ISLAMABAD: Finance Minister Ishaq Dar and Planning and Development Minister Ahsan Iqbal have rejected remarks of Pakistan Awami Tehreek (PAT) chief Tahirul Qadri and Pakistan Tehreek-i-Insaf (PTI) chairman Imran Khan regarding public debt and Chinese assistance to Pakistan.

In separate statements on Saturday, Mr Dar and Mr Iqbal described allegations levelled by the PAT and PTI chiefs as baseless.

In his statement, Mr Dar said: “The allegations of Allama Tahirul Qadri that at the time of taking over by this government, the total debt was Rs6.5 trillion and during the last 14 months the government has added Rs5.5tr (to) public debt is absolutely incorrect and baseless.”

He said that when the PML-N took over reins of the government the total public debt was Rs14.5tr and in the last one year, there had been no significant increase in it.

Ahsan Iqbal terms energy projects a source of ‘oxygen’ for the country’s economy

He said the government had adopted a comprehensive strategy to transfer ‘expensive debt’ to ‘cheaper debt’ category in order to reduce the burden of public liabilities.

Mr Iqbal, who heads the China-Pakistan Economic Corridor Joint Coordination Committee from the Pakistani side, brushed aside Mr Khan’s assertion that energy projects were being financed through borrowing.

He said: “It is not expected from a leader of the stature of Mr Khan, whose party rules in Khyber Pakhtunkhwa, that he would show such immaturity and irresponsibility. Mr Khan has alleged that these ‘loans’ are being taken at 7 per cent interest, which is incorrect as these projects are not loans but coming as foreign direct investment (FDI) in the country.”

Mr Iqbal said there was a ‘mad race’ among all countries to attract maximum FDI for higher growth rates, and the energy projects launched with Chinese assistance were a source of ‘oxygen’ for the country’s economy. They would not only push growth rate of the economy upwards by solving the energy crisis but also help create millions of new jobs.

He rejected the PTI chief’s allegation that government leaders were receiving kickbacks and commissions through the projects. “Mr Khan owes an apology to the people of Pakistan and China for making such irresponsible statements and allegations. His untimely and undemocratic tactics in the capital caused postponement of Chinese president’s visit to Pakistan, and now he is making China-Pakistan projects controversial. People of Pakistan want to know whose agenda he is following.”

The planning minister said President Xi Jinping was a great friend of Pakistan and that the Chinese leader would soon visit the country. The commitment of the Chinese government to help Pakistan overcome its energy shortages is a proof of the strong friendship between the two countries.

The most critical energy and infrastructure sectors-related projects would inject new life into the national economy, he added.

Published in Dawn, September 7th, 2014