Loan Rehabilitation Program: Pakistani delegation leaves for Doha for talks with IMF

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DOHA: For resumption of loan program from IMF, talks will start today in Doha for which Pakistani delegation left for Doha.

Negotiations with the IMF, which began today for the resumption of the loan program, will continue till May 25, and if the talks are successful, it will be recommended that Pakistan immediately release a $1 billion tranche.

During the talks with IMF officials, the Pakistani delegation will be led by the Secretary Finance while the delegation will include representatives of SBP, FBR and Ministry of Energy. After the technical talks, the Finance Minister will join the policy talks.

The IMF has called for an end to subsidies on petrol, electricity and gas, while the IMF has highlighted the promises made during the talks in Washington, including the complete abolition of subsidies and the FBR. The next budget includes an increase of more than Rs1100 billion in the tax collection target.

Esther Perez, the IMF’s representative in Pakistan, told media that economic stability requires that Pakistan adhere to the policies discussed in Washington during the winter.

Earlier, senior PML-N leader and former finance minister Ishaq Dar has said that they should renegotiate with the IMF as we cannot take dictation.

We cannot burden the people by increasing petrol price, he added.

Speaking on Geo News program, Ishaq Dar said that we cannot increase petrol and diesel prices at once to put burden on the people. We should negotiate with IMF again. The full burden of petroleum product prices should not be placed on the people, he opined.

Ishaq Dar said that the previous government had agreed with the IMF on very strict terms. We have to run the country, not drown the country’s fleet with dictation, he said.

Former finance minister Ishaq Dar said that the PML-N government will provide subsidy on flour, which will reduce the price of flour in two days. The Khyber Pakhtunkhwa government should also reduce the price of flour.

He said that this situation of the country was due to the incompetence of the previous government. The PTI government did not increase the revenue. PTI knew that they were leaving the government, so they reduced the petroleum prices.

In response to a question, Ishaq Dar said that the previous government left the rupee open and drowned the fleet. Billions of rupees are saved for Pakistan by controlling monetary policy at one percent. Leaving the rupee open has cost the country Rs4,000 billion, he said.