Finance Minister answers the reason behind going to IMF

Roman AhmedWeb Editor

25th Jun, 2021. 06:53 pm
Shaukat Tarin Post budget 2021-22

Finance Minister Shaukat Tarin spoke about the major challenges faced by the PTI government

Tarin further explained how the government tried to deal with these challenges with limited resources.

The biggest difficulty, he said, “When the PTI government came to power, was the country’s current account deficit of $20 million”.

In the past, growth could only be seen after taking loans from various institutions around the globe, he said, “amplification that the current account shortfall left the administration no choice but to go to the International Monetary Fund (IMF)”.

Tarin reasoned that Pakistan’s economy degenerated because IMF had placed some strict conditions, including an increase in the discount rate to 13%, which has devalued the rupee and an upsurge in tariffs, when Pakistan approached it for its Programme.

On the contrary, Tarin said the icing on the cake was when the novel coronavirus pandemic took over the country.

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