In his comments to a private TV channel, Yousafzai was asked about loans taken from the Asian Development Bank. The information minister said that taking loans in dollars was beneficial as after taking the loan, the price of a dollar in terms of Pak Rupees increased.
“When we take loans in dollars, let’s suppose when its rate is at Rs100, and then the rate of dollar increases to Rs150, wouldn’t we be in benefit?” Yousafzai pointed out.
The host reminded the minister that this was a loan and had to be converted back to dollars at a rate of Rs150, which would mean that there was no profit.
In response, Shaukat Yousafzai said that it was possible that when we returned the loans, the price of dollar in terms of Pak Rupee could be Rs75.
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The host subsequently pointed out the absurdity in Yousafzai’s response, implying how one should be wary of fluctuating rates, and not be content of an increase in the price of dollar after taking a loan.
The statement is another one of the blunders of the ruling party, which indicates that their ministers are unaware of current affairs and how the economy works.
Recently, Adviser to the Prime Minister on Finance, Revenue and Economic Affairs, Hafeez Shaikh had said that tomatoes were available at Rs17 per kilogramme in fruit and vegetable markets of the country.