Former SBP Governor Shamshad Akhtar passed away at the age of 71

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

At the time of her death, Akhtar was serving as the chairman of the Pakistan Stock Exchange, a rare distinction as head of the country’s central bank, overseeing fiscal management and head of a key capital markets institution.

She served as the 14th governor of the State Bank of Pakistan from 2006 to 2009 and later assumed the role of caretaker finance minister during the interim governments formed before the 2018 and 2024 general elections.

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

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

President Asif Ali Zardari has expressed deep sorrow over the death of former State Bank of Pakistan Governor Shamshad Akhtar, paying tribute to her lifelong commitment to public service and her role in strengthening economic governance and fiscal management in the country.

In a post shared to X by Presidential Spokesperson Murtaza Solangi, the president said he was deeply saddened by Akhtar’s death and acknowledged her contribution in the field of economy and public finance. He prayed for the upliftment of the deceased’s soul and expressed his deepest condolences to the family of the deceased.

The Pakistan Stock Exchange also mourned the loss of its late chairman. “The Board and Management of the Pakistan Stock Exchange are deeply saddened by the passing away of Dr. Shamshad Akhtar, Chairman of PSX. Dr Akhtar was a distinguished leader whose legacy and service will always be remembered, PSX wrote.

An economic lever

Pakistan’s economic and financial community mourns the loss of Dr. Shamshad Akhtar, who was widely regarded as one of the country’s most influential financial managers. Dr. Akhtar played an active, hands-on role during Pakistan’s most difficult economic times, 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 lead Pakistan’s state bank, serving as its governor at a time when banking reforms and monetary tightening were central to economic management. Her tenure is remembered for strengthening financial regulation and strengthening the independence and credibility of the central bank.

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

Beyond Pakistan, he has built an outstanding global career, holding senior positions in leading international organizations. These included World Bank Vice President for the Middle East and North Africa, Executive Secretary of UN ESCAP and senior leaders at the Asian Development Bank, where she oversaw development, governance and finance programs across Asia.

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

Speaking to the Express Tribune, former Finance Minister Miftah Ismail expressed his deep sorrow over the death of Dr Akhtar. “Deeply saddened to hear of the death of Dr. Shamshad Akhtar. She was a great Pakistani who made a name for herself 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 economic and public policy roles,” commented Arif Habib Limited, Sana Tawfik Research Lead.

I always admired her. As a woman in a traditionally male-dominated financial world, Dr. Akhtar proved that skill and courage can redefine leadership. She has 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 his grief and paid rich tributes to Dr. Shamshad Akhtar. When contacted, he said, “It is with deep sadness that we mourn the passing of Dr. Shamshad Akhtar, Chairman of the Stock Exchange of Pakistan. Her visionary leadership, dedication and unwavering commitment to strengthening Pakistan’s financial landscape have left an indelible mark on our institution and the country.”

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

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