ISLAMABAD: Minister for Finance Asad Umar Tuesday said the country was not facing a balance of payment crisis any more and hoped that the country would soon get rid of this issue forever.

Addressing a press conference here along with Foreign Minister Shah Mehmood Qureshi, he said the country urgently needed $12 billion to bridge the gap of current account deficit.

“Saudi Arabia is supporting Pakistan with $6 billion whereas exports are also likely to witness a big jump during this year, therefore it is hoped that Pakistan would be able to overcome the balance of payment issue once for all,” he remarked.

The minister said the government is taking strong measures to boost the country’s export which is a major element in bridging the trade gap.

To a question with regard to expected inflow of financial support from China, he said discussion on this matter between the two sides are still in progress and a high level Pakistani delegation comprising governor of State Bank of Pakistan, secretary of finance and other high officials would hold a meeting with the Chinese side on November 9 in Beijing into the matter.

He said during the visit of prime minister to China, 15 agreements were signed between the two sides which would have long term positive impact on Pakistan’s economy.

To another query, Asad Umar said the present government’s economic policy witnessed a fundamental change as the previous governments’ policy was mainly focused on building roads and infrastructure whereas the current government’s policy is focused on human development, increasing exports, and elimination of corruption.

“We have given subsidy on gas and electricity to the export-oriented private sectors, besides reducing electricity price on agriculture tubwells”, he said adding that due to measures, taken to increase the export, it is hoped that by the end of current fiscal year, the country’s exports would be double as compared to the preceding year.

He said use of local currencies in the trade between China and Pakistan would benefit the private as well as public sector as China offers subsidized foreign exchange rates when the two countries trade in local
currencies.

Asad Umar said the government took decision on the petroleum prices on the recommendation of Oil and Gas Regulatory Authority (OGRA) and this month, the government did not fully follow the OGRA’s recommendation and passed on only partial burden to the people.

He said at present, the general sales tax rates on petroleum prices were at the lowest level in previous five to six years.

He said it is a positive sign that in the international market, the petroleum prices are again started receding and if the declining trend continued, the government would also reduce the prices next month.

 (APP)

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