Prime Minister (PM) Imran Khan addressed the nation and announced the “biggest” relief package worth Rs120 billion for the masses.
“This [poverty alleviation] package, which is worth Rs120 billion, will be offered to Pakistanis by the federal and provincial governments,” he said.
The premier said oil prices had risen by 100 per cent in the last 3-4 months internationally, while they had increased 33 per cent in Pakistan.
“When you say petrol is expensive, it is the cheapest in Pakistan, but we will have to increase the price because otherwise our deficit will increase and we will be further burdened by debt,” he added.
“You will be able to buy flour, ghee, and pulses at 30pc lower prices,” he announced.
“We are also launching the Kamyab Pakistan [programme] with a funding of Rs1,400 billion to give interest-free loans to 4 million families,” he said.
The premier then addressed the Opposition, who he said had been protesting against inflation.
“I ask the two big families to bring half of the money they looted and took outside [Pakistan]. Even if they bring half [the money], I promise you and the nation that I will slash the prices of all food items by half,” he said, in an apparent jibe at the families of Pakistan Muslim League -Nawaz (PML-N) supremo Nawaz Sharif and Pakistan People’s Party (PPP) leader Asif Ali Zardari.
The government is likely to increase petroleum prices by up to Rs8 per litre for the next 15 days if it decides not to increase existing tax rates, reports Dawn.
On the basis of existing tax rates, the Oil & Gas Regulatory Authority (OGRA) and Petroleum Division have worked out about Rs6 per litre increase in the price of petrol and of high speed diesel (HSD) by about Rs8 per litre. The increase for other products, which includes kerosene and light diesel oil, was also estimated to be in the same range.
An official said the government was considering an increase of petroleum levy by Rs4 per litre, either on Sunday or November 16. This would depend on its engagements with the International Monetary Fund (IMF) for the revival of its programme.
However, no official decision has been made yet. The official announcement would be made after consultations with Prime Minister (PM) Imran Khan on Sunday.
Currently, the government is charging about Rs5.62 per litre petroleum levy on petrol and Rs5.14 per litre on HSD. In addition, it is also charging about Rs9.29 per litre and Rs8.81 per litre customs duty on petrol and HSD respectively besides Rs9 and Rs13 per litre GST on these two products.
Energy Minister Hammad Azhar had said that the government was coming under pressure for giving up taxes on petroleum products.
At present, the price of petrol stands at Rs137.79 per litre and the price of HSD is at Rs134.48 per litre.
The Finance Ministry of Pakistan has warned the public that the exchange rate, commodity supplies, and seasonality could increase the prices and transportation costs in the country, reports Dawn.
The fiscal deficit in July-August was recorded at 0.9 per cent of the Gross Domestic Product (GDP), same as the previous year.
Economic Adviser’s Wing of the Ministry of Finance in its monthly Economic Update & Outlook states, “The effect of these impulses — surge in international oil prices, exchange rate depreciation and adjustments in administered prices — may intensify the magnitude of prices and transportation cost.”
The ministry said the country had seen some improvement in economic activities but an unprecedented increase in international commodity prices was putting pressure on domestic prices as well as on the local currency. However, the government’s pro-growth initiative along with efficient monitoring of prices is expected to provide relief to the general public.
The ministry further explained that the country’s inflation rate was mainly driven by monetary and supply-side factors, including domestic and international commodity prices, dollar exchange rate, seasonal factors.
Earlier, it was reported that inflation in Pakistan has broken a 70-year record in the last three years, with food prices doubling, while the prices of ghee, oil, sugar, flour, and poultry have reached historic levels.
A couple of weeks ago, Adviser to the Prime Minister on Finance and Revenue Shaukat Tarin said that things are becoming more expensive all over the world and the reasons are unknown.
Inflation in Pakistan has broken a 70-year record in the last three years, with food prices doubling, while the prices of ghee, oil, sugar, flour, and poultry have reached historic levels, reports The News.
According to the Federal Bureau of Statistics (FBS) report, electricity rates have increased by 57 per cent from Rs 4.06 per unit to at least Rs 6.38 per unit, from October 2018 to October 2021.
“By the first quarter of October, the price of an 11.67 kg cylinder of LPG had gone up by 51 per cent from Rs1,536 to Rs 2,322. Similarly, the price of petrol had gone up by 49 per cent in three years from Rs 93.80 per litre to Rs138.73 per litre,” says the report.
