Finance Minister Ishaq Dar said on Thursday the government would not demonetize Rs 5000 currency notes. Addressing a post budget seminar organized by a private media group, Finance Minister said the government would not restrict Rs 5000 notes and would issue big premium bonds worth Rs 100,000 and Rs 50,000. The Minister added the government efforts has put the economy on the right track as when present government came in power the foreign exchange reserves were deteriorating fiscal deficit was rising and growth prospect were not positive.
Ishaq Dar said the fiscal deficit has been reduced from 8.5 percent to 4.2 percent during the last four fiscal year and foreign exchange reserves were taken to over $21 billion. Finance Minister said that the present government has also launched military operation against terrorists and as a result law and order situation has improved considerably. Suggestions of all stakeholders were taken into consideration while preparing budget, he added.
He said when we assumed power in 2013, Pakistan was passing through a difficult time and foreign exchange reserves of the country had fallen to $11 billion and there was a risk of default. The Minister added that GDP is at 5.28 percent now from 3 percent when the government came in power while inflation rate has been decreased to less than 4 percent and tax collection target was set at over Rs 4000 billion.