City
Epaper

Talks with Pakistan stalled after IMF objects to Imran Khan's relief package

By ANI | Updated: March 12, 2022 12:10 IST

Ongoing talks between Pakistan and the International Monitory Fund (IMF) have so far remained inconclusive due to "deviations" from agreed terms, media reports said on Saturday.

Open in App

Ongoing talks between Pakistan and the International Monitory Fund (IMF) have so far remained inconclusive due to "deviations" from agreed terms, media reports said on Saturday.

This uncertainty remains as Pakistan's precarious financial condition under the Imran Khan government continues. The two sides have failed to reach a consensus amid the country's budget deficit and current account deficit.

Last month, Pakistan's former finance minister and well-known economist Dr Hafeez A Pasha disclosed that the current account deficit was heading towards a historic record by touching the USD 20 billion mark or 6 per cent of Gross Domestic Product (GDP) for the current fiscal year.

Pasha said the international prices of various commodities were witnessing skyrocketing trends and now the Current Account Deficit (CAD) would witness more pressure with the possibility of touching a historic high. "For God's sake, the political parties must shun their differences because the country is heading towards a serious financial crisis," he had appealed.

Amidst such downward trends, Imran Khan is announcing one economic package after another. On March 2, he launched an interest-free loan programme worth Pakistani Rupee (PKR ) 407 billion under the "Kamyab Pakistan Programme", which he claimed would contribute to making the country's low-income groups self-reliant.

The News International reported that the IMF has raised serious objections over Imran Khan's Relief Package for slashing down petrol, diesel, and electricity prices as well as granting tax amnesty for the industrial sector.

According to the newspaper, the IMF had imposed the condition that Pakistan will not grant any tax amnesty and it is part of a continuous structural benchmark. Despite these conditions, the Imran Khan government breached this continuous structural benchmark which now requires a waiver from the IMF's Executive Board for completion of the 7th review, the report added.

Against this backdrop, the global lending body has asked Islamabad to jack up the discount rate, allow free movement of the exchange rate, slash down Kamyab Pakistan Program (KPP) and reverse relief package measures.

The review talks between IMF and Pakistan are expected to conclude on Wednesday.

( With inputs from ANI )

Disclaimer: This post has been auto-published from an agency feed without any modifications to the text and has not been reviewed by an editor

Tags: Kamyab pakistan programmepakistanislamabadimfImran KhanImran ahmadDhs punjabJitender singh mehtaP.m. finalImran niaziImran ahmed
Open in App

Related Stories

EntertainmentHania Aamir, Mahira Khan, Ali Zafar and Other Pakistani Celebrities’ Instagram Accounts Blocked in India

InternationalPakistan Claims India May Launch Military Action Within 24 to 36 Hours, Issues Warning to New Delhi

NationalMob Lynching in Karnataka: Man Killed After Allegedly Chanting 'Pakistan Zindabad' During Local Cricket Match (Watch Video)

InternationalIndia Attacks Pakistan at UN Over Pahalgam Terror Attack, Says 'Fuelling Global Terrorism'

MumbaiMaharashtra: Three Youths Arrested for Allegedly Supporting Pakistani Flag During Protest In Nala Sopara (Watch Video)

International Realted Stories

InternationalUS launches next-generation universal vaccine platform for pandemic-prone viruses

InternationalMexico, US to work to improve trade balance: Sheinbaum

International"We wish to encourage trade with India": Afghan traders at Iran Expo 2025

InternationalOman says US-Iran talks postponed for logistical reasons

International"We stand with India...": US Defence Secy Hegseth speaks to Rajnath Singh, offers "strong support"