Prime Minister Shehbaz Sharif welcomed a record fall in inflation to 4.9% after nearly six and a half years, expressing hope that the remarkable development will lead to further reductions in the policy rate.
Exceeding official forecasts, inflation in Pakistan slowed to 4.9% year-on-year in November 2024, from 7.2% in October, marking its lowest level in six and a half years, according to data released by the Bureau Pakistani statistics. (PBS) Monday.
“This is beyond imagination,” the Prime Minister said during a federal cabinet session in Islamabad on Monday, adding that inflation is a tool that can be used to improve the financial condition of the masses, while at the same time, the increase in inflation increases the difficulties. poor people
Recalling the previous tenure of Pakistan Muslim League-Nawaz (PML-N), he said inflation stood at 3.5 per cent under the leadership of former Prime Minister Nawaz Sharif.
He said this positive development would reduce the financial burden on ordinary citizens.
He expressed optimism about further relaxation of the policy rate by the Monetary Policy Committee (MPC) of the State Bank of Pakistan (SBP) in its next meeting.
After achieving economic stability, the Prime Minister called for moving towards economic growth with a targeted approach to improve the country’s GDP, exports, production, industrial development and employment.
The Prime Minister said revenue collection also recorded an increase compared to the previous year due to the implementation of the laws.
Criticizing the protests in Islamabad without naming the Pakistan Tehreek-e-Insaf (PTI), Prime Minister Shehbaz said the uncertainty and chaos had affected the Pakistan Stock Exchange (PSX) with a drop of 3,000 points. He said the stock market rebounded the next day, after the capital returned to normal.
He further said that the government had taken utmost care while allowing the export of sugar to ensure price stability in the local market. He said sugar exports could earn $500 million in foreign exchange.
Shehbaz also praised the role of the Pakistan Army in combating smuggling across Afghanistan, which also played a pivotal role in stabilizing sugar prices in the local market.
He also lauded the efforts of Aviation Minister Khawaja Asif and former Aviation Minister Khawaja Saad Rafique for lifting the ban on flights of Pakistan International Airlines (PIA) to Europe.
The prime minister also criticized a former aviation minister’s “irresponsible statement” which he said caused a multi-billion dollar economic loss to the national carrier.
He admitted that PIA’s ban on foreign routes was one of the reasons that affected the airline’s tender process.
Last week, the European Union Aviation Safety Agency (EASA) lifted the ban on Pakistan International Airlines (PIA) flights to Europe after a gap of almost four years.