ISLAMABAD: Prime Minister Shahbaz Sharif will address the nation today and is expected to announce a relief package for the poor section of the society. geo news Reported on Friday.
According to sources, in his address, the Prime Minister will take the country into confidence on the difficult economic situation of the country while also highlighting the issue of subsidy on petroleum products.
Sources said Prime Minister Shahbaz Sharif will apprise the country of the government’s future course of action and is also expected to announce a relief package.
It is to be noted that the government has increased the prices of petroleum products by up to Rs 30 to revive the $6 billion IMF loan programme.
Pakistan and the IMF failed to reach a staff-level agreement after weeks of talks as the government was reluctant to roll back unfunded fuel and energy subsidies.
The IMF had asked the government to take “immediate” steps and after returning from Doha, Finance Minister Mifta Ismail took the premier’s approval and announced an increase in POL prices.
Announcing the decision on Thursday, Mifta said it was not an easy decision for the premier to increase the price of petroleum products by Rs 30, but he vowed that the current government would take steps to protect the economy.
‘Incompetent and insensitive’
Criticizing the Shahbaz Sharif-led government for increasing petrol prices, PTI chairman Imran Khan said the country “will suffer another heavy dose of inflation at the hands of this crook”.
The PTI chairman said, “The country is starting to pay the price for subordination of imported government to foreign masters with the hike in petrol and diesel prices by 20%/ Rs 30 per liter – the highest single price hike in our history. “
Describing the current government as “incompetent and insensitive”, the former prime minister slammed it for not pursuing the deal the previous government had signed with Russia for 30% cheaper oil.
“In contrast, India, a strategic ally of the US, has managed to reduce fuel prices by PKR 25/litre by buying cheaper oil from Russia. Now our country will have to suffer another heavy dose of inflation at the hands of this hooliganism,” Imran Khan said.
‘A step in the right direction’
Meanwhile, the Pakistan Business Council has supported the government in the matter and advised officials to reduce the working week to cut fuel consumption.
“The decision to partially withdraw the normal subsidy on fuel has been taken of late, but is a step in the right direction to prevent pressure on twin accounts. What about conservation campaigns? Short work week, WFH? 1 day/week saves $167 million/month with no political repercussions,” PBC said in a tweet.
“It would be appropriate to phase out general fuel subsidies with the introduction of targeted subsidies for the most eligible. This would limit any political fallout. It is important that there is no U-turn in strengthening the country’s solvency.”