Karachi: The Finance Ministry of Pakistan is considering to adopt other steps for revenue generation, as the getting consultation on RGST from the political parties is taking longer time. The above statement was given by the Finance minister Mr. Hafeez sheikh after launching the leveraged Market Product (MTS) at Karachi Stock Exchange (KSE).
While answering a question about alternative proposal for IMF; in case implementation of RGST faces difficulties due to delay in consultation. He said that GOP is taking steps for adopting alternative measures, however, he did not elaborate about these alternatives.
He also said that government should raise revenue through implementation of new taxes, for running the government and fund development schemes for people. The RGST matter is being put first before NA committee and then before parliament for its approval.
The minister also emphasized on fulfillment of commitments made to IMF. He also declared that GOP is taking cost control measures by cutting short its expenditures; and is also trying to maintain balance between revenue and expenditure. According to him the main reason of the growing deficit is heavy losses due to flood destruction. The Government is trying to restrict its deficit within 5% despite flood losses and increasing oil products prices.
Introduction of margin trading and margin financing and securities lending and borrowing was long overdue and will enhance trading volume and create transparency in stock market. Margin Trading System (MTS) is replacing old Badla and Margin Finance System.
While commenting on Economy, he said that despite of big challenges the economy is showing good signs. He said that government should borrow from the debt market and parliament should pass the demutualization act soon. KSE board chairman urged the ministry of finance to lower financial cost by reducing markup rates.