Pakistan showing signs of economic recovery but challenges not over yet, says finance minister

This is a very important indicator that shows that we have come out of difficulty, she said.Akhtar said the government is controlling expenditures, enhancing revenue and trying to stabilise the economic situation, including prices.She hoped that the agriculture sector would show good results with better productivity.We hope that our results will be good whether it has to do with major crops or minor crops.

Pakistan's interim Finance Minister Shamshad Akhtar on Friday said that the economy of the cash-strapped nation is showing some signs of recovery but the challenges are not yet over.

Pakistan has been on the verge of an economic collapse for the most part of the current year and was rescued by the International Monetary Fund (IMF), which agreed to provide it with a USD 3 billion loan.

Addressing a press conference here, Akhtar said the caretaker government is prudently tackling the economic problems it inherited.

The minister said the interim government is in touch with international donors and is trying to secure up to USD 2 billion in cumulative assistance.

“If you review macroeconomic indicators, you will see some improvement. There are some signs of economic recovery even if it's just starting,” she said.

The minister said the Consumer Price Index (CPI) has shown a decline from May figures, down from 38 per cent to 27 per cent. “This is a very important indicator that (shows) that we have come out of difficulty,” she said.

Akhtar said the government is controlling expenditures, enhancing revenue and trying to stabilise the economic situation, including prices.

She hoped that the agriculture sector would show good results with better productivity.

“We hope that our results will be good: whether it has to do with major crops or minor crops. Improved agriculture results will also improve our growth prospects,” the minister said.

Talking about the manufacturing sector, Akhtar said the data showed some improvement as activity was picking up in the industries. She hoped that the services sector would also improve as it was linked with all other sectors.

(This story has not been edited by Devdiscourse staff and is auto-generated from a syndicated feed.)