IMF monitoring will boost the confidence of investors

Lahore : The United Business Group lauded the government for the successful auction of bonds worth 2.5 billion dollars without being under IMF programme.

The successful move speaks volumes about the increasing confidence of the foreign investors in the Pakistani economy, it said.

The decision of the government to allow IMF to monitor Pakistani economy is laudable as it will help boost the confidence of the investors, said Naseem ur Rehman, a central leader of the UBG.

He said that issuance of bonds will help government but it will not resolve the financial difficulties of the government on the back of falling exports and increasing imports.

Naseem ur Rehman said that government need at least ten billion dollars to tackle the situation for which government can consider issuing CPEC bonds.

CPEC is one of the greatest projects of the history of mankind therefore many individuals and companies will prefer to invest in CPEC bonds, he added.

He said that railways infrastructure is also being improved under the economic corridor, therefore, the government can also issue railway bonds and offer tax breaks to lure investors.

Nasim ur Rehman, who is contesting FPCCI election in independently said that policymakers can also consider taking Pakistan Stock Exchange on board to get maximum benefit out of the bonds.

The country cannot rely on loans forever as the debt servicing burden has become painful therefore meaningful reforms should not be delayed, the business leader said.