- “Be a benefactor of your country,” says Ishaq Dar, despondently.
- “The hardest reforms have already been made,” he says.
- Dar once again ruled out the possibility of Pakistan defaulting.
ISLAMABAD: In a fresh dig at former finance minister Miftah Ismail, Finance Minister Ishaq Dar on Saturday said those predicting Pakistan’s default should be “ashamed” of themselves.
Fun Min Dar was angered by his party colleague and former minister, who recently said the country would default in October without revitalizing the stalled International Monetary Fund (IMF) program.
Ismail, who was ousted as finance minister in September last year, recently told reporters that delays in the IMF program had pushed the country’s economy into “current difficulties”.
“It is clear that Pakistan will default without the IMF program in the last quarter of this fiscal year, if not by the end of this fiscal year,” said Miftah, who has quit active politics.
Ismail said the IMF program is “essential” for Pakistan if it is to avoid default.
But countering Miftah’s pessimism about the country’s finances, Dar – speaking to a business delegation in Islamabad – said the government had taken several steps to stabilize the economy.
“What happened in the past has badly affected the reputation of Pakistan. However, the government is doing its best. We are well aware of the burden that is being placed on the business community and the common man.
He admitted that the country was going through difficult times but assured the business community that Pakistan as a nation would overcome these challenges.
“But recovery will take time.”
Dar also cited his previous achievements in improving the economy in 1999 and 2013 after the Pakistan Muslim League-Nawaz (PML-N) came to power.
The PML-N leader lamented the political instability in the country and blamed it for the economic crisis.
“The most difficult reforms have already been made. Whatever blood was to be shed, it was done.”
Talking about the delay in revitalizing the IMF program, which he described as “unprecedented”, Dore noted that there was no technical reason for it.
“Our top priority is to ensure that all sovereign commitments are made on time and not even a day late. And that has not happened. But some people have a habit of giving default dates for Pakistan. I have been hearing this for the past year.”
“They should be ashamed,” said a visibly angry Dar. You should be well-wisher of your country and you should be loyal to your soil.
Ishaq Dar, however, dismissed claims that the country would default and admonished the former finance minister without naming him.
“Instead of giving people hope and giving them confidence, now there is a new forecast for a default in October.
I assure you that Pakistan is a sovereign country. Pakistan has assets worth trillions of dollars. If we have an external debt of 100 billion dollars, we also have assets.
“We don’t need to worry. This too shall pass.”
The $350 billion economy is in crisis amid financial woes and delays in an agreement with the IMF that would release much-needed funding to avert the risk of default.
The government has been in talks with the Washington-based lender since late January to resume a $1.1 billion loan tranche on hold since November, a $6.5 billion Extended Fund Facility (EFF) in 2019. is part of
However, sources said Geo News Today, Pakistan decided to negotiate a new program with the IMF immediately after the budget as the coalition government plans to wind down the $6.5 billion EFF without completing all pending reviews. Is.
Sources said that while negotiations on the ninth review are almost complete, an agreement at the staff level is yet to be reached. Even after this review is completed, the 10th and 11th reviews will remain pending.