Breaking News: Can't afford subsidy on petroleum products: Muftah Ismail

Federal Finance Minister Muftah Ismail has said that we have approved a summary of Rs 68 billion subsidy on petroleum products in the month ...

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Federal Finance Minister Muftah Ismail has said that we have approved a summary of Rs 68 billion subsidy on petroleum products in the month of April. OGRA has estimated a subsidy of Rs 96 billion next month. We cannot tolerate this subsidy. Azam will have to decide on that.

 

The Finance Minister said that the tax collection rate has come down from 11.1% to 9.1%. Photo: MAK NEWS-21

Talking to media after the federal cabinet meeting, Finance Minister Muftah Ismail said that when the PML-N government was overthrown in 2018, Pakistan growth rate was 6.8 percent. 1.9% and current account deficit 9.1%.

"When we left the government, the growth rate was 6.8 percent, but the World Bank still estimates that next year the growth rate will be 4 percent, the inflation rate was 3.9 percent, the inflation rate in March was 12.7 percent," he said. Inflation in the CPI is 17.3%.

Muftah Ismail said that the average budget deficit in the PML-N government was Rs 1,600 billion, this year alone the budget deficit of Imran Khan government has been around Rs 5,600 billion, Imran Khan has left this government.

 

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Continuing the performance of the previous government, he said that the tax collection rate has come down from 11.1% to 9.1%. Imran Khan has borrowed more than 20 20 billion in the last four years.

He said that all the prime ministers who have come since the independence of Pakistan had borrowed a total of Rs 25,000 billion but Imran Khan alone has borrowed Rs 20,000 billion.

He said that Khan Sahib says that debt has increased due to devaluation of rupee. Imran Khan used to say that if one rupee is devalued then debt increases by 100 billion. The value of has decreased by Rs 70.

The Federal Minister said that by the end of the PML-N government, 50 million people were below the poverty line, to which Imran Khan has added another 20 million, and today 13.5 million children who are in poverty. Due to Imran Khan poor policy.

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The Finance Minister said that Asad Omar is saying that we have increased exports, there is no doubt that exports have increased but imports have increased more than exports, this year Pakistan will make history by importing 75 billion, and Exports will be only 30 30 billion.

He admitted that it was true that PML-N had left more current account deficit, new plants and machinery were coming because of C-Pack, so there was more space but Khan Sahib also increased it. ۔

Muftah Ismail said that Pakistan's assets abroad were more than 10 billion. Recently, Asad Umar tweeted that it has decreased by 50% in the last few days. What does the non-movement have to do with what was borrowed earlier?

He said that he had caused a loss of more than Rs. 200 in SLGPL, more than Rs. Today, it has become about 25 hundred billion rupees.

Read also: Muftah Ismail claims suspension of IMF program in the country

He said that there was no circular debt in the gas sector in our government but in today's briefing it was stated that the gas sector also has a circular debt of Rs. 1,500 billion, liquidity of SNGPL and PSO. We have to pay them.

He said that the government of Pakistan had incurred a loss of Rs. 300 billion in the subsidy given on petroleum products and no approval had been given by the cabinet.

Talking about power plants, he said that at present 7,500 MW power plants are shut down, therefore load shedding is taking place across the country, 5,500 MW are closed due to fuel and debt problems. Is facing

He said that 200,000 MW was shut down because no repairs had been done there.

Muftah Ismail said, "I often think that this government was more incompetent or more corrupt. Peace be upon its incompetence."

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He said the government was incompetent to smuggle urea even though گیس 30 billion worth of gas was being supplied for urea production at a cost of 2 2 billion. Has given

He said that the previous government also smuggled wheat, which benefited our farmers and not our consumers but the country was at a loss.

IMF will resume programs, Muftah Ismail

The Federal Minister of Finance said that tonight I will have to go to the IMF. On his way out, Imran Khan had come to negotiate with the IMF and then withdrew, giving another amnesty to his friends and distributing even bigger gifts. Have gone

"I am confident that we will resume the IMF program, whatever we have to do, I hope the rupee will not depreciate further, we will present a people-friendly budget," he said. Markets will improve and inflation will come down.

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In response to a question, Muftah Ismail said, "I request the people of Pakistan to give us three or four months. The previous government used to forget to buy LNG again and again and our long term plans seemed bad to them."

Explaining the possibility of non-continuation of subsidy on petroleum products, the Finance Minister said that OGRA estimates in April that Rs 96 billion would be spent in the months of May and June. In April, Rs 69 billion was spent on subsidy. We will not be able to bear this subsidy, the Prime Minister will have to make this decision but this decision will be taken after negotiations with the IMF.

The Prime Minister has provided relief package in the month of Ramadan, Maryam Aurangzeb

On the occasion, Federal Minister for Information Maryam Aurangzeb said that ever since Prime Minister Shahbaz Sharif took office, he has been working day and night on how to save the people of Pakistan from inflation and take steps to help the people. Relief can be provided.

He said that the effects of inflation in the last four years have affected not only the economy of Pakistan but also the pockets of every Pakistani.

Elaborating on the meeting, he said that the Finance Minister briefed the Cabinet on inflation and economic conditions of the country and also briefed the Cabinet on energy sector.

He said that in the month of Ramadan, the price of 10 kg bag of flour has been increased from Rs. 550 to Rs. 400 which has been approved by the Cabinet. Subsidies will be ensured, monitored by the Prime Minister himself.

A transparent ECL committee has been formed, Maryam Aurangzeb said

Maryam Aurangzeb said that an ECL committee was formed in December 2020 for the purpose of taking revenge on political opponents, but now a transparent committee has been formed which will be headed by Prime Minister Nazir Tarar.

The committee will review the ECL rules, give a briefing on the application of the law and submit a committee report in three days.

The Information Minister said that FIA and NAB were used by the previous government, Imran Khan used the institutions due to personal animosity towards Shahbaz Sharif.

During the briefing, Maryam Aurangzeb said that Muhammad Tahir Rai has been posted as DG FIA.