The Sinister Plan is in final phase now.. Pakistani citizens simply have no idea that they are facing the worst ever crises in recent history. Floods will bring hyper-inflation, shortage of food, magnified power crises and collapse of entire political and economical system if this devastation continues. Now America-Israel-India-Nato will have the perfect excuse that Pakistan nuclear weapons could go in hands of Taliban or Al Qaeda in these chaotic times when Pakistani armed and security forces are fully occupied doing rescue, relief and rehabilitation work in hundreds of cities and villages while the economy is collapsing fast and extremists are on the loose!
KARACHI: Federal Finance Minister Dr Abdul Hafeez Sheikh warned that government would not have enough money to pay the salaries to the government employees after two months as a result of country’s worst flooding.
Abdul Hafeez Sheikh cautioned Federal and Provincial Governments and military authorities to demonstrate highest level of fiscal responsibility in order to avert a ‘complete economic breakdown’.
Briefing a high-level meeting headed by Prime Minister Syed Yousuf Raza Gilani, he the national economy was ‘teetering on the brink’ even before the floods and was now heading for an ‘abyss’ because of the devastation caused by floods.
Chief Ministers, Joint Chiefs of Staff Committee Chairman, services chiefs and bureaucrats attended the meeting.
Giving an overview of the economic situation, the Finance Minister clearly told the top civil and military leadership that the national economy was teetering on the brink even before the floods and was now heading towards an abyss because of the devastation caused by the disaster.
The Finance Minister also said that the country’s overall debt stood at about Rs.8.75 trillion, which had increased by a massive 46 percent from Rs.6 trillion two years ago.
The debt has increased to such a level that the country is on the edge of insolvency.
Dr. Sheikh further said that the government would have to show strong commitment to restructure and improve the situation.
He also called for implementation of austerity measures approved by the federal cabinet last year ‘to stop further bleeding’.
Citing one example, he said the government had put a freeze last year on borrowing from the State Bank of Pakistan but it ended up with more than Rs40 billion borrowing. The minister said the government had no choice but to reduce its spending and improve revenue collection as it had exhibited little fiscal responsibility and failed to limit debt for the third year running because of financial indiscipline.
“We have to freeze the borrowing from the State Bank now to remain afloat and adding further foreign loans is no more a feasible option,” he said.
The finance minister also said the country’s overall debt stood at about Rs6 trillion at the end of fiscal year 2008 which had increased by a massive 46 per cent to Rs8.75 trillion in just two years, accounting for more than half of the country’s gross domestic product (GDP). The debt has increased to such a level that the ‘country is on the edge of insolvency’. “The government will not have the money to pay off salaries in two months” if the situation was allowed to continue, the official quoted the minister as warning the political and military leadership.
The huge debt portfolio, he said, was one of the major factors driving the inflation rate high.
Mr Sheikh said the government would have to show strong commitment to restructure and improve the state-owned public sector enterprises on a war footing and implement without delay austerity measures approved by the federal cabinet last year ‘to stop further bleeding’. This should be one of the most crucial steps to put an immediate brake on the slide and then think about reviving the national economy.
Referring to the provinces, the finance minister reminded the participants that after the 7th National Finance Commission Award, the provincial governments should stop looking towards the centre for financial handouts even in emergency situations and should start playing their own part to check expenditures, raise additional revenues and use additional resources arising out of higher NFC shares to meet flood-related expenses.
Pakisran finance minister’s warning is not a new. I as a journalist have been warning to the people of pakistan immediately after taking over of Pakistan Peoples Party government. Because the PPP lot has inheritedly incompetent. They only are known to come. loot. plunder and runaway. In actual words of people of Pakistan the word P is for PLUNDER, the second P is meant for PEO, drink whisky and third P for PULLOUT, ran away-.
The 3 years term viewed in the words and warnings of three finance ministers–Hafeea Sheikh, Shaukat Tareen and Iahaq Dar– would reveal that Pkistan is a big HUB of corruption. And every trace of corruption is, occupiers of whom are directed towards highest offices in the country , occupiers of whom are now amongthe richest individuals in the world forcibly and enethicallyand undemocratically ruling the country. God Almighty may save the poorest people of Pakistan from their loot and tyranny