On Friday, Federal Minister for Finance and Revenue Ishaq Dar denied reports suggesting Pakistan should impose a financial emergency, amidst constant criticism over the current economic turmoil. He berated Imran Khan-led Pakistan Tehreek-e-Insaf (PTI) for spreading “fake news” about Pakistan heading towards default. Dar blamed the previous PTI government for pushing the nation of 220 million people on the brink of default, claiming that it was the coalition government that saved the country by prioritising the state over politics.
Dar recalled that when the Pakistan Democratic Movement (PDM) ousted Khan through a no-confidence motion, the leaders of the coalition government had decided to keep aside all political interests in the wider interest of the state. He stated that the PTI leaders have been calling him out since the rupee plunged to a historic low of Rs285.09 a day earlier while February’s inflation hit nearly a 50-year high of 31.5 per cent.
Expressing his surprise and concerns over Khan’s continuous criticism of the coalition government, he said: “I am unable to understate whether he (Khan) has a problem in his leg or brain.” Instead of protecting the national interest, PTI’s leadership tried to sabotage the International Monetary Fund (IMF) deal, Dar said. “Khan’s attitude is selfish.”
According to Geo, Dar reiterated that Pakistan has neither defaulted in the past nor will it default in the future. Referring to Khan’s remarks about default, the finance minister said that the PTI chairman’s statements adversely affect the country’s financial markets. He, however, admitted that the State Bank of Pakistan’s (SBP) reserves fell below $3 billion. It should be noted that the liquid foreign reserves held by the country stand at around $9 billion as of February 24 while the net reserves held by commercial banks stand at around $5.5 billion.
The finance minister revealed that China has renewed a facility under which Pakistan expected an additional inflow of $500 million in the “next few days”. He highlighted the PDM-led government’s economic achievements, stating that the foreign exchange reserves held by the SBP climbed to $3.8 billion from $2.8 billion recorded last month. He maintained that the government returned $6.5 billion of foreign debt during the current fiscal year.
Dar drew a comparison between the economic performance of nearly four years of PTI and almost 11 months of PDM-led government. He shared numeric data to prove that Khan and Co. did everything to “destroy the country,” but the numbers show who is sincere with the country. Dar argued that the opposition — the PTI — has not really improved Pakistan’s standing. However, Pakistan will escape the economic quagmire, he said, adding that the country is making repayments to bilateral and multilateral lenders and has made payments beyond its capacity.
