00:00 Headlines Afrijani, here you know that after the general elections, the issues for government construction have been almost settled and its impact is being seen in Pakistan Stock Exchange.
00:10 In 100 index, more than 1000 points have been added, which is being traded at the level of 61553.
00:19 Experts think that after the agreement of government construction has been finalized, the trust of investors has been increased.
00:26 To talk about this, we have with us our economist Mr. Khakan Najeeb.
00:30 Thank you very much Mr. Khakan for giving time.
00:32 Tell us, the clouds on political uncertainty are being lifted.
00:36 What challenges will the coming government face in the economic field?
00:39 Bismillahir Rahmanir Rahim.
00:41 See, the stock market is always, the bond market of Pakistan, it trades on certainty.
00:47 The certainty of policies of the political government coming in.
00:51 So, you know from the last few days that there was a situation where two major political parties were deciding how they should take action and move forward with Pakistan.
01:01 So, this is a good thing that they have come to a conclusion.
01:04 Where they have not yet clarified its limits, but it seems that a party will lead, PM and PM will be their ministers.
01:12 Pakistan is currently in a situation where macro-seed stability is visible because the IMF program is running.
01:22 In the coming days, the completion of this program has to be done.
01:26 The market is looking forward to Pakistan completing this in the first or second week of March.
01:34 And the money for the second review will come.
01:37 This is very important because I was just seeing that the numbers of Pakistan are very difficult.
01:43 Pakistan's commercial, Pakistan's access to Euro bonds is low.
01:48 We have to trust the domestic, which is our physical loss this time, which is a federal physical loss.
01:54 It was 7500 ARABS before, now it has gone close to 8500 ARABS.
01:58 And this financing is important.
02:00 Remember, the IMF umbrella is very important to take this thing forward.
02:05 The first task of the coming government is to complete the second review.
02:08 But the difficult task in front of them is to implement a new program.
02:13 For this, I am really hoping that they have thought of some framework, some contours, energy, structural, financial, Pakistan's exports, current account, structural on the SOE.
02:25 All these things must have been thought of on them.
02:27 And the authorities at the moment must be working on what we do.
02:31 Mr. Khan, as you are talking about the IMF again and again, then dealing with the IMF, controlling inflation, reducing the debt in the circular, how big a challenge will it be for the new government?
02:40 Obviously, but these challenges are on the level where you change the prices and recover the cost of doing business.
02:50 Whatever the cost of electricity, gas, petroleum is coming.
02:54 The thing is that the 9th organization to reduce the debt of the energy sector, we have not even started that yet.
03:01 Which means privatization, which means tariff reform, which means subsidy reform.
03:07 Which means that the NEPRA and OGRA regulators are improving, implementing market forces.
03:14 This is the work that we have not even started yet, that we can stop the flow of circular debt, that is, the bleeding.
03:21 You still have a circular debt of about 2,500 billion.
03:24 Remember, General Musharraf left and went to 100 billion.
03:27 This is increased in every coming government.
03:30 So let's agree as a nation that we all together have not been successful in handling it.
03:37 And then we have set up a circular debt of 29 billion on the gas sector.
03:41 Now we will have to do something to handle its stock as well.
03:45 We have just put a plan for IMF. That's why I say that before putting a plan for IMF, consult local experts.
03:52 The IMF said that if there are effects on its financial losses, then we will not accept it.
03:59 We will have to give a supplementary grant in it, so we do not accept it.
04:02 So, Mr. Prakash, as you said that we have not started making the basic structure yet.
04:07 So, what are the immediate steps that can be taken by the people immediately?
04:12 The thing in your hand is that the next budget is coming.
04:17 Implement such policies in that budget.
04:20 The first policy is the cost of living relief.
04:24 What I mean by that is that if you have an income support program of about 460 billion rupees, increase it.
04:31 Take it to 7, 750, 800 billion.
04:34 Collect retail, real estate and agricultural income tax.
04:38 These two things should be clear in the budget.
04:41 And in reality, it is not such a difficult task.
04:44 If you want to give it at least directionally to India, both in Pakistan and abroad,
04:51 that we are serious about collecting tax from our own sector,
04:55 which is permissible to collect tax on, and we are under-taxing those areas,
05:01 there is a big gap in tax here. I think that's the future.
05:05 Thank you very much, Mr. Akha, for giving your time.
