Former federal finance minister and leader of the Pakistan Muslim League – Nawaz (PML-N), Miftah Ismail, has asserted that Pakistan is on the edge of ‘default’ since the risk has reached a dangerous level.
In an article (Daily Dawn News), Miftah Ismail refuted the claims of Pakistan’s current finance minister, Ishaq Dar, on the country’s economy and stated unequivocally that Pakistan now faces a grave risk of bankruptcy. This is because the government now has no margin for mistakes.
Miftah Ismail added that even when the bonds are repaid in December, the possibility of bankruptcy will persist. The PML-N veteran continued by stating that the government has no right to criticize the PTI or anyone else if it does not act ethically.
In the article, the former minister identified the devaluation of the rupee as a big problem for the country’s economy and noted that there is currently a large and consistent disparity between open market and interbank exchange rates.
The previous finance minister has counseled his government to put the national interest ahead of party interest. He emphasized that if the existing administration cannot do the right thing for the country, it has no right to criticize PTI or anyone else.
On the contarary, the current Finance Minister, Ishaq Dar calims that the probability of Pakistan’s default is only 10%.
According to Finance Minister Ishaq Dar, Bloomberg’s analysis indicates that there is a less than 10% chance that Pakistan will default.
Finance Minister Ishaq Dar ruled out the possibility of a default by Pakistan and stated, “Bloomberg pegs Pakistan’s one-year chance of default at a low of 10%, as opposed to a highly questionable figure of 93% that was disseminated by an unscrupulous local political leader a few days ago.”
“Pakistan will continue to honor its financial obligations on schedule, Insha’Allah,” he continued.
