Govt committed to maintain fiscal discipline: Finance Division

The Finance Division has said the Government remains committed to maintaining fiscal discipline throughout the course of the current fiscal year.

A statement issued by the Finance Division rebutted the news item published in the Express Tribune on September 20, 2023 titled “USD 4.5 billion external financing shortfall may rankle IMF” misrepresents Pakistan’s external financing requirements and interest payments for current fiscal year.

The statement said that it is being ensured that budget for financial year 2023-24 is strictly adhered to and that all expenditures remain in line with commitments. To this end, Finance Division remains engaged with all Ministries and Divisions as well as provincial governments to meet general government targets. Finance Division undertakes a review of the fiscal position frequently to ensure fiscal stability.

The news item’s reference to a potential overshoot in the government’s interest expenditure on account of declining foreign inflows or persistently high policy rate depicts a limited understanding of fiscal variables. The Government remains on track to achieve its primary balance targets and to successfully conclude the upcoming review with the IMF.

The statement further said that the Finance Division expects that news reporting on economic issues of national importance should be responsible and not based on limited information.

Source: Radio Pakistan