Govt making up for deficits incurred by PML-N, PPP, laments Hammad

ISLAMABAD: Federal Minister for Economic Affairs Hammad Azhar on Tuesday lamented the incumbent government has been making up for the deficits that resulted from flawed policies of the previous governments of the PML-N and PPP.

Speaking on the floor of the National Assembly, he said the national economy was destroyed during the previous term of the Pakistan Muslim League-Nawaz (PML-N). He added the gas and electricity crisis were a fallout of the past government’s projects.

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Hammad Azhar asked why the PTI government had to sign up for an IMF loan if the economy had been on the corrective course during the PML-N term.

He said the country’s foreign reserves jumped 50 per cent since July, last year due to the present government’s corrective measures.

The minister said the government would bring circular debt to nought by the end of this year.

He said no government makes tough decisions out of happiness but under compulsion.

Hammad Azhar said the government brought the economy out of an intensive care unit (ICU)

Read More: ‘Let patient stabilise’: Hammad Azhar on national economy

In a series of tweets earlier on Saturday, Hammad Azhar had said Pakistan’s public debt increased from “72% to 84% of GDP” during the fiscal year 2018-19 as close to half this increase came from devaluation.

“The devaluation became inevitable due to flawed econ[omic] policy of previous govt that led to highest external deficits, depleting forex reserves, highest debt servicing,” the minister said.

“Also,Rs1.2tr of cash reserve was creating by one time debt before moving towards policy of zero borrowing from SBP.”

Read More: ‘Let patient stabilise’: Hammad Azhar on national economy