WASHINGTON: Hinting towards looming massive rise in petrol price, Federal Minister for Finance and Revenue Miftah Ismail has said Pakistan could not afford to continue subsidy on petroleum products because of its economic condition.
Addressing a press conference in Washington, he said the International Monetary Fund (IMF) had agreed to send its mission to Pakistan in the middle of May for continuation of Extended Fund Facility programme.
Read more: PM discusses steps to ensure provision of electricity, petroleum products supply
The minister said he and his team had very good discussion with the IMF, the World Bank and International Finance Corporation.
He said the incumbent government would fulfill all sovereign commitments made by the previous governments with the IMF and regarding the China Pakistan Economic Corridor (CPEC).
The finance minister said Pakistan had never defaulted in last 70 years and would not default in future too. He, however, said there had been excessive budget deficits which led to increase in debts.
He said the government would try its best to reduce debts by enhancing overall GDP.
On April 13, an emergency meeting regarding energy sector was chaired by Prime Minister Shehbaz Sharif in Islamabad.
Read more: Oil prices fall after truce in Middle East conflict, petroleum reserve news
The forum had discussed steps to overcome electricity loadshedding and ensure provision of petroleum products.
The meeting was attended by Pakistan Muslim League-N (PML-N) leaders Shahid Khaqan Abbassi and Miftah Ismail as well as officials of ministries of petroleum and finance.
