- Pakistan approves new tax measures, privatization efforts for the IMF.
- The government aims for economic growth after reaching stability.
- Pakistan is expected to receive $ 1 billion as loan payment after the IMF approval.
Pakistan should successfully complete the initial assessment of its 7 billion dollar loan program with the International Monetary Fund (IMF) because it has taken sufficient measures to increase income, according to officials and diplomats cited by Bloomberg.
Islamabad obtained the extensive 7 billion dollar funds (EFF) last summer to help get out of an economic crisis.
The program played a key role in the stabilization of the Pakistan economy and that the government said that the country was underway for a long -term resumption.
The news On Wednesday, the government led by Prime Minister Shehbaz Sharif approved a tax on tax agricultural income, attempted to sell participation in the international Pakistani public airlines and took measures to achieve an ambitious tax objective, and presented these developments to the IMF, said the people, asking not to be identified because the discussions are deprived.
A IMF team led by the chief of mission to Pakistan Nathan Porter is in Pakistan this week to meet government officials and assess their progress in the satisfaction of loan conditions.
If the IMF approves the first loan exam, the country is online to receive around 1 billion dollars as the second episode of the loan package. The IMF journal is closely monitored by investors as a sign of progress in economic reforms.
Prime Minister Shehbaz told the Director General of the World Lender Kristalina Georgieva, last month, his government planned to submit a plan to stimulate economic growth after reaching stability. The IMF chief said in an X post that the lender had been encouraged by Pakistan’s commitment and reforms.
The Minister of Finance, Muhammad Aurangzeb, told Reuters that Pakistan was “well positioned” for the first examination of its rescue program of the monetary fund of $ 7 billion while the talks with the world lender began on Tuesday.
“They are here. We will have two series of discussions, first technical and then at the level of politicians,” said finance minister Muhammad Aurangzeb.
“I think we are well positioned” for the exam, he said.
The finish, said in an interview last month, that the country will achieve its income targets for the financial year in June and that any shortfall will be achieved by widening the tax net. He said separately that the nation was confident to achieve other program objectives.
Pakistan was able to establish some confidence with the IMF by finishing a short -term nine -month program last year. Loan programs before Pakistan ended prematurely or have seen delays after governments of the time have weakened to meet key conditions.