WASHINGTON: The International Monetary Fund (IMF) is reportedly dissatisfied with Pakistan’s performance, and has asked Islamabad to reduce expenses before the talks on the ninth review of a $7 billion loan program.
Also read: Pakistan held responsible for delay in talks with IMF
MM News has learnt from multiple sources that the IMF isn’t happy with the performance of Pakistan’s main financial bodies, i.e. the finance ministry and the Federal Board of Revenue (FBR), and has urged upon them to reduce government expenses.
Also read: IMF again postpones talks with Pakistan
Pakistan, it may be recalled, had approached the IMF to secure next tranche of loan. However, the IMF asked the Finance Ministry to submit a report of the increase in expenses due to floods in Pakistan for the release of the loan tranche.
It has also been learnt that the IMF has also urged upon the Pak authorities to increase tax collection.
Also read: IMF asks Pakistan to raise additional revenue of Rs800bn, ninth review rescheduled
It may be recalled that State Minister for Finance and Revenue, Ayisha Ghous Pasha was quoted a few days back as saying that IMF was informed about hike in expenditures due to unprecedented flooding in the country.
In response, the IMF is said to have asked for a report with regard to the targets that could not be achieved due to floods.
