Pakistan to default if subsidies not abolished till July

Miftah Ismail, the Finance Minister, has stated that eliminating petroleum product subsidies until July is necessary to keep the country from falling bankrupt, implying that fuel prices will rise again after breaking records earlier this month.

The finance minister told a private television programme that the International Monetary Fund (IMF) has asked the government to remove petroleum product subsidies.

He explained the reasoning for the move, saying that if the prices are not raised, the country will face “destruction” since the international money lender will not sign a deal with it.

“I have told the prime minister that we have to take tough decisions. The prime minister is unhappy with increasing the prices of petroleum products. Whenever I send a summary in this regard, the ministers curse me,” Miftah lamented.