The International Monetary Fund (IMF) Mission has expressed concerns over Pakistan’s supply of cheap gas to fertilizer plants and has demanded an end to this practice, Finance Ministry sources told ProPakistani.
Sources told ProPakistani that the review mission has held several meetings with key stakeholders including the Energy Minister and senior officials of the Federal Board of Revenue and Benazir Income Support Program (BISP). The lender has expressed grave concern over commodity prices stabilizing globally but rising in Pakistan.
Discussions centered across a wide spectrum of economic indicators like circular debt, tariff outlook, and cost-side reforms.
Sources said the delegation urged tax measures targeting the real estate sector, manufacturing industry, and retailers. They advised integrating real estate into the tax framework by documenting it.
Porter’s team also had a detailed discussion with the State Bank of Pakistan regarding the real estate sector.
So far, the lender is largely satisfied with progress on economic targets made by Pakistan and has appreciated the federal government for taking ownership of the bailout program.
Finance Minister Muhammad Aurangzeb assured the IMF that the government would maintain the process of economic reforms which commenced during the tenure of the caretaker government. Sources added the Pakistani side seems confident of achieving the annual tax collection target of Rs. 9,415 billion without imposing new IMF taxes.
Talks between Pakistan and the IMF under the standby arrangement will continue till March 18. Pakistan is expected to receive a $1.1 billion tranche following the completion of the current review. Following the staff agreement, which is likely next week, the IMF Executive Board will approve the final disbursement to Pakistan.
FAUJI FERTILIZER kaise chalegi phir