ISLAMABAD - Finance Minister Asad Umar on Friday said that incumbent government would present the mini budget and comprehensive economic plan for next three years in mid January.

He further said that government would announce the measures for export-oriented production growth of the country in the upcoming mini budget. The mini budget and economic plan of the incumbent government would be presented in mid January 2019 in parliament for approval. He clarified that mini budget has nothing to do with International Monetary Fund (IMF).  The government would not further increase the power tariff during the ongoing fiscal year, he said while talking to the media. The government had not increased the power tariff as recommended by the regulator to reduce the circular debt but it also set a target of Rs140 billion for the ministry of power recover it through reduction in line losses and increase in collection of electricity bills.

Umar said that Pakistan is not approaching the IMF for financing help, which had already met. We are going in IMF programme to give signals to foreign investors and global markets and not for other international financial institutions for dollars. He further said that government had not accepted any condition of the IMF. All the decisions including increasing power and gas prices, depreciating the currency were taken by our own institutions as the immediate actions were required to stabilise the economic situation, he said and added that these steps were taken for the survival, not for the growth. He said that we have not differences on directionality stance of the IMF but there are issues on pace of reforms and sequence.

Finance Minister informed that government would complete the privatisation of the state-run National Power Parks Management Company Ltd (NPPMCL) that owns and operates the re-gasified liquefied natural gas-based power plants, including 1,233 megawatts Balloki Power plant and another 1,230MW Haveli Bahadur Shah power plant before June 2019.  Similarly, the government divest residual shares of 18.39 per cent in Mari Petroleum Company Ltd within the ongoing fiscal year. In case of Lakhra Coal Mines, he said since the matter is subjudice its privatisation process may be pursued only after decision by the Supreme Court.

Talking about Pakistan Steel Mills, Umar said that ministry of industries and production would submit the game plan for operationlisation of PSM by end of January. However, the PMS, which had shut down since July 2015, has capability to run as according to the interim report of the ministry. Similarly, the government is waiting for Pakistan International Airlines (PIA)’s recommendations for making the national airlines profitable.

Finance Minister said that he is in favour of 18th constitutional amendment, which is a right step for the provinces’ empowerment.  However, we have to sit together on National Finance Commission (NFC) award.

Advisor to Prime Minister on Commerce, Textile, Industries and Production Abdul Razak Dawood, who was also present in the press conference, said that incumbent government is working on an industrial policy. The industrial policy would promote other industries including engineering, chemical, information technology and agriculture to diversify exports.

He further said government is working to rationalise tariffs structure and customs duties in the next mini-budget that would be presented in January 2019 to facilitate the growth of industrialisation as the current tariffs and customs duties were not favourable for the industry. He said in the last 10 years, deindustrialisation and increase in trading had occurred in Pakistan due to unfavourable policies of the past regimes. However, the current government was determined to reverse this process and put the country on the path of sustainable industrial growth.