Benefit of any further reductions in petroleum prices should be use to meet important financial needs of the country
LAHORE: Dear Mr Prime Minister,
The three recent steps — the activation of the National Action Plan against terrorism, reduction in prices of petroleum products and the swift controlling of the shortage of petrol in the province of Punjab — initiated under your direct command, speaks volumes about your concerns regarding public welfare issues, for which you deserve full kudos.
In this regard, I solicit your attention towards the fragile economic situation of Pakistan and the golden opportunity available to us, in the shape of an international decline in the prices of petroleum products. Pakistan’s economy is heavily burdened by the sheer weight of debt servicing which, in the coming days, will keep on increasing. We must find some out-of-the-box solution to eliminate the debt burden of the country as soon as possible. Considering that the poorest of the poor have had negligible benefit from any trickle-down effect of petroleum price cuts, at least as far as public-sector transport fares are concerned, it is proposed that the financial benefit of any further reductions in petroleum products’ prices (except for kerosene) should be deposited in a National Debt Servicing Fund to meet the most important financial needs of the country. I am sure many financial wizards will oppose this proposal and bring their own reasons for not accepting the above suggestion. But nevertheless, they should be told that no solution is perfect/ideal and the country cannot shift its focus from its major issues while battling minor problems.
Syed Nayyar Uddin Ahmad
Published in The Express Tribune, February 2nd, 2015.
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