“The price of edible ghee increased by 108 per cent to Rs 356 per kg.”
“Sugar has increased by 83 per cent in three years and the price of sugar sold at Rs 54 per kg exceeded Rs100,” according to the report.
“The price of a 20 kg bag of flour has gone up by 52 per cent to Rs1,196 in three years.”
“The price of chicken remained at Rs 252 per kg from October 2018 to October 2021, however, chicken meat is being sold at Rs 400 per kg in the markets.”
“The cost of chicken eggs has also increased by 47 per cent to Rs170 per dozen.”
As the world celebrated the historic victory of the Men in Green, Pakistan Muslim League-Nawaz (PML-N) vice president Maryam Nawaz did not let go of a chance to criticise Prime Minister (PM) Imran Khan for watching the Pakistan and India T20 World Cup match.
PM Khan shared a picture on Twitter watching the match along with various other government figures and ministers, saying that the “entire nation was proud of the Pakistan team.”
Congratulations to the Pakistan Team & esp to Babar Azam who led from the front, as well as to the brilliant performances of Rizwan & Shaheen Afridi. The nation is proud of you all. pic.twitter.com/ygoOVTu37l
Maryam Nawaz, tweeting the photo PM Khan tweeted, wrote, “God! People in the country are dying of hunger, inflation, and incompetence, and look at them!”
ملک میں خلقِ خدا بھوک، مہنگائی اور نااہلی سے مر رہی ہے اور ان کو دیکھو! بے ضمیری اور بے حسی کا اگر چہرہ ہوتا تو ایسا ہوتا ! pic.twitter.com/Huo5TKoelz
PM Khan is currently in Saudi Arabia for a three-day visit. The premier performed Umrah along with his accompanying delegation.
The prime minister is visiting Saudi Arabia to attend the launch of the Middle East Green Initiative (MGI) Summit being held in Riyadh, at the invitation of Crown Prince Mohammed bin Salman bin Abdulaziz.
According to the quarterly survey by Pulse Consultants, almost six out of 10 people have no confidence in Prime Minister (PM) Imran Khan’s claim of coming out of the economic crisis, reports The News.
The survey is based on 1,809 respondents’ opinions who were interviewed from October 04, 2021 to October 10, 2021. It covered 60+ cities from all provinces of Pakistan.
According to the survey, the number of people losing faith in PM’s economic policies is around 57 per cent coupled with a drop in those who were confident that the prime minister will be able to turn the tide.
In July, 17 per cent respondents expressed confidence in PM’s policies, which in the current survey has dropped to seven percent. Regarding questions about the direction of the economic policies, 56 per cent respondents in July found them to be in the wrong direction, but three months later it has risen by 19 per cent to 77 per cent. On the contrary, those perceiving them to be on the right track have dropped to 24 per cent from 43 per cent in July.
Anxiety about the wrong direction is high is in the main political battleground provinces Punjab (79 percent) and Sindh (73 percent), as per the survey.
Since November 19, 2018 more than 95 per cent believe that inflation has increased after every three months.
Furthermore, the survey states that 68 per cent of people do not have savings and most of them have reduced their expenditures to make ends meet.
When the respondents were asked about the country’s major concern, 77 per cent complained about inflation whereas 35 per cent found corruption, 25 per cent unemployment, 11 per cent load shedding, while 10 per cent termed inability to meet expenses as their biggest problem.
The Pulse Consultant also asked the respondents about the performance of PM’s Adviser on Finance and Revenues, Shaukat Tarin, which showed that 53 per cent were dissatisfied with him.
The survey was conducted through CATI (Computer assisted telephonic interviews), a state-of-the-art technology where all calls are recorded.
The country is Heading Towards Wrong Economical Direction
Three amongst four Pakistanis believe that country is heading towards a wrong economic direction
In July 2021 there were 56% have that opinion but in October 2021 with an increase of 19%, 75% have that opinion
Anxiety about the wrong direction is high in Punjab (79%) & Sindh (73%) – the main political battleground followed by KP – PTI’s hometown (67%)
PM Claim About Restoration of Country Economic Outlook
In July 2021, 6 out of 10 respondents (62%) had overall belief on PM IK’s claim that “country is out of economic crisis”
Now in October 2021, wave condition is vice versa – almost 6 out of 10 (57%) have opposite opinion and have no belief in PM IK’s narrative (In July 38% had no believe now by the increase of 19% -57% have no belief)
Satisfaction with Shaukat Tarin
Dissatisfaction increased 15% (from 38% to 53%)
Satisfaction decreased 22% (from 35% to just 13%)
Inflation Trend
Almost every Pakistani hit by inflation and 98% are reporting that ‘Inflation increased in past three months’
Price Hike – Major Cause of Dissatisfaction
Like previous wave, in July Y2021 ‘Inflation’ is once again ranked as the gravest issue by (with the increase of 5%) 77% of the respondents.
