Wednesday, 07 October 2015
The Federal Finance Minister Ishaq Dar has directed the Debt Management Office to keep a close watch on variations in the debt portfolio and suggest measures towards improving the cost and maturity levels. He further underscored the need for exploring opportunities being provided in movement of international currencies. However, this is only possible if the right kind of staff is appointed in the Debt Management Office having the requisite expertise and provided with accurate data. It is also debated whether the job entails one's background in treasury operations, etc. Unfortunately, however, the real decision-making authority rests elsewhere and the Debt Management Office has no role to play in domestic or external debt and has only an advisory role in the auction for treasury bills (T-bills) and longer tenor Pakistan Investment Bonds (PIBs). Even the role of State Bank of Pakistan stands reduced to an advisory consultant because it is the Ministry of Finance which ultimately decides on the governmental debt.