Senator Muhammad Aurangzeb, Minister for Finance and Revenue, has advocated for a more inclusive and equitable globalization that ensures the benefits of economic integration are shared with developing nations. He stressed the urgent need for a globalization framework that supports all economies, particularly those in the Global South, according to a press release issued on Wednesday.
Speaking at the Boao Forum for Asia Annual Conference 2025 in Boao, Hainan Province, China, Aurangzeb participated in a high-level session titled Inclusive Globalization That Benefits All – Pathways and Actions.
The Minister pointed out that although globalization has helped lift over a billion people out of poverty, it remains structurally imbalanced, favoring developed economies while sidelining less developed nations. He emphasized that the growing inequalities within the global economic system highlight the need for reforms.
Aurangzeb also warned that increasing protectionism, unilateral policies, and trade conflicts are deepening global divisions, disrupting supply chains, and weakening international collaboration. He stressed that for globalization to remain viable, it must be recalibrated to enable fair participation for all, especially those constrained by restrictive trade policies and limited financial access.
He further noted that the era of mere discussions is over, and it is now time for concrete actions. Developing nations, including Pakistan, are pushing for a globalization model that ensures fair trade, sustainable economic growth, and financial equity. According to Aurangzeb, this approach should be multilateral, technology-driven, and inclusive, fostering balanced development across all regions.
One of the major obstacles to inclusive globalization, he stated, is the widening wealth and opportunity gap. Developed countries continue to dominate high-tech industries, digital trade, and financial systems, whereas developing nations struggle with trade barriers, restrictive investment policies, and inadequate infrastructure.
In response, Pakistan has consistently called for improved regional connectivity, greater market access, and enhanced global cooperation. Aurangzeb highlighted initiatives like the China-Pakistan Economic Corridor (CPEC) and the Special Investment Facilitation Council (SIFC) as vital steps toward economic integration.
He also urged developing nations to form coalitions to collectively push for fairer trade regulations and stronger representation in international financial institutions. He stressed that these alliances are crucial in challenging unfair tariffs and trade restrictions that hinder developing economies from fully integrating into global markets.
Aurangzeb pointed out that Pakistan’s key economic sectors, such as textiles and agriculture, face serious challenges due to protectionist measures in developed nations and non-tariff barriers that limit their access to Western markets.
Addressing financial inequalities, the Minister underscored the need for debt relief and restructuring mechanisms to prevent recurrent debt crises that stifle economic growth in emerging economies. He highlighted that global debt has surpassed $100 trillion, with more than 60 percent of low-income countries at risk of financial distress, diverting resources from essential social and economic development.
He called for urgent reforms in international financial institutions to grant developing nations greater financial flexibility and sustainable debt relief options.
Additionally, Aurangzeb emphasized the role of technology in reducing global disparities, urging governments and international organizations to establish global artificial intelligence (AI) initiatives and allocate funds for digital inclusion in developing economies.
While Pakistan has launched the Digital Pakistan program, he stressed the importance of stronger international cooperation in AI, fintech, and e-commerce to support small and medium enterprises (SMEs) and ensure inclusive economic growth.
On the issue of climate change, the Minister argued that it must be central to discussions on globalization. He pointed out that while developing countries contribute less than 10 percent of global carbon emissions, they bear the brunt of climate disasters. Pakistan, contributing less than 1 percent of emissions, remains among the most climate-vulnerable nations.
Referring to the 2022 floods that caused $30 billion in damages and displaced 33 million people, Aurangzeb called for urgent climate financing, green technology transfers, and fair global climate policies to enhance climate resilience in developing nations.
In his concluding remarks, he urged developed countries to fulfill their $100 billion annual climate finance commitments and prioritize renewable energy partnerships to support the transition of emerging markets toward low-carbon economies. He also called for the reduction of carbon-intensive trade policies that penalize export-dependent economies in the Global South.
Finally, the Minister reiterated the need for reforms in the global financial system, including increased Special Drawing Rights (SDRs) allocations and the promotion of green bonds and blended finance models to attract private investment in emerging markets. He emphasized that the future of globalization must be defined by inclusivity, fairness, and shared prosperity, urging immediate action.
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