An economic growth of seven per cent and a 250pc increase in foreign direct investment (FDI) could be achieved by 2017-18 through democratic governance, supremacy of the Constitution and avoidance of misuse of power, Finance Minister Ishaq Dar said yesterday.
Speaking to the participants of the 16th National Security Workshop at the National Defence University, he said fiscal consolidation, power sector reforms, gas sector reforms, privatisation programme, debt management strategy and monetary management were top priorities of the government.
He said the government was working on a macroeconomic stability plan aimed at taking the GDP growth rate to 7pc, industrial growth to 8pc, fixed investment-to-GDP ratio to 22pc and fiscal deficit to 4pc of GDP by 2017-18.
The government would also bring down public debt to below 57pc of GDP from over 60pc now, and keep inflation under 8pc besides increasing tax-to-GDP ratio to 15pc by FY18, he said.
On top of that, he said, exports would be increased to $32 billion, FDI to $5.5bn from $1.6bn, and foreign exchange reserves to $20bn by that year.
He said (however) that these targets could ‘only’ be achieved through democratic governance which required supremacy of the Constitution and rule of law in order to reduce corruption, avoiding tax evasion, wasteful expenditure and misuse of power.