Federal Finance Minister Muhammad Aurangzeb has warned that climate change has become one of Pakistan’s most serious challenges, saying the country is now fighting for its survival due to its growing impact.

In a video address to the fourth Pakistan Climate Conference in Karachi, Aurangzeb said devastating floods in recent years have caused massive economic losses.

He recalled that floods in 2002 severely damaged the economy, while in 2025, nearly all provinces were affected by flooding in three major rivers.

The finance minister said the government is taking multiple steps to address climate risks despite funding constraints.

He noted that Pakistan has access to $1.3 billion in climate financing from the IMF, along with additional climate facilities from the World Bank and the Asian Development Bank.

Aurangzeb acknowledged that commitments made at the Sharm El-Sheikh climate summit had not been implemented as agreed, but stressed that Pakistan is working to mobilise resources through green bonds, green sukuk and the issuance of panda bonds in capital markets.

He added that the State Bank of Pakistan is supporting climate-related initiatives, while public-private partnerships could play a key role in delivering effective results.

The finance minister also highlighted ongoing collaboration with the NTDC and stakeholders in the energy sector.