Managing Director of the State Trading Organization (STO), Adam Azim has said that while STO has a debt of US $ 165 million, the debt is not from the loans taken for investments but from loans taken to pay various bills.
In a press conference held yesterday, Adam Azim said that the if investment loans were taken and invested then STO could have generated more income however STO did not generate any additional income.
“Income was generated from the normal businesses only. Debts were being settled from that,” he said.
Adam Azim said that the first thing was to clean the balance sheets and new investments will be given a thought once it is done.
“I believe that it is the best possible way to resolve this,” he said.
The Managing Director of the company said that STO will continue its trade giving priority to fuel, medicine, flour and rice, construction material as they are what’s most importance for the people.
During 2008, MDP government took large quantities of fuel and other products from STO for credit for the many companies they made. In addition to this, they released many goods on credit without any guarentee and up until now many of that remains unsettled.
STO’s debts of US $ 165 million are being settled- Adam Azim
