The Finance Minister Ishaq Dar came down hard on his critics and stated that the country’s debt to GDP ratio has not gone beyond 60.2 per cent.
Speaking at the launch of a prize bond here on Friday the finance minister said that saving to investment ratio is not adequate for achieving the required growth of 7 to 8 per cent.
He added that Pakistan needs 25-30 per cent saving to investment ratio to achieve the desired growth rate. Dar claimed the country’s saving to investment ratio has increased from 12.6 per cent to 15 per cent but it is considerably less than the desired rate.
Dar claimed that in 2008, Pakistan’s debt to DGP ratio was 52.8 per cent but it increased to 60 per cent of the GDP in 2013. Pakistan’s debt stood at 60.2 per cent now, he further maintained while claiming that Pakistan’s per capita debt of Rs 115,000 is the lowest in the world.
The finance minister said that world’s greatest economies are acknowledging Pakistan’s pace of growth in the economy and the country would leave Canada behind by 2030.
The finance minister said that a step is being taken through amendment in the Companies Ordinance after 33 years to maintain global registration and a bilateral treaty in this regard has also been signed with the Swiss authorities. These measures, he said, would prove very important against tax evasion.
Director General National Savings Zafar Masud said that for the first time profit would be available on Rs 40,000 bonds. He said that National Savings has been catering to the woman consumers who constitute 50.26 per cent of the total number.
He said that restructuring of the National Savings is also under way and the organisation would also take part in promotion of financial inclusion.
Qamar Nawaz of State Bank of Pakistan (SBP) said that SBP is also partner of the Central Directorate of National Savings (CDNS) for issuance of registered bond.