I know how to deal with the IM F, Dar tells Ism ail
ISLAMABAD: Finance Minister Ishaq Dar has come out swinging against his predecessor Mitah Ismail, belonging to his Pakistan Muslim League-nawaz (PML-N) for the later’s disapproving comment on the petroleum development levy (PDL) a day ago.
In an interview to a TV channel, Dar advised Ismail not to worry about the International Monetary Fund (IMF). “Maybe Ismail was comfortable (in burdening the public). But I’ve been dealing with the IMF for 25 years. I’m the only humble person who’s completed an IMF programme. Ismail or anyone else shouldn’t worry; it’s between me and the IMF.”
The federal government collects the PDL on the sale of petroleum products to shore up its non-tax revenue.
It was charging the levy in excess of Rs37 on every litre of petrol and Rs7.50 on every litre of diesel until the end of September.
The government had previously assured the IMF that it’d increase the levy to Rs50 on both petrol and diesel to collect about Rs855 billion in 2022-23.
But to reduce the prices of all petroleum products by five per cent for the first half of October, Dar decided to take a hit on the government’s non-tax revenue. He cut the PDL on petrol by Rs5 per litre to Rs32.42 while increasing it by Rs5 per litre on diesel to Rs12.58.
Dar said Ismail should simply call him to seek clarity instead of making public statements.
“He should’ve called me. I would’ve told him that’s Solution No.1, that’s Solution No.2 and that’s Solution No.3,” he advised Ismail, a PHD economics from the University of Pennsylvania, in a patronising tone.
“Don’t we have a heart? Must we keep on burdening the 220 million people with taxes?” he said.
Ismail’s assertion that the change in the levy’s amount became effective without the IMF’S nod also ruffled the feathers of the opposition.
He and Senator Shaukat Tarin of the Pakistan Tehrik-e-insaf (PTI) had an exchange of harsh tweets on Sunday as the opposition leader accused Ismail of “doublespeak” on sticking to the IMF’S demands.