In an interview with the local private news channel ‘Geo News show Aaj Shahzeb Khanzada Kay Saath’, the former finance minister said Pakistan could avoid default if the international lender resumes its current program.
PML-N leader: Without IMF support, default risk will rise. He explained that people are buying dollars to hedge against default.
Ismail said Pakistan received more aid than expected at Geneva, which will help it negotiate with the Fund. He also suggested approaching Saudi Arabia and China for new loans.
The former finance minister said the funding gap would shrink. However, he said the gas tariff hasn’t increased since September 2020, so fertilizer, cement, and rich consumers should pay more.
He said the gas tariff must rise even if the IMF doesn’t require it.