Structural reforms key to propping up economy
“With the country facing historical floods, Dar is a man capable of steering the nation out of this economic crisis,” said Arif Habib. photo: file
The National Assembly Standing Committee on Finance has observed that the country is witnessing a fragile economic situation with soaring inflation, political instability and increasing poverty for which there is a need for structural reforms.
The committee held a meeting at the Parliament House on Tuesday under the chairmanship of Qaiser Ahmad Sheikh.
Speaking at the sitting, Minister of State for Finance Ayesha Ghaus Pasha emphasised that controlling inflation was the first priority of the government, adding had the government not reversed the subsidy on electricity and petrol, the country would have been in dire straits.
She recalled that 54 important meetings were held during the recent visit of Pakistan’s delegation to the US, including high-level meetings with the International Monetary Fund (IMF) and the World Bank.
“We informed officials that floods have caused a loss of $30 billion, which put 9 million more people below the poverty line,” she said. “Pakistan expects global funding for post-floods rehabilitation and reconstruction and $50 million assistance will be received from the World Bank soon.”
The United Nations was also playing its part in paying compensation for the damage caused by climate change in Pakistan, Pasha told the standing committee.
Federal Board of Revenue Chairman Asim Ahmad said that the FBR’s tax growth was 29% last year. This year, income tax collection increased by 42% while the targets of customs duty and sales tax could not be achieved, he said. “The anti-smuggling and evaluation regime is being strictly implemented.”
Published in The Express Tribune, November 16th, 2022.
Like Business on Facebook, follow @TribuneBiz on Twitter to stay informed and join in the conversation.