Former SBP Governor Shamshad Akhtar dies aged 71

Shamshad Akhtar, the first and only woman to serve as governor of the State Bank of Pakistan and two-time caretaker finance minister, died at the age of 71, the finance ministry said on Saturday.

At the time of her death, Akhtar was serving as chairman of the Pakistan Stock Exchange, marking the rare distinction of having headed the country’s central bank, overseeing financial management and heading a central capital market institution.

She served as the 14th Governor of the State Bank of Pakistan from 2006 to 2009 and later assumed the role of Interim Finance Minister during the interim governments formed ahead of the 2018 and 2024 general elections.

Born in Hyderabad, Akhtar received his early education in Karachi and Islamabad and was known for his strong academic background. She graduated with a BA in Economics from the University of Punjab in 1974 and later obtained an MSc in Economics from Quaid-e-Azam University, Islamabad. She obtained an MA in Development Economics from the University of Sussex in 1977 and a PhD in Economics from the UK’s Paisley College of Technology in 1980.

Akhtar was also a Fulbright postdoctoral fellow and served as a visiting fellow at Harvard University’s Department of Economics in 1987.

President Asif Ali Zardari expressed deep sorrow over the demise of former State Bank Governor Shamshad Akhtar and paid tribute to her lifelong commitment to public service and her role in strengthening economic governance and financial management in the country.

In a post shared on X by presidential spokesperson Murtaza Solangi, the president said he was deeply saddened by Akhtar’s death and acknowledged her contribution to the economy and public finances. He prayed for elevation of the ranks of the departed soul and expressed heartfelt condolences to the bereaved family.

The Pakistan Stock Exchange also mourned the loss of its late chairman. “The Board and Management of Pakistan Stock Exchange express deep sorrow over the passing of Dr. Shamshad Akhtar, Chairman PSX. Dr. Akhtar was a distinguished leader whose legacy and service will always be remembered,” PSX wrote.

A financially savvy

Pakistan’s economic and financial community mourns the loss of Dr. Shamshad Akhtar, widely regarded as one of the country’s most influential economic leaders. Dr. Akhtar played an active, hands-on role during Pakistan’s most difficult economic periods, contributing to policy responses to balance of payments pressures and participating in critical negotiations with the International Monetary Fund (IMF) to help stabilize the economy.

She broke new ground in 2006 when she became the first woman to head the State Bank of Pakistan and served as its governor at a time when banking sector reforms and monetary tightening were central to economic governance. Her tenure is remembered for strengthening financial regulation and increasing the central bank’s independence and credibility.

Dr. Akhtar later returned to public service as finance minister in interim governments formed in 2023, where she was entrusted with managing fragile economic conditions, engaging with international lenders and ensuring continuity of fiscal and monetary policy during political transitions.

Beyond Pakistan, she built an exceptional global career, holding senior positions at leading international institutions. These included serving as World Bank Vice President for the Middle East and North Africa, Executive Secretary of UN ESCAP and senior leadership roles at the Asian Development Bank where she oversaw development, governance and financial programs across Asia.

In addition to his roles in the public sector, Dr. Akhtar also held leadership positions in Pakistan’s capital markets, including her association with the Pakistan Stock Exchange (PSX), where she chaired the PSX Board and contributed to improving corporate governance, market transparency and investor confidence.

While talking to Express Pakinomist, former Finance Minister Miftah Ismail expressed deep grief over Dr. Akhtar’s demise. “Deeply saddened to hear of the demise of Dr. Shamshad Akhtar. She was a great Pakistani who made her name both nationally and internationally. May she rest in peace. Ameen,” he said.

“Dr. Shamshad Akhtar was more than an accomplished economist. She was a trailblazer who opened doors for women in the financial industry. Her leadership, integrity and resilience made her a role model for generations aspiring to serve in financial and public policy roles,” commented Arif Habib Limited Research Head of Research Sana Tawfik.

I have always admired her. As a woman in a traditionally male-dominated world of finance, Dr. Akhtar that competence and courage can redefine leadership. She inspired countless young women to believe that they too belong at the highest decision-making tables, Tawfik added.

PSX CEO Farrukh H. Sabzwari also expressed grief and paid tribute to Dr. Shamshad Akhtar rich. When contacted, he said, “It is with deep sadness that we mourn Dr. Shamshad Akhtar, Chairman of the Pakistan Stock Exchange. Her visionary leadership, dedication and unwavering commitment to strengthening Pakistan’s financial landscape has left an indelible mark on our institution and the country.”

“This is a great loss not only to PSX but to Pakistan as a whole. We extend our deepest condolences to her family and loved ones and we honor her legacy with gratitude and respect,” he added.

Dr. Akhtar’s legacy extends far beyond the offices she held. Her passing marks the end of an era for Pakistan’s economic leadership, with colleagues and politicians remembering her as a steady hand during crises and a respected voice on the global financial stage.