November 8, 2018 (MLN): In a recent interview held with Geo news, Finance Minister Asad Umar talked about how government will not bow down to unreasonable conditions that may hamper the well-being of Pakistan.
Elaborating further, he said that after securing financial assistance from Saudi Arabia and China, Pakistan was now in a better position than before. Therefore it is unlikely that IMF will present harsh conditions.
“However, if God forbid IMF sets forth conditions that may compromise on the well-being of the country and its citizens, we shall not bow down to it” he said.
“IMF is very important but shouldn’t be the focal point of government,” he further added.
Regarding the size of the bailout package from IMF, the minister said that the government will be requesting for atleast $5-$6 billion.
When asked whether the recent rupee devaluation and power/gas hike were a part of fulfilling IMF conditions, he denied by saying that rupee was devalued to curb the balance of payment crisis.
Talking about his recent visit to China, Asad Umar revealed that China was more than willing to help Pakistan by providing financial assistance in terms of bailout and increased exports. He said a plausible Chinese bailout was underway but denied the assertion that the size of bailout was $6 billion.
He also said that currently, exports to China stand at $2 billion and China has agreed to double their imports from Pakistan within a year in order to alleviate balance of payment. Exports to China may include all those goods that Pakistan produces in surplus i.e. rice, sugar, textile, leather etc., he added.
When asked about the government’s decision to import 100,000 tons of urea, the minister said that Pakistan was producing less than sufficient amount of Urea needed for the Rabi season. Therefore, government deemed it necessary to import the said amount.
