Finance Minister Shaukat Tarin lauds 'team Imran Khan' for 'strong V growth'

• Finance Minister Shaukat Tareen laud team Imran Khan for strong V growth despite the tough IMF programme.
• Hammad Azhar says growth level due to "prudent economic policies" even amid the coronavirus pandemic.
• Azhar assures journalists that government has a management plan to address circular debt.

Finance Minister Shaukat Tareen on Saturday lauded Imran Khan and his team for the "strong V growth" despite the tough IMF programme.

"A strong V growth despite being in a tough IMF programme, which was necessitated by unsustainable current account deficit and falling foreign currency reserves, and a vicious COVID-19," tweeted Tareen. 

Separately, federal Energy Minister Hammad Azhar announced that the government is targeting a 4% economic growth for the ongoing fiscal year.

Azhar, who was giving an economic outlook at a news conference in Islamabad today, said that the government will also expand the "social protection programmes" in the country to help the low income groups.

The minister said the government has been able to reach this level of growth due to the "prudent economic policies" that were pursued despite the "negative impact of COVID-19".

"This will not be temporary growth it will be sustained and further strengthened," Azhar added.

Read more: Pakistan's GDP growth expected to touch 3% mark for FY2021

The minister said that large scale manufacturing grew by 9% during the first nine months of current fiscal year and Pakistan had made exports worth $3.2 billion in March only.

Speaking about the economic recovery, Azhar said that the foreign exchange reserves of the country had reached $23 billion while remittances also grew by 39% in the current year.

The energy minister said that the cement industry has seen a record production of 17% while better crop prices have benefitted the farmers' community.

Read more: Pakistan's remittances rise to all-time high of $2.8b in April

Responding to a question, he said the government has a management plan to address the issue of circular debt.

GDP growth estimated at 3.94%: PM Imran Khan

A day earlier, Prime Minister Imran Khan said the gross domestic product (GDP) growth of Pakistan for the fiscal year 2020-21 was estimated at 3.94%.

"National Accounts Committee has finalised GDP growth estimate and GDP growth is estimated at 3.94%," the prime minister said.

"This reflects the success of our government's economic policies while managing the COVID 19 pandemic," the premier said.

The V-shaped recovery is balanced between 3 major sectors — agriculture, industry, and services — PM Imran Khan added.

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Following the PM's tweet, Energy Minister Hammad Azhar said that on the basis of the latest data, the National Accounts Committee has estimated this fiscal year's GDP growth to be close to 4%.

"This is a remarkable recovery and unlike past growth stints, forex reserves have also grown and the current account remains in surplus. Industry led this growth," he said.

Federal Minister for Planning and Development Asad Umar said the growth, in a period in when COVID-19 posed a huge challenge to the economy, is extremely gratifying and "proof of the success of Imran Khan's economic policies".