The federal government will soon announce a five-year economic plan, as it claims achievement of ‘macroeconomic stability’ amid the positive trends shown by indicators.
Addressing the launch ceremony of the Buna-Raast connectivity project on Thursday, Prime Minister Shehbaz Sharif and Finance Minister Muhammad Aurangzeb, in their respective speeches, discussed the economic situation of Pakistan.
The premier told the attendees that the parameters for the economic plan have been finalized and it will be announced soon. These parameters, he said, had been finalized after deliberations with the country’s stakeholders. He also expressed hope that the plan would enhance the national economy by uplifting promising sectors, including Information Technology and agriculture.
The prime minister also discussed the reforms being brought by the incumbent government, saying that he was supervising the digitalization of the Federal Board of Revenue (FBR). He added that reforms in the power sector will yield benefits as well.
He made it clear that the government possessed no “magic wand”, but was working with utmost dedication. He called for action instead of debates as had been the practice of the past.
Separately, the finance minister said that Pakistan is currently going through a period of economic stability. He added that the government will place the country on the path of sustainable economic development by strengthening its foundations.
He cited the foreign reserves, exchange rates, revenue figures, situation of twin deficits, and rising investor confidence as the positive indicators that make him believe that the country’s economic situation is currently stable.
He said that Pakistan’s reserves are enough to cover imports for two months, and the rupee is also stable against the United States Dollar. He added that lately, foreign investors have been expressing interest in investing in Pakistan. He further said that the remittances of the workers amounted to $3 billion during the last month. He credited this to the government’s reforms and administrative policies. The finance minister added that the government is also focusing on the digitalization of the economy.
Buna -Raast Connectivity Project
The project is meant to connect Pakistan’s Raast payment system with the Arab Monetary Fund’s Buna system. This will make it easier for Pakistanis in the Gulf states to send money to Pakistan. The connectivity project makes the process faster and smoother.
The premier said that through the project, Pakistan will be able to boost its foreign reserves. He added that it would also expand Pakistan’s digital payment infrastructure. He also cited the project as an example of Pakistan’s progress in the technological sphere in the 21st century. The premier also took a moment to thank the Arab Monetary Fund, Bill and Melinda Gates Foundation, State Bank of Pakistan, Finance Ministry, and Karandaaz for their assistance with the project.
The finance minister said that the project would help Pakistan’s quest for digitalization and would strengthen segments of the financial sector, besides ensuring the country’s compliance with the principles of the Financial Action Task Force (FATF).
Global outreach
Led by German Federal Minister for Economic Cooperation and Development Svenja Schulze, a delegation visited Prime Minister Shehbaz on Wednesday. During the meeting, the premier acknowledged the support extended by Germany for the socioeconomic development of Pakistan and expressed his desire to revive the past relationship between the two sides. He highlighted that in the past, both countries had a mutually beneficial.
The German minister reciprocated the premier’s statements, and expressed Germany’s desire to enhance relations with Pakistan, particularly in the economic domain. She also expressed support for Pakistan’s climate resilience and renewable energy initiatives.
Separately, during his meeting with the Secretary-General of the Conference on Interaction and Confidence Building Measures in Asia (CICA), Ambassador Kairat Sarybay, the prime minister said that Pakistan favors regional connectivity. He also expressed support for CICA’s efforts to enhance regional connectivity, besides promoting peace and stability in South Asia.