Pakistan 'will not default', assures Miftah.

ISLAMABAD -- Finance Minister Miftah Ismail on Tuesday said that the country will not default as an increase in the inflow of foreign currency is expected in the next quarter.

The minister made the remarks during a conversation with the CEO of advisory services firm Tabadlab, Mosharraf Zaidi, where he stated that he, the governor of State Bank and Prime Minister Shehbaz Sharif were all certain that Pakistan will not default because 'all the balls that [they] have in the air' are expected to land in place and an increase in the inflow of foreign currency is expected in the next quarter.

He emphasised the need to send a 'positive signal' to markets.

Echoing the same sentiments, the minister took to his official Twitter handle today to share JP Morgan's special research report on Pakistan, wherein the investment banking company has stated that "Pakistan will not default in its payments."

Miftah said: "With austerity and reform measures taken in the budget and since the budget, the IMF agreement and progress with other multilateral institutions, our bonds are a safe and smart investment."

During his talk with Zaidi, he highlighted that in the last year, Pakistan had an import cost of $81 billion whereas imports stood at only $31 billion this year.

'I'm trying to moderate our purchases while not slowing down our exports. For the next two to three months, I'm going to do that,' he said, adding that he had an increasing grip on foreign currency.

He maintained that a new policy plan will be implemented to aid a gradual decline in imports and an 'organic' increase in exports.

The gap in import-export and the resulting dollar liquidity has increased pressure on the Pakistani rupee, which has been decreasing in value against the US dollar.

Earlier today, the Pakistani currency continued to sink for the seventh consecutive working day as it slumped by Rs4.07 to a new all-time low of Rs237 against the US dollar in the inter-bank market.

'It's no fun going to the world, to the International Monetary Fund (IMF), to the Chinese, to the Saudis, asking for money,' the minister stated.

He claimed that the inflows from the IMF will emerge within weeks because there was no chance of the Fund reopening the loan negotiations.

'There's no prior action that's left. The only thing is that they have a vacation for the [IMF] directors from Aug 1 to Aug 15. That's why the meeting is a little later than I would've liked,' he explained.

When asked whether his government...