FinMin says US Tariff's situation manageable for Pakistan

ISLAMABAD: Finance and Revenue Minister Muhammad Aurangzeb said Wednesday that the situation evolving globally after the United States (US) Tariffs is manageable and Pakistan can navigate its implications.

Speaking at the Federation of Pakistan Chambers of Commerce and Industry (FPCC), the finance minister said that Pakistan already has constructive engagements with US authorities on the sidelines of World Bank and International Monetary Fund (IMF) Summer meetings.

He said that Prime Minister Shehbaz has also announced to send a high level delegation to the US for negotiation on tariff issues.

Muhammad Aurangzeb said that Pakistan’s exports to the US are around $ 5 billion and the volume of imports from the USA is nearly $ 2 billion while average tariff difference is 3 percent.

Referring to a recent visit to the USA, the finance minister said that the Pakistani delegation had over 70 fruitful meetings with executives of World Bank, IMF, Asian Development Bank and other multilateral and bilateral partners and think tanks and counterparts from friendly and supporting countries.

Read More: Trump Tariffs: Pakistan to send high-level delegation to US

Highlighting the turn around in economic conditions and significant improvements in inflation and current account, Muhammad Aurangzeb said that the current account is expected to remain surplus this fiscal year while expenditures are also under control owing to the efficient role of all stakeholders including the provincial governments.

The finance minister said that steep decline in inflation is a major achievement which allowed a 1000 basis point reduction in the policy rate while the next meeting of the monetary policy committee is due in the next week.

Speaking on past efforts for economic stabilization and boom and bust cycles, he said that it is the 24th IMF program of Pakistan and the Prime Minister and his entire cabinet has resolved that it will be the last IMF program of the country as we are carrying forward the economic and structural reforms agenda for the betterment of our country.