Fuel subsidy under PTI govt was unfunded, says Ishaq Dar

May 11, 2022 (MLN): Former Finance Minister Ishaq Dar said that the PTI government led by Imran Khan claimed subsidy on fuel was funded, however, following the departure of the previous government it was learned that it was not funded.

If it was funded, International Monetary Fund (IMF) would not have raised the objection, he noted.

To note, the fund will likely revive the 7th review of the Extended Fund Facility of $6 billion when its prior conditions are met including the removal of exemptions and subsidies on various items and an increase in income taxes.

The gap is huge because subsidies touching almost Rs300 billion.

In April, the government also bore the loss of Rs70 billion on account of fuel subsidy while in the month of May it would be around Rs118 billion.

In the last three years, the people of the country have been hard hit by the rising prices as the headline inflation is in double-digit 13%, he added.

He noted that the prices are already on the higher side. The increase in fuel prices will burden the masses.

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