Prospected finmin likely to renounce Rs30m monthly salary, Dutch citizenship

• Muhammad Aurangzeb met with Nawaz Sharif. 
• Aurangzeb applied to renounce his dual citizenship.
• Chances of Ishaq Dar becoming finance ministry slim.

ISLAMABAD: Muhammad Aurangzeb, the likely finance minister of Pakistan, is expected to give up his monthly salary package of Rs30 million and Dutch citizenship, to assume the important position, The News reported Saturday. 

According to a source close to Aurangzeb, the prospective finance minister has initiated the process of renouncing his Dutch nationality. 

Although Prime Minister Shehbaz Sharif has yet to announce his cabinet, Aurangzeb has already met with Pakistan Muslim League-Nawaz (PML-N) supremo Nawaz Sharif.

The banker had also attended the first finance meeting chaired by the premier shortly after assuming the PM office, where former finance minister Ishaq Dar was notably absent.

Sources within the PML-N suggest that the likelihood of Dar holding the portfolio of the finance ministry is slim and is expected to be assigned another significant portfolio in the federal cabinet while Aurangzeb is being considered for the finance minister post.

With the top financial position in mind, Aurangzeb has applied to renounce his dual citizenship, as per Pakistani laws stipulating that a dual citizen cannot hold public office.

The likely FinMin currently ranks among the top five highest-paid bank CEOs. At present, he serves as president and chief executive officer (CEO) of Habib Bank Limited (HBL). The 2023 annual report of HBL reveals that Aurangzeb received an annual salary and other perks totalling Rs352 million from the bank, equating to nearly Rs3 crore per month, placing him among the top five highest-paid CEOs in Pakistan.

While Aurangzeb is prepared to sacrifice his lucrative job and dual nationality, it remains uncertain how he will address the country’s economic challenges. 

Financial experts are also questioning whether he will be granted autonomy to make financial decisions independently. It will be pivotal to observe his interactions with the International Monetary Fund (IMF) team in the coming weeks.

In a press briefing held in Washington, DC, Thursday, an IMF spokesperson confirmed the institution’s readiness to dispatch its mission to Pakistan following the formation of a new cabinet under the $3 billion Standby Arrangement (SBA) programme.

It is noteworthy that Aurangzeb has been associated with HBL since April 2018 as president and CEO. Before this, he served as CEO of JP Morgan’s Global Corporate Bank in Asia, accumulating over 30 years of rich international banking experience in other senior management roles at ABN AMRO and RBS based in Amsterdam and Singapore. Aurangzeb obtained his BS and MBA degrees from The Wharton School (University of Pennsylvania).

He was one of the highest-paid bankers in those international financial institutions.

Aurangzeb has been working under the leadership of HBL Chairman Sultan Ali Allana, who has been credited in the past for conceptualising Roshan Digital and behind-the-scene project management required to get Pakistan out of the Financial Action Task Force's Grey List.