c of chicken and pulses are not decreasing due to the role of middlemen, while important achievements in the economic field are continuing. The current account surplus after ten years is an important development. Remittances have increased by 35 percent. Steps are being taken to build economic stability on a sustainable basis.
Federal Finance Minister Muhammad Aurangzeb, while addressing the meeting of the Economic Coordination Committee of the Cabinet at the Ministry of Finance on Wednesday, said that important achievements in the economic field are continuing. Remittances have increased by 35 percent and remittances will exceed $35 billion. There is also a positive trend in the export sector, while inflation has fallen to a 6-and-a-half-year low. The State Bank has cut the policy rate for the fifth time in a row.
The Finance Minister said that the policy rate coming to 13% is important for the economy. The confidence of the business community has increased significantly and increasing the growth rate with economic stability is a priority, while cement sales have increased by 5%. Muhammad Aurangzeb added that the ECC covered inflation a month ago. The first agenda in today’s ECC will be on reducing prices and I am optimistic that the journey of economic improvement will continue.
The Federal Finance Minister further said that the question is raised as to why the economic improvement is not affecting the common man. The prices of chicken and pulses are not decreasing due to the role of middlemen. We will also monitor the prices of chicken and pulses that have decreased worldwide.
In the meeting of the Monetary Committee, the Governor of the State Bank has expressed the hope that the volume of remittances in the current fiscal year will exceed $35 billion, while remittances of $30.2 billion were received during the previous fiscal year.
The Finance Minister said that the volume of remittances through Roshan Digital Accounts has exceeded $9 billion. During the current fiscal year, remittances through Roshan Digital Accounts have increased by 31 percent on an annual basis compared to the previous fiscal year. Good news is also coming from the technology sector, with technology exports increasing by 25 percent.
Similarly, exports from the textile sector are also increasing. He said that foreign exchange reserves have increased. 16 months ago, we had an import cover of two weeks, which has now increased to 2.6 months. Hopefully, by the end of this year, we will have an import cover of three months. This is also important for Pakistan’s rating and our credit rating will improve.
The Finance Minister said that the inflation situation has also improved. Six and a half years ago, the inflation rate was around 5 percent. In November, it was recorded at 4.9 percent. The policy rate has fallen to 13 percent. He said that the good news for industries is that the KIBOR is below 12 percent. The cost of loans for industries has decreased. The common man will benefit from the reduction in inflation.
