ISLAMABAD: Finance Minister Asad Umar on Wednesday said that the fiscal deficit created by previous government was the major reason behind the rise in the inflation rate, ARY News reported.

Asad Umar, while addressing media persons in Islamabad, admitted that the federal government felt difficulties of its nationals due to inflation hike but it did happen when steps have been taken to remove bigger deficits.

The finance minister slammed criticism continued by the opposition over the hike of inflation rate. He said that the current inflation rate stood at 2.4 per cent under the federal government led by the Pakistan Tehreek-e-Insaf (PTI).

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The rate was highest during the tenure of Pakistan People’s as it jumped by 10 per cent while five per cent increase was made in Pakistan Muslim League Nawaz (PML-N) led government, Umar detailed.

He said that the federal government has taken more difficult decisions as compare to previous tenures for bringing betterment in economic indicators.

“Tax revenue has not decreased but also not increased as per expectations,” said the finance minister.

While commenting over foreign financial assistance, the finance minister clarified that the PTI government has not yet approached the International Monetary Fund (IMF) for a bailout package.

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While answering a question, Umar said that the present government has started implementation of Benami regulations which had been legislated two years ago. He added that the regulation was taken into effect after formal approval of the federal cabinet.

Formal approval of the federal cabinet was sought for amendments made in regulations formulated for customs and Federal Investigation Agency (FIA), he said.

Detailing about grey-listing of the country by Financial Action Task Force (FATF), the finance minister said that the next three month will be crucial for Pakistan.

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