Miftah Ismail blasts government over skyrocketing electricity and sugar prices

In Pakistan, on March 21, 2025, former finance minister Miftah Ismail expressed his dissatisfaction with the current federal government for permitting the excessive rise in electricity and sugar prices. During a press conference in Karachi, he highlighted that recent decisions, particularly regarding sugar exports, have led to a sharp increase in prices, significantly affecting the populace's purchasing power. Miftah emphasized that just six months prior, the government allowed sugar mill owners to export around 5 to 6 million tonnes of sugar, purportedly to benefit the industry, which contradicts past criticisms against similar actions made during Imran Khan's administration. He pointed out the inconsistency of the current government's promises when sugar prices were around Rs80 to 90, stating that they vowed to prevent prices from exceeding Rs140. In reality, current market prices for sugar have skyrocketed to Rs175, leading to public outrage as the government has failed to control the situation. This rise in sugar prices is alarming, especially when contrasted with forecasts of increasing sugar consumption driven by population growth and demands from the food processing sector, as overall sugar consumption is expected to grow to about 6.7 million tonnes. Miftah also railed against the government's handling of electricity prices, noting that they are now higher than those in various neighboring countries, such as Bangladesh, India, and Sri Lanka. He questioned what makes electricity and gas in Pakistan so special to warrant such high costs compared to other countries. His remarks underscore a broader critique of the government's economic policies, attributing the price hikes to unsuccessful strategies, policy inconsistencies, and decision-making driven by greed. The Competition Commission of Pakistan has also weighed in, warning sugar mill owners amid efforts by the government to stabilize the retail sales price at Rs130 per kg, a target that remains unmet as prices soar above Rs180 in many markets. These developments indicate that the government is struggling to balance the interests of the agricultural sector against the rising cost of living, exacerbating public frustration with the current administration's effectiveness in addressing economic challenges. Miftah's statements serve as a stark reminder of the challenges faced by citizens in managing daily expenses amidst rising costs, putting pressure on the government to take more decisive action in the coming months.