IMF given assurance about support of provincial Govts for efforts of federal Govt

May 5, 2019: The IMF Mission has been assured that the provincial governments would support and complement the efforts of the federal government to adhere to the fiscal framework being discussed with the Fund.

The assurance came at a joint meeting with the IMF Mission led by Ernesto Ramirez Rigo in Islamabad yesterday, in which Advisor to the Prime Minister on Finance Dr. Abdul Hafeez Shaikh, Chief Minister Sindh and Provincial Finance Ministers of Punjab, Khyber Pakhtunkhwa and Balochistan were present.

The participants exchanged views on the existing fiscal situation of the country in the context of the Fund program which is currently under discussion.

The Provincial Finance Ministers apprised the Mission of various initiatives taken in their respective provinces for resource mobilization at the sub national level to cater for the increasing developmental and social spending needs.

They expressed that the revenues from taxation had witnessed marked improvement recently. The provinces also emphasized that they were managing their expenditures prudently for better fiscal outcomes.

The IMF Mission highlighted the importance of a harmonized system of taxation that would contribute towards increasing economic activities and business growth in the country.