Pakistan to raise ₹215 billion through taxes in final attempt to meet IMF loan conditions
Pakistan's finance minister, Ishaq Dar, has said the country will raise ₹215bn through taxes in an effort to meet the conditions of a $6bn loan offered by the International Monetary Fund
Pakistan Finance Minister Ishaq Dar said on Saturday that the country will raise ₹215 billion through taxes in a final attempt to meet the loan conditions set by the International Monetary Fund (IMF). The minister said Pakistan was trying to fulfill all formalities needed to avail the IMF loan.
Ishaq Dar said, “As a result of the talks with IMF, for the fiscal year 2023-24, the final taxes of only ₹215 billion [approximately USD 750,400,000] have been agreed, ensuring that it will not burden the poor and middle segments of the society.”
Two days ago, IMF Managing Director Kristalina Georgieva appealed to Pakistan's Prime Minister Shehbaz Sharif to address policy disagreements among the global lender's staff before obtaining a crucial loan for economic stabilisation.
The global lender has signed a deal with Pakistan to provide it USD 6 billion if it fulfils certain conditions. The plan faced multiple setbacks and the complete reimbursement is yet to be finalized due to the donor's insistence on Pakistan fulfilling all formalities.
In the meeting between the IMF MD and Prime Minister Sharif, all the issues were discussed as the Pakistani government appeared to accept the IMF’s views on a few budgetary numbers.
Meanwhile, the Pakistani minister has also said that the country would be bringing down the expenditure, the salary hikes and pensions provided to the government employees. The details of the talks with the IMF will be made public after the loan is settled.
Pakistan's efforts to unlock access to the already agreed USD 6 billion loan package are in a quagmire as the budget needs to satisfy the global lender to secure the release of more bailout money for the country's ailing economy.
It is feared that Pakistan might default on external financing commitments without the active support of the IMF.
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Business NewsNewsWorldPakistan to raise ₹215 billion through taxes in final attempt to meet IMF loan conditions
First Published:24 Jun 2023, 10:55 PM IST
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