ISLAMABAD/WASHINGTON: Pakistan is hopeful to get about $8bn IMF loan program in the coming days for three years as Finance Minister Muhammad Aurangzeb is in the US and being engaged with high officials of the IMF (International Monetary Fund). While talking to a foreign news agency in Washington the finance minister expressed hope that Pakistan would get a new loan program of $6 to $8 billion for the period of three years.
Meanwhile, addressing the Atlantic Council and Pakistani-American citizens community in Washington, the minister said the talks were underway in a positive environment and he would be able to get a new loan program from the IMF very soon.
“Talks with the international lending body are at an early stage but we are determined to implement the agenda of economic reforms through tough decisions,” the minister said.
“We require about three years to undergo real reforms with an indication of future tax exemptions or bringing low-taxing sectors into the tax net”, he said adding that the purpose of the move would be to bring low tax- and tax-free sectors under the tax domain.
The finance minister further stated that the key aim of the talks would be to reach a stage on priorities with the IMF. He apprised that in Pakistan, wholesale and agriculture are contributing 20 percent to the GDP, whereas the share of the direct tax remained one percent which seemed an uneven equation.
Pakistan to Enhance Trade with US, China
Meanwhile, the minister also emphasized increasing trade protentional of Pakistan adding that he is also working on possibilities over increasing trade with the US and China.
Talking about the long-awaited privatization issue, he said that the government would prioritize the privatization of some of the government institutions adding that “PIA will be privatized first, the target is to complete the transaction by June,”.