If we read it with the answer “Expenses Not Meet” (اخراجات پورے نہیں ہوتے),of 10% – then it will reach to 87% – Ever highest in past three years
This is followed by & ‘Corruption’ (35%) & ‘Unemployment’ (25%), in this wave ‘Corruption’ – overtake the ‘Unemployment’
Expenses
We asked the same questions about “Monthly Expenses Management” back in July 2020, in July 2020, 41% had the opinion that – their monthly expenses are according to their income – but with the decline of 9% , now 32% have the same opinion
Jul-20 Oct-21Monthly Expenses Meet 41% 32%
Monthly Expenses Not Meet 59% 68%
Punjab & KPK – where #PTI is holding the provincial Govt. unrest increase significantly – specially in KP
If we compare the results of July 2020 & October 2021 (after 13 months) – Upper Socio Economic Class is also complaining that their monthly expenses are not meeting
Those who claimed that – their monthly income meet expenses – 31% amongst them claimed that they save any money
On the other hand – those who complained that their household expenses are not meet – 37% amongst them reduced their expenses, 30% borrow money and 30% do some extra job/work other than regular
According to sources, a meeting was held in Islamabad under the chairmanship of Prime Minister (PM) Imran Khan to review the rising inflation and the overall economic situation in the country. The impact of the rising prices of petroleum products was also discussed in the meeting.
During the meeting, PM Khan issued orders to the federal ministers to take steps for the implementation of Price Control Committees.
The premier also directed the ministers to keep an eye on the artificial price hike in their constituencies and to take strict measures against hoarders
Addressing a news conference on Monday, Minister for Planning and Development Asad Umar said the government had decided to reduce GST rate and customs duty by half to 8.5 per cent and would abolish 2 per cent additional customs duty to cut cooking oil prices by Rs45 per kilo.
Pakistan Democratic Movement (PDM) chief Maulana Fazlur Rehman on Monday announced countrywide protests against rising inflation and poor economic policies from October 20, reports Dawn.
Speaking to the media after the PDM meeting, Maulana Fazl said that the nation is suffering due to high inflation, adding that the PDM stands with the public shoulder to shoulder.
“Rallies and demonstrations will begin from the district level while all PDM component parties will meet at the provincial level. PDM will lead rallies and demonstrations, stand shoulder to shoulder with people and get them their due rights,” Maulana Fazl said.
“We are not discussing local bodies polls – the main issue is holding of free and fair general elections in the country. There is no reason of holding local government elections when there is no legitimate government in the country,” said Maulana Fazl.
The federal government has issued a notice to increase the price of petrol by Rs10.49 per litre. Apart from this, the price of high speed diesel (HSD) has been increased by Rs12.44 per litre.
The prices of kerosene and light diesel oil (LDO) have been increased by Rs10.95 and Rs8.84 per litre respectively. The new price of kerosene is Rs110.26 per litre and that of LDO is Rs108.35 per litre.
Social media users did not lose the opportunity to start a meme fest following the news.
Federal Minister for Kashmir Affairs and Gilgit-Baltistan Ali Amin Gandapur, while addressing a gathering in Azad Kashmir said, “Today we say that sugar has become expensive. Can’t we sacrifice a little and reduce the quantity of sugar in our tea and eat less bread?”
Federal Minister Ali Amin Gandapur’s advice to the people of Pakistan who complain of inflation, rising prices, unemployment .. pic.twitter.com/VQhQYq72KG
He was referring to the rising inflation in the country.
“Have we become so selfish that we can not sacrifice a little for our nation? If there is nine per cent inflation, I eat 100 bites of bread, can’t I eat nine fewer bites of the bread and give this sacrifice for my nation?”
“Now we need to make a decision. Whether we want freedom and a tax-free nation for our children, not the kind where we worry that we have to pay back to America and not be fearful of drone attacks,” said Gandapur.
