Asad Umar calls for practical steps to 'break' begging bowl

ISLAMABAD: Finance Minister Asad Umar on Tuesday reiterated the government will be obtaining an IMF bailout package for the last time to steer the country out of the current financial crisis. 

Speaking on the floor of the National Assembly, the minister said Pakistan faces a trade deficit of $35 billion, causing depreciation of the rupee against the US dollar.

Assailing the opposition PML-N, he said the budget deficit soared to 6.6 percent of the gross domestic product (GDP) during the previous government’s term.

Read more: Approach to IMF ‘unavoidable compulsion’, says govt’s spokesperson

He said the PTI government simultaneously approached friendly countries and the International Monetary Fund (IMF) to fend off a looming economic crisis, adding that the government is seeking financial assistance from friendly countries to negotiate better terms with the Fund.

He said while a delegation of the Fund has been asked to visit Islamabad at the earliest for talks on a bailout package, the government has yet not decided to seek the bailout from the IMF.

Speaking about a bailout from Saudi Arabia, Asad Umar said the kingdom agreed to provide $3 billion worth of oil on deferred payments in addition to another $3 billion to be deposited in the account of the State Bank of Pakistan. Agreements worth $9 bn were reached with the kingdom for a period of three years, he added.

He said the government would not put burden on the poor and instead take measures to resolve the issues faced by them.

He said our target is to reduce the country’s trade deficit. Speaking about Prime Minister Imran Khan’s upcoming visit to China, he said the government would raise the issue of trade deficit with China, pushing for an increase in export of Pakistani products into China to reduce the trade imbalance.

He said the government aims to take the China Pakistan Economic Corridor (CPEC) to the next phase of the establishment of special economic zones. He said a bilateral trade framework is being worked out to reduce the deficit of trade with China.

Referring to speeches by members of the opposition benches, the minister said the begging bowl cannot be broken by just making emotional speeches as practical steps are required for the purpose.

He said bolstering exports, reducing fiscal as well as trade deficit and generating job opportunities for the youth are priorities of the government. The economic situation has stabilized owing to some steps taken by the government over the past two months as stock market witnessed an increase of five thousand points.