March, 21, 2023
IMF now seeks assurances

IMF now seeks assurances

All economic indicators are correct, rumors of default are spreading by anti-nationals, despite making external payments in 1 month. Foreign exchange reserves increased by 1 billion dollars: Finance Minister (IMF)

IMF now seeks assurances not to politicize power sector, exchange rate, monetary policy during 10th review, sources, Polish ambassador meets

ISLAMABAD (Arshad Ansari, Shehbaz Rana) Pakistan has completed 4 preliminary steps including increasing the interest rate to 20 percent, imposing Rs 3.23 per unit head charge on electricity bills, leaving the exchange rate to the market and in this context the international The review mission of the institution has also been notified. Federal Finance Minister Ishaq Dar says that there is a possibility of a staff-level agreement with the IMF by next week. In his tweet on Thursday, Federal Finance Minister Ishaq Dar said that rumors of Pakistan’s default are being spread by enemies of the country, and all such things are false and baseless.

The Finance Minister said that the enemies of Pakistan are responsible for this situation. The finance minister says that all the indicators of the economy are gradually moving in the right direction, despite making all external payments on time, our foreign exchange reserves have increased by about one billion dollars in a month, foreign commercial banks. has started providing facilities to Pakistan. While replying to the tweet of Chairman Pakistan Tehreek-e-Insaf Imran Khan, Ishaq Dar said that only Imran Khan is responsible for the economic disaster. Get rid of you, we are trying our best to fix the disaster you have caused, the nation will get news soon for the economy.

God willing. The finance minister’s statement came after the rupee depreciated on Thursday and inflation hit a 50-year high. It should be noted that this week, Pakistani officials announced that the IMF is making changes to its targets. However, sources familiar with the talks with the IMF told The Express Tribune that before the board meeting of the international organization, all the steps are being taken in light of the Memorandum for Economic and Financial Policies (MEFP) signed by the government of Pakistan. are According to sources, all) matters have deteriorated due to the government’s mismanagement which has not fulfilled its promises.

One of the reasons for the deterioration is that the government kept trying to control the interest rate despite not having many foreign exchange reserves. The government had promised at the start of the IMF program that it would leave the exchange rate of the rupee against the dollar to the market. Since Ishaq Dar took charge of the finance ministry in September last year, the rupee has fallen by 55.4 rupees against the dollar. Although Ishaq Dar had announced as soon as he arrived that he would bring the dollar to 180 rupees. Since the present government came to power, the value of the rupee has decreased to 101 rupees against the dollar.

The IMF has now assured Pakistan that there will be no politicization of the power sector, exchange rate, and monetary policy during the 10th review of the credit program. Sources in the Ministry of Finance say that the promises of increasing the interest rate, imposing a surcharge of 3.23 rupees per unit on electricity bills, leaving the exchange rate to the market, and bringing the financing gap up to 17 billion dollars, were made by former Finance Minister Miftah Ismail and Governor State Bank. How was he when he signed the letter of indent? The IMF is only asking for the implementation of these commitments. Now, during the last 48 hours, the government has fulfilled all other demands except the financing gap and a deal with the IMF is expected to be finalized.

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