Coordinator to Prime Minister on Economy and Energy Bilal Azhar Kayani categorically said that the government had no plan to impose additional tax on income of agriculture sector. he said it was unfortunate that those who pushed the country to the verge of default were now attempting to dent the International Monetary Fund (IMF) programme.
He mentioned that the government had successfully entered into a nine-month Stand-By-Agreement (SBA) with IMF, which was the result of the Prime Minister Shehbaz Sharif’s dedicated efforts that received overwhelming support from the entire nation.
One significant indicator of the country’s economic growth was observed on July 3 when the Pakistan stock exchange experienced a remarkable increase of 2446 points, with the index surpassing the 45,000 mark. This positive development was well-received by the business and trading communities, signifying their confidence in the government’s economic policies, he added.
Kayani highlighted that Fitch, a renowned credit rating agency, also improved Pakistan’s rating from minus ’CCC ‘ to ‘+CCC’ further bolstering the nation’s economic position.
Acknowledging the concerns surrounding loans acquired from the IMF, the Prime Minister himself acknowledged the necessity of such measures for Pakistan’s economic well-being. As a result, the country’s foreign reserves increased, and exchange rate stability has been achieved, effectively eliminating the threats of default. In addition to the assistance of around $4.2 billion from the IMF, Saudi Arabia and the United Arab Emirates (UAE), China also recently rolled over a loan of $600 million.
Bilal Azhar emphasized that certain elements within the nation had attempted to undermine the national economy by engaging in petty politics. However, these destructive seeds have been uprooted, and those who once desired Pakistan to default are now opposing the IMF program, perplexed by the country’s resilience, he added.
He said despite the challenging decisions, the government has ensured that the socially vulnerable classes receive financial assistance through the social protection program.
Addressing the confusion regarding taxation on agriculture, he stated that no new taxes had been imposed on the agricultural sector.
Meanwhile, he reminded that PML-N had previously successfully completed an IMF program. In 2018, the inflation rate stood at 3.8%, with food and beverage prices experiencing a 2.3% increase.
Despite economic challenges, his administration consistently made decisions that propelled the nation forward with effective management and governance. The country’s defense was strengthened through nuclear capabilities. After a temporary setback from 2018 to 2022, the government is now committed to comprehensive measures aimed at increasing investment special attention is being given to sectors such as Information Technology and agriculture to boost revenues.
Despite facing floods last year, the government provided support packages for farmers, recognizing the potential of agriculture in improving the living standards of economically vulnerable sections of society.
