Will approach IMF if conditions are in Pakistan's favour: Asad Umer
Last updated on: 24 January,2019 08:06 pm
Economy will see enduring stability on completion of the tenure of PTI government.
ISLAMABAD (Dunya News) – Finance Minister Asad Umar on Thursday said that the government would approach the International Monetary Fund (IMF) only when the conditions are in the favour of Pakistan’s economy and people.
Addressing a press conference in Islamabad on Thursday, he said with the announcement of economic reforms package at the National Assembly yesterday, the government has begun a roadmap but said a lot more work is still needed to be done.
The minister said that the friendly countries have supported us and the government took emergency steps to improve the situation. The alarming situation has been defused and the situation will improve further in the next two weeks.
“Economy will see enduring stability on completion of the tenure of PTI government due to effective measures taken,” Umar said.
He said: “The government inherited a difficult economic situation when it came to power with outstanding budget deficit of 19 billion dollars.” “The budget deficit had soared to a dangerous level and the foreign exchange reserves had also been falling.”
Umar went on to say that immediate steps were taken to ameliorate the financial situation and due to successful visits of Prime Minister Imran Khan to the friendly countries, it is satisfactory to note that financing gap has been bridged for 2019.
“We are thankful to friendly countries on reposing trust on our leadership,” he added.
The finance minister said the budget deficit due to imbalance between government expenditures and revenues, increasing trajectory of imports vis-a-vis exports and increasing investment are needed to be focused upon to make the economy work on strong footings in the years ahead.
Replying to a question, Umar said Pakistan will not compromise on harsh terms of any international financial institution, including IMF and IFC, adding that the negotiations with IMF continue but only such decision will be taken that is in best interest of Pakistan.
He told a questioner that interest rates of loans taken from Saudi Arabia, UAE and China are quite less from those offered by International Finance Corporation.
He said no new tax has been levied in the Finance Bill with the exception of different rates for luxury cars.