A meeting of the Standing Committee on Finance and Revenue was held under the chairmanship of Senator Saleem Mandviwala at Parliament House today, where the committee members bombarded Interim Finance Minister Dr. Shamshad Akhtar with questions on the bleak state of Pakistan’s economy.
While briefing the committee, Dr. Shamshad Akhtar openly wondered about her decision to accept the caretaker finance minister role. “I wonder why I accepted this job,” she mused, hinting at the immense pressure and difficulties associated with managing the nation’s finances during these tumultuous times.
She further said the economic situation of the country was even graver than expected. Without mincing any words, she said that every conceivable effort had been directed towards undermining the economy. “Unfortunately, no effort has been spared to destroy the economy,” she lamented, painting a grim picture of the challenges faced by the caretaker setup.
She said the state lacks the financial capability to give subsidies to the general public. “We do not have the financial capacity to give subsidies,” she admitted, acknowledging the severe constraints on government resources.
The caretaker finance minister also addressed the issue of the International Monetary Fund (IMF) not backing off on its stringent conditions, asserting that it is not up for negotiation. Furthermore, she highlighted the interconnection of other prospectus inflows linked to the IMF program, emphasizing the delicate balance of managing multiple financial obligations.
Dr. Akhtar attributed the ongoing economic turbulence to a combination of political and economic instability. She expressed her belief that decisions made by respected political figures would play a pivotal role in resolving this instability.
Looking ahead, Dr. Shamshad Akhtar revealed her intention to brief the committee again in a week’s time, outlining potential measures and strategies to tackle the economic challenges at hand.
The meeting witnessed committee members directing a barrage of questions towards the caretaker finance minister. Amidst the exchanges, a recommendation emerged to engage with the IMF for relief measures that could alleviate the burden on the public.
Senator Sherry Rehman drew attention to the plight of the public, especially in relation to electricity bills. She underscored how these bills have become an unbearable burden for citizens, many of whom struggle to reconcile bills that often surpass their meager salaries.
Senator Mohsin Aziz also weighed in, highlighting the disparities in the dollar’s exchange rates and the presence of a substantial black-and-gray economy in the nation. Aziz pointed out the concerning trend of the government relying heavily on loans from banks, which poses its own set of economic challenges.