ISLAMABAD: Former Prime Minister and PML-N senior leader Shahid Khaqan Abbasi has expressed concern about the potential ramifications of the SBP Amendment Bill 2021, which seeks ultimate autonomy for the country’s central bank.
Abbasi, speaking at a press conference in Islamabad on Monday, described the bill as harmful to the country’s sovereignty and proposed that it be reintroduced in the National Assembly to reach a consensus, as it has not yet been passed by the Senate.
Following the bill’s passage, the PML-N leader stated that the government and parliament will be unable to exert control over SBP, and that the central bank will impose economic constraints on the country comparable to those imposed by the International Monetary Fund (IMF).
The major goal of the SBP, according to the PML-N leader, is to oversee the banking and financial system, but this bill will allow the central bank to dominate the country by managing its affairs, perhaps leading to increased poverty, inflation, and unemployment.
He further claimed that, as a result of the bill’s modifications, the SBP will be able to share information about Pakistan’s economy with the IMF and international governments.
If the SBP bill is not given to the National Assembly for consideration, the former PM stated that if they gain power, they will repeal the statute.
“No one will be able to sell Pakistan,” he said.
Last week, the government and its allies rammed Finance (Supplementary) Bill 2021 and SBP Amendment Bill 2021 through the National Assembly, ensuring that the IMF’s executive board approves its sixth review of the $6 billion Extended Fund Facility (EFF), paving the way for the disbursement of a $1 billion tranche.
The SBP amendment bill, according to Finance Minister Shaukat Tarin, has no flaws because the government will be in charge of appointing the SBP governor and board members.
He said the government sought to grant the central bank autonomy in line with the ruling PTI’s ideology, which he said was beneficial to the country’s economy.
According to Planning Minister Asad Umar, the government has not received a loan from the central bank in the last two and a half years, therefore “the approval of the SBP bill, 2021 will have no detrimental influence on the country.”
