ISLAMABAD: Finance Minister Shaukat Tareen, while announcing the launch of the Successful Pakistan program this month, said that under this program, 4 to 6 million families would get a chance to stand on their own feet.
According to the details, Finance Minister Shaukat Tareen while giving a press conference said that if we look at the prices, there is a wave all over the world, our price has gone up from 4.18 then 6.81 then 10.46, sugar was 3 303 per tonne in 2018, Oil is above 621 in 2018.
Shaukat Tareen said that we always said that farmers should get world prices, our job is to increase agricultural production, we import wheat, pulses, ghee, the rate of inflation will be close to 8% this year.
Regarding sugar and wheat prices, the Finance Minister said that sugar has increased from 30 303 to 30 430 per tonne in 2017, wheat has reached 27 274 per tonne, edible oil prices have also increased, production has declined due to Corona epidemic. And the supply chain was affected.
He said that Pakistan had problems first with the IMF program and then with Corona. In July 2020, urban inflation was 15.1% and rural inflation was 17.1%. At present, urban inflation is 10.2% and rural inflation is 9.1%.
Shaukat Tareen said that we have been giving targeted subsidy from the same month, earlier only electricity and gas were being given targeted subsidy, lower 40 to 44% of the population will be given subsidy, first we did not have data but data has come through realization.
The federal minister said that the government tried not to keep the prices globally, the price of sugar increased by 41% from 2020 to 2021, we increased the price of sugar by 11%, the price of wheat increased by 32% within a year, we increased by 15%.
He further said that we have to focus on agriculture and take care of the crushed farmers while we have to reduce the import of expensive commodities, increase the subsidy price of wheat to Rs.
The Finance Minister said that we have increased the prices of sugar, wheat and edible oil by 15 to 20 per cent while the prices of sugar, wheat and edible oil in the world market have increased by 70 to 95 per cent. Increasing income will reduce the burden of inflation.
He further said that with the improvement in the economy, revenues are increasing, successful Pakistan program will be launched this month, which will give 4 to 6 million families a chance to stand on their own feet.
Regarding domestic debt, Shaukat Tareen said that the debt burden is a major problem on the economy, including loans to increase the central bank’s reserves. Domestic debt had risen to 81.1 billion, while government deposits had risen from 66.5 per cent to 75 per cent.
He further said that the policy rate has declined by 13.25 per cent and the rupee has depreciated. Due to the devaluation of the rupee, loans have increased. Now the loans have reached Rs 39.9 trillion as against Rs 25.29 trillion in 2018. Financial reserves have been increased to 5 5 billion.
According to the data, debt in terms of GDP was 85.7% in 2020 and 81.1% in 2021. Debt in terms of GDP was 74% in 2018. Debt increases as the economy grows. Government-owned profit of Rs. It turned into a loss of Rs. 226 billion in 2018 and a loss of Rs. 143 billion in 2018 alone.
Regarding Pak-Afghan trade, the Finance Minister said that it was decided that we have to help Afghanistan, if there is any export to be done in Afghanistan, we will do it, there is talk of using local currency for business from Afghanistan.
“People will be subsidized through utility stores, income for the salaried class will increase only when the economy improves, our prices are linked to the global market, which increases the price,” he said.