June 20, 2022 (MLN): International Monetary Fund (IMF) program will be restored in one and a half-day as the government has taken many difficult steps to revive the loan program, Finance Minister Mifftah Ismail said on Monday.
While speaking to the media in Islamabad, he said “I am quite hopeful that the IMF program will be restored in one and a half-day”
The coalition government is making all-out efforts to revive the program and has taken many unpopular steps for fiscal consolidation including taxation of personal income tax, abolishment of subsidies, petroleum levy, and increase in electricity prices.
Last week, the government ended the fuel subsidy by announcing an increase in the prices of petroleum products for the third consecutive time since May 26, 2022. This was the prerequisite condition to unlock the IMF tranche.
Recently, Minister of State for Finance and Revenue Dr. Aisha Ghaus Pasha clarified that the fund is not asking for “Do More” as the conditions pertaining to fiscal consolidation were already part of the agreement, signed by the previous government.
She further added that the previous government had delayed the compliance for a notable time period this is why the present government has to take tough decisions in a row for the much-needed IMF tranche.
Market experts termed the IMF tranche “Crucial” to stabilize Pakistan’s economy in the wake of fast-depleting foreign exchange reserves and melting PKR.
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