ISLAMABAD: Finance Minister Ishaq Dar has claimed that the negotiations with International Monetary Fund (IMF) concluded on positive note, adding that the country would have to levy taxes to the tune of Rs. 170 billion by way of Mini Budget in order to honor agreement with the world body .
Ishaq Dar was addressing a press conference after an International Monetary Fund mission left Pakistan without signing a staff-level agreement with the country, which the country was relying on to revive its economy.
He claimed that the government had received the Memorandum of Economic and Financial Policies (MEFP) from the IMF.
“We insisted that they (the Fund delegation) give us the MEFP before leaving so we could look at it over the weekend,” he said, adding that the government and Fund officials would hold a virtual meeting in this regard on Monday.
“I am confirming that the MEFP draft has been received by us at 9am today,” he added.
The MEFP is a key document that describes all the conditions, steps and policy measures on the basis of which the two sides declare the staff-level agreement.
Dar went on claiming that Pakistan and the IMF had agreed on several points, after which friendly countries would extend financial support to the country. He said “there are some sectors which need reforms, including the one of energy,” adding that Pakistan needed to reduce circular debt in gas sector.
He said the government had completed the target of collecting revenue by way of Petroleum levy, and that the budget of Benazir Income Support Program (BISP) would be increased by Rs. 40 billion.
He said “We are conducting Virtual meeting with IMF Team on Monday, We had to present a Mini Bugdet to impose more Taxes.” He further said “We are hopeful that Pakistan will get 1.2m Dollar Loan after this IMF Visit.”
Dar, who is member of Pakistan’s largest ever cabinet, blamed the previous government for current economic crisis and said country’s economy was brought down from 24th position to 47th during last five years, hurting Pakistan’s credibility.
