ISLAMABAD: In the context of the recent talks with the International Monetary Fund (IMF), Pakistan has assured the global lending body of taking anti-inflationary measures, as reported by a private television channel here on Tuesday. Meanwhile, Pakistan also convinced the IMF’s mission to not impose additional tax.
The report further revealed via reliable sources that to facilitate the unprivileged segment of society; the government would continue targeted subsidies with an assurance to strictly implement the plan and control the increase in inflation.
During a number of meetings with the IMF members, Pakistani officials briefed the mission about measures to be taken to control the interest rate to bring down the increased inflation.
IMF Informed of Austerity Measures
In addition, the caretaker Finance Minister, Dr Shamshad Akhtar, in a statement on Monday, expressed that the government has assured the monetary body of controlling the budget deficit by cutting expenditures to lessen the burden on poor people.
It is worth noting here that news is circulating in the media over a possible decrease in the interest rate during the upcoming policy rate announcement by the State Bank of Pakistan. Meanwhile, the recent decrease in petroleum prices at the international level might result in a decrease in fuel prices in Pakistan from the 16th of this month. Both these developments would also help in the decrease in inflation.
The report also mentioned quoting the fiancé minister that the ongoing policy-level talks between IMF and Pakistan were moving in a positive direction way, adding that the caretaker government would focus on facilitating the poor, including further spending through the Benazir Income Support Programme (BISP).
As per the $3 billion standby arrangement (SBA), Pakistan had received $1.2 billion from the lending body as a first tranche in July, and the second one of Rs$ 710 million dollars is expected after the ongoing talks, possibly in December 2023.