms and improving macroeconomic indicators. The JICA President welcomed the Government's economic reform agenda and appreciated its efforts to strengthen the country's economic fundamentals.
Both sides reaffirmed their shared commitment to further deepening Pakistan-Japan development cooperation and agreed to continue close engagement in identifying new opportunities for collaboration in infrastructure development, human resource development, digital transformation, tourism, and other sectors of mutual interest, with the objective of promoting sustainable and inclusive economic growth in Pakistan.
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