LAHORE: Former finance minister Hafeez Pasha on Tuesday said that in view of the current economic indicators, inflation may reach 20 per cent soon.
Speaking to Pakistan Today Editor Arif Nizami on Channel 92’s programme ‘Ho Kya Raha Hai?’, the economist said that Pakistan’s economy is in dire straits. He said that inflation has peaked and unemployment is growing by every passing day.
“The income tax regime is only benefitting the rich segment of the society,” he said.
He said that Pakistan’s total debt has increased a lot and the country is taking care of its expenses by taking loans. “Right now the interest rate in the country is too much as well,” he said, adding that Pakistan needs to convey its issues to the International Monetary Fund (IMF).
“The government tried to complete the three-year IMF programme within a year,” he said.
He also said that the Federal Bureau of Revenue (FBR) Chairman accepted a highly-ambitious target
He further said that given how the economic situation is nowadays, he does not see the economy growing in 2020 either. “Industrial production has decreased by 6 per cent and no new factories are being set up,” he added.
“If the economic situation stays this way, people will come out of the streets. Therefore, it is necessary for the government to consult expert economists to handle the situation,” he concluded.
