ISLAMABAD, April 21 ( Alliance News): Finance Minister Muftah Ismail has said that he is going to Washington where he is expected to meet with officials of the International Monetary Fund (IMF) to restore the loan facility, which will take place this month before the government of former Prime Minister Imran Khan. Stopped after the time was up.
Before leaving for Washington, Muftah Ismail, who replaces former Finance Minister Shaukat Tareen in the coalition setup, tweeted that the purpose of the visit was to get our IMF program back on track which was derailed by PTI and Imran Khan. As a result, our economy is in danger.
He added that he would also visit London where he would meet PML-N leader Nawaz Sharif.
During a press conference in Islamabad yesterday, Muftah Ismail told the media that his priority was to get a ارب 1 billion installment from the IMF and prepare the forthcoming budget instead of submitting two quarterly reviews. Is.
He hopes to meet with the Managing Director of the IMF, the Chief Executive Officer of the World Bank, the Executive Directors of the G7 countries, the Ministers of Turkey, Saudi Arabia and China and the Head of the IMF Mission in Pakistan. Are doing
IMF demand In the same press briefing, Muftah Ismail revealed that the IMF wants Pakistan to abolish subsidies given by the previous government, including relief on fuel prices and electricity tariffs.
The move has been widely criticized by the previous government, with many calling it a breach of Pakistan’s promises to the IMF for a 6 6 billion expansion fund facility.
Muftah Ismail said that the IMF had set a series of preconditions which included a financial adjustment of around Rs 1.30 trillion.
He further said that in order to fully reverse the IMFPTI government’s February 28 relief package, increase in fuel prices, restoration of taxes, closure of amnesty scheme for industries, reduction in revolving loans, reduction of electricity tariffs. Wants to increase rates and ensure financial savings.
Muftah Ismail said that the previous government was committed to maintain a primary balance of Rs 25 billion which is now in deficit with Rs 1.30 trillion. We have heard the position of IMF but have not made any promise yet.
The PML-N-led coalition government has not yet withdrawn petrol and electricity subsidy measures taken by the previous government, Prime Minister Shahbaz Sharif said last week. Was rejected.
Muftah Ismail assured that no burden would be imposed on the people in the process of fulfilling the conditions of IMF but something has to be done as IMF program is indispensable.
He said the government would ensure financial discipline and take steps to restore the IMF program but not impose any additional burden on the people.
Muftah Ismail added that the government would ensure that the irregular PTI relief package was gradually phased out, which put the country’s economic stability at stake.
The finance minister also hinted at scrapping tax amnesty for industries, adding that the IMF’s main focus was on scrapping fuel subsidies as it was creating a financial vacuum and delaying the rise in electricity tariffs. This is because its direct impact on the budget was not immediate.
He said that by increasing the development budget from Rs 900 billion to Rs 600 billion, about Rs 100 billion could be saved which could not be utilized by the ministries.
Asked about the IMF’s demand for more taxes, he said, “I have made it clear that nothing has been achieved in these two months.”