PM directs Ministry to explore possibility of Panda Bonds

ISLAMABAD: Prime Minister Shehbaz Sharif has directed the Ministry of Finance (MoF) to immediately explore the possibility of Panda Bonds to shore up depleting foreign exchange reserves, well-informed sources told Business Recorder.

These directions were issued by the Prime Minister, during a meeting of the ‘State of Economy’ held on March 4, 2024. The Finance Ministry has been directed to complete the process within two weeks - the deadline will expire mid next week.

It was decided that regular meetings will be held on the economy, keeping in view the urgency of the economic situation and to bring economic stability in the country which is vital for long-term sustained growth and development.

‘Economic roadmap’ presented to PM

According to sources, Federal Board of Revenue (FBR) has been directed to organise a ceremony to reward best taxpayers and innovative exporters – those who exported new products or explored new markets by the tax collecting agency. Prime Minister Shehbaz Sharif will distribute certificates.

Prime Minister also directed to review the compensation structure for boards of public sector companies as part of a strategy to curtail government expenses.

Presently, public sector SoEs are paying heavy amounts starting from Rs35,000 per meeting to Rs0.1 million or even more in addition to travel allowances and residence (official or hotel accommodation).

The FBR has been directed to expedite measures for its comprehensive automation, minimize interface between taxpayer and tax collector and facilitate compliance and a plan will be shared with Prime Minister Office (PMO) by next week.

It was decided that efforts will be made to bring new taxpayers into the tax net, rather than increasing tax burden on existing compliant taxpayers, in addition to taking robust measures to eradicate corruption in FBR.

Secretary Finance, Imdadullah Bosal, was tasked to conduct an inquiry into non-acquisition of scanners for installation in factories despite clear directives to FBR.

Power Division, sources said, had been given one-month time to furnish a plan for improvement in power system to reduce losses, replicating Georgie model.

Newly appointed Minister for Petroleum and Power Dr Musadik Malik said that he was preparing a compressive plan to increase electricity consumption in winter, however, he did not share details of the plan.

Copyright Business Recorder, 2024