Pakistan to Free $1 Billion from IMF
Pakistan is set to get $1 billion from the International Monetary Fund (IMF) after successfully completing the first review of its $7 billion lending program, Bloomberg reports. The success comes following Pakistan’s substantial improvement in fulfilling IMF requirements.
Some of the major reforms Pakistan undertook include implementing a new agricultural income tax, privatising the national carrier, Pakistan International Airlines (PIA), and addressing the issue of enhancing tax revenue collection. The IMF has been briefed on these changes as part of the first review discussions.
Finance Minister Muhammad Aurangzeb said he is confident that Pakistan would achieve its revenue targets for the fiscal year ending June. He also ensured that if there is any shortfall, the government would cover it through increasing the tax base.
Prime Minister Shehbaz Sharif has said that once the economy is stabilized, Pakistan’s attention will be toward driving economic growth.
Pakistan’s recent history with the IMF has also been better, with it having recently completed a nine-month short-term program last year, a milestone achieved when compared to previous pacts which have either got delayed or had a premature cut short.
