PM Imran voices optimism for a sound, stable economy

ISLAMABAD: Prime Minister Imran Khan on Monday while criticizing the previous rulers for the country's economic woes with ever increasing gnawing gap in the fiscal and current account deficits, vowed to streamline the economy by enforcing strict financial discipline through relevant laws and legislation.

In an interview with a private TV channel, the Prime Minister said his government inherited about $19.5 billion deficit which caused huge pressure on the rupee.

Total $14 billion commercial loan was obtained by the previous government to keep the value of rupee afloat in the market thereby bringing the country on the verge of default, he said.

“They used the country’s foreign exchange reserves to keep a check on the value of rupee. About $7 billion from the foreign reserves were spent by the previous government in a single year,” he added.

The prime minister said the timely assistance from the United Arab Emirates, Saudi Arabia, China and Qatar had helped Pakistan greatly in easing the financial pressure and improved the foreign payments.

He said without their timely support, the payment of foreign loans could not have been made possible.

The government was able to pay back about $10 billion loans, he added.

The prime minister said the pressure on rupee would be further eased in the month of July because it was also linked with the outflows or inter-banks mechanism.