Hopeful IMF deal would be signed this month: PM Shehbaz

Prime Minister Shehbaz Sharif on Sunday reiterated that the International Monetary Fund (IMF) deal would be signed this month as the country has fulfilled all conditions of the international lender to unlock the remaining amount of the agreement, Aaj News reported.

While addressing a ceremony at the Sabzara Sports Complex event in Lahore, he confidently asserted, “From our side, we have dutifully fulfilled all the stipulations.”

Anticipating a breakthrough, he added, “Now, I remain optimistic that the IMF deal will be inked this month, paving the way for the influx of billions of dollars in installments.

“If the agreement with the IMF is delayed, then I will address you,” says PM while hinting at a ‘Plan B’.

The premier spoke about the challenges his government faced in completing development projects. He gave examples of state-of-the-art sports complexes that were built in 14 constituencies of Lahore during his term as the chief minister.

“Unfortunately, all the projects were halted when a fascist government was brought in due to rigged elections in 2018.”

He further stressed that the previous government contained all the China-Pakistan Economic Corridor (CPEC) projects, which were started under the administration of PM Nawaz Sharif.

The Prime Minister announced there would be no membership fee for school and college students to enter these sports complexes.

He said that his government raised the salaries of federal officers above grade 17 by 30 percent and the pensions of retired employees by 17.5%.

He termed the recent May 9 incidents as an act of hostility that the enemies could not accomplish in 75 years. The miscreants attacked government facilities, causing substantial damage in a single day, at the incitement of an individual, pointing towards the PTI chief. Anyone found guilty in such events would be punished, he reiterated.

The Prime Minister emphasised the need for political stability to bring economic stability to the country. He stated that under the leadership of Nawaz Sharif, they would work to bring financial stability to the country.

As Pakistan’s IMF program nears its expiration this month, a significant sum of $2.5 billion remains unreleased, posing challenges in reaching an agreement with the lender. The nation grapples with daunting obstacles such as skyrocketing inflation, fiscal imbalances, and critically low reserves, barely sufficient to cover a month’s worth of imports.

According to an IMF country report published last year, bilateral creditors accounted for a staggering $37 billion of Pakistan’s debt in the fiscal year 2021, with China alone being owed $23 billion.

To unlock the funding allocated for its long-awaited 9th review, Pakistan must secure concrete and reliable financial commitments to bridge the $6 billion gap. The government has thus far managed to garner commitments totaling $4 billion, primarily from sources such as Saudi Arabia and the United Arab Emirates.