Ishaq Dar says ‘Pakistan will not default; overcome economic crisis’

ISLAMABAD: Finance Minister Ishaq Dar has said that the federal government will overcome the economic crisis and Pakistan will see prosperity and development soon, ARY News reported on Friday.

The finance minister said that the drop in foreign reserves was stopped and the government is making efforts to reverse it. He detailed that $126 billion was increased in the national economy from 2013 to 2018, whereas, only $26 billion was increased in the economy in the next five years.

“The current account deficit of eight months is below $4 billion. It is a surprise for the whole world that Pakistan does not become Sri Lanka. Pakistan will not default as all debt repayments are made on time. Pakistan has never defaulted nor it will default in future.”

READ: ISHAQ DAR SAYS EFFORTS UNDERWAY TO PUT ECONOMY BACK ON TRACK

Dar said, “We have fulfilled all conditions of the IMF [International Monetary Fund]. However, we should learn how be survive without IMF. Pakistan’s external debt has decreased up to $4 billion. IMF programme will be signed soon and a board meeting will also be held.”

The finance minister also sought budget recommendations from the business community.

Chinese loan rollover

Earlier in the day, rejecting the rumours about the delay in Chinese loan rollover, Finance Minister Ishaq Dar confirmed that Beijing rolled over its $2 billion loan to Pakistan for one year.

Speaking in the Senate on a point raised by PPP leader Raza Rabbani, he rejected speculative a report that appeared in foreign media that Pakistan is still awaiting the rollover of the Chinese loan.

READ: ISHAQ DAR CLEARS THE AIR ON SPECULATIONS ABOUT PAKISTAN NUCLEAR ASSETS

Ishaq Dar said the rollover was made on March 23. He said the documentation vis-à-vis the roll-over also stands completed and it is no longer in the pipeline.

He further said currently Pakistan is having two types of safe deposits with China. One is between the Central Bank of China and the State Bank of Pakistan (SBP) and Islamabad is also doing business with the commercial banks of China including, the Bank of China, ICBC and China Development Bank.

Islamabad is trying hard to get assurance of external financing from friendly countries to unlock the stalled loan programme of the International Monetary Fund (IMF).