November 20, 2018 (MLN): The current round of talks with the International Monetary Fund (IMF), on bailout package for Pakistan, have ended on an inconclusive note as the two bodies failed to reach an agreement.
Earlier today, Finance Minister Asad Umar held a meeting with the Fund’s team, led by Herald Finger in Islamabad.
Voicing his concerns over the conditions put forth by IMF, the Finance Minister explained that Pakistan is not ready to accept them.
According to media reports, the Pakistani government has refused to accept most of the demands pronounced by the Fund, including:
- Increment in General Sale Tax (GST)
- Further devaluation of Rupee
- Increment in interest rates
The fund is also reported to have asked the government to make State Bank of Pakistan (SBP), Oil and Gas Regulatory Authority (OGRA) and National Electric Power Regulatory Authority (NEPRA) independent.
In addition to this, crackdown against tax evaders, and to slash line losses of the electricity, are also allegedly a part of the Fund's conditions.
An IMF delegation is expected to re-visit Pakistan next year for further consideration.
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