ISLAMABAD: Minister for Finance and Revenue Senator Ishaq Dar reiterated idea of developing ‘Charter of Economy’ to keep economy out of politics on sustainable growth path and lead country towards progress.

“Politics must be detached from economy” he said at Second Pakistan Prosperity Forum on ‘Sustained Economic Growth: Roadmap and Roadblocks,” organised by Prime Institute and Business Recorder.

Instead of launching negative campaigns, political parties should force incumbent government to move country back on path where it was in 2017.

He lamented that Pakistan was going to be part of G20 in few years owing to policies of Pakistan Muslim League government, however instead of making collective efforts to reduce this timeline, negative campaigns put country away from target. However, he was optimistic that it was not late to enable country become part of G20 with collective efforts of all.

He said if conference are held abroad and people are told that Pakistan was debt trapped county, or corrupt country, who would choose it for investment.

Talking about debt issue, he said it was below Rs 25,000 billion when Pakistan Muslim League-N left in 2018 and if debt liabilities are added, it was calculated at Rs 30,000 billion. However, it reached to Rs 44,500 billion within few months after PML-N)left and stands at Rs 54,500 billion currently.

He said, rupee was allowed free fall to help enhance exports, which during three years, increased only by $ 800 million whereas country was inflicted loss of Rs 4,000 billion in terms of debt increase

He said, incentive packages of Rs 180 billion and Rs 67 billion provided to export-oriented industry in 2017-18 were based on performance of industry in enhancing exports.

Dar said, that his government had self-imposed debt limitation and fiscal responsibility and had fixed debt to GDP ratio at 60 percent.

He said, currently debt to GDP ratio of United States was 110 percent, United Kingdom 101 percent and in Japan 257 percent. He lamented that debt to GDP ratio has been hot topic in Pakistan but politicians in US, UK, Japan never make it an issue.

On exchange rate issues, he said in any system there are certain speculators, gamblers, hundawalas, who take country’s currency as hostage. So, if state did not come in play, “Then what will happen, is what has happened now.”

He said, Bank of England, Bangladesh and India do intervene, so governments had to make sure that abusive practices are checked. He said, Pakistan had constraints of foreign reserves, so it cannot afford these malpractices.

Published in The Daily National Courier, December, 15 2022

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