Overseas bonds to be floated in coming months: Hafeez Shaikh

Adviser to Prime Minister on Finance Abdul Hafeez Shaikh reiterated the government's objective of improving the country's economic condition and revealed that various overseas bonds will be floated in the coming months, reported Bloomberg.

The adviser also discussed steps being undertaken to increase exports, thereby reducing the budget deficit and boosting sustainable dollar inflows.

“The plan is to lift overseas shipments to $26.8 billion this fiscal year by granting subsidies and concessions on raw-material imports”, said the de facto finance minister.

IMF finally approves $6 billion package for Pakistan

Hafeez added that Pakistan is preparing for the sale of Eurobonds, Sukuk and Chinese Renminbi bonds during the fiscal year.

“The economy was in pretty bad shape. The idea was to shore up the external front. We have been able to mobilise resources,” said the premier's adviser.

Referring to the current economic situation of the country, he elaborated that Islamabad has received funds from Saudi Arabia, the World Bank and Asian Development Bank to help improve the current account deficit.

Rupee recovers Rs6 in two days

“We’re trying to focus on the business side and have realised that the private sector needs to play its role. All this can help Pakistan to avoid a debt trap,” he concluded.

The International Monetary Fund (IMF) on Wednesday approved $6 billion bailout package for Pakistan after the country agreed to enforce flexible exchange rate, enhance taxes and end circular debt –the weaknesses that have remained unaddressed despite availing nearly two-dozen programmes.