Print Print 2024-07-04

IMF lauds economic decisions, efforts to hike gas prices

  • Holds virtual talks with Pakistan on the efforts made in the budget to meet the conditions
Published July 4, 2024

ISLAMABAD: The International Monetary Fund (IMF) on Wednesday appreciated Pakistan’s tough economic decisions and efforts regarding hike in gas prices.

According to sources, Pakistan and the IMF held virtual talks on the efforts made in the budget to meet the conditions. The IMF was briefed on the measures taken by Pakistan to increase gas prices and other tough economic decisions in the budget, sources added.

The sources disclosed that an important development was expected towards the end of the ongoing month as far as the new loan for Pakistan was concerned, and the volume of the programme, which would be for a three-year period, could be between $ 6 billion and $ 8 billion.

IMF delineates steps to curb gas circular debt

According to the Ministry of Finance, all prior conditions for negotiations with the IMF have been completed.

Sources explained that the government was also taking steps to fulfill other conditions set by the Fund.

For instance, they went on to say, work was in progress on increasing the basic tariff of electricity in light of the National Electric Power Regulatory Authority’s decision.

The new electricity prices would take effect in the current month, they disclosed.

On June 29, the IMF termed budget 2024-25 approval as not enough and demanded Pakistan to do more.

Sources said that the IMF wants Pakistan to hike the electricity and gas rates from July 1 and immediately implement the NEPRA decision regarding the increase in gas and power tariff.

The IMF also demanded the removal of tax exemptions and subsidies, terming them “essential” for the country’s economic recovery, sources added.

Later, finance ministry officials anticipated that an agreement for the new loan programme will be finalised in July. The new programme is expected to range between $ 6 billion and $ 8 billion, although the exact amount has yet to be finalised.

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KU Jul 04, 2024 11:01am
But what sayeth IMF on shut down of industrial units/cottage industry and unfeasible agriculture leading to over 10 million unemployment, increase in crime? This is shaping up to humanitarian crises.
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Mumtaz Malik Jul 04, 2024 11:14am
Early this morning, while listening to GEO NEWS, I heard the troubling news about the new atomic bomb-like increase in the electric tariff starting from July 2024.
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Mumtaz Malik Jul 04, 2024 11:15am
As I listened, my heart raced with anxiety about how I will manage my household expenses. This news made me wonder if I will have to forgo breakfast, lunch, and dinner.
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Mumtaz Malik Jul 04, 2024 11:21am
Essentially preparing for an indefinite period of fasting. The Prime Minister of the Islamic Republic of Pakistan should announce to the nation that we must be ready for a permanent fasting program.
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Mumtaz Malik Jul 04, 2024 11:30am
The world bank states that a person earning between $10 to $40 in a day is “middle class” in a lower-middle income country like Pakistan.
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Mumtaz Malik Jul 04, 2024 11:31am
This adds up to about $300- $1200 a month. As per today's exchange rate, that value is somewhere between Rs. 65,000 to 266,000.
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Irfan Jul 04, 2024 11:37am
Tax exemption for army men, bureaucrats challenged in LHC. I thought, SI Council, they were serious about economy. Property vs Pakistan match. Should've public CPEC agreement. Roads vs GTH
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Mumtaz Malik Jul 04, 2024 11:43am
I still recall an article on BR by someone titled "GAYA PAKISTAN." It highlighted why we often forget that we not only have to please the IMF but also remember,
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Mumtaz Malik Jul 04, 2024 12:03pm
What is the purpose of all these programs if we, as a nation, only seek to appease the IMF?.Such programs deserve utter condemnation if they fail to bring comfort to the life of an ordinary person.
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Khurshid Jul 04, 2024 12:14pm
IMF agenda in full force to finish Pakistan. Great strategy to get rid of Pak Nukes
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Ibrar Khan Jul 04, 2024 05:14pm
IMF always welcomes measures that are aimed at inflicting pain om ordinary people. Thats their economics and their expertise.
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mustafa Jul 04, 2024 05:48pm
taxes should be put in every field and let the system work in real form
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