ISLAMABAD: Minister for Finance and Revenue Senator Muhammad Ishaq Dar reaffirmed government’s resolve to fully honor all commitments made with International Monetary Funds (IMF) and other creditors, besides addressing issues faced by local business community.

Addressing a press conference, he categorically dismissed speculation with respect to approach Paris Club for rescheduling of loans of multi-lateral lenders and donor agencies, besides extending date of maturity of Pakistani bond in international market. Bond would be matured by December this year and all payments would be endured with in time to maintain and protect national sovereignty, he added.

He said that Pakistan is an independent and sovereign state and current government was fully determined to protect and maintain its national sovereignty and integrity, adding that all commitments made with creditors would be fulfilled in letter and spirit. He said that prior to current programme with International Monetary Fund government of Pakistan Muslim league-N had completed a programme with fund in 2016, adding that this time too, government protected all agreements done with monetary fund. 9th review with IMF is scheduled on October 25, he said adding that all previous commitments would be completed to successfully complete programme second time, besides maintaining reputation of country in international market. He said that Prime Minister had received complaints from business community in which they said that their shipments were stopped arriving, LCs opened and there was not any mechanism for payment due to unavailability of credit.

He said that this situation emerged due to bad governance and poor management of last regime, adding that foreign exchange reserves were reached to lowest level leaving very narrow space for opening LCs, adding that steps are being taken to address grievances of local business community.  He said that SBP had compiled data and as a first step it was decided that all pending payments worth upto $ 50,000 would be cleared, adding that about 7,952 payments would be made, which would help to clear about about 52 percent pending LCs.

On Special directives of Prime Minister, longstanding issue of export-oriented industry of country was also addressed and now 5 export oriented industries would be provided Rs 19.99 per unit, adding that it would help to flourish exports from country. Regarding recent Moody’s Credit rating, he said that they had complied report in haste, adding that ministry had submitted its response on its press release. Senator Ishaq said that Pakistan had faced even worse economic challenges during time of nuclear test in 1998 and it came out from crisis, adding that all challenges faced now would also be over come.

Published in The Daily National Courier, October, 11 2022

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