| Welcome to Global Village Space

Sunday, May 26, 2024

IMF Urges Pakistan to Meet Targets in $3 Billion Stand-By Agreement

The IMF mission is expected to conduct the first review of the Stand-By Agreement during its two-week itinerary.

The International Monetary Fund (IMF) has emphasized that Pakistan must fulfill all the targets set under the $3 billion Stand-By Agreement (SBA). A mission led by Nathon Porter from the IMF held an introductory session with Pakistan’s caretaker Finance Minister, Dr. Shamshad Akhtar, and other key officials, including State Bank of Pakistan Governor Jameel Ahmad and Federal Board of Revenue (FBR) representatives.

In this session, the IMF delegation acknowledged the positive steps taken by Pakistan but stressed the importance of strict adherence to all agreed-upon targets. Dr. Akhtar assured the IMF that Pakistan is effectively implementing the targets, demonstrating its commitment to the loan program.

Pakistan’s Commitment to Meeting IMF Conditions

Pakistan has already implemented several stringent measures in accordance with the IMF agreement, including raising electricity and gas rates. The government is also actively working to reduce expenditures and advance its privatization program. These actions reflect Pakistan’s commitment to fulfilling the IMF’s conditions and ensuring economic stability.

Read More: UN Director Resigns, Accuses UN of Failing to Prevent Genocide in Gaza

Furthermore, the FBR has exceeded its tax collection targets during the first quarter of the current fiscal year, signaling a positive indicator of Pakistan’s dedication to meeting its fiscal responsibilities under the IMF program. The achievement highlights the country’s progress in managing its fiscal affairs and aligning with the IMF’s requirements.

First Review of Stand-By Arrangement

The IMF mission is expected to conduct the first review of the Stand-By Agreement during its two-week itinerary. During this review, the IMF will evaluate the comprehensive report detailing Pakistan’s progress in implementing the financial targets. This review provides an opportunity to assess the current economic landscape in Pakistan and gauge the country’s compliance with IMF guidelines.

As Pakistan navigates this critical phase of the Stand-By Agreement, its commitment to meeting the IMF’s terms and conditions is essential for maintaining financial stability and unlocking the agreed-upon financial assistance. The successful fulfillment of these targets will be pivotal in ensuring Pakistan’s economic growth and stability in the long run.