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Friday July 12, 2024

Circular debt of power, petroleum sectors hits Rs5.3tr, says Musadik

He said that internal economic indicators were also reflecting this optimism, with the stock market breaking records daily

By News Desk
May 27, 2024
Federal Minister for Petroleum  Musadik Malik addresses a press conference. — APP/File
Federal Minister for Petroleum Musadik Malik addresses a press conference. — APP/File

ISLAMABAD: Minister for Petroleum Musadik Malik said on Sunday said that the circular debt of power and petroleum sectors had reached Rs5,300 billion.

In an interview to anchorperson Shahzad Iqbal in Geo News Programme “Naya Pakistan”, he said the circular debt was hurting the country badly. “However, both internal and external economic indicators suggest that Pakistan’s economy is heading in the right direction,” he added.

He said that international economic institutions such as the IMF and World Bank, along with friendly countries, were providing positive signals about Pakistan’s economic trajectory. He said that internal economic indicators were also reflecting this optimism, with the stock market breaking records daily. “This not only indicates restored external confidence but also an improvement in internal investor and business confidence,” Malik said.

He added that delegations from foreign countries were visiting Pakistan, which demonstrated the correctness and stability of the country. He underscored the importance of expanding the government’s tax base, noting that the burden currently falls disproportionately on salaried individuals, while those who should pay taxes are not doing so. “Those will be brought into the tax net,” he said. He also discussed efforts to curb gas and electricity theft, mentioning that a comprehensive plan has been developed to address this issue.

Regarding foreign investment, Malik said the government has decided to prioritize the private sector. “I want to make it absolutely clear that this revolution has to be brought about by the private sector. On behalf of the PM, I must say that ‘this shall be led’ by the private sector,” he emphasized.