New IMF programme going to be the last one if reforms put in place: Aurangzeb

ISLAMABAD: Finance Minister Muhammad Aurangzeb has said the new International Monetary Fund (IMF) programme would be the last programme for Pakistan if structural reforms are introduced.

“Whether this would be IMF’s last programme? It would be the last one when we bring structural reforms — if we bring the structural reforms, it would be the IMF’s last programme,” he said, speaking at the Senate session on Monday. “If we manage to privatise the state-owned entities, then it would be IMF’s last programme,” the minister added.

The country cannot progress unless the public’s confidence is restored, he said, contending that the government needed to show fiscal discipline and curtail its expenditure for tackling the economic woes.

$7bn EFF Programme: Aurangzeb expects on-time IMF approval

“We cannot move ahead—unless the public’s confidence is restored,” the minister said.

The private sector, he said, needs to take the lead to steer the country out of the crises.

“It’s not the government’s job to do the business—now private sector will lead the country,” he said.

“The credit of private sector has increased by half trillion,” according to the finance minister. He said the government is answerable to the people of Pakistan. “But we cannot say that we will not pay taxes because we do not believe in tax authority,” the minister said.

“It is just not possible that you progress without paying taxes. The country cannot run on charity,” he added.

The finance minister said the digitalisation at Federal Board of Revenue (FBR) is under way. “The government is making the taxation system simple and easy.”

The inflation rate has reduced to single-digit and rupee’s value is getting stable, he said.

The lack of loans for the private sector is another crucial issue, the minister said, adding that the government allocated significant budget for information technology to facilitate freelancers. Steps are being taken to facilitate agriculture sector as well as small and medium-sized enterprises, the minister said. The finance minister said he would brief the parliament on the federal government’s economic plan.

Earlier, Leader of the Opposition in Senate Shibli Faraz asked the finance minister to share the government’s economic plan. He said the country recently faced a shortfall of 98 billion rupees in the tax collection, and inquired about the steps being taken to respond to this challenge.

Faraz strongly criticised the government for installing containers and other blockades to prevent the people from participating in PTI’s Islamabad Jalsa earlier on Sunday.

Meanwhile, journalists staged a walkout from Senate and National Assembly, in their respective sessions on Monday, against the “unacceptable” remarks of Chief Minister Khyber Pakhtunkhwa Ali Amin Gandapur, made in Islamabad Jalsa, earlier on Sunday, regarding the media. Top Pakistan Tehreek-e-Insaf (PTI) leaders Barrister Gohar Ali Khan and Omar Ayub Khan apologised to the media over the CM KP remarks. They clarified that Gandapur’s remarks were not about the entire media but a select group of journalists. The CM KP would himself apologise to the media as well, Barrister Gohar said.

Six new bills were introduced in the house and referred to the relevant committees.

Sherry Rehman from Pakistan People’s Party (PPP) chaired the Senate session. The house was adjourned till Tuesday (Sept 10).

Copyright Business Recorder, 2024