- Miftah Ismail assures that the country will fulfill its obligations, debt payments.
- “Pakistan, other developing countries facing worst crisis,” he said. says.
- He adds spike in domestic energy prices will reduce import.
Federal Minister for Finance and Revenue Minister Miftah Ismail on Monday said Pakistan could come out of this is current economic crisis, without sinking to default, as progress was made on suspended loan from the International Monetary Fund (IMF), as well as spending cuts, bloomberg reported on Monday.
In a telephone interview, a financial minister said: “With the commodity supercycle and the war between Russia and Ukraine, oil prices have skyrocketed and gas prices are as high as ever. in historyPakistan and other emerging countries Was facing worst crisis.
However, Pakistan weather storm through the IMF rescue program, an introduction of significant difficulty budget by pushing demand for import”.
Pakistan reaches agreement at staff level with Washington lender on July 14 after months of efforts to revive the program.
According to the State Bank of Pakistan (SBP), Islamabad needs total of $33.5 billion in in year until June 2023, and available funding is $35.9 billion. for Period.
“Now it’s all settled”
Myphtha said, “Now everything is settled. Pakistan is absolutely going to do everything and everyone debt and payment of the bond.
Head of Sharjah Islamic Bank of Debt Capital Markets Ali Wahab said the firm received its scheduled coupon payment on Monday. for his assets of Pakistan issues $1 billion sukuk in January. “I hope it will help in dispel fears of investors,” he said. added.
In an email replyCentral bank told the publication that the coupon payment of the Pakistani sukuk was completed, and all debt payouts this week are on track, including one due on August 3rd.
The authorities also stated that all external debt payments – principal and interest – are made on repayment terms in accordance with loan agreements.
it should note that the country reduced imports by 35% to $5 billion. in July, which will in turn help check the nation currentaccount deficit. ” spike in domestic energy prices — by 50% win IMF assistance will also reduce energy demand and imports that were strain on currency,” Miftah said.
Pakistani currency lost over fourteen% against United States dollar in July to finish last session of month at 239.4 — highest monthly slide since 1972.
bloomberg reported that the rupiah is one of the worst currency drops in the world for in last month.
The Pakistani rupee temporarily fell but is expected to strengthen in line with basics over in next several months, central bank and the Ministry of Finance said in rare joint statement released around midnight on July 31.