ISLAMABAD: Prime Minister Shehbaz Sharif on Monday lauded what he described “a record decline” in inflation to 4.9 per cent after almost six-and-a-half years, expressing hope that the remarkable development will lead to further cuts in the key policy rate.
The prime minister while chairing a meeting of the federal cabinet, said that the inflation rate in the country witnessed a decline, reaching 4.9 per cent year-on-year in November 2024, a decrease from 7.2 per cent in October – the lowest inflation rate recorded in six and a half years, as reported by Pakistan Bureau of Statistics (PBS).
He was optimistic about further relaxation in key policy rate by the State Bank of Pakistan’s (SBP) Monetary Policy Committee (MPC) in its next meeting.
Policy rate reduction to boost business activities, exports: PM Shehbaz
Sharif said that inflation can serve as a mechanism to enhance the financial well-being of the general public, but the rise in inflation simultaneously exacerbates the difficulties faced by those in poverty.
Once the economic stability is achieved, he called for a strategic shift towards economic growth aimed at enhancing the nation’s gross domestic product (GDP), exports, production, industrial development, and employment opportunities.
He also claimed that revenue collection has also shown a significant increase, as compared to the previous year due to enhanced enforcement measures taken by the government.
At onset of the meeting, the cabinet approved to file a review petition against a 2018 Supreme Court verdict which banned the sale, import and export of Chinese salt (monosodium glutamate) – popularly known as Ajinomoto — all over the country, on the recommendation of Commerce Ministry.
The cabinet also approved to file a review petition in light of a special committee’s report comprising experts which had been tasked by the prime minister to submit a detailed report on the hazardous condiment.
The committee, which includes representatives from Pakistan Council of Scientific and Industrial Research (PCSIR), National Agricultural Research Centre (NARC), National University of Science and Technology (NUST), Institute of Food and Nutritional Sciences, Ministry of National Food Security and Research, Pakistan Standards and Quality Control Authority and Board of Investment, declared that monosodium glutamate is safe for human consumption.
In an obvious reference to the protest by Pakistan Tehreek-e-Insaf (PTI) last week, Sharif said that the prevailing uncertainty and disorder had adversely affected the Pakistan Stock Exchange (PSX) with a decline of 3,000 points. He said the stock market bounced back, the next day, after normalcy was restored in capital.
He said that the government took great caution in allowing the export of sugar to maintain price stability in the domestic market, which is likely to help earn foreign exchange worth $500 million. He also commended the contributions of Pakistan Army in combating smuggling activities along the Afghanistan border, highlighting its significant impact on stabilising sugar prices in the domestic market.
Expressing satisfaction over the recently lifted ban on Pakistan’s International Airlines (PIA) by the European Union Aviation Safety Agency (EASA), he said that the ban on PIA’s foreign routes was one of the reasons which affected the airline’s bidding process.
The cabinet approved the National Prevention of Violent Extremism Policy 2024 on the recommendation of the Mohsin Naqvi-led Interior Ministry.
It also approved in principle the proposal of the Interior Ministry with respect to the establishment of Islamabad Central Business District Development Authority.
The cabinet, upon the recommendation of the Ministry of Education and Professional Training, approved renewal of the memoranda of understanding (MoUs) concerning the University of Cambridge, St Antony’s College at the University of Oxford, the University of Jordan, Peking University in China, the University of Heidelberg, and the Pakistan chairs in Germany.
It also approved nomination of Dr Habibur Rehman and Dr Kamran Ansari as subject experts in board of governors of University of Engineering and Technology (UET) Lahore and nomination of Dr Mumtaz Muhammad Shah and Dr Muhammad Ahmed Farooqui as subject experts in board of governors of Centre of Excellence in Mineralogy, University of Balochistan, Quetta.
The federal cabinet, on the proposal of Ministry of Law and Justice and in line with Sindh High Court orders approved the amendment in the jurisdiction of special courts.
On the recommendation of Ministry of Law and Justice and in line with Balochistan High Court’s orders, the cabinet also approved amendments in the jurisdiction of special courts (customs, taxation and anti-smuggling) Quetta and Khuzdar.
Similarly, on proposals of Ministry of Law and Justice and in line with orders of Peshawar High Court, Lahore High Court, Islamabad High Court, Sindh High Court, and Balochistan High Court, the cabinet authorised the additional sessions’ judges and other relevant courts to hear the cases under Lawyers’ Welfare and Protection Act 2023.
Copyright Business Recorder, 2024
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