The schedule of negotiations between Pakistan and the IMF on the new loan program has been decided
The IMF mission will arrive in Pakistan on May 15 to discuss the new loan program.
The new loan between Pakistan and the IMF will be preceded by technical and then policy level negotiations
ISLAMABAD (Web News)
After successfully completing the short-term loan program of 3 billion dollars by Pakistan, the schedule has been decided between Pakistan and the International Monetary Fund (IMF) for negotiations on a new major loan program. According to media reports, the IMF mission will arrive in Pakistan on May 15 to discuss the new loan program. There will be technical and then policy level talks between Pakistan and the IMF before the new loan. Finance Ministry sources say. That the new loan program may be 6 to 8 billion dollars and the duration of 3 years or more, the new loan program is likely to be met on strict terms of the IMF. Increasing debt and debt repayment is a big challenge, it is necessary to stay in the IMF program till the increase in exports and local resource generation, it has been decided to go to the new IMF program to keep balance payments and reserves stable. According to the sources, the government will have to take tougher decisions to increase the prices of electricity and gas, increase the scope of taxation, and privatize loss-making institutions. The market exchange rate is important, progress on economic reforms and tighter monetary policy will be needed, deficits, government institutions need to be reformed and measures to combat climate change will have to be taken. Sources in the Ministry of Finance say that negotiations Before doing so, Pakistan faces major economic challenges. The trader-friendly scheme launched on the recommendation of the IMF has failed. The federal government promised to bring lakhs of traders into the tax net under this scheme, according to sources. After the removal of senior officers in FBR, there is an unusual situation in FBR, it will be a challenge to satisfy the IMF on the recent decline in tax collections of FBR. It should be noted that yesterday the State Bank of Pakistan The final tranche of $1.10 billion under the Standby Arrangement (SBA) was received by the International Monetary Fund (IMF) a day before the IMF’s Executive Board released it. It should be noted that a few days ago, Finance Minister Muhammad Aurangzeb revealed at the end of his week-long visit to Washington that the International Monetary Fund (IMF) team for negotiations on a new loan program. Mohammad Aurangzeb said that the details of the new program will be clarified later, we will start discussing the details of the program in the middle of May. Addressing the journalists at the Pakistani Embassy. While Mohammad Aurangzeb had said that Pakistan was seeking a new loan package of between $6 billion and $8 billion from the IMF, in past statements the finance minister had said that Pakistan would prefer a long-term, three-year, program. .