April 18, 2024 (MLN): The World Bank has presented a series of recommendations for the first year of government, aimed at bolstering Pakistan's economic and social sectors.
The financial institution has urged the government to consider a reduction in subsidies on energy and commodities in the upcoming budget, advocating instead for the reallocation of funds towards public welfare initiatives.
This shift is part of a broader call for the implementation of austerity measures, which the World Bank suggests could be complemented by promoting private partnerships in public companies.
The global bank has advised for reforms to be brought in the tax system. This includes the abolition of existing duties and sales tax exemptions, alongside the introduction of new taxes on land and agriculture.
Moreover, the strategy emphasizes the need for a long-term trade tariff policy and proposes that gas tariffs for consumers be aligned with the actual cost of supply.
The World Bank has also advised the establishment of a national policy to address the issue of children's stunting.
It is pertinent to mention here that Finance Minister Aurangzeb is leading Pakistan’s delegation in the IMF / World Bank’s 2024 Spring Meetings being held in Washington DC.
